Ikea Case Study

2174 Words 9 Pages
Register to read the introduction… IKEA’s ‘operation function’ can be described as a body or department within the company that manage various or most operation planning towards the product and service that IKEA offers. IKEA’s operation function can be analysis using the 4 V’s of operation model. This model consisted on 4 dimensions namely Volume, Variety, Variation and Visibility can be use to differentiate IKEA’s operation function from other sales function that other retail business adopted (Graelaws, n.d).

In terms volume, IKEA does have a high volume of products to offer compares to any retail business. By producing product in a high volume it would allow IKEA to achieve economic of scales, which in turn would help the company to attain its objective to provide furniture at a very low cost. Secondly variety, IKEA has a wider range of furniture and other products available in its store compare to other retail stores. This allows its customers to have more selectable choices to suit their needs and style. Therefore the level of variety is high in IKEA. Thirdly variation, IKEA has a high level of demand variation that is flexible to adapt its customer demands. Demands are predictable due to the environment around IKEA and usually peak during weekends. Lastly in the aspect of visibility, IKEA has a high visibility level where customer is provided with catalogs, guides
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Each products offered by IKEA aims to provide its customers the highest standard of technical or functional quality in order for IKEA to gain their customer’s trust on their brand. IKEA features uniquely designed furniture that customers can assemble in different ways without compromising its functionality and durability despite the relatively low price tag. Besides quality products, IKEA also offers quality-shopping experience to their customers by providing helping customer service and also other facilities for customers for enjoy while shopping with their …show more content…
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6. Jan Wognnugh. (2007). Does IKEA make low-quality furniture?.Available: http://www.helium.com/items/129109-does-ikea-make-low-quality-furniture. Last accessed 10 April 2012.

7. Lauren M. Jacobson. (n.d). IKEA Case Study. Available: http://laurenmjacobson.wordpress.com/case-studies/ikea-case-study/. Last accessed 10 April 2012.

8. Marina Strauss. (2010). How IKEA Seduces Us. Available: http://www.theglobeandmail.com/report-on-business/rob-magazine/how-ikea-seduces-us/article1577517/page4/. Last accessed 10 April 2012.

9. Thomas Bergmark. (2002). The IKEA Way On Purchasing Home Furnishing Product. Available: http://www.bwint.org/pdfs/iwayma.pdf. Last accessed 10 April 2012.

10. USC. (n.d). Performance Management Planning. Available: http://www.usc.edu/dept/source/performance.htm. Last accessed 10 April

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