%PDF-1.4 %���� Schedules Competing on speed in design, production and delivery. What are the Ten Decisions of Operations Management? 0 ◆ Key Success Factors (KSFs) - activities or factors that are key/necessary to achieving competitive opportunities ➔ A low-cost strategy does not imply low value or low quality b) Reduces response time to meet customers’ changing product and service requirements. endstream endobj startxref ➔ Within the function, lower-level supporting missions are established for the OM functions. 6) Human resources and job design: People are an integral and expensive part of the total system reliable scheduling and flexible performance competitive businesses → international firms inevitably learn about opportunities for new, products & services → Once a firm understands itself and the environment, next is the SWOT analysis, → SWOT analysis - a method of determining internal strengths and weaknesses, and external opportunities and. IAF716 - Operations Management Chapter 2 - Operations Strategy in a Global Environment September 20, 2018. inventory requirements influence layout. exporting no longer guarantee success or even survival. 1202 0 obj <>stream a satisfactory price. and maintenance. What’s their Significance? ➔ Provide the maximum value as perceived by customer. cost. b) Knowledge of various markets not only helps firms understand where the market is going but also Academia.edu is a platform for academics to share research papers. ➔ Managers don't always know how to respond when operating in a different culture t#�U*��i� � operation management chapter 2 1. Implementation of these 10 decisions is done by identifying key tasks and the staffing needed to achieve them. The activities fit together and operation management chapter 2 1. unneeded personnel to more prosperous location, Successfully achieving a competitive advantage means maximizing all of the possible opportunities that 4 Discuss the important characteristics of the supervisor as team leader. and non) other efficiencies. on human resources and facilities must be determined and controlled. the OM Mission → maximize opportunities and minimize threats in the environment while maximizing the advantages of the. Due to the advances in technology these barriers are 1170 0 obj <>/Filter/FlateDecode/ID[<4D588671240CAE8517301064A52E47E5><0D2DC3BE7D1A6145A4D89FD5F593C93F>]/Index[1152 51]/Info 1151 0 R/Length 90/Prev 956257/Root 1153 0 R/Size 1203/Type/XRef/W[1 2 1]>>stream Having a mission and strategy is essential for an effective operations management -- to know where it is going and The concept of health care production, distinct from operations, is also explored. b) Exposure to other ideas and other process may help/assist or improve current processes helps diversify customer base, add production flexibility, and smooth the business cycle. the firm’s critical success factors and core competencies L�@�����:@�X\#@l%�%$Y\\\@2 ��Q��P �"n0��0l �GCZZ���� v.$K�hA��:�@���&P�E��� f/���7.c�̕á��ʺ�����Ò�6؊�>șق}c=G�G�{��\����oc�b?¾�������E-�E*�SV+�ض�7x����q����'����i��IYf���o�.��q/��4'�lӜ.�'X{+"��اH���d�渹{��������$ڿn���q=��w��xqVο9��د]�f�Щ>�p}A�4Ӄ[email protected]/]sW?6ʾ����'�p ����܌��e����%/K�o�����l53P(qB��u�c��8�k'���?�_�����u�� ����F�`��[+��k,�'�G+�+;�E��"h��mw#�`�`�����v�� ���S1S�G7n�2�͝���ʷ��n��h�}��� �O�ٿn��rtC��M���䁊o����:�������|��:ه@�\�u��z���3u-7U�dK�DT{���� ���!�c;A�ϓ}�fߏl�π���&gr܃���{��:EuS��%�0H3�ϖ��������P0v0tttp�I� U� �9:$�j�FA�0��DG��hP66K� The growth of world trade, global capital markets, and the international movement of people increasin⇒ g, economic integration and interdependence of countries -- GLOBALIZATION. iv) European Union - reduced trade barriers b/w participating european nations via their costs must be determined. e) Trade Agreements (WTO | NAFTA) I. I I I I I I I I I I. I. Operation Decisions - the strategic decisions of OM are goods and service design, quality, process and capacity strategy development process. ➔ Objective: to find KSFs and core competencies that provide competitive advantage and support a b) Resources = expertise, labour, or raw material ➔ Idea is to create customer value in an efficient and sustainable way. STUDY GUIDE FOR . and systems must be established to maintain that reliability and stability. international operations can offer. a) Local presence in foreign countries improves understanding of cultural differences allows ⇒ d) Allocating low-skilled jobs to another country - (1) reduces cost and (2) lower cost location frees 6) Attract and Retain Global Talent ➔ Core Competencies (CCs) - a set of (unique) skills, talents, activities, and capabilities in which a firm is 1.3.2 Production / Operation System Figure 1.3 – Production / Operation System Operations Management Operation system is either manufacturing sector or service sector . THE GLOBAL ENVIRONMENT AND OPERATIONS STRATEGY CJVM21 2. I. particularly strong or does at a world-class standard 7) Supply-chain management: These decisions determine what is to be made and what is ➔ Functional area = major disciplines required by the firm. ➔ 10 OM Decisions = excellent initial checklist for determining and identifying KSFs and CCs within the ➔ Mission has been defined each functional area withi⇒ n the firm determines its supporting mission This chapter provides an overview of some of the significant health policies that affect patient operations, including the Affordable Care Act. b) Less stringent government regulation on a wide variety of operation practices = less costs international organization that promotes world trade by lowering barriers to the free flow 3) Quickness. �ߦG��< �S��gϟ��ͺ�Q�p:f�w����pYU�������p�]����lr!ZfZ��Ou9o�͚J*~f�석���6�p��Z������j+.��û��m�^U������z�|�:���JQ�tPԁ��vԡ:.��N����j�\�΁z�v�:�(�t�NYM�u�QoQ��¥��~�:H�^ݼjJ�\�U=��)�k�7S�f�����+����V�S)Ó� TÉ��� ��6��p�.���r/U%HU��% �4Ԧi�O�] 1��p� ��U ��*�P���l�8p�>���}��*��s�,�zI!�@��I improved products and facilities @ the home location 1) Reduce Costs innovations and volumes fluctuate substantially 3) Response - more responsive ➔ The operations manager's job is to: (1)implement an OM strategy, (2) provide competitive advantage, and, Chapter 2 - Operations Strategy in a Global Environment, Copyright © 2020 StudeerSnel B.V., Keizersgracht 424, 1016 GC Amsterdam, KVK: 56829787, BTW: NL852321363B01, Share your documents to get free Premium access, Upgrade to Premium to read the full document, Lecture notes, Operations Management, Chapter 1, 2, 4, 6, 7, 9 - 10, 12, 15, 17 - Prof. Wally Whistance- Smith, Lecture notes, Operations Management, Materials Requirement Planning and Enterprise Resource Planning, Prof. Wally Whistance- Smith, Lecture notes, Operations Management, Chapters 1,2,4,6 - Prof. Kirk Bailey, Summary Operations Management in the Supply Chain - Roger Schroeder, M. Johnny Rungtusanatham, Susan Goldstein, operations management test bank final exam. ➔ What the firm’s contribution to society, their purpose established to identify and achieve that quality. a) Firms serve themselves and their customers well when they remain open to the free flow of ideas. 6 REASONS FOR TURNING INTO INTERNATIONAL OPERATIONS 1. ◆ Involves examining each of the 10 OM Decisions in a relentless effort to drive down 82 Production and Operations Management—An Overview . to be purchased. 6 reasons why domestic business operations decide to change to some form of international operation: I I PRODUCTION & OPERATIONS . But there are still cultural and ethical issues that remains with international operations -- reconciling differences in Chapter 1 Operations Management : I : List the inputs and outputs of the Qperation's conversion process Conversion process is the process of changing inputs of labor, capital, land, and : management into outputs ofgoods and services. 2) Improve the Supply Chain ◆ services can manifest themselves through convenience (locations of branches/stores), sufficient enough alone for competitive advantage c) Opportunities to cut the costs of taxes and tariffs encourages foreign operations GLOBALIZATION - means customers, talent, and suppliers are worldwide -contributes efficiency and adds value to the products and services. Does not imply low quality I standardization and a common currency, the euro, but also has regulations that must be Globalization = domestic production and exporting may no longer be viable business model = local production and Any one or combination of �yoÓ)�mp�܁��ս��I9 These expenses and capital commitments determine much of the firm’s to customize products and services to meet the unique cultural needs in foreign markets PHI 4. Culture, religious, ethnic, and political