Advanced Operations Mgmt - S2The strategic role &objectives of operations

Implementer

Supporter

Driver

Implementing

be dependable

operationalise strategy

explain practicalities

Supporting

be appropriate

understand strategy

contribute to decisions

Driving

be innovative

provide foundation of strategy

develop long-term capabilities

4 stage model

internally neutral

externally neutral

internally supportive

externally supportive

Quality

Being right

error-free processes

error-free products & services

Meanings

specification of a product or service

conformance with which the product or service is produced

Eg

Hospital

appropriate treatment

consult & keep patients informed

courteous, friendly & helpful staff

Bus Company

buses

clean & tidy buses

quiet & fume-free

accurate & user friendly timetable

courteous, friendly & helpful staff

Automobile plant

all assembly to spec

reliable product

parts made to spec

Supermarket

clean & tidy store

appropriate & attractive decor

good condition goods

courteous, friendly & helpful staff

Benefits

Externally

enhance product / svc in the market

avoids customer complaints

Internally

prevents errors slowing down throughput speed

prevents errors causing internal unreliability & low dependability

prevents errors causing wasted time & effort, therefore saving cost

Speed

Being fast

Fast throughput

quick delivery

Eg

Hospital

treatment time

test results (X-rays, etc)

Bus company

journey time

Automobile plant

delivery leadtime to dealers

minimize time to deliver spares to svc ctrs

Supermarket

total transaction time

immediate availability of goods

Interpretations

Externally

short delivery lead-time

Internally

maintain dependability

reduces need to manage transformed resources as they pass through operations -> save costs

Dependability

Being on time

reliable operation

dependable delivery

Eg.

Hospital

minimize cancellation of appts

keeping appt times

test results, X-rays, etc as promised

Bus Company

keep to published timetable

constant availability of seats

Automobile plant

on-time delivery of vehicles to dealers

on-time delivery of spares to svc ctrs

Supermarket

predictability of opening hrs

minimised out of stock goods

reasonable queuing times

parking availability

Benefits

Externally

enhance product / svc in the market

avoids customer complaints

Internally

prevents late delivery slowing down hroughput speed

prevents lateness casing disruption & wasted time & effort . ie save costs

Flexibility

Being able to change

ability to change

product / svc flexibility

mix flexibility

volume flexibility

delivery flexibility

frequent new products,maximun choice

Eg.

Hospital

treatments

introduce new

wide range

adjust no. of patients treated

ability to reschedule appts

Bus company

introduce new routes & excursions

serve large no. of locations

ability to adjust frequency of svc

ability to reschedule trips

Automobile plant

introduce new models

wide range of goods stocked

ability to adjust no. of vehicles manufactured

ability to reschedule manufacturing priorities

Supermarket

introduce new goods

wide range of goods stocked

ability to adjust no. of customers served

ability to get out of stock items

benefits

short delivery lead-time

speed

on spec products & svcs

quality

reliable delivery

dependability

Cost

Being productive

minimum cost, maximum value

high margin

minimum price, highest value

Eg.

HospitalsBus companyAutomobile plantSupermarket

bought in materials & svcs

technology & facilities costs

staff costs

influenced by

4 Vs

Volume

Variety

Variation

Visibility

Internalperformanceof operation

Quality

on spec products & svcs

Speed

short delivery lead-time

Dependability

reliable delivery

Flexibility

frenquent new products / svcs

wide range

vol & delivery changes

Suppliers

Shareholders

Employees

Customers

Society

Stagepoint

technical svcs - Production svcs

taxi svc - bus svc

required & actual police performance

Newspaper Collection (NC) - General Recyling (GR) svcs

Subtopic