Hill Framework For Operations Strategy 
Hill framework for Operations Strategy Formulation
Hill (2005) provides an iterative framework that links together the corporate objectives; which provide the organizational direction, the marketing strategy; which defines how the organization will compete in its chosen markets, and the operations strategy; which provides capability to compete in those markets.
The framework consists of five steps:
1. Define corporate objectives
2. Determine marketing strategies to meet these objectives
3. Assess how different products win orders against competitors
4. Establish the most appropriate mode to deliver these sets of products
5. Provide the infrastructure required to support operations
Step 1 Corporate Objectives
Step 1 involves establishing corporate objectives that provide a direction for the organization and performance indicators that allow progress in achieving those objectives to be measured. The objectives will be dependent on the needs of external and internal stakeholders and so will include financial measures such as profit and growth rates as well as employee practices such as skills development and appropriate environmental policies.
Step 2 Marketing Strategy
This involves identifying target markets and how to compete in these markets.
Step 3 How Do Products Win Orders in the Market Place?
This is the crucial stage in Hill’s methodology where any mismatches between the requirements of the organisation’s strategy and the operations’ capability are revealed. This step provides the link between corporate marketing proposals and the operations processes and infrastructure necessary to support them. This is achieved by translating the marketing strategy into a range of competitive factors (e.g. price, quality, delivery speed) on which the product or service wins orders. These external competitive factors provide the most important indicator as to the relative importance of the internal operations performance objectives. The five basic
Hill (2005) provides an iterative framework that links together the corporate objectives; which provide the organizational direction, the marketing strategy; which defines how the organization will compete in its chosen markets, and the operations strategy; which provides capability to compete in those markets.
The framework consists of five steps:
1. Define corporate objectives
2. Determine marketing strategies to meet these objectives
3. Assess how different products win orders against competitors
4. Establish the most appropriate mode to deliver these sets of products
5. Provide the infrastructure required to support operations
Step 1 Corporate Objectives
Step 1 involves establishing corporate objectives that provide a direction for the organization and performance indicators that allow progress in achieving those objectives to be measured. The objectives will be dependent on the needs of external and internal stakeholders and so will include financial measures such as profit and growth rates as well as employee practices such as skills development and appropriate environmental policies.
Step 2 Marketing Strategy
This involves identifying target markets and how to compete in these markets.
Step 3 How Do Products Win Orders in the Market Place?
This is the crucial stage in Hill’s methodology where any mismatches between the requirements of the organisation’s strategy and the operations’ capability are revealed. This step provides the link between corporate marketing proposals and the operations processes and infrastructure necessary to support them. This is achieved by translating the marketing strategy into a range of competitive factors (e.g. price, quality, delivery speed) on which the product or service wins orders. These external competitive factors provide the most important indicator as to the relative importance of the internal operations performance objectives. The five basic