Operation Management
operation management
• Executive Summary Operation management is defined as the design, operation, and improvement of the systems that create and deliver the firm’s primary products and services. Somerset furniture company’s global supply chain was getting lose its competitive edge and even faced shipments delayed by as much as 40%. The company prides itself on customer service and fears that late deliveries to its customers would harm its credibility and result in lost customers and excessive inventories. Somerset set up new strategy and tactics to meet the goals and improve the global supply chain. First, Somerset found out where the problems are and focused on its core competences that improve productivities and reduce inefficiency to win in the global market. Somerset furniture company (SFC) considered Quality and Time as its core competences. Second, SFC planned to implement and strengthen its core competences. SFC adopted EDI, RFID and RTA (ready to assembly) to acquire more competitiveness on time by reducing time, improving the delivery of economic value to customers. SFC accepted TQM including Lean production, Six Sigma and ISO 9000 to get a competing on quality for maintaining or improving the quality of an organization’s products and services. Keys to success in operation strategy lie in identifying what the priority choices are, understanding the consequences of each choice, and navigating the ensuring trade-offs .(Chase et al., 2006) Finally, SFC would resolve the problems one by one and achieve its improvement in the whole supply chains.
Table of Content
Introduction………………………………………………………..4~6
Body……………………………………………………………..…6~15 * Competing on Time………………………………………....6~9 * Competing on Quality………………………………………9~13 * Competing on Cost……………………………………….13~14 * Competing on Flexibility………………………………….14~15
Conclusion…………………………………………………..….…15
Reference…..………………………………………………..….…16
• Introduction
Strategic and tactical view point
• Executive Summary Operation management is defined as the design, operation, and improvement of the systems that create and deliver the firm’s primary products and services. Somerset furniture company’s global supply chain was getting lose its competitive edge and even faced shipments delayed by as much as 40%. The company prides itself on customer service and fears that late deliveries to its customers would harm its credibility and result in lost customers and excessive inventories. Somerset set up new strategy and tactics to meet the goals and improve the global supply chain. First, Somerset found out where the problems are and focused on its core competences that improve productivities and reduce inefficiency to win in the global market. Somerset furniture company (SFC) considered Quality and Time as its core competences. Second, SFC planned to implement and strengthen its core competences. SFC adopted EDI, RFID and RTA (ready to assembly) to acquire more competitiveness on time by reducing time, improving the delivery of economic value to customers. SFC accepted TQM including Lean production, Six Sigma and ISO 9000 to get a competing on quality for maintaining or improving the quality of an organization’s products and services. Keys to success in operation strategy lie in identifying what the priority choices are, understanding the consequences of each choice, and navigating the ensuring trade-offs .(Chase et al., 2006) Finally, SFC would resolve the problems one by one and achieve its improvement in the whole supply chains.
Table of Content
Introduction………………………………………………………..4~6
Body……………………………………………………………..…6~15 * Competing on Time………………………………………....6~9 * Competing on Quality………………………………………9~13 * Competing on Cost……………………………………….13~14 * Competing on Flexibility………………………………….14~15
Conclusion…………………………………………………..….…15
Reference…..………………………………………………..….…16
• Introduction
Strategic and tactical view point