Smu Assigment 0044
Master of Business Administration – MBA Semester 2
(Winter/November 2012)
MB 0044 - Production and Operation Management (4 credits)
(Book ID: B1627) ASSIGNMENT- Set 1
|Solutions |
Q1. Explain the basic competitive priorities considered while formulating operations strategy by a firm?
Answer:- Operation strategy reflects the long – term goals of an organisation in its corporate strategy. To active good results, a clear understanding of the operating advantages and a good cross functional coordination between functional areas of marketing, operating advantages, finance, and human resources departments are required. Operating advantages depend on its process and competitive priorities considered while establishing the capabilities. The basic competitive are:
• Cost • Quality • Time • Flexibility
1: Cost:- Cost is one of the primary considerations while marketing a product or a service. Being a low cost producer, the product accepted by the consumer offer sustainability and can outperform competitors. Lower price and better quality of a product will ensure higher demand and higher profitability. To estimate the actual cost of production, the operations manager must address labour, materials, scrap generations, overhead, and other initial cost of design and development, etc.
2: Quality:- Quality is defined by the customer. The operations manager looks into two important aspects namely high performance design and consistent quality. High performance design includes superior features, greater durability, convenience to service, etc where as consistent design measures the frequency with which the product
(Winter/November 2012)
MB 0044 - Production and Operation Management (4 credits)
(Book ID: B1627) ASSIGNMENT- Set 1
|Solutions |
Q1. Explain the basic competitive priorities considered while formulating operations strategy by a firm?
Answer:- Operation strategy reflects the long – term goals of an organisation in its corporate strategy. To active good results, a clear understanding of the operating advantages and a good cross functional coordination between functional areas of marketing, operating advantages, finance, and human resources departments are required. Operating advantages depend on its process and competitive priorities considered while establishing the capabilities. The basic competitive are:
• Cost • Quality • Time • Flexibility
1: Cost:- Cost is one of the primary considerations while marketing a product or a service. Being a low cost producer, the product accepted by the consumer offer sustainability and can outperform competitors. Lower price and better quality of a product will ensure higher demand and higher profitability. To estimate the actual cost of production, the operations manager must address labour, materials, scrap generations, overhead, and other initial cost of design and development, etc.
2: Quality:- Quality is defined by the customer. The operations manager looks into two important aspects namely high performance design and consistent quality. High performance design includes superior features, greater durability, convenience to service, etc where as consistent design measures the frequency with which the product