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Chapter 2 Operations Strategy in a Global Environment

Gustavo Herrera Inglês

Chapter 2 Operations Strategy in a Global Environment

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Chapter 2 Operations Strategy in a Global Environment

  1. Reasons for global operations

    • Improve the supply chain
      • Locate in countries with: -Low cost labor -Raw material.
    • Reduce costs
      • -Less stringent goverment regulations. -Cut taxes and tariffs. Thanks of Free Trade agreements.
    • Improve operations
      • Learn from better understanding of differences in the business is handle in different countries. Reduce response time to meet customers changing product and service requirements.
    • Undestarnd markets
      • .-Diversity of their customer base. -Expand the life cycle
    • Improve products
    • Attract and retain global talent
  2. Competing on differentitation

    • Distinguishing as adding value.
      • Broad product line
    • Experience economy
    • Providing uniqueness beyond
      • Physical
        • Innovative design
      • Service
        • After sales service
  3. Competing on cost

    • Use of financial sources effective
    • Cost advantages
      • Low overhead
      • Effective capacity use
        • Southwest airlines
      • Inventory managment
        • Walmart distribution
    • Low cost leadership
      • Achieving maximum value as perceived by the customer
  4. Competing on response

    • Flexible
      • match changes in markertplace
        • HP
    • Reliable
      • scheduling
        • FedEx
    • Quick
      • Pizza Hut 5 minutes
  5. Product life cycle

  6. Key Succes factors

    • of 1 Activities that are necessary for a firm to achieve its goals.
  7. Core competencies

    • Skills
    • Talents
      • World class standard
    • Capabilities
  8. Factor-rating analysis (outsourcing)

    • Increased techological expertise
    • More reliable and cheaper transportation
    • Rapid development and deployment of advancements in TELECOM

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  • Chapter 2 Operations Strategy in a Global Environment

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Gustavo Herrera
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