Question

Identify and define any FOUR (4) strategic operations management decision areas that IKEA has relied on to innovate its operations. State the objective of each of the four decision areas identified, and for each decision area identified provide two examples of activities used by IKEA to achieve the objective.

Answer 1

OBJECTIVE	AREAS OFSTRATEGIC OPERATION MANAGEMENT DECISION	EXAMPLE 1	EXAMPLE 2
To improve the shopping experience for a wide range of clients.	Structuring the stores to encourage the smooth progression of clients.	The Exit zone has administration focuses, and a stacking zone that permits clients to bring their vehicles from the vehicle park and burden their buy.	Unmistakably set apart in-store alternate routes permitting those clients who simply need to visit one territory to abstain from experiencing all the former regions.
High caliber and advance sourcing cost.	IKEA depends on close association with its providers to accomplish both progressing gracefully effectiveness and new item advancement.	IKEA has sourcing experts who visit the provider manufacturing plants to evaluate quality and grow new items.	IKEA gets criticism from the clients to fuse changes in the item in brief time frame.
To reduce production and transport cost.	The idea of selling furniture as self-assembly flat packs.	The leaflets containing the Do it Yourself (DIY) gathering of furnishings.	Online recordings of the get together procedure are accessible item code savvy on their site.
To lessen the expense of retailing	The idea of 'showroom-distribution center' , which expected clients to get the furniture themselves from the stockroom.	A new distribution center framework to stop well known product offerings running out during the day.	All furniture conveys a ticket with code number which shows its area in the distribution center.