Question

From the book "The Goal" name examples of the Ten Strategic Operations Management Decisions.

Answer 1

The 10 Strategic Operations Management Decisions are as follows

• design of Goods and service: This includes the way to implement consistency in cost, quality and human resources across all business divisions. It involves the decision about what goods and service we should offer and how should we design these product and service. The product design usually determines the lower limit of the cost and upper limit of the quality and major implication of sustainability and resources are needed
• Managing quality: Be clear on the customer needs and then meet those expectations. Use market research in order to determine the customer expectation and batch quality assurance testing on product and service during production. Establish the procedures and policies in order achieve the quality.
• Process and capacity design: It is designing the strategies which supports the all production goals including resources and technology. It determines how a product or service is produced and commits the management to specific resources, technology, quality and capital investment which determines the companies basis cost structure.
• Location selection: it needs the judgement regarding the nearness to the customer, suppliers while taking care of the cost,logistics, infrastructure and government. This strategy also considers the role of marketing and public relation in the location choice,
• Layout Design and Strategy: It needs integration of capacity needs, personnel levels, inventory needs, technology in order to determine the efficient flow of materials, information and resources. It also considers the placement of desk and workstation.
• Human Resources and Job Design: It determines how to recruit, motivate and retain the employees with required talent and skills. It implements the continuous improvement programs such as regular review, training for the employees and employee satisfaction programs etc.
• Supply Chain Management: It decides how to integrate the supply chain in to company's strategy, including the decision which determines what needs to be purchased, from whom and what condition.
• Inventory management: develop the strategies and plans for inventory control. how to optimize the inventory as customer satisfaction, production schedules and supplier capacity are considered
• Scheduling: determines and develops intermediate - short term schedules which are effectively and efficiently utilized by both facilities and personnel while meeting the customer needs
• Maintenance: It includes maintaining the people and machine. It needs the decisions regarding facility capacities, personnel necessary, production demands in order to maintain the stable and reliable process.