CHAIN STRATEGY
Chapter 2
Outline
1. Operations Strategy Model
2. Emphasis on Operations Objectives
3. Linking Strategies
4. Operations Competence
5. Global Scope of Operations
Operations Corporate strategy
Strategy Model
(Figure 2.1) Business strategy
Operations Strategy
Internal
Mission Functional strategies in
analysis
marketing, finance,
Distinctive engineering, human
Competence resources, and
information systems
External Objectives
analysis (cost, quality, flexibility, delivery)
Policies
(process, quality systems, capacity,
and inventory)
Results
Distinctive Competence
“Something an organization does
customer.”
Operations Strategic Objectives
• Quality
• Flexibility—schedule or product change
• Delivery
– Time
– Reliability
• Cost efficiency