Sharing information, bigger achievements With globalization and fast-growing technology, there is huge pressure for companies to do well in various competitive priorities. Within the seven competitive priorities, cost, quality, flexibility, delivery, service, information sharing (IS) and environmental friendliness, IS is the most vital one. This is because IS can help to boost other competitive priorities. This essay will examine how IS can assist to improve the first five competitive priorities.
In terms of cost, the cost can always be lowered by IS. To illustrate, nowadays, many companies would like to do demand forecasts. By showing the demand forecasts to suppliers, the suppliers can know the approximate demand, so that less safety stock is required and the chance of overproduction has been significantly reduced. Added to this, by IS, companies can learn how to operate the processes in a cost-effective manner, so the production cost can be minimized.
In terms of quality, there is no doubt that quality can be enhanced via customers’ feedback. For instance, during the design stage of mobile phones, the customers’ preferences and their comments are extremely crucial. The features of mobile phone evolved from the calling functions to numerous functions, such as music, video, recording, and photography. Furthermore, a variety of styles in the design of mobile phones are devised, like large screens or small screens, so as to suit customers’ needs.
In terms of flexibility, IS can help to design the business process so as to provide a wider range of product. For instance, an international company called M&M’s has custom printed M&M’s for different customers. From the website of “MY M&M’S® Custom Printed M&M’s”, customers can know that how many colors they can choose, what can be printed on M&M’s, what kinds of packages can be purchased and the price of purchasing the custom order. Simply by clicking on the website, you can get the information you need.
In terms of delivery, if the shortest route is known and facilities are good enough, the delivery time can easily be shortened. For instance, there is a new shipping route from Asia to Europe, which is the Northeast Passage. The Northeast Passage is one-third of the original passage through Suez Canal. With certain kinds of information, the time of delivery can be shortened.
In terms of service, value-added services can be provided via IS. There are many online book reviews which provide additional information to readers rather than only the titles of the books. This service can help customers to know the content characteristics so that they can identity the products from others. Furthermore, some books will be accompanied with a CD-ROM, with some relevant games or other information provided.
From the aforementioned arguments, it has proven that information sharing can facilitate improvements on various competitive dimensions. IS can help to lower the cost, to enhance the quality, to raise flexibility, to boost delivery and to provide more preferable services. Consequently, we should make every endeavour to do better in information sharing so as to excel others and be more superior to others.
(http://www.mymms.com/utility.aspx?oid=9)
For example, some companies prefer to use third party storage companies to store inventories instead of building and maintaining a warehouse since if the number of inventories is small, then using third party storage companies is more possible to lower the cost.
Delivery
Additionally, there are many third party logistics companies
Shorter route, on time delivery?
Communication between buyer and supplier or and customer?
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木, 刻字. 