...CEO Jose Castellano, is its reliance on communication, and the way it uses existing technology to take control of almost every aspect of design, production and distribution. • “This ‘fast fashion’ system depends on a constant exchange of information throughout every part of Zara's supply chain—from customers to store managers, from store managers to market specialists and designers, from designers to production staff, from buyers to subcontractors, from warehouse managers to distributors, and so on.” • Zara has made enormous efforts to ensure that operational procedures, performance measures, and even store and office layouts are designed to make information transfer easy. one of core activities for Zara to leverage its ‘fast fashion’ system. • It can therefore be concluded that information management is I.3 Any thoughts about the company? 135 IKÉA Purchasing Ikea Trading Ikea Prodcut Lines Sweden Distribution D/service D/center Sales Region, country, stores The four basic functions of the IKEA Group IKEA Automated Warehouse 1(240p_H.263-MP3).flv IKEA Automated Warehouse 2(360p_H.264-AAC).flv 136 IKEA Trading • 46 Purchasing Bureau, In 32 countries • 1 300 Suppliers in 53 countries • 9 500 manufactured products (a catalogue of 5000 products) • Purchasing policies: • Low cost country • Take a dominant part in the choice of technologies used by supplier • Final product are designed in coordination with the customers • IKEA...
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...Strategy OPM 1 Term 2, B2014-16, Oct-Dec 2014 Session 02 Operations Strategy Prof. Kedar P. Joshi MISSION & STRATEGY OPM 1 Term 2, B2014-16, Oct-Dec 2014 Session 02 Operations Strategy Prof. Kedar P. Joshi 2 Developing Missions and Strategies Mission statements tell an organization where it is going The Strategy tells the organization how to get there OPM 1 Term 2, B2014-16, Oct-Dec 2014 Session 02 Operations Strategy Prof. Kedar P. Joshi Mission Mission - where are you going? Organization’s purpose for being Answers ‘What do we provide society?’ Provides boundaries and focus OPM 1 Term 2, B2014-16, Oct-Dec 2014 Session 02 Operations Strategy Prof. Kedar P. Joshi Strategic Process Organization’s Mission Functional Area Missions Marketing OPM 1 Term 2, B2014-16, Oct-Dec 2014 Operations Session 02 Operations Strategy Finance/ Accounting Prof. Kedar P. Joshi Sample Missions Sample Company Mission To manufacture and service an innovative, growing, and profitable worldwide microwave communications business that exceeds our customers’ expectations. Sample Operations Management Mission To produce products consistent with the company’s mission as the worldwide low-cost manufacturer. OPM 1 Term 2, B2014-16, Oct-Dec 2014 Session 02 Operations Strategy Prof. Kedar P. Joshi Sample Missions Sample OM Department Missions Inventory To achieve low investment in inventory...
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...Discuss the different approaches to strategy, and how they differ from one another Identify the strategy process and describe the purpose of each step Explain the concepts of strategic thinking and analysis Describe the various levels of strategy and the links between them Explain the drivers, challenges and benefits of globalisation Discuss the role of the accountant in the strategy process PRACTICE • • • Have you completed the questions in the Study Guide? Have you completed the Learning Examples in the Student Notes? Have you completed the knowledge check questions from this module? Key revision areas: • The different approaches to strategy: rational, processual, evolutionary, systemic • The levels of corporate strategy and the scope/content of each • The drivers, challenges and benefits of globalisation • Evolution of corporate strategy as a concept – Porter, Mintzberg • Operational effectiveness v. strategic positioning • Developing the strategy – see Focus slide • Ethics in leadership: classical and socioeconomic views Strategy and leadership Approaches to strategy Strategy process • Rational – Ansoff, Chandler, Porter’s five forces • Processual – emergent strategies • Others – evolutionary, systemic • External environment – PESTEL (opportunities; threats) • Internal environment – strategic and operational drivers, people/organisational drivers (strengths; weaknesses) • Evaluating and selecting...
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...company leading the business locally to a global company in the market was done. The company strategy is a practical model of trade-offs which helped them to focus back on their core business, decentralization structure was inherited in Bunge from the days it was privately run that had shown benefits for Bunge in the markets where they exits while in the later stage of transformation challenges raised after the acquisition of ‘Cereol’ that gave Bunge more balance globally helping it becoming a global company working on the goal of becoming the best agribusiness and food company in world. Product development had a big role in Bunge giving total agribusiness solutions for the farmers as well as customers by having fertilizer division. The analysis demonstrates the importance of trade-offs, innovation, product development, line of fit and Information Technology systems in the operations strategy, while showing decentralization structure and effect of it on global companies. Introduction Bunge limited is a successful example for transformation of companies to globalization as Bunge CEO Weisser goal to become the best company in the world in agribusiness and food. Performance objectives indicating market requirements from quality, speed, dependability, flexibility and cost for companies to position themselves in the market while decisions areas for operations strategy as capacity, supply network, process technology, and development and organization for companies to set their operation...
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...Technology & Information Management Individual Assignment Technology & Information Management Individual Assignment Introduction Furntown is in the business of furniture manufacturing and sales. The organisation is currently considering implementing a mobile application for customers. With this new software application problem comes the question on whether to build or buy. The acquisition decision is a difficult one due to many competing interests and the different factors that affect the decision. This report aims to highlight the differences between the build and buy decision by providing an outline of the advantages and disadvantages which are inherent of each and finally deliver a recommendation for the course of action that will be best for Furntown. The organization choosing the build or buy criteria would make such a choice depending on the size of the business, the complexity of its structure, the demands of its service and how its rendered. Applications differ in use according to how they are built to suit the organizations catered for. Small organizations usually use standardized commercially built software as they work efficiently for their model whereas bigger and more developed ones need specific software uniquely made for them to cater for the complex and more demanding models they serve. A budget of any organization also forms a fundamental basis from which this choice can be made. Buying an Application from commercial vendors is more cost effective...
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...Human Resource Planning Definition * HRP is the process for identifying an organizations current and future human resource requirements, developing and implementing plans to meet these requirements, and monitoring their overall effectiveness. * HRP is putting right number of people with right skills at right place at right time to implement organizational strategies in order to achieve organizational objectives. * Planning is critical to strategy because it identifies gaps in capabilities which would prevent successful implementation Perspective of Human Resource Planning * MACRO HRP * Assessing & forecasting demand for & availability of skills at national / global level * Predict the kinds of skills that will be required in future & compare these with what is / will be available in the country * MICRO HRP * Process of forecasting demand for & supply of HR for specific organization * HRP Process - Determination of Quantity of Personnel Organisational Objectives HR Programming HR Needs Forecast HR Supply Forecast HRP Implementation Control & Evaluation Surplus - Restricted Hiring, Lay Off, VRS, Reduced Hours Shortage - Recruitment & Selection * Organizational Objectives & Policies involves: * Downsizing / Expansion * Acquisition / Merger / Sell-out * Technology upgrade/ Automation * New Markets & New Products * External Vs Internal hiring * Training...
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...Victoria University Strategic Use of ERP Systems KHALED EL HAKIM Paul Hawking BCO6615 5-04-2014 INTRODUCTION Enterprise Resource Planning (ERP) system involves the use of multiple software modules that are transaction based to help an organization manage its business operations. It integrates organization's processes into a single solution through the centralization of a database of all the functional areas of the business. This system is now applicable not only to the enterprise-sized companies, but also smaller growing businesses and mid-sized established organizations. Most companies have customized systems to fit their desired business goals. ERP remains one of the most preferred solutions for most organizations; however, other alternative systems like SAP are also available with unique features and qualities. Organizations spend a lot on extensive research to improve these systems in an effort to achieve their desired goals (Su, Y-fen & Yang, 2010, 76). However, less has been undertaken to improve ERP to achieve competitive dominance in the market. This essay examines the possible, the possible ways by which a company can effectively use ERP to achieve dominance in the competitive market. The paper also highlights some of the case studies of companies that have proven the capability of ERP to achieve competitive differentiation on situations of similar business processes and availability of alternative technologies. Customization Several studies carried...
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...term 'Strategic Management Process' refers to the steps by which management converts a firm's mission, objectives and goals into a workable strategy. In a dynamic environment each firm needs to tailor its strategic management process in ways that best suit its own capabilities and situational requirements. Viewed broadly, the strategic management process has two parts: an information process and a decision process. The information process involves collecting and analysing information about the external and internal environments. External factors are taken into account to find major opportunities and threats that now or will confront the organisation. To survive and grow, every organisation, invariably, must find how the situational factors have affected its past and current performance. This must be followed by an internal analysis to determine the organisation's strategic direction. Strategists carry out internal analysis to have a 'feel' of where their organisation has been and where it now is, particularly with regard to internal strengths and weaknesses. Information about the organisation's strengths and weaknesses, when combined with information about external opportunities and threats, offers a stronger foundation for informed decisions about strategic direction. The decision process covers four important steps: development of alternatives, choice, implementation and assessment. Based on the external and internal analysis, strategists first identify possible strategic alternatives...
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...Name: Noor Atifah Binti A Wahid Matric number: 2013498534 Group: KBM244 5A The strategic Fit of supply chain integration in the TFT-LCD industry D.Y. Sha, P.K. Chen and Yung-Hsin Chen Volume 13 · Number 5 · 2008 · 339–342 the aims of this study to know in term of cost, quality, delivery and flexibility whether it can satisfy the firm with relationships between complex co-operation, manufacturers, suppliers, and also distributors and to know whether breaking the cost of constraints, can TFT-LCD support the manufacturers and what a types strategies of supply chain integration that can support it. For innovative electronic technologies and prosperous business perspective it will create a great opportunity when TFT-LCD (thin film transistor-liquid crystal display) was come out. Manufacturers, suppliers, and set plants/distributors have relationships that will have constraint of cost and complex co-operation, so that manufacturers of TFT-LCD need struggle to control the price, quality, time of delivery, and flexibility of production. Taiwan TFT-LCD manufacturers was successful in term of cost of constraints and relationship between complex cooperation and their partners to strategic coordination and integration. It was reported in executive of interviews series. The upstream is manufacturing of TFT-LCD supply chain component of features suppliers, midstream refers to manufactures and downstream refers to set plants/distributors in the industry structure was pointed out Venables...
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...selection of products. Further, the company would need to determine what would be the various levels of support it would provide to its customers. For example, would the company take its equipment directly to the consumers for demonstrations and lessons on how to gain the optimal results with the equipment? All of these types of decisions would be the result of the organization developing a strategy for how it will conduct its business. All of this translates into Strategic Management with the intended result of gaining a competitive advantage in a business niche. Very simply, developing a Strategic Management Plan means having defined what is the best set of results the organization can attain or what the organization wishes to accomplish (from the Vision and Mission Statements), developing the ways to accomplish these results (Strategies), and measurable factors (Goals and Objectives). All of this is in context of good business practices (ethics) and making good business decisions. A vibrant organization knows that Strategic Management requires: * Planning by completing the...
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...Strategic Alliance Abstract Organizations are facing exciting and dynamic challenges in the 21st century. In the globalized business, companies require strategic thinking and only by evolving good corporate strategies can they become strategically competitive. A sustained or sustainable competitive advantage occurs when firm implements a value – creating strategy of which other companies are unable to duplicate the benefits or find it too costly to initiate. Corporate strategy includes the commitments, decisions and actions required for a firm to achieve strategic competitiveness and earn above average returns. The goals of corporate strategy are challenging not only for large firms like Microsoft but also for small local computer retail outlets or even dry cleaners. I hope to offer a concise description of strategic alliances as well as a picture of who is participating in them and why. The states of affairs that encouraged this “rising era of collaboration” will be reviewed and the necessary steps in formulating alliances. Examples of companies that are or were involved in strategic alliances will be discussed, others of which were thriving and the others of which they were not. This paper is not intended to serve as a comprehensive study of strategic alliances. Introduction Corporate alliances, which are now called “strategic”, are in fact not new. Westinghouse Electric and Mitsubishi were allied for seventy years. The alliance between Ford and Mazda dates...
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...Strategic MT Study Sheets Chapter 1 A strategy consists of competitive moves and business approaches used by managers to run the company. It is their action plan to grow the business, attract and please customers, compete successfully, conduct operations and to achieve target levels of organizational performance. It needs to appeal to customers and to help the company carve out its own market position. It uses efficiency and effectiveness to guide a company using as few resources as possible. It deals with initiatives. Strategic management is setting a company’s strategy to differentiate itself within the industry and developing a competitive advantage, as well as altering it as needed. A company achieves a sustainable competitive advantage when an attractive number of buyers prefer its products/services over those of rivals and when the basis for this preference can be maintained over time. Four ways to attain that strategic advantage: low-cost provider, product differentiation, focusing on a narrow market niche/distinctive competency, develop specialties that are hard to duplicate. Three strategic questions: 1) What is the company’s present situation? Use SWOT and “where are we now?” 2) Where does the company go from here? What is its direction? 3) How will we get there? This is the strategy. Strategies evolve because of shifting market conditions, technological breakthroughs, competitors’ moves, evolving customer preferences, emerging market opportunities...
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...HR Management Chapter 1: Changing Nature of HR Management HR Management: policies, practices and systems that influence an employee’s behavior, attitude, and performance in the attainment of organizational goals HR Activities Strategic HR Management: linking HR function with strategic objectives of the organization in order to improve performance. • Measure HR effectiveness • HR metrics • HR technology (HRMSs) • HR planning Equal Employment Opportunity Compliance with laws Diversity of multicultural and global workforce Employment equity legislation Staffing Job analysis Job description/job specification Selection process Talent Management and Development Orientation Training Career Planning Performance Management Total Rewards Compensation (pay, incentives, benefits) Variable pay programs Health Safety, Security EAPs (Employee Assistance Programs) Health promotion Workplace Security Employee and Labour Relations Employee rights Policies and Procedures Union/Management relations Every manager in an organization does HR functions. Small company: less than 100 employees - shortages of qualified workers, increasing costs, increased wage pressures, increasing competition Medium sized companies: 100 to 500 employees HR Managers work with Operating Managers Management of Human Capital Physical Financial Intangibile Human Human capital/Intellectual capital: collective value of the capabilities...
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...MODULE 2 FINAL PROJECT BUNGE LIMITED – COMPANY’S GOAL AND STRATEGY ADOPTED TO ACHIEVE IT. INTRODUCTION A strategic approach in establishing a competitive advantage and sustainable market dominance is always the target of most businesses. Chopra & Meindl (2007, pp.37) stated that: “A company’s competitive strategy defines, relative to its competitors, the set of customer needs that it seeks to satisfy through its products and services”. Bunge has been in existence for nearly two (2) centuries, remained competitive and has grown their businesses from a private enterprise found by a German merchant, Johann Peter Bunge, to a world class firm that is quoted in New York Stock Exchange (NYSE). On its inception at Amsterdam, the firm was involved in grains merchandising and importation from the then Dutch colonies until 1859 when it relocated to Antwerp to become one of the global recognised company in commodity trading; with several operations and businesses in the North and South Americas with distribution capabilities that is spread across the world, Bunge identified facilities as a key driver of supply chain performance as it affects responsiveness and efficiency in market environment (Chopra & Meindl, pp. 64). As the company positioned to become the largest oilseed-processing firm in the globe through acquisition of Cereol in July, 2002; it was faced with the integration of Cereol into Bunge’s business and organizational model, and the dilemma of decentralization of its...
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...in Xerox’s benefits and let to Best Practice Benchmarking (Bendell et al., 1993). Table: Advantages and disadvantages of benchmarking ADVANTAGES | DISADVANTAGES | Powerful Competitive Analysis Tool | Copycat syndrome | Objective stretch goal setting & performance measurement | High rate of failure | Flexibility | What works well in one organization might not work in another | Removal of blind spots | Benchmarking is resource intensive | Improves cost efficiencies & quality | No firm does everything the best | Not reinventing the wheel but redesigning it | Low-performing firms have a disadvantage | Media recognition | Some high-performing companies may not be willing to share information | Requirement for other certifications | Process for applying the technique | Creates an innovative culture open to new ideas | | Table: Example of a Benchmark Evaluation Performance Data | | | | Avg. # of daily packages delivered to correct destination | 300 | 200 | 100 | # of packages arriving late...
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