...Problem Set: Introduction to Operations Management (IOM OS) IOM1 Differences between Goods and Services [20 pts] Explain differences between goods and services in terms of: * Customer contact for goods is low because a customer buying goods will never come in contact where the goods are being produced. Versus for services its high because the customer is usually present during the formation of the service. * Opportunity to correct problems for goods is high because they may be exchanged or tailored versus for a service low because you can’t reconstruct a service that has already been performed. * Variability of input is low because you can always fix or change the goods being produced and output is high because you can’t change the finished product. * Measurement of productivity for goods is simple because you can count the amount of finished goods and inventory, and for services difficult because you can’t keep track of all the services being given. * Evaluation of employees for goods is easy as you can monitor the outcome but for services it is difficult because you can’t supervise all services performed. IOM2 Customization [10 pts] Discuss the impact of higher customization on complexity of manufacturing or service processes, level of worker skills, and productivity. The impact of higher customization compared to standardized products and services is that it is more labor-intensive, and more time-consuming resulting in a slower workflow. In...
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...Títol: Benetton and Zara information systems:a comparative analysis Volum:I de I Alumne: Chiara Pirone Director/Ponent:Jose M.Cabré Garcia Departament:Organización de Empresas Data: 28 Junio 2010 DADES DEL PROJECTE Títol del Projecte:Benetton and Zara information systems:a comparative analysis Nom de l'estudiant:Chiara Pirone Titulació:Ingenieria superior Informatica Crèdits: 37.5 Director/Ponent:Jose M.Cabré Garcia Departament:Organización de Empresas MEMBRES DEL TRIBUNAL President:Ferran Sabate Carriga Toma de decisiones y gestión de proyectos empresariales(PDGPE) Vocal:Francesc Tiñena Salvañà Compresion de datos e imagen (CDI) Secretari:Jose M. Cabré Garcia Empresa y entorno economico(EEE) QUALIFICACIÓ Qualificació numèrica: Qualificació descriptiva: Data: INDEX CHAPTER 1: INTRODUCTION CHAPTER 2: VERTICAL INTEGRATION 2.1. VERTICAL INTEGRATION 2.2: THE THREE A’S OF A SUPPLY CHAIN EXCELLENCE 2.2.1: AGILITY 2.2.2: ADAPTABILITY 2.2.3: ALIGNMENT 2.3: PORTER’S ANALYSIS 2.4: EXAMPLES: WAL-MART AND DELL CHAPTER 3: THE SYSTEM LOCK-IN 3.1 THE DELTA MODEL 3.2: THE SYSTEM LOCK-IN 3.3: EXAMPLE: FORD MOTOR CO 3.3.1: FORD MOTOR CO LOCK-IN CHAPTER 4 : ZARA 4.1 ZARA’S HISTORY 4.2 BUSINESS MODEL 4.2.1: PORTER’S ANALYSIS ON ZARA 4.2.2 PRODUCT LIFE CYCLE CURVE 7 9 9 13 15 16 17 19 30 36 36 39 41 42 45 45 47 47 49 1 4.2.3: KEY FACTORS OF SUCCESS 4.2.4: STRATEGIC DRAWBACKS 4.2.5: LOGISTICS AND SUPPLY CHAIN 4.2.6: STRATEGY 4.2.7: OPPORTUNITIES 4.3 THE MATHEMATICAL...
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...noopurJournal of Fashion Marketing and Management Emerald Article: Postponement and supply chain structure: cases from the textile and apparel industry Hassan Chaudhry, George Hodge Article information: To cite this document: Hassan Chaudhry, George Hodge, (2012),"Postponement and supply chain structure: cases from the textile and apparel industry", Journal of Fashion Marketing and Management, Vol. 16 Iss: 1 pp. 64 - 80 Permanent link to this document: http://dx.doi.org/10.1108/13612021211203032 Downloaded on: 19-12-2012 References: This document contains references to 19 other documents To copy this document: permissions@emeraldinsight.com This document has been downloaded 704 times since 2012. * Users who downloaded this Article also downloaded: * Hassan Chaudhry, George Hodge, (2012),"Postponement and supply chain structure: cases from the textile and apparel industry", Journal of Fashion Marketing and Management, Vol. 16 Iss: 1 pp. 64 - 80 http://dx.doi.org/10.1108/13612021211203032 Hassan Chaudhry, George Hodge, (2012),"Postponement and supply chain structure: cases from the textile and apparel industry", Journal of Fashion Marketing and Management, Vol. 16 Iss: 1 pp. 64 - 80 http://dx.doi.org/10.1108/13612021211203032 Hassan Chaudhry, George Hodge, (2012),"Postponement and supply chain structure: cases from the textile and apparel industry", Journal of Fashion Marketing and Management, Vol. 16 Iss: 1 pp. 64 - 80 http://dx.doi.org/10.1108/13612021211203032 Access...
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...deliver to the demands of their customers. Zara, an international apparel retailer, based out of Spain, has figured out a way to give their customers the ultimate advantage over competitors by a process called Rapid-Fire Fulfillment. Implementing this process has not only reduced their design to sales cycle in weeks compared to months from their competitors, but “Zara’s sales and net income have continued to grow at an annual rate of over 20%” (Ferdows, Lewis & Machuca, 2004). Why is Rapid-Fire Fulfillment Successful for Zara? Zara has a rather untraditional way of processing their products. In Rapid-Fire Fulfillment, Zara can have strict controls over who handles their Supply Chain needs. Zara is one of the few retailers who are in charge of designing, manufacturing, and distributing their products. With this control, they are able to set a quick pace for the duration of the supply chain process. “At Zara, rapid timing and synchronicity are paramount” (Ferdows, Lewis & Machuca, 2004). Zara’s factories use advanced just-in-time systems that all them to customize their in-house processes and take advantage of innovations quickly. One processed used called postponement, which gives them the opportunity to purchase 50% of more of their fabrics without color so they can accommodate to color changes during the sales season. In essence, a fast and precise process, tight communication techniques, and world-class technology systems give Zara the opportunity to keep up with their...
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...Note: Solve any 4 Case Study’s CASE: I Managing the Guinness brand in the face of consumers’ changing tastes 1997 saw the US$19 billion merger of Guinness and GrandMet to form Diageo, the world’s largest drinks company. Guinness was the group’s top-selling beverage after Smirnoff vodka, and the group’s third most profitable brand, with an estimated global value of US$1.2 billion. More than 10 million glasses of the popular stout were sold every day, predominantly in Guinness’s top markets: respectively, the UK, Ireland, Nigeria, the USA and Cameroon. However, the famous dark stout with the white, creamy head was causing some strategic concerns for Diageo. In 1999, for the first time in the 241-year of Guinness, sales fell. In early 2002 Diageo CEO Paul Walsh announced to the group’s concerned shareholders that global volume growth of Guinness was down 4 per cent in the last six months of 2001 and, more alarmingly, sales were also down 4 per cent in its home market, Ireland. How should Diageo address falling sales in the centuries-old brand shrouded in Irish mystique and tradition? The changing face of the Irish beer market The Irish were very fond of beer and even fonder of Guinness. With close to 200 litres per capita drunk each year—the equivalent of one pint per person per day—Ireland ranked top in worldwide per capita beer consumption, ahead of the Czech Republic and Germany. Beer accounted for two-thirds of all alcohol bought in Ireland in 2001. Stout led the...
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...Títol : Zara and Benetton: Comparison of two business models Volum: I de I Alumne:Amalia Paola Palladino Director/Ponent:Jose M. Cabré Garcia Departament:Organización de Empresas (OE) Data: 28 Junio 2010 Data:28 June 2010 DADES DEL PROJECTE Títol del Projecte: Zara and Benetton : Comparison of two business models Nom de l'estudiant:Amalia Paola Palladino Titulació:Ingenieria Superior Infomatica Crèdits:37,5 Director/Ponent: Jose M. Cabré Garcia Departament:Organizazión de empresas (OE) MEMBRES DEL TRIBUNAL President:Ferran Sabate Garriga,Toma de decisiones y gestión de proyectos empresariales(PDGPE) Vocal:Francesc Tiñena Salvañà, Compresion de datos e imagen (CDI) Secretari:Jose M. Cabré Garcia, Empresa y Entorno Economico (EEE) QUALIFICACIÓ Qualificació numèrica: Qualificació descriptiva: Data: AKNOWLEDGEMENTS First of all, I would like to thank Spanish professor Jose Cabré Garcia and Italian professor Massimo Visconti, my supervisors during the dissertation, for their helpfulness. Their academic and personal help was precious throughout this difficult task; Next, I would like to take this opportunity to thank the people who generously spent time to enable me to complete successfully my dissertation with the best possible result: My family, who has supported me amazingly all these years, both financially and psychologically. Their love and support kept me going in difficult times. My boyfriend Tomasz for his patience and moral support during my hard...
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...Títol : Zara and Benetton: Comparison of two business models Volum: I de I Alumne:Amalia Paola Palladino Director/Ponent:Jose M. Cabré Garcia Departament:Organización de Empresas (OE) Data: 28 Junio 2010 Data:28 June 2010 DADES DEL PROJECTE Títol del Projecte: Zara and Benetton : Comparison of two business models Nom de l'estudiant:Amalia Paola Palladino Titulació:Ingenieria Superior Infomatica Crèdits:37,5 Director/Ponent: Jose M. Cabré Garcia Departament:Organizazión de empresas (OE) MEMBRES DEL TRIBUNAL President:Ferran Sabate Garriga,Toma de decisiones y gestión de proyectos empresariales(PDGPE) Vocal:Francesc Tiñena Salvañà, Compresion de datos e imagen (CDI) Secretari:Jose M. Cabré Garcia, Empresa y Entorno Economico (EEE) QUALIFICACIÓ Qualificació numèrica: Qualificació descriptiva: Data: AKNOWLEDGEMENTS First of all, I would like to thank Spanish professor Jose Cabré Garcia and Italian professor Massimo Visconti, my supervisors during the dissertation, for their helpfulness. Their academic and personal help was precious throughout this difficult task; Next, I would like to take this opportunity to thank the people who generously spent time to enable me to complete successfully my dissertation with the best possible result: - My family, who has supported me amazingly all these years, both financially and psychologically. Their love and support kept me going in difficult times. - My boyfriend Tomasz for his patience and moral support during...
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...been truly revolutionary, and the pace of progress shows no sign of moderating. In our increasingly interconnected and interdependent global economy, the process of delivering supplies and finished goods (and information and other business services) from one place to another is accomplished by means of mind-boggling technological innovations, clever new applications of old ideas, seemingly magical mathematics, powerful software, and old-fashioned concrete, steel, and muscle. An end-to-end, top-to-bottom transformation of the twenty-first-century supply chain is shaping the agenda for senior managers now and will continue to do so for years to come. With this special series of articles, Harvard Business Review examines how corporations’ strategies and structures are changing and how those changes are manifest in their supply chains. The Articles The Triple-A Supply Chain by Hau L. Lee October 2004 The best supply chains aren’t just fast and cost-effective. They are also agile and adaptable, and they ensure that all their companies’ interests stay aligned. Reprint R0410F; OnPoint 8096 Leading a Supply Chain Turnaround by Reuben E. Slone October 2004 Five years ago, salespeople at Whirlpool said the company’s supply chain staff were “sales disablers.” Now, Whirlpool excels at getting the right product to the right place at the right time—while keeping inventory low. What made the difference? Reprint R0410G Aligning Incentives in Supply Chains by V.G. Narayanan and Ananth...
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...www.hbr.org Spanish clothier Zara turns the rules of supply chain management on their head. The result? A superresponsive network and profit margins that are the envy of the industry. Rapid-Fire Fulfillment by Kasra Ferdows, Michael A. Lewis, and Jose A.D. Machuca Reprint R0411G HBR Spotlight The 21st Century Supply Chain Managing the modern supply chain is a job that involves specialists in manufacturing, purchasing, and distribution, of course. But today it is also vital to the work of chief financial officers, chief information officers, operations and customer service executives, and certainly chief executives. Changes in supply chain management have been truly revolutionary, and the pace of progress shows no sign of moderating. In our increasingly interconnected and interdependent global economy, the process of delivering supplies and finished goods (and information and other business services) from one place to another is accomplished by means of mind-boggling technological innovations, clever new applications of old ideas, seemingly magical mathematics, powerful software, and old-fashioned concrete, steel, and muscle. An end-to-end, top-to-bottom transformation of the twenty-first-century supply chain is shaping the agenda for senior managers now and will continue to do so for years to come. With this special series of articles, Harvard Business Review examines how corporations’ strategies and structures are changing and how those changes are manifest...
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...------------------------------------------------- 8.95 ADD TO CART * ------------------------------------------------- SAVE ------------------------------------------------- * ------------------------------------------------- SHARE * ------------------------------------------------- ------------------------------------------------- Just in Time for the Holidays (HBR Case Study) ------------------------------------------------- STRATEGY & EXECUTION HBR CASE * ------------------------------------------------- Eric McNulty ------------------------------------------------- 8.95 ADD TO CART * ------------------------------------------------- SAVE ------------------------------------------------- * ------------------------------------------------- SHARE * ------------------------------------------------- ------------------------------------------------- Power of Virtual Integration: An Interview with Dell Computer's Michael Dell (HBR OnPoint Enhanced Edition) ------------------------------------------------- STRATEGY & EXECUTION HBR ONPOINT ARTICLE *...
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...Business School, University of Cambridge, UK Department of Production, Faculty of Technology, University of Vaasa, Finland art ic l e i nf o Article history: Received 31 May 2012 Accepted 13 June 2013 Available online 28 June 2013 Keywords: Value chain Supply chain management Operations strategy a b s t r a c t Over the past three decades scholars have developed comprehensive insights into the operational and strategic aspect of designing and managing the supply chain. Reviewing this ample body of knowledge however one cannot help but notice a persistent disunion between the “value chain” view that considers aspects of value creation and appropriation, and the operational “supply chain” view that considers strategies and tools for designing and operating efficient inter-firm networks. Commonly these views do not interact: value creation has the aim of capturing the maximum value-added in financial terms, the supply chain view aims for designing operationally efficient supply chains. In contrast to their treatise within the academic literature, from a practical point of view these two aspects are both necessary (and thus in their own right insufficient) components to a firm's supply chain strategy. In this paper we thus turn to an exploratory case study to identify what such a combined view of the value and supply chain would entail. We refer to this purposeful creation as the “value chain architecture” and propose five fundamental decisions that define the latter: (1) the nature of...
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...ADVANTAGE TECHNOLOGY NETWORKS PRACTICE PROCESS BALANCE PERFORMANCE SUPPLY CHAIN SUPPLY CHAIN THE &THE VS. HYPE REALITY 46 SUPPLY CHAIN MANAGEMENT REVIEW · SEPTEMBER/OCTOBER 2001 www.scmr.com The conventional wisdom is that competition in the future will not be company vs. company but supply chain vs. supply chain. But the reality is that instances of head-to-head supply chain competition will be limited. The more likely scenario will find companies competing— and winning—based on the capabilities they can assemble across their supply networks. By James B. Rice, Jr. and Richard M. Hoppe A n increasingly vocal and popular sentiment holds that the nature of competition in the future will not be between companies but rather between supply chains. If this does, in fact, represent the future, how will these chains actually compete against each other? And what can practitioners do now in anticipation of this future? In contemplating the much-ballyhooed supply chain vs. supply chain (SC vs. SC) proposition, we first sought examples of this competition in action. Yet for as many examples of SC vs. SC competition that we found, there were at least as many places where the model didn’t fit. On the one hand, we saw vivid examples where one company or a series of companies had designed supply networks to act with singular focus against other unique companies or groups of companies—for example, Brax, Perdue Farms, and Tyson Foods. Yet more...
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...Collana Working Paper n. 1/2009 ENTREPRENEURIAL COUNTERINTUITIVE STRATEGIES FOR OPERATIONS AND GLOBAL SUPPLY CHIAN MANAGEMENT. A STUDY OF THE BENETTON GROUP by Daniele M. Ghezzi Entrepreneurial counterintuitivestrategies for Operations and Global Supply Chain Management. A study of the Benetton Group by Daniele M. Ghezzi CONTENTS 1 – Introduction 2 – Benetton’s operations strategy 2.1 Review of the literature 2.2 Focus on the Benetton case 3 – Benetton’s position in the supply network and a critical review of its supply chain strategy 3.1 Review of the literature 3.2 Focus on the Benetton case 4 – Conclusions References Anneexes Annex 1: Benetton Group organizational structure Annex 2: Forein production poles Annex 3: Benetton Group financial highlights Annex 4: Benetton’s Revenues brealdown Annex 5: Images of Benetton’s sorting system and distribution center 3 3 3 4 9 9 10 13 14 16 16 16 17 18 19 Il testo di questo working paper è coperto dai diritti d’autore e non può essere riprodotto, in alcuna forma, senza l’autorizzazione scritta dell’autore. In caso di citazione in altri lavori, si prega di indicarlo in bibliografia nel seguente formato: Daniele M. Ghezzi, Entrepreneurial counterintuitive strategies for Operations and Global Supply Chain Management . A study of the Benetton Group, Collana Working Paper del Centro di Ricerca per lo Sviluppo Imprenditoriale dell’Università Cattolica, n. 1/2009. Il CERSI (Centro di Ricerca per lo Sviluppo Imprenditoriale)...
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...12% world 18% Net profit 2,500 1,946 1,741 1,258 1,262 1,322 2,000 1,500 1,000 500 0 2007 2008 2009 2010 2011 Number of employees 0 20,000 40,000 60,000 80,000 100,000 120,000 2011 2010 2009 2008 2007 79,517 109,512 100,138 92,301 89,112 Inditex´s Annual Report addresses its economic, social and environmental performance for the purposes of achieving the maximum transparency in its relationship with all its stakeholders annual report 2011 index 06 54 Letter from the Chairman | 08 Business model | 10 A look back over 2011 Customers Milestones for the year. International presence | 22 Suppliers | 70 Employees | 84 Retail formats. Zara. Pull&Bear. Shareholders. Economic Massimo Dutti. Bershka. Stradivarius. Osyho. Zara Home. Uterqüe. | 42 Community | 100 and financial report....
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...A Study of Apparel Supply Chain Risks Srikanta Routroy* and Arjun Shankar** Today, apparel supply chains are becoming more prone to both controllable and uncontrollable risks. This phenomenon may be attributed to many causes but not limited to less vertical integration, fragmentation of supply chain ownership, short product life cycle, ever-changing customer expectations, increasing level of competition, environmental regulations, rapid technology obsolescence, etc. These risks deteriorate directly the apparel supply chain performance in terms of both efficiency and responsiveness. Therefore, the Apparel Supply Chain (ASC) managers should identify and analyze the risks related to their supply chains so that appropriate mitigation strategies can be developed to enhance the supply chain performance. An attempt is made to study the ASC and identify the related risks in general. This will provide a platform to identify the risks for an apparel supply chain in particular. Introduction A Supply Chain (SC) may be defined as a network of organizations that are involved in a set of linkages, either upstream or downstream, in different processes and activities with the primary aim of providing value to the end customer (Chen et al., 2013). In this context, SC Management (SCM) is the management of material, information and funds through this network of organizations, which includes suppliers, manufacturers, wholesalers, distributors, etc., thereby providing the required value to the...
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