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OPERATIONS STRATEGY IN

GLOBAL COMPETITIVENESS

Qasim Ali (2590)


Outline
 What is Operations Strategy?
 How Global Competitiveness influence strategy?
 How to devise Operations Strategy in Global
Competitiveness?
 What are the different aspects covered by
Operations Strategy?
 Traditional Framework to design different
Strategy?
Business Strategy

 Game Plan for L-term achievement.


 S-term operations activities should be
consistent with L-term strategic intentions.
 The diversity and importance of operations.

Customer satisfaction &


Competitiveness.
International Market Place

 Globalized Trends.
 Providing Value of money.
 New Operations Strategy.
 Products Processes and Trade channels.
What is the word Strategy?
 “The direction and scope of an
organization over the long-term, which
achieves advantage in a changing
environment through its configuration of
resources with the aim of fulfilling
stakeholder expectations.” (Johnson et
al,2005).
Globalization
 Structure of ownership changes.
 Both customers and Employees changes.
 Eradicate traditional boundaries.
 Being global requires a lot of commitment.
 Local exposure no longer exists.
 Goal is Value addition (Profit or Non-Profit)
S
STRATEGY
IN GLOBAL
COMPETITI
Theoretical Framework
VENESS
Operations
 Efficiency and effectiveness of domestic
fabrication compared with outsourcing.
 Suitable locations for international

facilities.
 Output capacities needed for various

plants, and the labor-machinery trade-


offs in each facility.
Cont..
a) System perspective
“ All the aspects of behaviors of a system as a whole in
the context of its environment are the systems
perspective. ”
b) Inputs
c) Transformational process
d) Output
e) Control
Control involves the degree to which network of
organizations is able to regulate and direct globalization
processes it includes increased employment.
f) Operational Activities
Customer Value
 Expectations of customer w.r.t price.
 Value beyond Competitors.
 Companies must commit themselves
to design, manufacture and deliver
products.
a) Innovativeness (Features &
Performance)
b) Quality (Perception of Customers)
Cont..
c) Customization: Customization refers to
offering a product or service exactly suited
to a customer’s desires or needs.
 Flexibility: Flexibility is “the ability to
change or react with little penalty in time,
effort, cost, or performance.”
 Mass Customization
 Responsiveness: The competitive
advantages of faster, dependable response
to new markets or to the individual
customer’s needs.
Strategy And Competitiveness
 Strategy need to include the company’s l-
term goals, an understanding of the
marketplace, and a way to differentiate
itself from its competitors.
 Managers have considered many factors
and have made some strategic implication.
 Environmental Scanning.
 Core Competencies.
Cont..
a) Global trends
b) Strategy
c) Strategic Framework
 First-to-market
 Life cycle framework
 Second-to-market
 Cost minimization or late-to-market
 Market segmentation
 Focus
 The Sand Cone Model
 Core capabilities
From Strategy to Structure
 Its time to tackle.
 “Structuralist” Approach is needed.
 “Reconstructionist” approach.
Thank You!

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