Operations Management

Assignment-1
Order Qualifier &Winner

Submitted By:
Rajesh Dey
PA1523

Which Dimensions Should Be the Focus?

Order winners: Criterion that differentiates one firm
from another.
Examples: Cost (Southwest Airlines), service quality
(Ritz-Carlton Hotels), Flexibility (Dell)
Order qualifier: Criterion that permits the firms products
to even be considered for purchase.
Example: basic quality necessary to be considered a
good car (consumer reports).

Example

Southwest Airlines overall corporate strategy is to

serve price- and convenience-sensitive customers.
Corporate Strategy

Finance
Strategy

Marketing
Strategy

Operations
Strategy

Developing an Operations Strategy

1. Segment the market according to the product group.
Example: High-end vs. low-end consumers
2. Identify (a) product requirements, (b) demand patterns, (c)
profit margins. Example: many components, seasonal,
low demand, high profit margin.
3. Determine the order winners and order qualifiers.
Example: delivery speed (winner), cost (qualifier)
4. Convert order winners into specific performance
requirements. Example: Must sell at or below $600