OM 1 - it's a survey of an

CHAPTER 2: COMPETITIVENESS, organization that gathers information about the

STRATEGY, AND PRODUCTIVITY external world it's competitors and itself.
• Operations Strategy - the approach, consistent
• Companies must be competitive to sell their goods with the organization strategy, that is used to guide
and services in the marketplace. the operations function.
COMPETITIVENESS is an important factor - refers to the methods companies use
determining whether a company prospers, barely to reach their objectives.
gets by, or fails. • Quality - based strategy - strategy that focuses on
• Marketing influences competitiveness in several quality in all phases of an organization.
ways, including identifying consumer wants and • Time - based strategy - strategy that focuses on
needs, pricing, and advertising and promotion. reduction of time needed to accomplish task.
• Strategies - are plans for acheiving organizational - is to reduce the elapsed
goals. time between the product or service being produced
- To be effective, strategies must be and it's delivery to the customer.
designed to support the organization's mission and • Productivity - A measure of the effective use of
it's organizational goals. resources, usually expressed as the ratio of output to
input.
• Mission - The reason for the existence of an
organization.
• Mission Statements - states the purpose of an
organization.
- Should answer the
question " What business are we in?"
• Goals - provide the detail and scope of the
mission.
- serve as a foundation for the development
of organizational strategies.
• Tactics - the methods and actions taken to
accomplish strategies.
- they provide guidance and direction for
carrying out actual operations.
• Distinctive competencies - the special attributes or
abilities that give an organization a competitive
edge.
• Order qualifiers characteristics - that customer
perceive as minimum standards of acceptability to
be considered as a potential for purchase.
• Order winners characteristics - an organization's
goods or services that cause it to be perceived as
better than the competition.
• Environmental Scanning - the considering of
events and trends that present threats or
opportunities for a company.