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The Operations Function Is Fashionable!: The Consultancy Services Market % of World Revenues of 40 Largest Firms
The Operations Function Is Fashionable!: The Consultancy Services Market % of World Revenues of 40 Largest Firms
Financial Marketing/sales
6 2
Organizational
design
11 Operations and process
management
31
Benefits/Actuarial
16
Demand
Demand
1-12 months 1-10 years
Micro Macro
level of the process level of the total operation
Level of
analysis
Detailed Aggregated
Level of For example For example
“Can we give tax services to “What is our overall business
aggregation
the small business market in advice capability compared
Antwerp?” with other capabilities?”
Concrete Philosophical
Level of For example For example
abstraction “How do we improve our “Should we develop strategic
purchasing procedures?” alliances with suppliers?”
Business strategy
Operations
strategy
Emergent sense of
what the strategy
should be
Operational
experience
COMPETITORS
Traditionally weak in:
•promotion
•design innovation
Performance Market
Objectives Positioning
Competitors’
Actions
Required Understanding
performance markets
Operations Strategy
Capabilities
Decisions
• Application of leading- •Location
edge lighting and •Virtual reality technology
sound technology •Supplier development
• Articulation of client •Equipment tracking system
requirements •Organizational structure
•Staff meetings
Processes
• Integration of equipment
supply and client
requirements
• Design process
• Supplier liaison process
The operations resource perspective analysis of the
© Nigel Slack and Michael Lewis 2003 lighting company
Tangible and
Intangible
Resources
Operations Operations
Capabilities Strategy
Decision Areas
Operations
Processes
Understanding Strategic
resources and decisions
processes
Operations Competitors’
Processes Actions
Operations Market
Resources Segmentation
Operations Competitor
Processes Activity
Capacity Quality
Supply networks Speed
Process technology Dependability
Development and Flexibility
organization Cost
© Nigel Slack and Michael Lewis 2003
Operations Market
Resources Requirements
Strategic
Reconciliation
Competitiveness Strong
marketing
Competencies
embedded in the World Class
operation Operations
High
margin
Capabilities enhance
innovation and
improvement Investment
wide
Lafage
Cosmetics’
Variety of items per order
requirements
Existing
‘effective’
capability
Store
delivery
Catalogue
narrow
customers
small large
Number of items per order