Operations Strategy at “GALANZ”

Case Study – 01
ABOUT COMPANY
 Company was incorporated by Mr.Liang Quingde in 1978
 Original name of Company was “Guizhao Down Product Factory.”
 Companies initial business was Trading of dawn feathers
 Purchased Microwave oven manufacturing Blue print from Toshiba.
 1992 they started manufacturing Microwave Ovens
 1995 first commercial production of 10000 Microwave was done.
 1999 Dawn trading was stopped and complete focus shifted on microwave
 2003 they become market leader in Microwave manufacturing
PROBLEMS IDENTIFIED.

Following are problem associated with Galanz Operation

 Restricted export quota till 1992

 Component suppliers are OEM.
 Availability of component
 Availability of skilled manpower
 Customization production capabilities
 Production Planning inefficiencies
 Prioritization issues – Which market to focus-OEM/ODM/OBM
 Synchronization issues – R&D Vs Production
 Low Brand awareness in international market
STRATEGY WORKED FOR GALANZ
Following are good steps taken by Galanz, which I would
recommend to continue.
 Strategic Alliance with big production houses
 Full Utilization of manpower
 Started in-house R&D center
 Started in-house production of components
 Import of New Technology
 Low cost and high quality strategy
 Focus on distribution of product
 Transformation from OEM – OBM – ODM
 Self sufficiency in component manufacturing
RECOMMENDATIONS – OPERATION STRATEGY

Following are recommendation as per my understanding

for further improvement of GALANZ business.

 Planning team to be formed.

 Prioritization should be based on PPC forcast.
 Structured organization for proper decision making
 More focus on OEM Business
 Pilot plant for converting R&D to production
 Media for resolving communication gap and team building.
 Set-up after sales service department.
 Introduce legal department or take help from consultant
 Define Price band for products.
THANKS