“Operations” playing a crucial role in the strategic management and it should increasingly become the sources of firm’s success in a strategic view. Operations management should contribute to the acquisition of a competitive advantage and stimulate companies towards strategic innovation by allowing to a more effective and/or efficient manufacturing systems. The success of operations strategy is increasingly related to the management of boundary resources and processes. Table 1 1 Operation Strategy Framework
There is a difference in operations strategy between the strategic decisions that determine an operation’s structure, and its infrastructure. Besides, the distinction in operations strategy has …show more content…
The structural issue in capacity strategy is concerning with the physical size and location of operations, and at the same time, it can also affect the organisation’s reporting relationships systems and procedures. Similarly, supply network decision concerned with the decisions of make-or-buy, but this needs infrastructural to support the communications between the supply chain and also the development of relationships. Process technology, likewise, has its structural aspects and also infrastructural aspects. For the structural aspects, it will determine the physical form of the operation, and for the infrastructural aspects, it will devote to driving the systems, procedures and monitoring systems (Slack & Lewis, …show more content…
The users of the outputs are the customers. From the process of input to output, there is a transformation process, it helps to transform the input to output. For an example, the input is the raw materials and the output will be the final products that the customers demanded or needed. An organization is considered as an operations system, which is shown in the figure above. The boundary that drawn in the figure which is around the transforming process can also be considered as the boundary of the organization. Most of the macro operations are formed up by a number of micro operations, which can also be stated as sub-systems. Customers are the one who consume or the owner of the outputs of the final micro operations. The organization’s external customer, and the user of the outputs of the other micro operations internal customers are the final user of the good and