Role Of Operations

Question 1

Role of Operations Management Points

Answer 1

Strategic Role Of Operations Management -
Cost Leadership, goods / services differentiation

Goods / Services in different industries

Question 2

Operations Management

Answer 2

Ensuring smooth coordination of activities in a business involved in combining inputs for producing an output

Question 3

Strategic Role of Operations Management

Answer 3

Ensuring product of goods/services meets long term business goals through cost leadership / differentiation = Maximising profit

Question 4

Cost Leadership

Answer 4

Aiming to have the lowest costs in the market

Can be done through
- Standardisation
- Technology
- Minimising Waste
- Economies of Scale

Question 5

Good / Service Differentiation

Answer 5

Make a good / service stand out from similar products / competitors

Allows:
- Improve sales, ability to charge higher

Can be done using price, quality or performance difference or service / production based like speeding delivery time

Question 6

Goods Differentiation

Answer 6

Varying physical features
- Different flavours of cereal

Varying Product quality
- Iphone16 - Iphone16 Pro

Varying any augmented features
- Add-ons or benefits (e.g sunroof, leather seats

Question 7

Service Differentiation

Answer 7

Varying of time spent on service
- Same day delivery

Varying level of expertise
- Professional vs general handyman

Varying quality of technology / materials
- E.g Automated car wash vs hand wash

Question 8

Goods / Services in Different Industries

Answer 8

Some business make
- Tangible products (goods)
- Primary / Secondary Sectors

Focusing on obtaining materials and production process

• Intangible Products (services)
  
  • Tertiary Sector

Focusing on service and after care

Question 9

Different Industries

Answer 9

Primary = Raw Materials, resources = Coal Mining, farming

Secondary = Convert inputs into products = Furniture, steel for cars

Tertiary = Services and Distribution = Retailers, teachers, transport

Quaternary = Transfer and process information = Software maintenance, e- business

Quinary = Services that replace domestic tasks = Restaurants, lawn mowing, ironing

Question 10

Interdependence with other business functions

Answer 10

Operations = Process involving transformation or production