The Strategic Role & Objectives Of Operations

CHAPTER 2

Introduction
Chapter 1 in the book covers the activities in which operations managers are involved as well as the many different types of operation which they are managing. However, examining what operations managers do does not answer a far more fundamental question: 'What should any company expect from its operation?'. Or, putting it another way: 'How does the operations function contribute to the organization's competitiveness or strategic direction?'.
If any operation wants to understand its contribution to the organisation of which it is a part, it must answer two questions. First, what is the role of the operations function - that is, what part is it expected to play within the business? Second, what are the specific performance objectives against which the business can assess the contribution of the operation to its strategic aspirations?
Both these issues are vitally important to any operation. Without an appreciation of its role within the business, the people who manage the operation can never be sure that they really are contributing in the long term success of the business. At a more practical level, it is impossible to know whether an operation is succeeding or not if the specific performance objectives against which its success is measured are not clearly spelt out. The chapter in the book deals with both these issues. This section of the web page has selected a few examples of this in practice, using the book as a base. In the general picture of operations management, this section is represented by the shaded areas in Figure 2.1.

The Chapter Examples In The Book
TNT - THE WORLD-WIDE TRANSPORTATION GROUP (The Organisations Role)
TNT - Relevance Rating ***** - Site Rating ***** - Recommended
TNT are the UK leader for express delivery and logistics services. They have also won the European Quality Prize on several occasions, and are therefore well familiar with the role operations plays within an organisation. The services are all detailed on their site, including the TNT Express services and TNT Tracker mentioned in the book. Excellent information on their mission and vision is also given, and a search facility included to search for published information. A 'must visit' site.
THE BEST OF BRITISH CLOTHING FOR THE WORST OF BRITISH WEATHER - Unavailable WHEN SPEED MEANS LIFE OR DEATH - Unavailable
THE NINE O'CLOCK NEWS CANNOT BE LATE (The Dependability Factor)
The BBC - Relevance Rating ** - Site Rating ****
All the favourite BBC services are included in this homepage. It is basically an accessory to the BBC activities on Television, Radio and Magazine media. Not many operations issues are specifically covered on this BBC page.
The news site at the BBC is specifically covered on their BBC News page.
The key issue in the text regarding the 9 O'Clock News is the dependability of the programme. This is not mentioned as the site is dedicated to facilitating the news programmes.
However, a flavour for how the BBC present and organise their operation can be gained here.
FLEXIBILITY AT GODIVA CHOCOLATIER (The Flexibility Factor)
The Godiva Chocolatier - Relevance Rating ** - Site Rating ***
This is the homepage of the Godiva Chocolatier. It mainly concentrates on its products rather than its processes but does give an insight into the importance of flexibility simply by the range of both products and accompanying services to provide that flexibility advantage.

ALDI EINKAUF - EUROPE'S LARGEST RETAILER (The Cost Factor)
LIDL (Another company mentioned in the same excerpt) - Relevance Rating ** - Site Rating **
The site is not dedicated to LIDL, but rather the implementation of SAP retail in the company. The site describes the benefits to customers and company alike, and could be used as an example of creating competitive advantage although not solely in cost.

THE LONDON STOCK EXCHANGE (Personal Profile)
The London Stock Exchange - Relevance Rating ** - Site Rating ***
The site gives the user information on how the exchange and its markets work. Available are descriptions of the exchange and the markets, news, and information on using the stock market. There is also a search facility if any particular information is needed.
OPERATIONS OBJECTIVES AT THE PENANG MUTIARA - Unavailable
NATWEST BANKS
NatWest Bank - Relevance Rating ** - Site Rating ***
This homepage is geared to describing the services that NatWest offer both its corporate and personal customers. It is moderately useful with a NatWest News Centre section and a search facility, however there are no specific statements concerning operations examples. It is a useful source of background information though and provides a good flavour of NatWest.
VAN DER LANDE SMOOTHS THE FLOW - Unavailable
HEWLETT PACKARD CUSTOMIZES ITS PRODUCTS - Unavailable

Other Organisations Relevant To This Chapter
The Sections
Main Page - Operations Management
Section 1 - Introduction
Section 2 - Design
Section 3 - Planning & Control
Section 4 - Improvement
Section 5 - The Operations Challenge