Haier Case Study
IntroductionHaier was founded in Qingdao China in 1894 and it is the world’s fourth largest white goods manufacturer. Haier has enjoyed a growing international reputation over the past 24 years. 19 of the company’s products, including refrigerators, air conditioners, washing machines, television and so on. These products have been rated as ‘top brands’ in China and China’s general administration of quality supervision.Operational planning is the process of planning strategic goals and objectives to tactical goals and objectives.[pic 1]This diagram shows the operation process of Anhui Haier A/C BU, first obtain resources such as metal, electronic components, they get these resources together in the factory. Then, Haier will use these resources to create and manufacture their electric appliances. Followed by selling, the customer order product to dealer and then Haier delivery system accept an order. Haier delivery system provides home delivery and installation service for customer. For customers, they just need to choose the product they want from dealer and Haier create a stock in every cities to provide home delivery. According to the P:D ratio in the figure, the customer only need to waiting the time of delivery and it just a small part of the total time to carry out all the activities to make the products available to the customer. This kind of process is flexible, in the past, customers only can buy the products in the store, but Haier’s customers can order Haier’s products of all types and sizes even there is no sample in the store, Haier will deliver products for customers.
StrengthHaier focus on quality and have founded in 1894, Haier have good reputation all around the world. People believe the quality of Haier’s products.WeaknessThe lack of advertising and their development in foreign country is immature.OpportunitiesThe development of internet bring Haier to get into network marketing The government support ‘Household appliances to the countryside’.ThreatWith the development of electrical appliance industry, lots of competitors go into market. The new products from other competitors may replace Haier, Haier need to improve technology and be more competitive.According to SWOT analysis above, we can see Haier as a successful company famous for its good quality, but it still needs seize the opportunities not only from the market, but also from government support and change weakness to be strength, Haier should improve their planning and control to face the competitive market in the future. We can use the following activities to help Haier doing operational planning & control.