Operations Management
Business Strategy: To be the world leader in the designing, manufacturing and supply of steam turbine and generators by providing quality product to the customers, on-time delivery and meeting customers expectations, thereby contributing to the growth of the nation. Functional strategy: There are different functional strategies as mentioned under:Production strategy, 2. Marketing strategy, 3. R&D Strategy, 4. HRM strategy5.Information management strategy, 6. Financial strategy, 7.Logistics strategyBusiness Strategy of Zara:“Give Customers what they want and get it to them faster than anyone else”Deliver clothes similar to luxury brands at much lower price. Speed and responsiveness are more important then cost.Fast fashion industry: Short life cycle – their product is often short lived.; High volatility – demand is rarely stableLow predictability – difficult to predict future demandTarget customers:Highly trendy and fashionable; Low to middle income group; Customers aged between 18 to 40.Supply Chain strategy, in uncertainty framework[pic 1][pic 2][pic 3][pic 4][pic 5][pic 6][pic 7][pic 8]
[pic 9][pic 10][pic 11][pic 12][pic 13][pic 14][pic 15]The uncertainty framework describes 2 uncertainties of a product “Supply and demand”Under this framework, Zara falls under Innovative product. It should have responsive supply chain strategy to meet volatile, quick customer demand.Parameters of Competition in our businessSr No.ParametersWeightage1PriceOWOWOrder winners2CertificationQQQualifiers3QualityQQQQOrder losing sensitive criteria4Delivery speed305Overhauling (after sales service)306Heat rate of turbine (Operational efficiency)QQ7Product designQQ8Visual aperance of job209No of units previously supplied20100CommentSr No.ParametersComment1Price● The process is reviewed for every project to remove idle time which ultimately reduces the cost and helps us to maintain lower price of our product.● CRI (Cost reduction initiatives) are encouraged for process improvement to reduce project cost.2Certification● We have following ISO certifications which is the bare minimum requirement for manufacturing company like ours:1. ISO 9001 (Quality management), 2. ISO 14001 (Environment Management system), 3. OHSAS 18001 (Occupational health ad Safety Assessment Series), 4. ISO 50001 (Energy Management systems), 5. 5 Star Award (Five star health and safety management system), 6. Sword of honour award, 7. ISO 27001 (Information security management system)3Quality● Japanese are known for their quality products. We have imbibed their systems, processes and practices in our Indian factory.● Quality is maintained at each and every stage of the production. Worker himself checks that the required standards are met.● Visual control audits are done for dent scratches burrs and rust for the machined components as it is essential for turbine components. Quality is imbibed in our processes.● Every one from top to bottom level, from Operations head to worker level are quality conscious4On time delivery● It is very critical to meet the delivery schedule of the turbine to match the site erection schedule● We maintain our commitement to the customer5Overhauling (after sales service)● We have a separate department called TAS (Technical advisory services) to meet the after sales services of the customer which includes overhauling, maintenance or breakdown due to any reasons6Heat rate of turbine (Operational efficiency)● This is a very crucial factor of turbine● Lower the heat rate is better for the power plant. It is calculated by the design dept while designing the turbine.7Product design● We have different ranges of the products as mentioned above.● As per the customer requirement – heat rate, rated output, and other specifications, turbine is designed8Visual apperance of job● It is a part of the Quality control.● All machined surfaces are very critical from working point of view or else there will be steam loss.● Also from the customers point of view, protection of the jobs is given high priority9No of units previously supplied● There are some customers like NTPC who has the criteria that the design should be proven and we must have similar designs in the working condition. So it forms an important criteria.