Operational Objectives

Question 1

what are the objectives

Answer 1

mission statement
>
corporate objectives
>
operation management objectives
>
operational management strategy
> 
operational management tactical

the design, execution and control of operations that CONVERT resources into designed goods and services

can therefore implement a company’s business strategy

Question 2

objectives

Answer 2

Customer service

• increase customer satsifaction
• cheaper to get repeat business over constantly getting new business
• reputation and repeat business

Environmental

• reduce waste
• introduce greener technology

Production and flexibility

• ensuring theres sufficent production to meet demand
• lean/JIT etc.

Efficiency
- reducing the unit cost and avergae cost per unit

Quality
- meeting internal + external quality standards

Question 3

before setting objectives, consider these factors:

Answer 3

• legal size and status of the business
• other business objectives
• state of the economy
• level of competition in the market
• the government at the present moment
• legislation

Question 4

usefulness of operational management objectives:

Answer 4

• improving coordination
• act as a focus to improve and decision making
• measure against failure and success
• improve efficiency

Question 5

internal influences

Answer 5

• Corporate objectives
  ^^^^ operation management consistent and covered
• Finance
  ^^^^^ considerable expenditure on capital, R+D and equipment
• HR
  ^^^ staff needed to be skilled and motivated
• Nature of the product
  ^^^^^ some products better suited to mass production
  ^^^^^ type of product can influence the quality and the customer service targets

Question 6

external influences

Answer 6

M - decline than may need new products
C - targets needed to align competition
S - growing social trend to sue firms
T
E - interest rates reduce ability to buy/borrow
E - need to be green - production and wastage
P - change in minimum wage - EU regulations
L - H+S
E - workers not exploited may mean reduced cost of competiton