Transcript Document

Fashion Operations Management
Introduction
Neil Towers
Aspects of product and service design
Interpretation of
expectations
Product
or service
design
Marketing
Expectations
Operations
Product
or service
specification
Customer
Product
or service
A Typology of Operations
EXAMPLES
Electricity generator
factory
Gourmet restaurant
Pioneering surgery
Taxi service
Bespoke tailor
University tutorials
Corporate tax advice
Department store
Electricity utility
Financial audits
Emergency service
London underground
Health care
"Cook at your table"
restaurant
Dentist
Music teacher
EXAMPLES
High
High
VOLUME
VARIETY
Low
Television plant
Fast food restaurant
Routine surgery
Mass rapid transport
Low
Off-the-peg suit plant
University lectures
Financial audits
Jeans shop
High VARIATION IN DEMAND Low
Bread bakery
Consultancy advice
Shopping mall security
Trucking operation
VISIBILITY
Most manufacturing
Prepackaged sandwich
maker
Dental technicians
Distance learning
High
Low
Operations both
Operations
Contributes directly to
competitiveness
Gives the potential
for other areas to
contribute
Technology
Marketing
Operations
Lower prices
(or higher profits)
Faster customer
response
Cost
Speed
Quality
Error-free products
and services
Dependability
On-time
deliveries
Flexibility
Wider variety
More customisation
More innovation
Cope with volume
fluctuations
Direction, extent and balance of vertical integration
Should excess capacity be used
to supply other companies?
Raw
material
suppliers
Component
maker
Assembly
operation
Wholesaler
Retailer
Narrow process span
Wide process span
Upstream
vertical
integration
Downstream
vertical
integration
Total and Immediate Supply Networks
“Second tier”
Suppliers
“First tier”
Suppliers
“First tier”
Customers
“Second tier”
Customers
The
Operation
Supply side of
the network
The Immediate
Supply Network
Demand side of
the network
The Total
Supply Network
Internal Supply Networks
The operations function can provide a competitive advantage
through its performance at the five competitive objectives
Quality
Being RIGHT
Speed
Being FAST
Dependability
Flexibility
Cost
Being ON TIME
Being ABLE TO CHANGE
Being PRODUCTIVE
Volume-variety characteristics
Low
VARIETY
Low
Low
VOLUME
High
Fixed
position layout
Process layout
Cell layout
Product layout
The location of operations
Supply-side
factors
Operation
Demand-side
factors
Labour costs
Labour skills
Land costs
Suitability of
site
Energy costs
Image
Transportation
costs
Community
factors
Convenience
for customers
Operations strategies have an ethical dimension
Product/service design - customer safety, recyclability of
materials, energy consumption.
Network design - employment implications and environmental
impact of location.
Layout of facilities - staff safety, disabled customer access.
Process technology - staff safety, waste and product disposal,
noise pollution, fumes and emissions.
Job design - workplace stress, unsocial working hours.
Capacity planning and control - employment policies.
Inventory planning and control - price manipulation.
Five challenges for operations managers
Globalization
Social
responsibility
Environmental
responsibility
Operations
Managers
Technology
Knowledge
management