OPERATIONS MANAGEMENT 6
Zapposoffers online platform that enables clients to purchase shoes andclothes. The firm prides itself with great customer service. As aresult, the firm has generated loyal clients and reported increasedbusiness revenue. It is for such reasons that the firm generatedinterest from Amazon who acquired it at about 1.2 billion dollars in2009. Zappos core value is “DeliverWOW through service”.Borrowing from its principles, the firm has built distinct customerservice vocabulary where the clients are handled with great respect.The firm runs a call center that seeks to handle the calls and emailsfrom the clients. Further, the employees are bestowed with theresponsibility of acting as ambassadors for the firm. The approachhelps the employees to play a significant in connecting with theclients. The clients are able to get instant feedbacks aboutproducts, services, and inquiries. The approach has enabled the firmto create a mutually productive and sustainable business relationshipwith their clients. Some of the operations management activities thatZappos engages include delivery, marketing, and online selling, amongothers. The online platform allows the clients to make purchases andinquiries. Marketing through the media or word of mouth has enabledthe firm its customer base. The firm has great presence on socialmedia platforms such as Twitter and Facebook. Delivery function forproducts or gifts enables the firm to reach out to their clients(Rainer & Cegielski, 2011).
DHLGlobal Forwarding is a good example of global value chain while C.H.Robinson Worldwide is an example of domestic value chain. The twoface challenges such as competition, poor supply chain strategies,trust and logistics’ inefficiencies. The managers need to establishappropriate OM strategies that will address the challenges. Creatingcloser relationships, enhancing cost efficiency and improving theorganisational processes is essential to address the challenges.Pre-productionperspective highlights functions such as research and productdevelopment. The post-production perspective examines the functionssuch as sales, customer service, and maintenance. Both domestic andglobal value chain has immense contribution towards the success of anorganization.
Matrixformation is where the personnel are categorized with respect tofunctions and product. The structure is created in a way that allowsfaster and decentralized mechanism for making decisions. It is alsoeffective in the use of support systems. The nature of the businessrequires effective monitoring and coordination of the activities.Various models are proposed to depict the organizational performance.The models include examining perspectives such as financialperformance, effectiveness, market share, and customer service. Inexamining the financial performance, the model seeks to identify thefinancial viability of an organization. On customer service, themodel is more interested in examining whether an organization meetsits customers’ needs. The two perspective are distinct but withsimilar objectives. Ordinarily, the two are meant to improve a firm’sbusiness growth. Nonetheless, the financial perspective looks at moreon the ability of an organization to meet its financial obligations.Firms can utilize their social platforms to communicate to theclients. The approach is faster and effective to enhance customerservice. Still, the e-activity can help reduce the operational costsby addressing the clients’ grievances through email (Roe, 2015).
TerryHill’s Model seeks to identify the importance of understanding theoperational processes. The model has an outline that links theorganizational objectives and operations approaches. This ensuresthat both the internal and external components are aligned togethertowards the realization of positive business outcomes. Both Facebookand eBay need to use elaborate approaches in addressing the needs oftheir clients. Facebook’sorganisational process are created in a way that enhance therealisation of higher profit margins. In order to remain competitive,the firm will have to retain their business model while improving onthe quality of their products. eBay has an efficient customer serviceplatform that addresses the daily concerns of the clients as well asthe business functions.
EnterpriseResource Planning (ERP) is essential in the management of inventoriesand information within an organization. It is widely used in supplychain and human resources. Wal-Mart Company, for instance, used thesystem to manage its inventories and data. As such, the firm linksthe suppliers to the company system to help in managing the stocklevels. Customerrelationship management (CRM)approachesled to increased client satisfaction and business performance. Withthe advent in technology, it is only fair for firms to embraceinitiatives that will improve the interaction between the company andthe clients. ThroughCRM system, the clients are able to get instant feedbacks aboutproducts and services of a company as well as platform to makeenquiries. Customer services exist in various forms such as theautomated services, online support and technical support. Thestrategies on customer service make the organization globallycompetitive and adhere to the established standards and best businesspractices (Roe, 2015).
RadioFrequency Identification Devises (RFID) are used in many sectorstoday to track the movement of goods. Toyota Company, for example,uses the RFID to track the movement of body parts for the automobilesin the production line. The device can also be used in thepharmaceutical firms to track the movement of drugs in the warehouse.RFID has shown its effectiveness in the improving the operationalprocesses. Challenges arise in the loss of security, data loss, andmanipulation of information by the employees. To mitigate thechallenges, it is advisable for the organization to have backupsystem for the information. It is also appropriate to have elaboratesecurity measures that will the information from manipulation (Gupta& Jaroliya, 2008).
Gupta,I. C., & Jaroliya, D. (2008). ITenabled practices and emerging management paradigms.Indore: Prestige Institute of Management and Research.
Rainer,R. K., & Cegielski, C. G. (2011). Introductionto information systems.Hoboken, N.J: Wiley.
Roe,M. (2015). Optimizingsupply chain performance: Information sharing and coordinatedmanagement.New York, NY: Palgrave Macmillan