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Ops and SC Stragey (Ch 2) (Strategic Planning (Corporate (Type of…
Ops and SC Stragey
(Ch 2)
Strategic Planning
Corporate
Scope: Broadest
Least Constrained
Type of business
Overall mission
Values, direction, goals
Risk management
Performance measurement
Long Term
SBU
How should our unit compete?
Critical customer & market segments
Product offerings
How to create advantages
Business Model
"razor & blades"
Direct sale
Loyalty
SWOT used
Coordinated w/Corporate plan
Functional
1 per group
Coordinated w/SBU plan
Most detailed of the 3
Key Customer
Identify needs & wants
Product Specific Traits
Order Winners
Order Qualifiers
Order Losers
Value Proposition
Combination of attractive features
Differentiates firm from competition
Satisfies firm's financial & strategic objectives
Reliably delivered
Align outcomes into Operational Competitive Priorities
Product-Related
Quality
Timeliness
Time-to-Market lead time
Order-to-Delivery Lead Time
Cost
Process-Related
Innovation
Flexibility
Sustainability & Risk Management
Natural
Social
Economical
Technological
Triple Bottom Line (3Ps)
Monetary Profit
People Account
Planet Account
Capabilities
Planning Systems
Processes
Technology
People & Culture
Supply Chain Relationships
"Core Capabilities"
Environment
Competittion
Goverment
Technology
Fit
No-fit Options
Live with Mismatch
Change Key Customers
Change Operational Capabilities
Strategy Deployment
Execution
Structural
Capacities
Facilities
Technology
Supply Chain Network
Infastructural
Workforce
Production Planning & Control
Product/Process Innovation
Organization & Management
Feedback/
Measurement
Strategic Profit Model (SPM)
DuPont Model
ROA (p.40)
AT
NPM
Higher = better
SC Operational Reference Model (SCOR) (p. 42)
Metrics cascade hierarchically
5 Dimensions
Asset Management Efficiency
Costs
Responsiveness
Delivery Reliability
Flexibility
Level of performance necessary
Impact of improvement
Operations Strategy
(vary by customer & time)
