Internal Operations
Execution of Strategies
employing key resources and capabilities
structuring the organization
staffing the organization
Four Internal areas to focus
finance
operations
marketing
Human resources
Key pillars to manage internal operations
use process management tools to drive continuous improvement
installing information and operating systems as an enabler
facilitation through policies and procedures
sing rewards and incentives to promote
Internal operations performance measures
Safety
Quality
Customer and market
Delivery time
Financial
Flexibility
Learning & Productivity
making the work environment stimulating and engaging
rotating staff through functional and geographic boundaries
offering challenges, interesting and skill-stretching assignments
encouraging employees for creative and innovative ways of operation
providing employees with training programs
striving to retain talented and high performing employees
coaching the employees to perform as the high skilled and capable employees
Best Operational Practices
Empowerment of employees.
Quality management programmes.
Participation of employees and teamwork
Competitive strategy and service delivery
Sustained leadership with clear mission statement.
M & A
Collaborative Partnerships
Internal Development
organizational structure comprises the formal and informal arrangement of tasks, responsibilities, and lines of authority and communication by which the firm is administrated.
Type
functional
multidivisional
matrix
transnational and project
Radical Innovation
Driven the top management to participate and control the decision making process
mpetitive environment requires foresight and a need to create the future
Work as a team and coordination between departments
effective communication between all parts of the organsiation
need to develop a workforce with positive work attitudes that include the loyalty for the organisation,
flexibility in moving the team members across the functional areas
Dimensions on the experience of Empowerment
potency
meaningfulness,
autonomy
impact.
belief among the team members that it could be effective
extent of the feeling that team members have on the intrinsic caring for their assigned tasks
degree of freedom that they possess to involve in decision making
feeling that their contribution is significant for the success of the organsiation
ultimately result in a problem solving approach from the organsiation’s objectives.
Determining Factors
broad or narrow
lower costs or differentiation
Porter's Strategy (3 Generic)
Cost Leadership
Differentiation
Focus
Porter's five competitive strategies
broad differentiation strategy
best-cost provider
low-cost provider
focused strategy based on low cost
focused strategy based on differentiation
where an organization striving to achieve overall low cost than rivals
where the organization seeking to differentiate its offerings that will appeal to a broad range of buyers
firms attempts to give more value for the customers spending by a good combination of price and the quality attributes
firms concentrating on a selected segment to serve their offerings at best price and they would be able to serve that market well than the competitors
firms seeks to offer customized attributes to satisfy the customers than rivals
Measurement Dimensions
performance
features
reliability
conformance
durability
serviceability
perceived quality
Service quality
Managing quality is seemed as important from both internal and external stakeholders’ minds.
Gap in the service delivery
Gap 2:-mismatch between the requirements and the design activities
Gap 3:- execution of the manufacturing and service delivery process documented through operating and training manuals those specifications might not be addressed
Gap 1:-discrepancy between the customer expectations and how the management perceives those to be embedded into the specifications
Gap 4:-communication gap arising from the actual performance and what is being externally communicated would lead to gap 4
Gap 5:- mismatch between the customer expectations and perceptions stemming from other 4 gaps
factors that would affect the implementation of quality management programmes
type of employees
shared values
process factors
management styles
organizational structure
number of employees
industrial relations