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PROCESS STRATEGY - Coggle Diagram
PROCESS STRATEGY
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Basic Strategy
Process focus
:check: Custom job
:check: low-volume, high-variety
:check: high-degree or flexibility :check: Example : Hospital
Repetitive focus
:check: assembly line strategy
:check: modules combined for many output
:check: medium-volume, medium-variety
:check: Example : Harley Davidson
Product focus
:check: Organized by Product
:check: high-volume, low -variety
:check: Less skilled labor
:check: Long, continuous production :check: Cola- cola
Mass customization
:check: high-volume, high -variety
:check: Dell Computer
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Which process to use ?
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Crossover Chart
:check: Three different process : Process focus , Repetitive focus , Product focus
:check: Increasing fixed cost, will gain something by lower variable cost. We will see slope of the line is not as steep
:check: Plot the three total cost curves on the same graph to compare them
:check: Look at the line that is closest to the x-axis or zero