Business Strategy That Drives Operational Capabilities

Production – Having a good production team can help your business stay up to the task of handling all of your demand needs. Knowing your production costs and the speed your employees can complete a task will help you to figure out how much profit can be made of an item. This can be done by taking in the time factor when working on a particular job and the parts required. The speed and quality of production plays a big factor in the company and keeping it running. Our employees in the business who are in the production department will be the engine room of the business. We would strive to keep them comfortable and provide them with enough down to make sure they are not over worked and stressed, which will give us better quality in

Operations refers to the transformation of raw materials(inputs) into finished products(outputs). The operations process is one of the key business functions and is a crucial component to business success. Like every business, Qantas is affected by many internal and external influences requiring it to have effective strategies to respond to these influences. Businesses that are able to adopt and utilise effective operational strategies are able to quickly adapt and either reduce or take advantage of these influences that impact the business. The effectiveness of these strategies can measured by Qantas’ performance and whether or not it is able to hold it’s competitive advantage. How well these strategies respond to the influences on

Market dominance, growing market, technology, and globalization are enabling factors for both companies. In a more specific approach, FedEx’s enabling factors are their adaptation to modernization, being able to really take an advantage of technology. Also, their more

FedEx has two major customers who consist of businesses and individual customers. These business customers have accounts with FedEx to arrive at their location to pick up packages daily or weekly. Two-thirds of FedEx’s business comes from these customers so FedEx curves their operations to satisfy this clientele. Since FedEx’s competition is trying to acquire some of this clientele they have begun to operate and market to this clientele more effectively. Individual customers are also in FedEx’s internal environment. These customers represent one-third of their business. With increased competition from competitors FedEx has marketed to this market substantially. They have created boxes that are prepaid for shipment as long as the contents fit into the box. This has effectively increased business amongst individual customers for FedEx.

The process which combines and transforms various resources used in the production/operations subsystem of the organization into value added product/services in a controlled manner as per the policies of the organization, is the definition of Production/operations management. Consequently, it is that part of an organization, this part is involved in the transformation of a range of inputs, like men, material, machines, information and capital, into the required (products/services), with the requisite quality level. The group of correlated management activities, that are engaged in producing particular products, is called as production management. Using the same concept but extended to services management, then the corresponding set of management activities is named as operations management. It’s could also be defined as all those business functions that perform the doings of planning, organizing, leading and controlling the resources needed to produce an organization’s goods and services, in order to generate value. It includes managing people, equipment, technology, information and many others resources. All parts of the organization are operations.

FedEx has not fared as well as UPS in financial performances. FedEx¡¦s total revenue has grown 60% from 1996 to 1999 while their net income has doubled in the same period. FedEx¡¦s acquisition of RPS will challenge UPS for the ground delivery business and affect the sustainability of UPS¡¦s advantage in the ground deliver business. FedEx has been competing well in the higher-end, high-service segment of the package delivery market. Although, digitations of documents and emergence of electronic signatures is threatening the express business which FedEx has the advantage over UPS.

Intense competition from the U.S Postal Service, UPS, Emery, DHL andRPS has enormous effects on FedEx’s business. Competition will affect the profit volume and share market of an organization.

FedEx’s mission statement declares that FedEx Corporation will produce superior financial returns for its shareowners by providing high value-added logistics, transportation, and related information services through focused operating companies. Customer requirements will be met in the highest quality manner appropriate to each market segment served. FedEx Corporation will strive to develop mutually rewarding relationships with its employees, partners, and suppliers. Safety will be the first consideration in all operations. Corporate activities will be conducted to the highest ethical and professional standards (Campbell, 1997). At the same time, FedEx Corporation's vision is a world where goods and information move quickly and seamlessly. In an environment where businesses source raw materials and parts globally, FedEx moves high-value goods quickly between continents and across time zones for businesses that serve their customers through shipment of their goods to varying destinations.

FedEx has many strengths. One of the main strengths is being able to have a great brand name. The FedEx name is known globally by many different consumers. Its name does not only mean reliable, fast delivery service, it brings a sense of security to the consumer. It offers service to over 200-countires in a timely matter and securely. Since 2001, FedEx has been ranked among the top 20 in the FORTUNE World’s Most Admired Companies list.

FedEx Corporation (FedEx), incorporated on October 2, 1997, provides a portfolio of transportation, e-commerce and business services through companies that compete collectively, operate independently and manage collaboratively, under the respected FedEx brand. These companies are included in four business segments: FedEx Express, Federal Express Corporation (FedEx Express), is an express transportation company, offering time-certain delivery within 1 to 3 business days and serving markets that comprise more than 90% of the world’s gross domestic product; FedEx Ground, FedEx Ground Package System, Inc. (FedEx Ground), is a provider of small-package ground delivery service; FedEx Freight, FedEx Freight Corporation, is a

The chief information officer of FedEx, Rob Carter states that the IT investment strategies are customer based technologies. FedEx focuses less on operational technology and more on revenue-generating, customer satisfaction, and strategic advantage technology (O’Brien 43). UPS is a much larger company that focuses on operations and the bottom line. UPS is constantly playing catch up with FedEx by mimicking their strategic advantage technology to stay in competition. This means FedEx always has a head start or the upper hand in the competitive advantage.

Describe your company’s business strategy and competitive advantage. Building on your initial work, choose an expatriate position you consider critical for the success of the new subsidiary, considering your company’s business strategy and competitive advantage. The description of your company, its business strategy, the location of the foreign subsidiary and the expatriate position forms the first part of your coursework.

Federal Express is one of the well known brands and America’s well known companies in the world known as FedEx as it serves millions of customers through their service. Frederick W. Smith was a undergraduate of Yale University in 1965, who wrote a paper about a industry which would create shipments of products like medicine, computer, electronics, and other products that consumers can purchase. Even though, he didn’t receive a good grade on the essay, the idea that he created was never lost. As Smith, worked in an Aviation firm in 1971 he saw how inefficient the air freight industry was to get packages. As a result, FedEx was created by Smith as he called the company Federal to reveal how this company was created for the use of nationwide customers. Even though more companies, such as DHL, UPS, TNT have become FedEx’s competitors it still has not been successful as FedEx due to the technological advancements. As time progressed, FedEx continued to increase in size and in revenue due to the use of technology that helped meet the needs of customers globally despite the struggle they faced from competitors and different systems that they were creating.

Operations management is the art of knowledge that ensures that services and goods are produced and distributed successfully to customers. Operations management key objective is maximize efficiency while producing and effectively fulfilling customer needs. In this novel the operations management team is struggling to make this plant a profitable plant so it will not be shut down. Alex is wondering why is that he cannot produce quality products and respond to customer needs at a faster pace considerably on time and better than competition cost. Any actions taken place towards the goal itself is considered productive and anything reverse of that situation is not considered productive at all. There are multiple operations management concepts that will be introduced here to lead to a successfully ran plant such as operation strategies itself, product design and process selection, quality management, just in time and lean systems, capacity planning and facility layout and inventory.

Low-cost, time-efficient manufacturing of goods is a key feature of a successful production company in today’s competitive global economy. Operations management, often abbreviated in the business world as OM, is defined as “...the set of activities that creates value in the form of goods and services by transforming inputs into outputs (Heizer and Render, p. 4).” Every day, factories take in raw materials and use the labor hours and skills of their employees to transform those same materials into a variety of consumer products,