Zara Operations Strategy

4086 Words17 Pages
ZARA’S OPERATIONS STATEGY, A CRITIQUE OF A BUSINESS CASE.
1.Excecutive summary.
Operations management is in regard to all operations within the organization responsible for creating goods and services that organizations pass to their customers. This function is at the heart of all organizations, giving the means of achieving their aims and reason for their existence. These activities include: managing purchases, inventory control, quality control, storage and logistics. A great deal of focus in operations is on efficiency and effectiveness of such a process.
An example of successful operations strategy in the retail industry is the strategy employed by Zara which is discussed in this critique. Zara started as a single shop in La Coruna
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Just In Time concept is a concept from Japanese philosophy focusing on the elimination of waste in management or production system. Zara designs all its products itself. Concurrent method design could be an adjective to the of product design process which involve the whole commercial team , designers, market specialist, procurement team as well as continuous feedback from store managers to ensure that the products reach the customer just in time.

Young Designers (26 average) draw the design sketches then discuss it with market specials and planning & procurement staff. Designs inspiration is copied from different sources (trade fairs, catwalks, magazines) from all around the world. It is worth to mention that out of 40,000 designs only 10,000 are approved. This illustrates the flexibility of ideas generation and on the other hand the huge number of designs reflects the ability to meet almost all the fashion requirements by customers of all ages (up to 55).

Zara business is organized around processes not functions, to close the information
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