Operation Management Case Studies

Operation Management Case Studies

Intoduction

Case study on Salmon processing facility

Question 1

E= $ 6,333.33

Therefore, the additional expenditure for the productivity of the two systems to equal will be $ 6, 333.33

Question 4

            If the cost of energy increases in future, the productivity of facility will be affected negatively and it will decrease. If the cost of the energy increases beyond the estimated additional expenditure of $ 6,333.33, the productivity of the new facility will be much lower than that of the old system and therefore, it will not be advantage to the firm.

This will also affect reduce the profitability of the company.

Case 2 on Hard Rock Cafe

Question 1

            The Hard Rock strategic changes that it has experienced include globalization and changes in its brand through unique services that include rock music. The music has led to the growth of this company. It has managed to open 157 cafe facilities in more than 57 countries. The cafe has also diversified brands to fish and lobsters in Britain. Moreover, it has started shifting its target market from tourists to non tourists’ cities in United Kingdom in addition to leasing cafes in tourism cites such as Nottingham (Heizer, & Render, 2013).

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Question 2

            Hard Rock has various PRODUCTS that vary from Hamburger, beef, and other tourism attracting meal. The cafe is has also diversified its products to fish and lobsters thus widening its market and meeting the needs of the customer.

            Hard rock cafe moved its LOCATION from domestic market to global market. In addition, it has started opening in new non tourisms LOCATIONS such as Manchester united to prevent risks associated with economic fluctuations that arise from tourism business poor performance.

            Hard rock HUMAN RESOURCE has participated in developing new strategies that has helped to improve the performance the business. For example, the introduction of sound and visuals in dinner events that attract more customers and recruitment of highly trained employees that provides quality services.

            The Hard Rock has improved its SERVICE by adding unique services that cannot be found in any other place in the world such as music on both quality visual and sounds. They serve food with enthusiasm on their customers (Heizer, & Render, 2013).

Question 3

-123825158750Introduction

Growth

Maturity

Decline

Standardization

Less rapid product changes - more minor changes

Optimum capacity

Increasing stability of process

Long production runs

Product improvement and cost cutting

Little product differentiation

Cost minimization

Overcapacity in the industry

Prune line to eliminate items not returning good margin

Reduce capacity

Forecasting critical

Product and process reliability

Competitive product improvements and options

Increase capacity

Shift toward product focused

Enhance distribution

Product design and development critical

Frequent product and process design changes

Short production runs

High production costs

Limited models

Attention to quality

Best period to increase market share

R&D product engineering critical

Practical to change price or quality image

Strengthen niche

Cost control critical

Poor time to change image, price, or quality

Competitive costs become critical

Defend market position

OM Strategy/Issues

Company Strategy/Issues

HDTV

CD-ROM

Color copiers

Drive-thru restaurants

Fax machines

Station wagons

Sales

3 1/2” Floppy disks

Internet

00Introduction

Growth

Maturity

Decline

Standardization

Less rapid product changes - more minor changes

Optimum capacity

Increasing stability of process

Long production runs

Product improvement and cost cutting

Little product differentiation

Cost minimization

Overcapacity in the industry

Prune line to eliminate items not returning good margin

Reduce capacity

Forecasting critical

Product and process reliability

Competitive product improvements and options

Increase capacity

Shift toward product focused

Enhance distribution

Product design and development critical

Frequent product and process design changes

Short production runs

High production costs

Limited models

Attention to quality

Best period to increase market share

R&D product engineering critical

Practical to change price or quality image

Strengthen niche

Cost control critical

Poor time to change image, price, or quality

Competitive costs become critical

Defend market position

OM Strategy/Issues

Company Strategy/Issues

HDTV

CD-ROM

Color copiers

Drive-thru restaurants

Fax machines

Station wagons

Sales

3 1/2” Floppy disks

Internet

            The company is still in the growth stage but approaching maturity. This is from the fact that Hard Rock is trying to change its products from beef and Hamburger to lobster and fish, it can be noted that it is trying to improve its products in order to increase its competitiveness. The company is still forecasting on its future market where it want to change from tourists-dependent market to non-tourism dependent market (Heizer, & Render, 2013). The cafe has products that are reliable with little improvement.

Reference

Heizer, J., & Render, B. (2013). Principles of operation ,management: Sustainability and supply chain management. Pearson

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