Competitiveness, Strategy, and Productivity Homework; 2, 3, 4

PFSWeb

Our Philosophy PFSweb is an outsourcing solutions design firm with an extensive offering of world-class logistics, fulfillment, customer care and technology infrastructure that can be leveraged to create unique, client-specific business solutions. Our philosophy is not to fit your business model into our pre-existing infrastructure, but rather to develop our infrastructure around your unique needs. We are flexible, scalable, and adaptable so we can keep pace with your ever-changing needs, whether you are adding new sales channels, marketing initiatives, vendor managed inventory (VMI) programs or special projects. We realize that no two clients face the exact same challenges, and for that reason, we are always extending our technology and operations capabilities based directly on client needs. Our philosophy is that there is absolutely no favorable argument for you to consider outsourcing with PFSweb unless we can execute at a greater performance level than what you could achieve in-house or through an alternative partner.

Our Philosophy PFSweb is an outsourcing solutions design firm with an extensive offering of world-class logistics, fulfillment, customer care and technology infrastructure that can be leveraged to create unique, client-specific business solutions. Our philosophy is not to fit your business model into our pre-existing infrastructure, but rather to develop our infrastructure around your unique needs. We are flexible, scalable, and adaptable so we can keep pace with your ever-changing needs, whether you are adding new sales channels, marketing initiatives, vendor managed inventory (VMI) programs or special projects. We realize that no two clients face the exact same challenges, and for that reason, we are always extending our technology and operations capabilities based directly on client needs. Our philosophy is that there is absolutely no favorable argument for you to consider outsourcing with PFSweb unless we can execute at a greater performance level than what you could achieve in-house or through an alternative partner.

Competitiveness: How effectively an organization meets the wants and needs of customers relative to others that offer similar goods or services

Businesses Compete Using Marketing Identifying consumer wants and needs Pricing Advertising and promotion

Businesses Compete Using Operations Product and service design Cost Location Quality Quick response Flexibility Inventory management Supply chain management Service and service quality

Strategy Mission Mission Statement Goals Strategies Tactics The reason for existence for an organization Mission Statement States the purpose of an organization Goals Provide detail and scope of mission Strategies Plans for achieving organizational goals Tactics The methods and actions taken to accomplish strategies

Operations Strategy Operations strategy – The approach, consistent with organization strategy, that is used to guide the operations function.

Productivity Productiv ity = Outputs Inputs Partial measures output/(single input) Multi-factor measures output/(multiple inputs) Total measure output/(total inputs) Productiv ity = Outputs Inputs

Country Productivity

Productivity Growth Productivity Growth = Current Period Productivity – Previous Period Productivity Previous Period Productivity

Measures of Productivity Table 2.4 Partial Output Output Output Output measures Labor Machine Capital Energy Multifactor Output Output measures Labor + Machine Labor + Capital + Energy Total Goods or Services Produced measure All inputs used to produce them

Multifactor Productivity Multifactor # of units produced measures $’s of input to produce this output

Example 2+ Four workers installed 720 sq. yards of carpeting in eight hours. A machine produced 68 usable pieces in two hours. Determine productivity in yards installed per hour. Determine productivity in pieces per hour. For part a, a new machine becomes available that allows enables three workers to install 1000 sq. yards in eight hours. What is the percentage increase in labor productivity? If the machine costs $300 for eight hours, and employees costs $20/hr, what is the before and after multifactor productivity?