Slack, Chambers and Johnston, Operations Management 5 th Edition © Nigel Slack, Stuart Chambers, and Robert Johnston 2007 The operations challenge Chapter 21 Source: Provided by the Sea W: FS Project, Nasa/Goddard Space Flight Center and ORBIMAGE

Slack, Chambers and Johnston, Operations Management 5 th Edition © Nigel Slack, Stuart Chambers, and Robert Johnston 2007 Five of the challenges for operations managers Operations strategy Design Improvement Planning and control Globalization Corporate social responsibility Technology Knowledge management Environmental responsibility

Slack, Chambers and Johnston, Operations Management 5 th Edition © Nigel Slack, Stuart Chambers, and Robert Johnston 2007 Decision areaSome globalization issues Product/service designTransferability of product/service design Adaptation of design to fit culture and legislation Network designLocation of global network of facilities Ownership and capacity change legislation Layout of facilitiesCultural reaction to work organization Process technologyServiceability and maintenance of technology Skills availability Job designCost of labour Skills availability Cultural reaction to work requirements Globalization

Slack, Chambers and Johnston, Operations Management 5 th Edition © Nigel Slack, Stuart Chambers, and Robert Johnston 2007 Decision areaSome globalization issues Capacity planning and control Differences in seasonality and demand patterns Legislation on part-time or temporary work contracts Legislation and cultural view of flexible working Inventory planning and control Storage conditions and climatic sensitivity Cost of capital and other storage cost differences Supply chain planning and control Real cost of transportation Differences in contractual arrangements Supplier conformance to employment standards Quality planning and control and TQM Cultural views of acceptable quality Cultural views of participation in improvement groups Safety Failure prevention and recovery Maintenance support Cultural attitude to risk Flexibility of response to failure Globalization