Performance measures - operation strategy, Operation Management

Assignment Help:

Performance Measures - Operation Strategy

It is common to find that measures are made of operational factors which do not contribute to the winning of orders, whilst key factors remain unmeasured. Schmenner (1994) labels the former as 'false alarms', and the latter as 'gaps'. In a study of the relationships between business goals and performance measures he questioned senior executives of manufacturing firms from around the world.

He found that machine efficiency, labour efficiency and direct cost reduction were heavily used but, typically, they were false alarms. Conversely, the more difficult to obtain measures of such factors as new product introduction and customer satisfaction were gaps, which ... are widely recognised as important, and at least in our survey sample, it is apparent that companies could become better at managing them and that they do not measure them effectively. The fact that any measures used may well have to be non-financial and approximate should not deter us from using them. It is far better to measure the right thing inexactly and in timely fashion than the wrong thing with great precision and well after the fact.


Related Discussions:- Performance measures - operation strategy

What internal problems outcome from the current planning, What internal pro...

What internal problems result from the current planning and control policies? In particular, analyze stock turns and availability (e.g. high and low levels).

Primary and secondary activities in value chain analysis, What are the prim...

What are the primary or secondary activities in value chain analysis? Primary or secondary activities incur costs, but within combination along with other activities give custo

Strategy and standards approaches to reviewing software, Strategy and Stand...

Strategy and Standards Please respond to the following: •Discuss the factors that should be considered when developing a consistent IM / IT strategy. Explain your rationale. •Analy

Describe different roles people play in work groups, Please discuss differe...

Please discuss different roles people play in work groups? Please share the role you predominantly played in project or work groups. Make this a very short answer

How an hr professional may designated that information, How an HR professio...

How an HR professional might designated that information/data as a critical result area? That's question. Reference where info came from.

Consider the influence of changing business models, 1 Consider a local tele...

1 Consider a local telephone company offering triple-play (TV, Internet, and Phone) services to residential customers in a single metropolitan area. What might be the reasons that

Sequencing problem, It is Monday 3rd of June and Sarah is delighted that at...

It is Monday 3rd of June and Sarah is delighted that at the end of last week her staff managed to finish all the outstanding jobs. Sarah is in charge of a proofreading department a

Explain major operations planning activities, In an overview of the major o...

In an overview of the major operations planning activities in a typical logistics organization, which of the following activities follows aggregate sales and operations planning? a

Explain purchase the motors for the appliance, A firm plans to begin produc...

A firm plans to begin production of a new small appliance. The manager must decide whether to purchase the motors for the appliance from a vendor for $7 each or to produce them in-

Illustrate performance dimensions for operational strategy, Illustrate the ...

Illustrate the performance dimensions for operational strategy? Performance dimensions for operational strategy: • Quality for illustrations Marks and Spencer, Thornton’s,

Write Your Message!

Captcha
Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd