influences on operations

• Influences on operations


  • Globalisation
  • Technology
  • Quality expectations
  • Cost-based competition
  • Government policies
  • Legal regulation
  • Environmental sustainability
• Globalisation


  The removal of barriers of trade between nations
• Globalisation and operations management


  • Global consumers seek global brands and standardised products
  • Businesses develop global production facilities to achieve economies of scale
• Supply chain


  The range of suppliers a business has and the nature of their relationship

  
• Sourcing


  Operations strategy of finding the right suppliers
• Global web


  The network of suppliers a business has chosen on the basis of lowest overall cost, lowest risk and maximum certainty in quality and timing of supplies
• Quality expectations


  Consumers' perception of the level of quality their goods and service should be, and their experience with the product will be an indicator of whether it has met their expectations
• Cost-based competition


  Derived from determining the break-even point and applying strategies to create cost advantages over competitors
• Government policies


  Long term plans of action applying to businesses that set the goals the government aims to achieve in society and may become law
• Legal regulation


  Legislation enforceable by law that businesses must follow and abide by
• Environmental sustainability


  Protection of natural resources for future generations
• Corporate social responsibility (CSR)

  The open and accountable business actions based on respect for people, community/society and the broader environment

  
• Legal compliance


  All businesses must follow laws, or face penalties
• Ethical responsibility


  Businesses are legally compliant and show commitment to the 'spirit of the law'
• Environmental sustainability


  Protecting the environment by ethically sourcing materials, outsourcing responsibility, adapting sustainable policies, and reducing carbon footprint
• Social responsibility


  Providing for the greater good of society through practices like ethical production and maintaining quality standards
• technology 


  the design, construction and/or application of innovative devices, methods and machinery upon operations processes