Transcription of OPERATIONS, STRATEGY AND OPERATIONS STRATEGY
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OPERATIONS, STRATEGY AND OPERATIONS STRATEGY
21 CHAPTER 2 OPERATIONS , STRATEGY ANDOPERATIONS STRATEGYINTRODUCTIONAn organization s OPERATIONS function is concerned with getting thingsdone; producing goods and/or services for customers. Chapter 1pointed out that OPERATIONS management is important because it isresponsible for managing most of the organization s resources. How-ever, many people think that OPERATIONS management is only con-cerned with short-term, day-to-day, tactical issues. This chapter willseek to correct that view by considering the strategic importance business organizations are concerned with how they will surviveand prosper in the future.
Strategy can be considered to exist at three levels in an organization (see Table 2.1): Corporate level strategy: Corporate level strategy is the highest level of strategy. It sets the long-term direction and scope for the whole organization. If the organization comprises more than one business unit, corporate level
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