STRATEGIC OPERATIONS MANAGEMENT

Strategic Operations Management

[Module Name]

[Student ID]

Table of Contents

Executive Summary03

Introduction04

Discussion05

Overview of the Organizations05

Operation Strategy06

Business Strategy08

The Impact of the Business Strategy on the Organizations' Operations09

Main Process: The Influence of Technology and Process10

Organizational Value Chain13

The Impact on the Quality level: Link between Value and Quality14

Conclusion15

References17

Executive Summary

De'Longhi is a premium brand in the hi-tech home appliances industry. Through implementing an operational strategy of integrating advanced technological processes and utilizing high quality materials, this company has developed a unique brand value. In this paper we will analyze the business strategy adopted by De'Longhi, and it's compatibility with the operational strategy (Baye, 2000, pp.103). De'Longhi's strategic mix of following a high quality and innovative business strategy, with the operational strategy of using high-tech processes; has enabled the company to form a successful business model (Hayes et Al, 1996, pp.57).

Strategic Operations Management

Introduction

Majority of the companies operating throughout the world posses a complex and comprehensive business plan; yet several of these businesses fail in their respective industries, while others attain significant successes. The reason for the success of these businesses lies in their abilities to incorporate their business strategies in the operations of the business. The concept of strategy is commonly misunderstood within the organization, where different departments would have their own perspectives regarding the company's overall business strategy. The effectiveness of the business strategy is not only dependent on the organization's ability to understand the external environment; it must also adequately understand the dynamics of its own organizational structure. The organization's management has to ensure that the strategy is clearly understood and implemented in the operational processes of the company, so that a culture of shared values can be developed. The activity would not only help the company to better align the various organizational departments, it would also promote an open culture where the interdepartmental communication will be enhanced.

The biggest threat to the long-term success of the modern businesses is the development of a comprehensive action plan for the overall improvement, which is transmitted throughout the organization on a consistent basis and is well executed. The formation of the strategy alone will not ensure to implement positive changes and capture the majority of the market share in the industry, produce high quality products, and enhance customer satisfaction or any other objective of the strategy (Belussi & Alessia, 2010,pp.252). The formation is only a part of the process, where as the secondary implementation process is just as significant. The operational strategy has to be in line with the business strategy; otherwise the organization will not be able to sustain long term success (Brown, 2001, pp.313).

Discussion

Overview of the Organization

De'Longhi is an Italian company that was founded by the delonghi family in 1902. In its initial years it was only a small venture and mainly dealt with the manufacturing of various small industrial parts. The company has managed to stay consistent with its deep Italian roots, and over the years has evolved into a major manufacturer of several home appliances' ...