Process Book Revision class IKEA case study & general questions Chapter 1,2,4,5,6,10,11,12,13,&15

Please read p 13 & 14 – IKEA case study, and answer the following questions.

Q1 : Think about this organization (IKEA) as an open system, and Identify the main activities it performs. List the main inputs and the main outputs of the operations. Q2: Kats & Khan sets 5 sub-systems at work. Identify them according to IKEA case. Q 3: What is the dominant transformed resources-materials, information or customers? List all the information resources you find it in IKEA case. Q 4: Consider IKEA outputs to assess the extent to which the outputs are goods or services? Explain. Q5: List macro & micro-operations in IKEA. Q6: Write down the major advantages and major disadvantages of buffering an operation function from its environment? Q7: “For IKEA success, processes should be systems focused”. Discuss this statement using materials and examples from the B200 Processes module.

8- Define the 10 steps of Order Management Cycle (OMC) briefly describing each step How can we apply it to IKEA case study? 9. “ All parts of the organization are operations” Explain this statement through examples. 10. As employee in a Successful organization, what the advice you might suggests to the CEO to shift into capabilities based competitors, and identify the 4 basic principles of capabilities based competitors to clarify the idea. 11. Competitive scope can have a powerful effect on competitive advantage. What are the major dimensions of scope that affect the value chain? 12. Identify the value activities which play important role distinct activities that depend on the particular industry and firm strategy? 13- Discuss why an organisation might choose to recall its products and how this recall take place. Give examples from the B200 Processes module. 14- Effective logistics management can provide a major source of competitive advantage. Explain.

Q1 : Think about this organization (IKEA) as an open system, and Identify the main activities it performs. List the main inputs and the main outputs of the operations. IKEAS as an open system have direct interact with the environment. Open system have 3 major characteristics: Receive input from environment Convert input to output Discharge their outputs into their environment. Environment Input Conversion Output Materials (wood,..) Ideas (designing) Staff Finance (budget) Location Manufacturing Research Marketing Planning Production Furniture Services (information tickets, help desk, child care Catalogue)

Q2: Kats & Khan sets 5 sub-systems at work. Identify them according to IKEA case. Production sub-system: concern with furniture production and services (manufacture, customer service, catalogue, …) Supportive sub-system: concern with relationship between the organization and external environment. ( information point, information tickets, self service are, food stuff, children’s play area). Maintenance sub-system: concern with stability of the organization (rules and reward the staff). Adaptive sub-system: concern with what the organization might become. How IKEA is working and deliver services and product in unique way. Managerial sub-system: controlling, coordinating, planning, and taking decision. IKEA management develop

Q 3: What is the dominant transformed resources-materials, information or customers? List all the information resources you find it in IKEA case. The transformation process in operations is closely connected with the nature of its transformed input resources. Transformation mean using resources to change the state or condition. Material Process: IKEA using raw materials to develop their products (furniture) Information Process: IKEA using customer’s ideas and suggestions to design new products. Customers Process: self-services

Q 4: Consider IKEA outputs to assess the extent to which the outputs are goods or services? Explain. Most operations produce both goods and services. IKEA produces goods and services, produce furniture and provide customer services. IKEA outputs are: Tangibility, because we are looking to the furniture, we have the ability to compare and choose. In the other hand IKEA provide intangible services by advising the customer to choose the product they want by comparing. Storability, Furniture could be stored, Transportability, IKEA help customers to transport the furniture's, loading area. Simultaneity, catalogue (goods) and services. Customer contact, relationship between customer & operation. Quality, how customer will juge services and the products.

Q5: List macro & micro-operations in IKEA? Marketing & Sales FinanceProductionHRM Furniture design & production Customer Service Staff recruitment Budgeting Maintenance & Support ….. Others

Q6: Write down the major advantages and major disadvantages of buffering an operation function from its environment? Answer: Buffering is the best way to reduce environmental disruption. Buffering will be in 2 ways: Physical buffering by designing an inventory or stock resources at the input side of transformation process or at the output. IKEA can store the raw materials, the furniture's, some semi-products. Organizational buffering by allocating the responsibilities of the various function in IKEA to be protected form external environment – competitors. Buffering the ideas and suggestions. The disadvantages as listed in p 29 & 30.

7- “For IKEA success, processes should be systems focused”. Discuss this statement using materials and examples from the B200 Processes module. Answer Ch 1, 2, 11, 14, …. Define process, system, competitive advantage, transformation process, OMC, logistic management, …….and any related topic.

8- Define the 10 steps of Order Management Cycle (OMC) briefly describing each step How can we apply it to IKEA case study? Answer 13 p. 188 – 190 Identify OMC, explain each order with example.

9. “ All parts of the organization are operations” Explain this statement through examples. Answer guide: -Identify operation in the organization, the major and support function -Explain how the organization departments & management are working effectively to reach the goal. -Examples by using table 2.1 p 16 -See your book Ch. 2 P. 15 to 17

10. As employee in a Successful organization, what the advice you might suggests to the CEO to shift into capabilities based competitors, and identify the 4 basic principles of capabilities based competitors to clarify the idea. Answer - To be a competitor we need to focus on some effective points ( 5 dimensions) speed, consistency, acuity, agility & innovativeness. -I identify the 4 steps that transferee the company into capabilities- based competitor. -More clarification by mention the 4 principles. -Use Honda case study as example. -See your book Ch. 4 p. 42, 43, 44, 46, & 47.

11. Competitive scope can have a powerful effect on competitive advantage. What are the major dimensions of scope that affect the value chain? Answer: -Explain the 4 scopes with examples. -See your book – Ch. 5 p

12. Identify the value activities which play important role distinct activities that depend on the particular industry and firm strategy? Answer guide: -Identify value chain -Identify value chain activities -Use the diagram p 52 -Identify the activities that play important role in competitive advantages -Support each part of answer with example from your organization. -See your book Ch. 5 P. 51, 52, 53, 54, 55, & 56

13- Discuss why an organisation might choose to recall its products and how this recall take place. Give examples from the B200 Processes module. Answer Ch 12 Identify reverse logistic Classes of recall Steps of recalling Mention examples Fig 12.1 p 171

14- Effective logistics management can provide a major source of competitive advantage. Explain. Answer Ch 11 p.150 – 153 Identify logistics, productivity advantage, value advantage, supply chain management. Fig 11.3 explain

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