Developing Good Business Sense

Topics: Hamburger, Fast food, Burger King Pages: 3 (994 words) Published: April 18, 2008

The three companies that I choose for this project was Burger King, Barnes & Noble, and McDonalds. I observed how the employees do their tasks. I will discuss the main kinds of OMM costs companies have and how does this affect their OMM operations. Also will be discussing how do companies design their operating systems to give them a competitive advantage. I will identify which five main components of operations and materials management costs and the methods companies use to reduce them.

The primary goal of the operations manager is creating happy and loyal customers. By effectively analyzing and managing their business's operations, they created the right products with the right features at the right cost. This can not be done without operations and materials management, it is vital function.

Barnes & Noble is a chain of bookstores that carries thousands of titles. They also offer the largest in-stock selection of in-print book titles for fast, easy, secure ordering and delivery on the internet. To reduce plant cost they lease their buildings, rather than own them. Barnes & Noble OMM has developed an IT system. This IT system is the flexible production that allows mass production at a lower cost. They continually upgrade its storefront to create a better shopping experience for its customers. They also adopted new methods to allow it to control the way it stocks, and ships the thousands of their products it currently is selling. They use its materials management expertise to keep the books, CDs, and electronics in inventory that most appeal to customers. They take advantage of the vast warehouses to store products. They offer fast and free delivery when you order $25 or more of eligible items to cut delivery costs. They rely on how quickly it can ship its books and other products to customers. To further speed up delivery, they outsource by using UPS. The growth of the Internet has been a major source of revenue for...
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