Strategy Operations

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Assignment 3

DUE: Monday, 27 May 2013, at 8.15 am.

Weighting: 30 % of final mark

Semester 1, 2013


This assignment is based on Chapters 5, 7, 8, 9 and 10 of the text (Slack & Lewis, 3rd edition) as detailed below. You will need to study and use some of the models or frameworks from these chapters to complete this assignment.

Chapter 5: Purchasing and Supply Strategy

Chapter 7: Improvement Strategy

Chapter 8: Product and service development and Organization

Chapter 9: The process of operations strategy-formulation and implementation

Chapter 10: The process of operations strategy-monitoring and control

Analysis and Report Guidelines

Your answer should be in a technical report format with page numbers, section and paragraph headings provided and properly referenced. In organizing your answers you should be guided by the marks allotted to each question. This should also help you in deciding the length and content of answers. You are encouraged to use or reference appropriate models or frameworks suggested in the text book by Slack and Lewis to improve the quality of your answers.

The report should contain the following:

EIT assignment cover page (please do not use plastic folders)

Title page - containing title of the report, date, author’s name, course, and lecturer’s name.

Table of Contents

Main Bodies


Charts, graphs, illustrations as appropriate should be contained in the main body of the report, or in appendix.

Note: You are encouraged to use the relevant resources from journals or internet in the assignment, but make sure you have referenced them as per APA referencing rules.

Question 1: (Based on Chapter 5) (25 marks

You will need to study Chapter 5: Purchasing and Supply Chain Strategy from the text (Slack & Lewis) to answer this question.


a) You need to select one of the following companies from New Zealand business environment {viz. (Pak n’ Save or Countdown or New World); (The Warehouse, Mitre 10, Bunning’s Warehouse, Place Makers); Air New Zealand, Fonterra, or one of the wineries)}, and then draw the supply chain network showing the 1st and 2nd tier suppliers (where possible), and 1st and 2nd tier customers (where possible) as indicated in the following generic diagram. Describe the diagram in 300 words. (15 marks)


b) The idea of ‘trust’ is fundamental to developing supply chain relationships. Comment how your selected company maintains its relationship with the suppliers. Are their relationships (i) long-term, (ii) short-term, (iii) transactional or (iv) arm’s length? Provide percentage in each category to make a better sense. It would be great if you can talk to the Operations and Supply Chain Manager of the selected company but if is not possible then you can use external sources to answer this question. (Minimum 500 --Max 800 words). (10 marks)

Question 2: (Based on Chapter 7) (20 marks)

Step 1 – Choose an operation with which you are familiar. The operation should have a relatively clear customer groups and also direct competitors. (3 marks)

Step 2 – Identify the set of competitive factors which have some relevance to this operation. (Hint: One can use the list of generic performance objective as a starting point in doing this. So, use quality, speed, dependability, flexibility and cost and expand each of them if necessary). (4 marks)

Step 3 – Rate each of these on the 9-point importance scale. (4 marks)

Step 4 – Now judge each of these against the 9-point performance scale. (4 marks)

Step 5 – Position each...
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