Strategy and Planning:
The strategy developed by
the operations group of Natex Enterprises was to gradually improve the
quality of our products (sporting goods) to that of the highest possible
level that was economically sustainable. Another important factor that
was continually monitored was the productivity and human resources aspects
of the company.
Our plans to achieve the
high standards that we put on ourselves included things such as:
- Increase raw material quality
- Increase factory technology
& training levels
Justification for Decisions:
Since take-over, the Operations
Management team have consulted with board of directors and made many crucial
decisions that have effected Natex as a whole.
Examples: (2 years - 8 quarters)
Major Decisions
Q1 - Increase Production
Levels:
The market demand forecast indicated a number of units that was greater
then the current
number of units that Natex was currently producing, therefore we adjusted
our production
levels so as to ensure we had an adequate number to cope with demand.
Q2 - Increase Factory Technology:
Always a part of our overall plan for the company, we decided to increase
technology
levels so as to, 1. Keep up with competitors
2. Look after education and training of employees
3. Increase in overall efficiency / output of factories (3)
Q3 - Improve Management Quality:
A business is only as good as its management, and by this time we had the
money and
the motive (increase employee morale, efficiency) to implement quality
management.
Q4 - Increase Employee Numbers:
Market forecasts, again indicated a projected number of sales that was
greater then the
current maximum efficiency / output of our company.
Q5 - Construction of New
Factories:
Research indicated a high demand for this quarter, and our current factories
were
operating at 100% efficiency with the maximum number employees. We had
no choice
but to build a new factory to keep up with demand.
Q6 - Expansion of Markets:
We wanted to increase market share, but found it very hard to do
so in the
crowded Australian market. We saw an opportunity overseas and so,
increase our exports in an attempt to counter the plateau at home.
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