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The purpose of this paper is to advance a firm boundary perspective of operations strategy linking strategic management and business process management.
Abstract
Purpose
The purpose of this paper is to advance a firm boundary perspective of operations strategy linking strategic management and business process management.
Design/methodology/approach
Relevant operations strategy, business process management and boundary perspective literature is reviewed and critically assessed in order to advance a firm boundary-based approach to operations strategy. Within this perspective, a multi-disciplinary and cross-functional framework is provided with the objective of supporting the process of operations strategy formulation and implementation.
Findings
The boundary perspective has the potential to inform a wide range of operations strategies. Strategic management of operations should be increasingly based on boundary operations. The proposed framework clarifies that the adoption of a spanning boundary perspective should improve the operations strategy process and content.
Practical implications
This paper offers implications of interest to managers, noting that the adoption of a new perspective in operations strategy should contribute to innovation in operations strategy development and implementation. Specifically, the framework suggests models and tools useful to support the spanning boundary perspective.
Originality/value
This paper allows operations and process management scholars to focus on key phenomena, such as boundary management. At the same time, the framework responds to the needs of managers who are engaged in operations management for a new perspective that can assist in the strategic management of operations.
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Vikas Kumar, Younis Jabarzadeh, Paria Jeihouni and Jose Arturo Garza-Reyes
The purpose of this study is to explore the effect of operations strategy (cost, quality, flexibility and delivery) and supply chain integration on innovation performance under…
Abstract
Purpose
The purpose of this study is to explore the effect of operations strategy (cost, quality, flexibility and delivery) and supply chain integration on innovation performance under influence of learning orientation.
Design/methodology/approach
Taking a quantitative and deductive approach, a conceptual framework was developed and tested by analyzing data gathered through survey questionnaire from 243 UK manufacturing firms using structural equation modeling.
Findings
The findings show that learning orientation influences operations strategy and supply chain integration, but it does not have a direct impact on innovation performance. Additionally, quality and flexibility strategies affect innovation performance and supply chain integration positively, while cost and delivery strategies do not have a significant effect on these variables.
Research limitations/implications
Operations strategy types (cost, quality, flexibility and delivery) were studied as distinct variables, whereas supply chain integration also has several dimensions but that has not been investigated separately in the present research. The findings are also based on limited 243 responses from UK manufacturing firms.
Practical implications
Innovation performance of manufacturing firms can be improved through a more integrated supply chain if managers embody flexibility and quality capabilities in their operations and become learning oriented.
Originality/value
The effect of supply chain integration on innovation performance and learning orientation on supply chain integration and operations strategy types have not been fully explored in literature. Also, having all four operations strategy types in a direct relation to supply chain integration and innovation performance is another original aspect of the current study.
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M.J. Oltra, C. Maroto and B. Segura
Seeks to focus on operations priority patterns and operations strategy. Configurations by testing them in a specific environment which contributes to demonstrating their…
Abstract
Purpose
Seeks to focus on operations priority patterns and operations strategy. Configurations by testing them in a specific environment which contributes to demonstrating their applicability and generalizability.
Design/methodology/approach
Using data from 130 Spanish companies with project process organization, their operations strategy is analyzed as a whole, without the following of a trade‐off pattern being observed.
Findings
Cost, conformer and innovation strategy types, compared with other operations strategy configurations regarding variables used to develop project management configurations, for the most part exhibit a coherent behaviour, giving support to operations strategy validation at a higher theoretical level.
Research limitations/implications
The two most important limitations are the relatively small sample size used in the study and the results obtained with the organization structure variable. Similar studies in other specific production process contexts should also be undertaken.
Practical implications
Results obtained contribute to demonstrating the applicability of the operations strategy framework to the study of operations management in different environments and its coherence with the specific variables that are used to characterize them.
Originality/value
This study is virtually breaking new ground, prompted by recent calls for empirical research and for testing developed theories on operations management.
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Bob Lillis and Marek Szwejczewski
The purpose of this paper is to close the gap between theoretical approaches to strategic operations auditing and empirical analysis of practice in service organisations. Through…
Abstract
Purpose
The purpose of this paper is to close the gap between theoretical approaches to strategic operations auditing and empirical analysis of practice in service organisations. Through analysis of the two different views of strategy formulation – environment‐market and resource‐based – the paper aims to provide insights on how strategic operations audit methods are being used and under what circumstances.
Design/methodology/approach
The case study methodology was employed which involved a three‐stage data collection and analytical process. Its purpose was to identify how strategic operations audit methods were being used, why they were used and the particular circumstances of their use. Trails of operational improvement within each of six case studies show links between service operational activities, the benefits achieved by the improvements and the formulation and/or execution of each service company's business strategy. These trails of improvement provided a means by which to reveal some of the strategic operations audit methods being used. In addition, interviews and analysis of supporting documentation ensured the complete set of methods being utilised was identified.
Findings
The results indicate three main findings. First it is recognised that the service companies all look to adopt a top down approach to strategic operations auditing and seek to maintain, and where possible, gain greater strategic impact from their service operations. Second, the competitive state of the business impacts the choice of strategic operations audit method used. All companies studied employed an environment‐market method to assess operations – market fit. Only when a company is confident of its competitive position will managers then look to also devise a resource‐based method in order to assess its current ability to nurture new capabilities to exploit. Third, companies use a variety of integration techniques to verify on‐going cohesion across infrastructural decision‐making categories of the content of service operations strategy. The assessment of cohesion within service operations strategy takes place within subsets of the content of the strategy. The authors did not find integration techniques that hone structural decision categories or service operations strategy as a whole. The results also show that methods used by managers are pale imitations of the rigorous procedures originally devised by researchers.
Practical implications
Service operations managers possess inadequate understanding of how the application of a strategic operations audit method should be made and limited ability to undertake the audit in a structured and meaningful way. A strategic operations audit methods selection process is put forward to remedy this. The process acknowledges that the choice of a particular method is contingent on the stage of development of the company's service operations strategy. It guides managers through the decision‐making process of what strategic operations audit method to use and when managers should be using it. The message for academics is that new resource‐based methods need to be created that are accessible to managers and relevant when service operations strategy has successfully evolved to the point where greater influence is being sought from it in the formulation of business strategy.
Originality/value
An empirical study within service operations management of the practice of strategic operations auditing is rare. The paper's findings begin to address the gap between theory and practice. The paper presents revisions and additions to the operations manager's tool kit of strategic operations audit methods and culminates in a selection process to guide managers on which tool to use and when.
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Cinzia Sansone, Per Hilletofth and David Eriksson
The purpose of this paper is to investigate systematically the topic of operations capabilities within the operations strategy area. The output is a framework that will benefit…
Abstract
Purpose
The purpose of this paper is to investigate systematically the topic of operations capabilities within the operations strategy area. The output is a framework that will benefit researchers and firms to gain a more complete understanding of critical operations capabilities.
Design/methodology/approach
The research methodology is a systematic literature review. The aim of this study is to provide a snapshot of the diversity of studies being conducted in the field of operations capabilities, within the operations strategy area. In total, 157 papers were taken into consideration. Various operations capabilities were identified and synthesized in a conceptual framework.
Findings
The output of this paper is a conceptual framework of critical operations capabilities. Different operations capabilities and dimensions were identified in the literature. In total, seven dimensions were identified and included in the framework: cost, quality, delivery, flexibility, service, innovation, and environment.
Research limitations/implications
This research was conducted through a systematic literature review. The framework presented in this paper provides a summary of critical operations capabilities, and in addition theoretical support for managers and firms wishing to formulate an operations strategy.
Practical implications
In general, this research sets the basis for managers and practitioners concerning the formulation of successful operations strategies. In the long term, a deeper understanding and shared knowledge about competitive priorities and operations capabilities can positively influence the success of firms.
Originality/value
This paper extends the theory by providing researchers and managers with updated knowledge on operations capabilities.
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John Flanagan and Candice McGovern
This study aims to investigate how radio frequency identification (RFID) is used and opinions about RFID in two world-leading logistics companies and four organisations in their…
Abstract
Purpose
This study aims to investigate how radio frequency identification (RFID) is used and opinions about RFID in two world-leading logistics companies and four organisations in their supply network. Operations strategy was used to understand the sources of operations improvement and associated competitive advantage. However, the complexity of operations strategy hampers an evaluation of the benefits of RFID for logistics processes. We can evaluate RFID applied in logistics processes by thoroughly applying the theories of operations strategy.
Design/methodology/approach
Participants were recruited based on their roles and level of experience using non-probability purposive sampling. The findings were checked with participants to confirm interpretations and to ask confirming questions as necessary. Interviews were conducted as video chats. NVivo Pro was used for the fragmentation, classification, management and analysis of the primary and secondary data, allowing themes and relationships to emerge inductively. The literature was compared with the primary data.
Findings
The findings reinforce the argument that a firm can improve more than one performance objective at a time; show the relevance of technology and an operations performance objective; support the argument that top management strategies to implement technology should be aligned with the operations strategy and business aspirations.
Research limitations/implications
This research area would benefit from more detailed investigation to strengthen the arguments for the relationships between RFID capabilities and elements of operations strategy for logistics processes. The findings indicate that top management support of strategically aligned RFID projects will have the best chance of success if they create and leverage valuable data whilst addressing identified competitive priorities.
Practical implications
Smart connected devices, such as RFID, give firms access to big data, which can be used to develop long-term processes, to achieve competitive advantage and access new forms of economic value. RFID cumulatively influences the operations performance objectives of cost, quality, flexibility, speed, dependability and technology. Business strategies based on technology should align with operations strategy.
Social implications
The sharing of operational performance results, both before and after the implementation of RFID, will help to build learning within operations, increase the support of senior management and improve the performance of logistics processes with the associated benefits for society at large.
Originality/value
RFID is often evaluated in terms of theoretical technical or cost benefits. This research evaluates RFID by assessing and suggesting how it can contribute to operations strategy.
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Yazan Khalid Abed-Allah Migdadi and Abeer Ahmad Omari
The purpose of this paper is to identify the best practices in the green operations strategy of hospitals.
Abstract
Purpose
The purpose of this paper is to identify the best practices in the green operations strategy of hospitals.
Design/methodology/approach
A total of 25 cases from all over the world were investigated. The source of data was the annual sustainability reports that were retrieved from Global Reporting Initiative (GRI) database. The present research adopted the benchmarking method and the quantitative content analysis of sustainability reports. Then, the indicative models of best practices were developed by using two analysis approaches; within cluster analysis and across clusters analysis.
Findings
This study found four major taxonomies of green operation strategy in hospitals. The significant strategic groups were resources/waste management; electrical power management; non-hazardous waste management; and emissions/resources management. Indicative models for the relationship between actions and key green performance indicators were developed in the two stages of the analysis.
Originality/value
The best practices of green operations strategies in hospitals have not so far been investigated. Countries around the world should obey the new regulations for their environmental footprint; if they do, it will exert pressure on all sectors and organizations at all levels to take immediate steps to measure and improve their environmental performance.
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Poliana Martins, Edson Pinheiro de Lima, Sandro César Bortoluzzi and Sergio E. Gouvea da Costa
In this study, the performance assessment of credit unions is developed, seeking to demonstrate how the content of their operations strategy is present in the structuring of…
Abstract
Purpose
In this study, the performance assessment of credit unions is developed, seeking to demonstrate how the content of their operations strategy is present in the structuring of unique models of organisational performance assessment. The main objective is to compare sources of knowledge through the content analysis of the service operations strategy as proposed by the literature and validated by specialists.
Design/methodology/approach
This research is a qualitative study that uses the knowledge of specialists to frame a performance assessment structure applied to credit unions. The research strategy is based on multicriteria analysis, and the selected techniques are based on the MCDA-C procedure, that is, the processes of structuring, evaluating and recommending improvements.
Findings
The research results provided: a data set external to the context that serves as theoretical support for the comparisons made; the structuring of 4 unique organisational performance assessment models carried out through the MCDA-C procedure; conceptual interpretation using the lens of the operations strategy in the cognitive maps of the assessment models, which identifies the operations strategy carried out; and comparison of the result models that show their uniqueness.
Originality/value
The comparison between the origins of knowledge is highlighted, and the demonstration of the content was proposed by the literature and by specialists to evaluate the performance in operations. This was then compared with the content constructed with credit union managers in structuring models based on the singularities of the respective contexts. The theory was compared to practice, and it was demonstrated how the content of the operations regarding the performance could be used in decision contexts.
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Curtis P. McLaughlin, Ronald T. Pannesi and Narindar Kathuria
The manager who moves from manufacturing to services or theprofessor who wishes to research and teach service operations mustrecognise the key differences for developing an…
Abstract
The manager who moves from manufacturing to services or the professor who wishes to research and teach service operations must recognise the key differences for developing an appropriate operations management strategy in a service business. For this process to be successful, the operations manager must participate assertively in the strategy debate. In manufacturing it is important that the functional strategy supports the corporate strategy in the marketplace and is co‐ordinated with other functional strategies. There is sufficient buffering between the manufacturing system and the customer that functional strategies can be developed within corporate strategies and then be co‐ordinated. In services, however, there are many issues where co‐ordination is not an adequate response. Virtually all strategic issues involving customer contact and front‐office operations must be the result of joint decision making involving marketing, operations, finance, and human resources. What little buffering there is occurs between the front office and the back room. This interface then becomes the locus for interfunctional co‐ordination on strategic issues. Consequently, planning for the front‐office operation differs in many ways from the manufacturing strategy development, while the back‐room strategy differs little from the manufacturing strategy model. This article outlines and contrasts the processes for both manufacturing and services, paralleling the models of Wheelwright and Hayes and Hill. The observed process differences have major implications for both teaching and research in service operations. The new and interesting issues are predominantly interfunctional and, given the intellectual backgrounds of the various functional areas, interdisciplinary.
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Argues that operations strategy research should integrate recent theories from the resource‐based view of strategic management. Going beyond the model of Hayes and Wheelwright…
Abstract
Argues that operations strategy research should integrate recent theories from the resource‐based view of strategic management. Going beyond the model of Hayes and Wheelwright, this would call for the end of the market‐based view, where operations strategy merely follows the directions set by the marketing function. It would emphasize the dynamic development and leveraging of competencies and capabilities in order to set new business diversification strategies. A new paradigm of operations strategy could emerge, where “management fundamentals” such as learning and culture would be actively integrated within operations, in order to become key sources of competitive advantage. Accordingly, the operations function could progressively: take the leadership of strategy formulation; create “portfolios” of optional capabilities for strategies of organizational agility; and implement world‐class practices more effectively through evolutionary strategic frameworks.
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