Operations management Course 2022

Running head: Operations management
Operations management
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Operations management
1
Executive summary
The company Blackberry has failed to identify the position within the economy as
they were unable to bring in the quality level of innovation within their operation and
business process. The company has, however, failed to identify the gaps in the marketing of
their products and it has been seen that most of the other companies in the android market are
overcoming the market of Apple and IOS. Through the innovation of disruptive innovation,
the company aimed to increase its money return and market share. The company failed to
identify the change that would have definitely improved their position. They have not
successfully invested innovative strategies in the form of making a better quality of
smartphones. In fact, the Apple Company has faced the loss in the development of the
business due to lack of innovation in the form of high class of change. Most of the companies
belonging in the smartphone industry have the USP of both hardware and software. Even the
weight of the phones nowadays can be a big problem for the customers and Blackberry was
continuously having faulty keyboards and other perspectives. Through the brand image and
brand loyalty, most of the brands face better economies of scale and market the products in a
better and uplifting way. Part of the strategy, the blackberry company, said that they would
launch the BBM messenger in both android and IOS platforms, but someone had leaked
unreleased versions with 1.1 million active members. In order to restrict customer trust, the
Blackberry Company had to stop the launch of the BBM messenger. The competencies that
are going to be developed within the smartphone market due to the existence of the Android
market. The acquisition of Blackberry by Fairfax Financial Holding for $4.7 billion has made
the situation worse. This has made the company lose about $950-$995 million.

Operations management
2
1.0 Introduction
From the point of view of modern business, Canada has felt the consequences of the
lack of innovation in the development of the resources. Most of the companies that have been
originated in Canada is not following the trend of change much. Most of the business
advisors are claiming the fact that in order to increase the position of their business, in the
long run, innovation is highly essential but this tendency of change is missing in case of
Canada. Moreover, through the utilisation of resources, both private and public companies
can bring in high quality of innovation that will definitely help in the growth of business. The
study has taken the example of Blackberry as the organisation to highlight the importance of
change in the existence models of business in the market. Due to a lack of innovation, the
Blackberry Company vanished from smartphone manufacturing.
2.0 Explain an organization’s business model
The business model of Blackberry is outdated. Throughout the span of their business
tenure, they did not think of bringing innovation in their marketing. Even they have not done
anything to improve the existing models and equipment. Apart from this, the reduction of
workforce in Blackberry occurred to be almost at 40%. The acquisition of Blackberry by
Fairfax Financial Holding for $4.7 billion has made the situation worse. This has forced the
company to lose about $950-$995 million (Beaulieu et al. 2014). During the period of 2012-
2013, the IOS and OS version smartphones were new things that the market was expecting to
be brought. Prior to this, the Blackberry Company was well known in the smartphone market
for bringing in first QWERTY keypad phone (BlackBerry Mobile, 2019). The latest
smartphone Z30 was about to run on BB10 OS version 10.2. Z30 and as per the makers it was
expected that this phone would definitely fill the gap of falling sales of BB10 phones. It has
only shipped 2.7 million phones out of 6.8 million units that the company has manufactured.

Operations management
3
Slowly the demand was falling, and rising inventory of phones forced the company to face
the loss of around $960 million.
The company needed something special out of the box in order to maintain their brand
reputations in the OS version of smartphones as they brought in the concept of QWERTY
keyboard. Initially, the company had lots of defects in the production and marketing of their
smartphones (Schwaag Serger & Wise, 2016). They even did not paid much attention in
developing new platforms that could have tackled the heat wave of iPhone and android based
smartphones. Merely, in one year, Android smartphones took over the reign within the
smartphone industry, even in Canada.
2Q 2013 2Q 2012
units in 1000
% of the
total
units in
1000
% of
the total
Android 177898.2 79 98664 64.2
ios 31899.7 14.2 28935 18.8
Microsoft 7407.6 3.3 4039.1 2.6
Blackberr
y 6180 2.7 7991.2 5.2
Table 1: market share comparison of Blackberry
(Source: Snowdon, 2015)
The above chart is clearly showing the fact that in order to increase their productivity
and market share, it is essential to bring in a continuous level of innovation. In 2012, in the
second quarter, Blackberry was the company with the highest number of smartphones being
sold. The percentage of market share was around 5.2%, and the whole scenario got reversed