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Operations Management12 OPERATIONS MANAGEMENT Name Course: Professor's Name Institution City Code

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Operations Management12 OPERATIONS MANAGEMENT Name Course: In 2010 Professor’s Name Institution City Date Date Table of content Introduction.................................................................3 Principal Operation Tasks........................................................... ....4 Design process......................................................4 Products Development Process...................................................5 Distribution Process................................................5 Analysis of Process strategies......................................................... ...6 Retail Process........................................................6 Inventory Management...................................................... ......8 Conclusion and Recommendations..........................................................9 References......................

Operations Management12 OPERATIONS MANAGEMENT Name Course: Professor's Name Institution City Code

   Added on 2020-03-16

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Operations Management 1 OPERATIONS MANAGEMENTNameCourse:Professor’s NameInstitutionCityDate
Operations Management12 OPERATIONS MANAGEMENT Name Course: Professor's Name Institution City Code_1
Operations Management 2Table of content1.0Introduction.................................................................................32.0Principal Operation Tasks..................................................................42.1Design process......................................................................42.2Products Development Process...................................................52.3Distribution Process................................................................53.0Analysis of Process strategies..............................................................63.1Retail Process........................................................................63.2Inventory Management..............................................................63.3Communication and Marketing.....................................................64.0Operations Management Success............................................................75.0Operation Challenges..........................................................................86.0Conclusion and Recommendations..........................................................97.0References......................................................................................11
Operations Management12 OPERATIONS MANAGEMENT Name Course: Professor's Name Institution City Code_2
Operations Management 3OPERATIONS MANAGEMENT1.0 IntroductionSuccess in any business has for a long time been attributed to be based on strategic managementof its key functions and operations. Today’s vast technological advancements havetremendously increased competition in global business space. One way of evaluatingsustainability of a business is by assessing its grip in the market of concern. Zara is a companythat specializes in retail services of textile products, mostly clothes and bags. It was founded in1975 and is a subsidiary of Inditex, the predecessor and manufacturer of the retailer’s products.Market domination depend on how best services or products are provided and the extent towhich customers or clients are satisfied. This satisfaction is attained through operations functionsthat create and deliver services and products to an organization.Zara is facing tough competition from main rivals such as Benetton, Gap and H&M, all who arelooking forward to a greater share in the market. One of the major advantages Zara has overother competitors is the direct control and coordination from the mother company, Inditex. Thepresent state of success at Zara can be attributed to its consciousness to factors affecting itsoperations directly and indirectly. The fact that it developed and established a unique supplychain has enabled the business to lead the fashion industry. PESTEL analysis of Zara will help inunderstanding its contributions in the fashion industry, based on its performance in relation toexternal and internal environmental factors (Khanna, 2015).The company’s unique philosophy and policies contribute to its success in a great way. Highdelivery speeds, short response time, use of technologically advanced approaches, good use oforganizational resources, timely operations, legal compliance and adoption of vertical integrationare the core competence attributes that have placed Zara in its strategic position in fashionbusiness. Politically, the business has achieved cross boarder penetration to experience presencein different countries in and regions. This has been achieved over time and in chronologicalmanner. Zara first opened up its expansion for international coverage in 1988 when the businessentered Portuguese market. In 1989, it entered the United States then France in 1990 followed byMexico (1992), Belgium, Sweden and Greece in 1993. It furthered its international penetration tocover Asia with entry to Japan in 2002 then Russia and Malaysia in 2003, China and Romania in2004, Indonesia (2005), South Korea (2008) and India in 2010. In 2011 Australia and SouthAfrica were reached.
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Operations Management 4Technologically, the company is diverse and advanced. In September 2010, Zara opened its firstonline stores in Spain, Portugal, Germany, the UK and France. Online services then extended tofive other countries in November the same year. This included the United States (2011), Canadaand Russia (2013) followed by openings in Romania, South Korea and Mexico in 2014. Tofurther enhance service delivery, introduction of use of RFID technology was launched in 2014.This technology involves use of RFID chips placed in tags to monitor stock. When an item issold, a signal is received from RFID chip which notifies the stockroom to make replacement.2.0 Principal operation tasks2.1 Design processTo ensure smooth and well-coordinated design process is one of the key task of operationsmanagement in this company. Zara has organized its design procedures in a way that spells bigdifference from what the competitors do. To achieve this, three separate functions are managedin coordination to ensure the input variables and parameters are in compliance to the expectedhigh quality products that will satisfy customers to their best interests. This is done through acontrolled design process in form of a production principle that is described as “just in timeproduction”. The three functions comprise of designers, customers who place orders and marketspecialists. At Zara, operations are categorized with consideration of men, women and childrenwear. In close proximity to the retail stores and in different localities across all regions that Zaracovers, are offices for designers and market specialists (Chen, 2015). These offices are strategically located so as to critically capture the third necessity of input forimprovement of designs; the customers. The specialist and designers engage customers in smallworkshops within their offices to discuss and experiment various design prototypes. Thisstrategic positioning of designers’ and market specialists’ offices next to retail stores allows themto constantly engage in timely discussion of various aspects arising from customers reactions to anew design in the market. This helps the company to know what feedback to expect and reactaccordingly. It is for this reason that customers are always astonished that their suggestions abouta design appears to be considered in real time and that new designs incorporating theirsuggestions are placed in the market in very short periods of time. This strategy ensures a closedloop system whereby the retail stores do not mark the end of supply chain but importantbeginning of next new styles and designs that are more enhanced and more detail oriented(Taghipour & Frayret, 2013). This improves the input parameters in the next generation products
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