SIM BUS2113 Operations Management: MSI Gaming Laptops Analysis

This report provides a comprehensive analysis of Micro-Star International (MSI) gaming laptops from an operations management perspective. It examines MSI's competitive strategies, including product differentiation and focus strategy within the gaming niche. The report delves into the design concepts employed by MSI, highlighting both robust and modular approaches, such as the use of aluminum chassis and upgradeable graphics cards. Furthermore, it discusses the potential internal and external failure costs associated with MSI's manufacturing processes, including rework costs and warranty claims. The analysis identifies MSI's process strategy as a repetitive focus, detailing the various stages of the assembly process from motherboard design to system optimization and testing. The report concludes by referencing relevant sources and providing a thorough overview of MSI's operational practices in the context of gaming laptop manufacturing. Desklib provides access to similar solved assignments and past papers for students.

Operations 1
OPERATIONS MANAGEMENT
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Operations 2
Question 1
The manufacturer chosen is Micro-Star International and the product to be discussed is
gaming laptops. The company is a Taiwanese multinational technological company located in
New Taipei City, Taiwan. The company has made considerable strides in the market mainly due
to its tactics and competitive strategies it has adopted. To begin with, we have product
differentiation. Micro-Star International gained its reputation when it differentiated its laptops
and into gaming laptops (McGrath, 2000, p. 54). This provided an opportunity for the company
to grow and expand its franchise in the market.
Secondly, we have focus strategy. Besides other products, MSI chose to concentrate on
the gaming niche. According to Ala (2018), this has provided the company with the
understanding of the dynamics of the laptop gaming market. The company has been able to meet
the unique needs of its customers at a considerable price. It has also built strong brand loyalty
among its clients.
Question 2
Micro-Star International adopts both robust and modular design concept in its gaming
laptops hence drawing more customers to its products. On the robust design, we have different
concepts applied. To begin with, MSI utilizes aluminum chassis on its gaming laptops. This
increases stiffness and durability of the laptops against denting, bending or warping (Wolf et al,
2007, p. 17). Secondly, we have excellent cooling systems. The MSI gaming laptops are fitted
with various modules for cooling of their graphics processing unit and the central processing

Operations 3
unit. The heat pipes fitted promote an optimized thermal conductivity hence performance is not
compromised.
On the other hand, modular design concepts are implemented in different ways. To begin
with, MSI has designed its laptops such that the graphics cards can be upgraded. This allows
users to unplug and replace the graphics cards easily. Secondly, we have the detachable
touchpad. This modular concept has enabled the customization of the user’s touchpad when
gaming depending on the user needs (Chang, 2006, p. 35).
Question 3
Micro-Star International massive manufacture of gaming laptops could lead to Internal
failure costs in the future. One, we have rework costs. This refers to the costs incurred in
correcting errors or defective materials. In case of errors present during the manufacture of this
high-end laptops, it would cost the company some money. Secondly, we have failure of analysis
costs. This refers to the expenses involved in the failure of a service or internal product. For
example, failure of the motherboard of the gaming laptops may incur costs to analyze the
problem.
On the hand, MSI has faced some external failure costs over the years. One, we have
warranty claims. Laptops that are replaced due to failure have incurred the company extra costs
(Kiili, K., 2007, p. 396). Secondly, Product recalls, or returns for investigations have cost the
company. For example, costs such as transportation costs.

Operations 4
Question 4
Micro-Star International applies the repetitive focus process strategy. This is because
MSI manufactures different modules or components of its gaming laptops in a continuous
process (Geurts et al, 2007, pp.535-558). The assembly process for MSI gaming laptops involves
various stages, and they include;
1. Motherboard design.
This involves the creation of the motherboard circuit. The motherboard standoffs are configured
in the right places to be aligned with the motherboard.
2. Motherboard insertion.
In this stage, the CPU and RAM are inserted into the motherboard depending on the
requirements of the gaming laptop. After, the motherboard is inserted into the case and every
wiring and components needed is done and set in place.
MSI’s Gaming Laptop Factory, (2018). Mother board insertion and design.
3. Graphics card installation.

Operations 5
The graphics card chosen is determined and inserted into the laptop. Majorly, in MSI gaming
laptops, the graphics cards used include the NVidia graphics or the Radeon graphics.
4. Disk driver installation.
The hard drives or SSD to be used are installed close to the fans. The drive cables are installed
carefully to ensure data is directed effectively.
MSI’s Gaming Laptop Factory, (2018). Installation of drives.
5. Motherboard and processor updates.
The latest bios is flashed in the motherboard, and any critical fixes are corrected hence reducing
system errors. The bios is checked to ensure the drive or SDD is detected.

Operations 6
6. System optimization.
Adjustments are made on the motherboard and BIOS to ensure peak performance and the
operating system is installed. Optimization of the disk performance and Ram management is
conducted to meet customer requirements (Mayo, 2010, p. 39).
7. Testing.
Different types of testing are conducted on the gaming laptop to determine if it meets the specs
declared. The testing period determines if the customer will receive a great experience.
MSI’s Gaming Laptop Factory (2018). Product testing.
8. Packaging and shipping.
The laptops are packed with the accessories required, and shipment is made to the warehouse.

Operations 7
References
Ala, B. (2018). Micro-Star International (MSI) SWOT Analysis - Bohat ALA. [online] Bohat
ALA. Available at: https://bohatala.com/micro-star-international-msi-swot-analysis/ [Accessed
21 Jul. 2018].
Chang, H., Micro-Star International Co Ltd, 2006. Heat dissipating device. U.S. Patent
7,111,667.
Geurts, J.L., Duke, R.D. and Vermeulen, P.A., 2007. Policy gaming for strategy and
change. Long Range Planning, 40(6), pp.535-558.
Kiili, K., 2007. Foundation for problem‐based gaming. British journal of educational
technology, 38(3), pp.394-404.
Mayo, M., 2009. Bringing game-based learning to scale: the business challenges of serious
games. International journal of Learning and Media, 2(2-3), pp.81-100.
McGrath, M., 2000. Product strategy for high technology companies. McGraw Hill Profession
Wolf, B., Bansemer, M., Saffari, A., Shaffer, S., Kinsley, M. and Lundy, C., IGT Inc,
2007. Methods and devices for managing gaming networks. U.S. Patent Application 11/225,407.
Yau, P. (2018). Photo Essay: MSI’s Gaming Laptop Factory in Kunshan, China. [online]
Lowyat.NET. Available at: https://www.lowyat.net/2017/135106/photo-essay-msis-gaming-
laptop-factory-kunshan-china/ [Accessed 21 Jul. 2018].