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Essay / Operational strategies that management can use to...
Operations refer to the transformation of raw materials (inputs) into finished products (outputs). The business process is one of the key functions of the business and is a crucial element of business success. Like any business, Qantas is affected by many internal and external influences which require effective strategies to respond to these influences. Companies that are able to adopt and use effective operational strategies are able to quickly adapt and reduce or take advantage of these influences that impact the business. The effectiveness of these strategies can be measured by Qantas' performance and whether or not it is able to maintain its competitive advantage. How these strategies respond to influences on operations will determine the level of success Qantas achieves. One of the many influences that affect Qantas is the presence of globalization, which has greatly affected the airline, both positively and negatively. Globalization is a process that refers to the increased integration between different countries and economies as well as the increased impact of international influences on all aspects of life and economic activity. Globalization is responsible for the removal of many trade barriers and the increased level of competition that Qantas has been exposed to. Increased levels of competition have increased consumer sovereignty and forced Qantas to implement strategies to gain competitive advantage in order to redirect consumers to their business. Qantas has implemented a cost leadership strategy in response to globalization and the influence of cost-based competition. Qantas has achieved this in part by using globalization itself to the company's advantage. Globalization is in the middle of the document. In conclusion, the strategies used by Qantas to deal with these influences have all been relatively effective. The use of technology has been most effective in providing the company with a competitive advantage and has very few disadvantages compared to other strategies. Operations management has coped with globalization effectively, significantly reduced costs and provided the company with a competitive advantage at the expense of its reputation and individuality. Strategies involving product differentiation have been used very effectively and are beneficial to Qantas. However, the more Qantas uses cost leadership strategies, the more the company risks losing its own individuality as a “red kangaroo”. Overall, Qantas has managed to maintain its operations with some success and has managed its influences very well..