process strategy
Every working day, consumers all over the world tend to attain different types of products, which range from standardized commodities such as gasoline and oil to items that are purchased in wholesale and many more services. For every company to create a product with high quality and cost-effective, a manufacturing process that matches the product must be selected to promote the above factors. Therefore, the product being processed determines the process strategy. The strategic process attains two considerations: variety and volume of demand of the product, the flexibility of the product. Briefly, the process strategy should be designed to achieve a competitive advantage, to attain a distinction of the products, response, low price, excluding the steps that do not make any meaning to the stage, and finally, considering the value of a customer and their product satisfaction.
Discuss how the matrix is used (explained in the video and the slides) to classify the process.
Variety and volume are the factors of strategic process consideration. The two elements are seen to be on the vertical and horizontal axes of a graph. The result of the figure is referred to as the product-process matrix. The most efficient manufacturing and production processes are located at the diagonal point on the graph. For instance, if a standardized product is required in huge volumes and amounts, a continuous process is the best choice of procedure. The process is characterized by highly equipped and specialized skills, little flexibility, and almost automated. For instance, the manufacturer of gasoline BP refines crude oil into premium fuel in refineries across the globe. The production is non-stop because the need for its product is constant. Therefore, due to these large capacitated operations, shutting down is very expensive. It can cause a drop in profitability for almost a whole year.
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