Business Operations -- Analysis of Lens Crafters -- Case Study
Operations Management is a key to effective business. A notable business that effectively uses operations management is LensCrafters. LensCrafters employs an effective operations strategy that has honed a highly effective value chain with several state-of-the-art technologies that very favorably impacts customer experience. As a result, LensCrafters is quite successful in maximizing its profits in a highly competitive market.
Operations Management and the Five Competitive Priorities
Operations Management is the control of business processes to generate the greatest possible efficiency in an organization. It is focused on transforming materials and labor into goods and services as effectively as possible to maximize profits. There are five key competitive priorities in operations management: cost; quality; flexibility; delivery performance; and innovativeness (Kim, Sting, & Loch, 2014, p. 467). Cost involves monitoring expenditures and effectively distributing those costs on various products and/or services. Quality focuses on ensuring that products and/or services and their processes work and obey with specifications. Flexibility is the ability to manage changes in product mix or service mix, volume, equipment and/or workforce. Innovativeness focuses on how quickly new products, services or processes can be employed and effectively marketed. In combination, these five key competitive priorities help form a strategy or strategies to improve a company's position in the market and guides decisions regarding such processes as capability, technology, production processes, planning, and control (Kim, Sting, & Loch, 2014, pp. 468-9). The strength or weakness of the operation strategy depends on the amount of consistency between the organization's state emphasis on competitive priorities and the actual decisions about operational structures/processes. In a highly competitive market, there are often trade-offs made regarding each competitive priority because businesses cannot normally be the top performer in every characteristic. In order to create and maintain a workable management strategy, the five key priorities are divided into decision categories, which are prioritized by the recognition and development of order winners and order qualifiers. Order winners are qualities that will make it likely for the company to obtain new orders for product/services. Order qualifiers are qualities that are necessary for competing in the marketplace (Collier & Evans, 2012, p. 126). Both order winners and order qualifiers are constantly reevaluated and altered in order to stay as competitive as possible in a changing and highly competitive market.
2. LensCrafters' operations strategy and its mission to gain a competitive advantage in terms of sustainability.
LensCrafters' operations strategy is the effective combination of products in the form of high-quality eyewear and services in the manners of fast, accurate eye examination and one-hour service from examination to finished product (LensCrafters, 2016). The company focuses on time and quality of service as its highest priorities and potential order winners. LensCrafters offers an extensive benefit package to its customers in the forms of convenient locations; professional and friendly employees; modern equipment in its showrooms; one-hour service; eye examinations and related services; eyewear; eyewear accessories and cases; and contact lens accessories (Collier & Evans, 2012, p. 126). LensCrafters achieves its competitive edge through efficient production and an attractive service delivery system. Its efficient production consists of rapidly producing eyewear in each store's "backroom factory" without sacrificing the product's quality. Its service delivery system is: conveniently located in high-traffic areas; a system and designed space that projects high quality and professionalism; accomplished through 11 separate in-store work roles; and designed to allow customers to see the eyewear being produced in each store's optical laboratory. LensCrafters' strategy greatly assists its sustainability by delivering such a convenient, rapid, high-quality service and product with so little waste of time and material that the company has created long-term strategies for retaining customers, attracting new customers, attracting highly professional employees and retaining highly professional employees.
3. Analyze how operation management activities affect the customer experience. Select two (2) operation management challenges and provide the solutions for confronting them.
In the case of LensCrafters, operation management activities affect customer experience in that the company has designed a rapid system of examination and eyewear production that will serve the customer with high quality eyewear in an exceedingly short amount of time. Two operations challenges in this regard are: conflicting internal processes, such as differing methods of eye examination; and inconsistent methods of producing the eyewear. At LensCrafters, the possibilities of differing methods of eye examination and inconsistent methods of producing eyewear are confronted by a management strategy that openly communicates and ensures that all team members understand how the organization operates and follow those...
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