Question

Identify how changes within an organization affect the OM strategy for a company. For​ instance, discuss what impact the following internal factors might have on OM​ strategy:
a. Maturing of a product.
​b. Technology innovation in the manufacturing process. ​
c. Changes in laptop computer design that builds in wireless technology. ​
Select all of the correct impacts the maturing of a product might have on the OM strategy below. ​(Check all that​ apply.)
a. Cost-cutting is instituted.
b. Inventory needs to be revised.
c. Product design needs to be revised.
d. Product changes decrease.
e. Design compromises are instituted.
f. Purchasing needs to be revised.

Answer 1

Answer:

a. Maturing of a product

When the product reaches its maturity stage, its sales volume reduces considerably. This would require different marketing strategies like product enhancement, price changing or developing new designs, etc.

b. Technology innovation in the manufacturing process

This will cause many changes in the strategy as technological innovation would reduce manual labor cost. Also, the organization would need skilled employees to deal with the new technology.

- Cost cutting is instituted.

- Product changes decrease.

- Design compromises are instituted.

- Labor Skills decrease

- Optimum capacity may be achieved

- Manufacturing process stabilizes