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Abc Microchip Company Unit 5 Db


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There is no doubt that Organizations face competitive markets which is good because Organizations from all over the world need to practice continuing process for improvement if they want to evolve and maintain profits. (Crowley, M., Unit 5 Live Chat Session 2009) There are requirements that need to be put to work in order for this process to work though which will be described in detail throughout this article. You will be able to see in this article how the ABC Microchip Company can take the 6 Value Chain Management requirements and put them to work in order for the Organization to remain competitive in the long run. (AIU Online, 2009)

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Abc Microchip Company Unit 5 Db

  1. 1. Controlling<br />Carla J. McCoy<br />Unit 5 Discussion Board – MGT240<br />March 12th, 2009<br />American InterContinental University<br />Introduction<br />There is no doubt that Organizations face competitive markets which is good because Organizations from all over the world need to practice continuing process for improvement if they want to evolve and maintain profits. (Crowley, M., Unit 5 Live Chat Session 2009) There are requirements that need to be put to work in order for this process to work though which will be described in detail throughout this article. You will be able to see in this article how the ABC Microchip Company can take the 6 Value Chain Management requirements and put them to work in order for the Organization to remain competitive in the long run. (AIU Online, 2009) <br />Putting Requirements to Work to remain Competitive<br />The pressures of Competitive forces such as the makers of “clone” microchips will enhance product changes by shortening product and technology development lifecycles. Knowledge is important to have and is different from industrial resources. It can be in more than one place at one time, and may be permanent or time sensitive. Knowledge has been expressed and transferred in various ways such as through recorded experiences, materials for education, statistics, collections, lectures, training, rules, policies, expert systems, and diagrams. Intellectual capital can be put to use to create wealth but if you can’t measure it you can’t manage it. (Author Stream, 2007)<br />When looking at Value Chain Management, Preservation is another key to success here where knowledge is captured and inventoried, Organized and Mapped, Stored with Capacity, can be retrieved through Access, and be maintained with Continuity by Management. (Author Stream, 2007) The ABC Microchip Company could use Coordination and Collaboration by making sure that collaborative relationships exist among all chain participants. Each Partner within the ABC Microchip Company needs to identify valuable things like their customers do. Being flexible and sharing information is an important part of Coordination and Collaboration because it matters who within the corporation is doing what. This requires chain partners to have better open communication skills. If the ABC Microchip Company had better communication not only with it’s customers but with chain partners and suppliers as well it would facilitate a good timely delivery of goods and services. (Robbins, S., & Coulter, M., 2007) <br />One thing that is very common among Organizations is if you take two Organizations in the same industry that is selling the same “type” of products, neither one of them will have the same strategy towards the customer. Here’s a good example: Take a look at ABC Microchip Company vs. DEF Microchip Company. ABC Microchip Company will sell PCs whose configuration corresponds to specifications that are given by the customer when they place orders such as (Intel Pentium Pro, 32M of Ram, etc…) This Organization has high expectations of its parts suppliers to be very reactive because they want to satisfy the customer. The DEF Microchip Company however sells PCs based on what the availability is in stock and do not assemble PCs due to individual demand. This company will always have a large stock of PCs that are already built and won’t have much reactivity from their parts suppliers. This company however doesn’t show very much flexibility towards the customer like ABC Microchip Company does. (, 1998)<br />Another requirement the ABC Microchip Company would need to maintain in order to remain competitive would be their Technology Investment because it isn’t possible to have a successful value chain management without it. This can be used to restructure the value chain. If the ABC Microchip Company has a good comprehensive IT Department that has a good strategy and extends globally, this would significantly improve work progress which will serve end users quite nicely. (Robbins, S., & Coulter, M., 2007) One thing the ABC Microchip Company might consider when it comes to Technology Investment is to review the Stages of Maturity which are: 1). Creating investment awareness. This would involve spending without disciplined investment processes. 2) Building the investment Foundation. This would involve meeting business needs, selecting an investment, and providing investment oversight. 3) Developing a complete investment portfolio which would involve Creating, Evaluating, Defining and Conducting Portfolio Criteria as well as conducting post implementation reviews. 4) Improving the investment process which would be to improve performance and making sure to manage the succession of information systems. 5) Leveraging IT for strategic outcomes would involve optimizing the investment process and using IT to drive strategic business change. (Highlights of GAO, 2004)<br />Organizational Processes are also required and should be radically changed by management when they decide to manage operations using value chain management by getting rid of old processes no longer appropriate and creating new ways that organizational work is done. ABC Microchip Company needs to plan and carefully work out all applied processes. Organizational processes require many questions that need to be answered for each and every process when it is critically being evaluated from beginning to end in order to see where value is being added. Better demand forecasting will be required at ABC Microchip Company and will be possible due to closer ties with customers as well as suppliers. Selected Functions will need to be done collaboratively among other partners and extend to employees. And finally there are new Measures being evaluated for performance of various activities along the value chain. ABC Microchip Company’s goal is to meet and exceed customer needs and desires and Managers are in need of better ideas on how well this value is being created and delivered to its customers in order for the end result of the organizational process an Organization or a whole that consists of unified parts that act together in harmony to achieve goals and execute tasks efficiently and effectively. (Robbins, S., & Coulter, M., 2007) <br />ABC Microchip Company would not have successful value chain management if it didn’t have strong committed leadership. Serious commitment among Managers in all organizational levels needs to identify what value is whether they are in the top organizational levels or lower levels. They must facilitate, support, and promote the implementation and ongoing practice of value chain management. They also need to identify how value can be provided as well as how successful their efforts have been. Commitment among the organizations leaders must be evident in order for efforts to be focused on delivering superb customer value. An outline of expectations is good for the organization to have which begins with a vision or mission statement that will express the organizations commitment to providing , capturing, and identifying the highest possible value to customers. After expectations have been set they need to be clarified regarding each employees role in the value chain. If the ABC Microchip Company can obtain Managers, and employees who are capable of interacting through various methods of strategic planning and innovation, they will also be able to use Organizational Diagnostic tools and interventions. Decision making, creativity, problem solving, strategy, and various analytical methods are all part of this process. Employees are the ABC Microchip Corporations best resources because without them there would be no products, services, nor organized efforts for common goals. (Robbins, S., & Coulter, M., 2007)<br />The three main Human Resource Requirements for value chain management are ongoing training, having an effective hiring process and flexible approaches to job design and flexible employees. There are traditional functional job roles that the ABC Microchip Company can employee and properly train people in departments such as customer service, marketing, accounts payable, and sales are inadequate in value chain management because the design of jobs must be designed around work processes in order to create and provide value to customers. Employees may be assigned to work in teams that will tackle processes given on different days or in different areas depending on the needs of the organization and may end up having to do Delegations. The Organizational hiring process has to be designed to identify people who have the ability to learn and adapt so that customer value is best delivered through collaborative relationships. Employee Training is vital when it comes to the need for flexibility and significant investment and must have the knowledge and tools they need to do their jobs effectively and efficiently. There are some benefits to Value Chain Management which are Improved Customer Service, Increased Market Share, Improved Logistics Management, Improved Quality, Cost savings, Inventory Reductions, Accelerated delivery times, and Increased Sales and this is from sharing information with partners. Of course there are downsides to Value Chain Management also which would be Organizational Barriers which would be to include or refuse in sharing information. Cultural Attitudes which involves either too much trust or lack of. Intellectual Property involves a loss of control among the collaboration results. (Robbins, S., & Coulter, M., 2002)<br />Having a Supportive Organizational Culture as well as Attitudes must include collaborating, openness, mutual respect, sharing, flexibility, and trust. Having this will encompass internal partners but extend to external partners as well. People have to be flexible and be able to configure products to satisfy customers as well as the ability to educate internal and external partners. (Robbins, S., & Coulter, M., 2007)<br />Conclusion<br />There are Inputs and there are Outputs to the Operations System among Operations Management which are vital to the ABC Microchip Company because they produce physical goods, and produce nonphysical outputs in the form of services which carries over into Managing Productivity. The Inputs of the Operations system is People, Capital, Equipment, Materials, Technology, and Information which transforms over to outputs of having Goods, and Services. Value Chain Management in comparison to Operations Systems is provided through raw materials into products and services that customers need when, where, and how they want it. After reviewing all the information provided here, you can see that the ABC Microchip Company has recognized that customers are the ones with power, the sequence of team work within the Organization among various departments has fully worked together as a team, there is better collaboration among chain participants and that a value chain strategy meets and exceeds all of it’s customer’s needs. (Robbins, S., & Coulter, M., 2002)<br />References<br />AIU Live Chat Session:<br />Crowley, M., (2009) Controlling American InterContinental University Unit 5 Live Chat Session<br /> #1, Held on March 11th, 2009 retrieved on March 12th, 2009 at <br />AIU MGT240 Classroom:<br />AIU Online, (2009) Controlling American InterContinental University Unit 5 Classroom<br /> Assignment, retrieved on March 12th, 2009 at <br />AIU Online eBook:<br />Robbins, S., Coulter, M., (2007) Management (9th ed.). N.J. Pearson Prentice Hall. (pg. 569-<br />573). Retrieved March 12th, 2009 at https://mycampus.aiuonline/MainFrame.aspx?ContentFrame=/Default.aspx<br />Robbins, S., Coulter, M., (2002) Management (7th ed.) Prentice Hall. (Chapter 19) Retrieved on<br /> March 12th, 2009 at<br />Online PowerPoint Presentation: <br />Author Stream, (2007) Knowledge Management Value Chain Presentation retrieved on March<br /> 12th, 2009 at<br />Online Executive Guide:<br />Highlights of GAO, (2004) A Framework for Assessing and Improving Process Maturity The<br /> United States General Accounting Office Executive Guide Version (1.1) retrieved on March 12th, 2009 at<br />, (1998) Supply Chain Management retrieved on March 12th, 2009 at<br />