Operations Management

1. Regal Marine
Reaction Paper
RobbiPalacios
Subject: Operations Management Regis Program
Submitted to: Apolinar Ng

2. Question 1:
State Regal Marine’s mission in your own words.
Regal Marine’s Mission is to provide luxury performance boats to customers world wide
using the strategy of differentiation.
It seeks to attain this mission by using the following criteria in it’s differentiation:
1. constant innovation
2. unique features
3. high quality.
4. Value – this was mentioned in the video case.
5. Wide and different models – this was mentioned in the video case.
Question 2:
Identify the strengths, weaknesses and opportunities, and strategy that are relevant to
regal marine.
Strengths Weaknesses
1. Innovation
2. High Quality
3. Unique Features
4. High Value
5. Different Models
6. Synergy and partnerships with
other boat manufacturers
1. Don’t have assembly line.
2. Relies on trained labor to handle
design and assembly.
3. Labor force in Florida (They can
outsource this to low cost countries)
Opportunities Threats
1. Large distribution channel across
world
2. Increase market size thru finding
comptent and effective dealers in
the world.
3. Increased boat sales reduced
luxury tax.
1. Many competitors

3. Question 3:
How do you define Regal Marine’s Strategy?
Regal Marine obviously focuses on high quality, innovation in it’s design, features etc.
and the value it delivers to it’s clients. Moreover, I think Regal Marine’s effectiveness is
that it has a global presence which a far reching market share led by effective dealers.
Question 4:
How would each of the 10 operation’s management decisions apply to operations
decision making at Regal Marine?
Using the book’s 10 decisions criteria for OM I have listed below what I believe are
necessary for regal marine’s success.
1. Product – The product must be innovative such that they will introduce a feature that
no one has ever thought of.This requires heavy out of the box thinking. Morever, other
than innovation, they should make sure that the product lives up to the mission of regal
Marine that provides high quality and value to the customer. However, I believe that no
matter how good a product is, I believe it must be market well to succeed.
2. Qualtiy – I used this criteria because this is part of the mission of regal marine. It’s
focus is to build high quality product that gives value to it’s customers.
3. Process selection and Design – I believe Regal Marine’s process in terms of how it
manufacture it’s boat needs to be more efficient. For instance, it should try to lessen it’s
dependence on labor and become more assembly line intensive. There are benefits using
repetitive processses that are proven to have increase productivity in terms of products
through historical data.
4. Inventory – Based on the video, regal marine has a huge inventory of boats, they should
adopt and efficient order basis assembly line like the one used by Toyota. They should
adopt a more efficient ordering system and use the kaizen concept. The inventory needs
a lean process of doing fast assembly on an order basis. It must however stock on the
parts necessary to forecast the demand of boats per month.as delays could also be costly.

4. 5. Human Resources – I have noticed in the video and large of my criticism is that the
assembly of hulls are done manually through labor. I believe that this should be
automated to also prevent any health issues with it’s laborers.
6. Scheduling – It was not stated in the case on how scheduling is done. However, my
suggestion attention must be given to a proper demand forecast to plan the production
times of the boats. They should also know what season is peak when ordering comes so
as to have a capacity plan of labor to avoid delays. Scheduling is important based on
peak seasons.
7. Supply chain management – It is wise that Regal marine has established partnership
with part suppliers. This way they can diversify the design of their boats based on the
selection of vendor’s parts they can choose from. This is one of the strengths I have listed.
8. Maintenance – I listed maintenace because plant capacity and product quality depends
on well functioning facilities.
9. Location – I believe the location in Florida is good per se for selling but not for
manufacturing. Regal should keep it’s brains on Florida but should have plans to
outsource to cheaper labor if it plans to stay competitive.
10. Layout – The layout of regal marine seems in the video to be well organized and clean
based on the video. This is important because great organization is efficiency in itself and
has won many battles before it began.