Process Design Dimensions Standard vs. Customized, High Volume vs. Low Volume When considering process design, the following graphic is very useful. Based on the variety of products offered and the expected volume, this graphic can assist an operations manager in determining an appropriate strategy. For example, McDonald’s has a repetitive focus strategy for preparing foods in each restaurant. Typically, a customer does not ask for special requests at McDonald’s. Burger King, on the other hand, has tried to differentiate itself from McDonald’s with the slogan “Have it your way.” Burger King encourages customers to request what toppings they want on their hamburger. This has led to a repetitive focus that leans more toward mass customization. Think about where a barber shop would fall in this graphic. Can you determine which operations strategy is being pursued by your local hair stylist? Think about where toilet paper would fall in this graphic. Can you determine which operations strategy is being pursued in the production of Charmin, Northern, etc.? © 2017 South University Competitive Advantage After an organization has a good understanding of its position in the marketplace and available opportunities, the organization can develop the overall organization strategy. An organization can choose to create a competitive advantage through differentiation, cost, or response. Think of an organization that uses each of these strategies and you will probably come up with some of the leaders in that industry. For example, Nordstrom has utilized a differentiation strategy in department stores. Nordstrom is known for a high level of customer service, and customers expect more when shopping there. Walmart is known for its everyday low prices and cost advantages. McDonald's is known for competing on cost. Amazon has built a reputation on its response to changes in the marketplace. Through its innovative technology, Amazon can update its website and information offered to each customer based on previous purchases. Depending on the overall strategy, there are six speci�c strategies that an operations manager can utilize.  These are:  Flexibility in design and volume Low cost Delivery Quality After-sales service Broad product line An operations manager must consider all aspects of OM when determining the strategy appropriate for meeting the overall organization goals. Each aspect will have an impact on the costs of the operations functions. However, in some cases, customers are willing to pay extra for the products based on a strategy. For example, a high-quality product with after-sale support may be more worthwhile to a customer to have the peace of mind such a purchase ensures. Part of achieving a competitive advantage is designing a process that will deliver a product or service in which people are interested.  When considering process design, it is useful to think of your product or service ...

1. Process Design Dimensions
Standard vs. Customized, High Volume vs. Low Volume
When considering process design, the following graphic is very
useful. Based on the variety of products
offered and the expected volume, this graphic can assist an
operations manager in determining an
appropriate strategy.
For example, McDonald’s has a repetitive focus strategy for
preparing foods in each restaurant. Typically, a
customer does not ask for special requests at McDonald’s.
Burger King, on the other hand, has tried to
differentiate itself from McDonald’s with the slogan “Have it
your way.” Burger King encourages
customers to request what toppings they want on their
hamburger. This has led to a repetitive focus that
leans more toward mass customization.
Think about where a barber shop would fall in this graphic.
Can you determine which operations strategy is
being pursued by your local hair stylist?
Think about where toilet paper would fall in this graphic. Can
you determine which operations strategy is
being pursued in the production of Charmin, Northern, etc.?

2. © 2017 South University
Competitive Advantage
After an organization has a good understanding of its posi tion
in the marketplace and available opportunities, the
organization can develop the overall organization strategy.
An organization can choose to create a competitive advantage
through differentiation, cost, or response. Think
of an organization that uses each of these strategies and you
will probably come up with some of the leaders in
that industry. For example, Nordstrom has utilized a
differentiation strategy in department stores. Nordstrom is
known for a high level of customer service, and customers
expect more when shopping there. Walmart is known
for its everyday low prices and cost advantages. McDonald's is
known for competing on cost. Amazon has built a
reputation on its response to changes in the marketplace.
Through its innovative technology, Amazon can update
its website and information offered to each customer based on
previous purchases.
Depending on the overall strategy, there are six speci �c
strategies that an operations manager can utilize. These

3. are:
Flexibility in design and volume
Low cost
Delivery
Quality
After-sales service
Broad product line
An operations manager must consider all aspects of OM when
determining the strategy appropriate for meeting
the overall organization goals. Each aspect will have an impact
on the costs of the operations functions. However,
in some cases, customers are willing to pay extra for the
products based on a strategy. For example, a high-quality
product with after-sale support may be more worthwhile to a
customer to have the peace of mind such a
purchase ensures.
Part of achieving a competitive advantage is designing a process
that will deliver a product or service in which
people are interested. When considering process design, it is
useful to think of your product or service has being
largely standardized (little variety, as with adhesive bandages)
or more easily customizable (lots of variety, as with

4. how you order a Subway sandwich). Similarly, it is also helpful
to think of the product as being one that is
produced in large numbers (like a Snickers candy bar) or in
small batches (as with the production of wedding
cakes). The Supplemental Media entitled “Process Design
Dimensions” goes into greater depth with these two
dimensions of process design.
Additional Materials
Process Design Dimensions
(media/week1/SUO_MGT3059%20W1%20L3%20Process%20De
sign%20Dimensions.pdf?
_&d2lSessionVal=SWzqLkE3HvLXZkZ375Dqp03nU&ou=8645
8)
https://myclasses.southuniversity.edu/content/enforced/86458-
17101179/media/week1/SUO_MGT3059%20W1%20L3%20Proc
ess%20Design%20Dimensions.pdf?_&d2lSessionVal=SWzqLkE
3HvLXZkZ375Dqp03nU&ou=86458
Operations Strategy
An operations strategy should describe how an organization
plans to reach its goal, which always involves

5. creating value for its customers. An operations strategy needs
to focus on how to use the resources available to
the organization to meet the overall objectives of the
organization.
Many organizations state their purpose or overall goal in their
mission statements. For example, the mission
statement of Starbucks is “To inspire and nurture the human
spirit – one person, one cup and one neighborhood at
a time.” Thus, the operations strategy will ensure that all
resources are used in order to help achieve this goal.
Whether pouring a cup of coffee or participating in community
engagement, every action of the company is
targeted toward this objective.
When developing an operations strategy, an organization needs
to determine its position in the marketplace. This
is done through strengths, weaknesses, opportunities, and
threats (SWOT) analysis.
A SWOT analysis helps a manager determine the organization’s
position within the current business environment.
The strengths and weaknesses focus on the organization itself
(meaning that they are internal to the
organization), while the opportunities and threats evaluate the
environment (meaning that they are external to
the organization).

6. SWOT analysis is not only useful for OM, but is useful for the
business in its entirety. However, decisions that are
made in the OM area should be consistent with decisions that
are being made for the organization as a whole.
Thus, operations strategy should dovetail with the
organization’s strategy.
Since SWOT analysis is such a large part of developing an
operations strategy, it should be noted that strengths
and opportunities are helpful in achieving the organization’s
goals. Similarly, weaknesses and threats make
achievement of those goals more dif�cult.
SUO Discussion Rubric (80 Points) - Version 1.2
Course: MGT3059-Operations Management SU01
Response
No Submission
0 points
Emerging (F-D: 1-27)
27 points
Satisfactory (C: 28-31)
31 points
Proficient (B: 32-35)
35 points

7. Exemplary (A: 36-40)
40 points
Criterion Score
Quality of Initial
Posting
/ 40No initial posting exists to
evaluate.
The information provided
is inaccurate, not focused
on the assignment’s topic,
and/or does not answer
the question(s) fully.
Response demonstrates
incomplete understanding
of the topic and/or
inadequate preparation.
The information provided
is accurate, giving a basic
understanding of the

8. topic(s) covered. A basic
understanding is when
you are able to describe
the terms and concepts
covered. Despite this
basic understanding,
initial posting may not
include complete
development of all
aspects of the
assignment.
The information provided
is accurate, displaying a
good understanding of
the topic(s) covered. A
good understanding is
when you are able to
explain the terms and

9. topics covered. Initial
posting demonstrates
sincere reflection and
addresses most aspects
of the assignment,
although all concepts may
not be fully developed.
The information provided
is accurate, providing an
in-depth, well thought-
out understanding of the
topic(s) covered. An in-
depth understanding
provides an analysis of
the information,
synthesizing what is
learned from the
course/assigned readings.

10. Participation
No Submission
0 points
Emerging (F-D: 1-13)
13 points
Satisfactory (C: 14-16)
16 points
Proficient (B: 17-18)
18 points
Exemplary (A: 19-20)
20 points
Criterion Score
Participation in
Discussion
/ 20No responses to other
classmates were posted
in this discussion forum.
May include one or more
of the following:
*Comments to only one
other student's post.

11. *Comments are not
substantive, such as just
one line or saying, “Good
job” or “I agree.
*Comments are off topic.
Comments to two or
more classmates’ initial
posts but only on one day
of the week. Comments
are substantive, meaning
they reflect and expand
on what the other
student wrote.
Comments to two or
more classmates’ initial
posts on more than one
day. Comments are
substantive, meaning they

12. reflect and expand on
what the other student
wrote.
Comments to two or
more classmates’ initial
posts and to the
instructor's comment (if
applicable) on two or
more days. Responses
demonstrate an analysis
of peers’ comments,
building on previous
posts. Comments extend
and deepen meaningful
conversation and may
include a follow-up
question.

13. Total / 80
Overall Score
Writing
No Submission
0 points
Emerging (F-D: 1-13)
13 points
Satisfaction (C: 14-16)
16 points
Proficient (B: 17-18)
18 points
Exemplary (A: 19-20)
20 points
Criterion ScoreWriting
No Submission
0 points
Emerging (F-D: 1-13)
13 points
Satisfaction (C: 14-16)
16 points
Proficient (B: 17-18)
18 points
Exemplary (A: 19-20)
20 points

14. Criterion Score
Writing Mechanics
(Spelling, Grammar,
Citation Style) and
Information Literacy
/ 20No postings for which to
evaluate language and
grammar exist.
Numerous issues in any
of the following:
grammar, mechanics,
spelling, use of slang, and
incomplete or missing
citations and references.
If required for the
assignment, did not use
course, text, and/or
outside readings (where
relevant) to support work.

15. Some spelling,
grammatical, and/or
structural errors are
present. Some errors in
formatting citations and
references are present. If
required for the
assignment, utilizes
sources to support work
for initial post but not
comments to other
students. Sources include
course/text readings but
outside sources (when
relevant) include non-
academic/authoritative,
such as Wikis and .com
resources.

16. Minor errors in grammar,
mechanics, or spelling in
the initial posting are
present. Minor errors in
formatting citations and
references may exist. If
required for the
assignment, utilizes
sources to support work
for both the initial post
and some of the
comments to other
students. Sources include
course and text readings
as well as outside sources
(when relevant) that are
academic and
authoritative (e.g., journal

17. articles, other text books,
.gov Web sites,
professional organization
Web sites, cases, statutes,
or administrative rules).
Minor to no errors exist
in grammar, mechanics, or
spelling in both the initial
post and comments to
others. Formatting of
citations and references is
correct. If required for the
assignment, utilizes
sources to support work
for both the initial post
and the comments to
other students. Sources
include course and text

18. readings as well as
outside sources (when
relevant) that are
academic and
authoritative (e.g., journal
articles, other text books,
.gov Web sites,
professional organization
Web sites, cases, statutes,
or administrative rules).
No Submission
0 points minimum
There was no
submission for this
assignment.
Emerging (F to D Range)
1 point minimum
Satisfactory progress has not been met
on the competencies for this

19. assignment.
Satisfactory (C Range)
56 points minimum
Satisfactory progress has been achieved
on the competencies for this assignment.
Proficient (B Range)
64 points minimum
Proficiency has been achieved on
the competencies for this
assignment.
Exemplary (A Range)
72 points minimum
The competencies for this
assignment have been
mastered.
Decision Making
As with any other managers in an organization, operations
managers must make decisions on behalf of the

20. organization. While there are many aspects to such decision
making processes, it is often valuable to have
structured tools that can assist in framing the decision and
comparing the alternatives. Two such structured tools
are decision tables and decision tools.
A decision table is a tabular means of analyzing decision
alternatives and the factors that impact the decision. For
example, the location decision analyzed in an earlier
supplemental media resource utilized a weighting scheme in
order to rank different locations for a restaurant. The weights
included factors such as the cotenants in the same
location, the traf�c in the area, etc. Thus, such a tabular form
of analysis allows decision alternatives, which are
often treated as columns in the table, to be compared
systematically.
A decision tree is a graphical means of presenting the decision
alternatives, including probabilities that certain
outcomes will occur and monetary values associated with those
outcomes. Decision makers will make decisions
that are believed to generate the greatest value for the
organization. Due to the fact that the outcomes are often
probabilistic (meaning that none of them are certain to occur),
the decision maker is faced with uncertainty in
what the outcome will be. However, if the probabilities are
accepted as the “most likely” distribution of outcomes,

21. then the decision tree can be used to identify the decision that
provides the organization with the highest
expected value.
Not all decisions can be made by using decision tables and
decision trees exclusively. For many organizations, the
knowledge and intuition of those working in the industry may
be valuable and may not be easily factored into
such structured approaches. However, when analysis can be
conducted, these structured tools can assist in the
creation of a more objective analysis of the decision under
consideration.