Galanz started as a garment manufacturer in 1978 but switched to producing microwave ovens in 1991 after identifying greater potential in the Chinese market. They took initiatives like producing their own magnetrons to reduce costs, increasing production capacity through transferring production lines, and investing in R&D and production innovation. They collaborated with large retailers to familiarize their products overseas. While their focus on low costs and high production led to issues like non-stop production and demand that exceeded forecasts, they solved problems like supplier retrenchment and customized demand through outsourcing, transitioning to an ODM model, and improving customer service.

1. CASE STUDY -1 OPERATIONS STRATEGY AT GALANZ

2. Overview of GALANZ Founder- LIANG QINGDE, 1978 Initially GALANZ as(GHIZHOU down product factory)was a global garment industry(down feather products). In 1991 LIANG QINGDE, decided to search for a new business opportunity as the profit growth has become stagnant. After analyzing the Chinese market for a year, and identifying great potential in china, he switch on to microwave oven. In early days GALANZ, started as OBM in domestic market, later in 1997 also started OEM and in 2000 ODM for overseas.

3. Good Practices :- GALANZ took initiative in producing MAGNETRONS itself . To catch hold of market, production cost was reduced by using cheap labor and land. It increased its production capacity through a free production line transfer . Investment in R&D and production innovation. Collaboration with K-MART and WAL-MART(familarising its product in overseas market). LIANG was quality concerned.

4. Bad Practices :- Non-stop production( 3 shifts/day,24*7,365days/year) It strived to produce more than the forecasted demand. Synchronizing production( prototype production) Hierarchical practices ( 3 levels)

5. PROBLEMS AND SOLUTIONS PROBLEMS Increase in demand Retrenchment by suppliers Demand of low volume and high variety of products Handling of customers complaints SOLUTIONS Outsourcing of MAGNETRONS Transfer from OEM to ODM Made small scale production of customized products Company had to invest in enhancing customer service capabilities.

6. THANK YOU … GROUP MEMBERS:- ABHIJIT KUMAR ANKITA AGARWAL KULDEEP BENGANI MADHUR BHARADWAJ MANJU DAGAR MD. WASEEM KHAN PRATIK KAREL SURBHI GOEL SUMIT MUKHERJEE