GMS 401 Lecture 5: GMS401 Lecture 5
2 Dec 2016
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Document Summary
Process (or transformation) strategy - an organization"s approach to transforming resources into goods and services. The objective of a process strategy is to build a production process that meets customer requirements and products specifications within cost and other managerial constraints. Virtually every good or service is made by using some variation of one of four process strategies: process focus, repetitive focus, product focus, mass customization focus. Repetitive process is a product-oriented production process that uses modules: modules are parts or components of a product previously prepared, often in a continuous process. It allows the firm to use modules and combine the economic advantages of the product focused model with the customization advantages of the process focus model. Mass customization focus is the rapid, low cost production that caters to constantly changing unique customer desires: build to order (bto) - produce to customer order rather than to a forecast.
