Consider the transforming resources with car manufacturing...

Both businesses are producing motor vehicles, but the transforming resources are fundamentally different. Operations managers in modern factories are required to keep up with rapidly changing technologies, CAD and robotics in order to:

Decrease Cost of production (by reducing the labour content)

Increase Quality (by the repeated, minutely controlled processes achievable with robotics and automation)

Decrease Production Time Frames (by the increased efficiency of robotic processes)

Deliver The Customisation Levels Specified by marketing (internet enabled robots can perform different activities on each car by reading RFID tag on the chassis and then automatically modifying the pattern of welding, colour of paint, selection of part etc)

HSC QUESTION

Question 23 (2015)

North Coast Manufacturing makes customised furniture for its clients.

• How could technology influence the transformation process at North Coast Manufacturing? (2 marks)

Progressive Question

"How does an understanding of the influences (technology) on operations contribute to business success"

Consider PEEL

Define

application of innovation devices, methods and machinery on operation processes.

Point

Technology can be applied to every aspect of a business’s operations e.g. administration of operations (computers, scanners, telephone systems etc) and in the operations processes themselves (robotics CAD, CAM, tooling technologies)

Explain

Increase efficiency, remove bottlenecks, reduce need for other transforming inputs such as labour and hence assists in achieving cost leadership and profit maximisation. Technology assists in achieving product differentiation

Example

Apple: Apple invests heavily on research and development in an attempt to differentiate their products by creating leading edge technology i.e. introduction fingerprint and facial recognition

Woolworths- Robotic warehouse

IKEA- Technology to satisfy demand

LINK