From the course: Operations Strategy for Business
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External or customer objectives
From the course: Operations Strategy for Business
External or customer objectives
There are five core external objectives of operations, quality, delivery, flexibility, service, and cost. The customers obviously always want the best of everything, which isn't possible. So choosing how much of each of these to offer to the customer is a fundamental part of the operations strategy. First up, quality. The customer wants the best quality. But this, like all of these five objectives, has many aspects. Higher quality means that it functions and does its task. It means it lasts for a long time and quality can be cosmetic and form part of the product or services image by the level of refinement. There is no such thing as maximum or perfect quality though. Operations must set the standards of what they can and wish to produce and provide balanced against the other objectives such as cost. The next external objective is delivery. This covers many aspects of how the customer gets the product or service. Customers want the best delivery, which can mean many things getting it…
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