Introduction to Operational Management - Essay Example

This write-up presents a discussion about the approach to operational strategy for improving Going Inc’s airline business that services the United States, Europe and Asia and its aircraft manufacturing business. Going Inc has a higher than industry average figures for flight delays, baggage and security related check-in delays and late arrival figures for flights. In addition, Going Inc’s manufacturing operations for small aircraft must meet increasing market demand. Going Inc’s airline service has been losing business for the past twenty months despite attempts to present a high-class image and competitors are likely to win if Going Inc cannot supply the small aircrafts that it manufactures to customers in a timely manner.

Appendix A presents the observations for Going Inc’s airline service business and its aircraft manufacturing business unit. The difference between operations strategy for bringing about an improvement in Going Inc’s airline business and for enhancing the ability of Going Inc’s aircraft manufacturing to take advantage of increased market demand is the difference between operational strategy for service and that for manufacturing (Lynch, 2006, Pp. 330 – 332). Manufactured aircrafts are products, while airline operations represent a service orientation for customers who will want to avail themselves of the service offered by the airline if they like the package that is being presented to them for a price.

Most of the published research in the area of operations strategy relates to product manufacturing strategy. However, services are now an important part of the economy and telecommunications, travel, airlines and banking present significant contributions to the GDP in any nation. Services present significant differences from manufactured products and five main differences between service offerings and products have been identified as follows (Lynch, 2006,