The benefits of focused operations usually reflect the efficiency in the management of operations as productivity.
Productivity and symbolized by the relationship of outputs to inputs represented by the elements of the production process as in the relationship below:
Productivity = Output / Labor + Material + Energy + Capital + Miscellaneous
The efficiency refers to the administrative dimension in the business to achieve the best so doing the jobs well, through the optimal use of available resources to get the best returns with less cost and less damage rates of waste.
Margin Retreat
Margin retreat basically means that there has been a reduction or change in an activity from a previous record or activity.
For example, there has been a retreat in the margin of demand for CD-Drives after the arrival of DVD's.
Flexible Manufacturing and Rapid Response Systems
In context of RIM's case, the flexible manufacturing and rapid response systems represent an attempt to design factories are able to operate continuously in an automated manner, without intervention of human operators. Therefore, are supported more in the introduction of automation in the reorganization of the process flow.
For flexible manufacturing system means a group of machine tool numerical control linked together by a transport system common parts and a central control system. For each piece to make, there are proven and part programs stored in a central data station.
Rim' case and Porter's Five Forces
In strategic performance management, Porter's five force industry competitions for the Rim include the threat of new entrants, the bargaining power of suppliers, the degree of rivalry among competitors in the same industry, the bargaining power of buyers and the threats of substitute's products (Porter, 2008).
For Rim, the competitive forces model argues that the stronger these forces are within an industrial setting, the more ...