Functional Strategy Exercise For each capability described, please identify the value-creating function where it is performed whether it is designed to allow the company to lower costs (L) or to raise prices (R), or both, and be prepared with an explanation to support your response. Function (select only one; interpretations may vary) Research & Development (R&D) Infrastructure (Infra) Distribution (Dist) Information Systems (IS) Supply Chain Mgt . (SCM) Mkt/Sales (M&S) Human Resources (HR) Operations (Op) Service (Serv) Acct/Fin. (A&F) Function L or R Explanation Capability/Competence 1 Accurate & responsive order-processing procedures 2 Rapid responses to customers' unique manufacturing specifications 3 Easy-to-use manufacturing technologies 4 Extensive use of subjective rather than objective performance measures 5 Significant economies of scale 6 Extensive granting of credit buying arrangements for customers 7 Selection of low-cost transportation camers 8 Asmall, highly trained sales force 9 Products priced to generate high sales volume 10 Efficient and proper installations in order to reduce the frequency and severity of recalls 11 Relatively few managerial lavers 12 Consistent policies to reduce turnover costs 13 Efficient-scale production facilities 14 Comprehensive database to understand customers' purchasing preferences 15 A company-wide emphasis on the importance of producing high-quality products 16 Compensation programs to encourage worker creativity and productivity 17 Frequent evaluations of suppliers 18 Superior personnel training 19 Strong capability in basic research 20 Extensive buyer training to assure high-quality product installations 21 Investments in technologies for consistently producing highly differentiated products 22 Systems and procedures used to find the highest- quality raw materials 23 Intense and effective training programs 24 Purchase of highest-quality replacement parts 25 Simplified planning practices 26 Extensive personal relationships with buyers 27 Superior handling of raw materials 28 Consistent manufacturing of attractive products 29 Investments in technologies for process quality 30 Rapid and timely product deliveries 31 Complete field stockings of replacement parts Functional Strategy Exercise For each capability described, please identify the value-creating function where it is performed whether it is designed to allow the company to lower costs (L) or to raise prices (R), or both, and be prepared with an explanation to support your response. Function (select only one; interpretations may vary) Research & Development (R&D) Infrastructure (Infra) Distribution (Dist) Information Systems (IS) Supply Chain Mgt . (SCM) Mkt/Sales (M&S) Human Resources (HR) Operations (Op) Service (Serv) Acct/Fin. (A&F) Function L or R Explanation Capability/Competence 1 Accurate & responsive order-processing procedures 2 Rapid responses to customers' unique manufacturing specifications 3 Easy-to-use manufacturing technologies 4 Extensive use of subjective rather than objective performance measures 5 Significant economies of scale 6 Extensive granting of credit buying arrangements for customers 7 Selection of low-cost transportation camers 8 Asmall, highly trained sales force 9 Products priced to generate high sales volume 10 Efficient and proper installations in order to reduce the frequency and severity of recalls 11 Relatively few managerial lavers 12 Consistent policies to reduce turnover costs 13 Efficient-scale production facilities 14 Comprehensive database to understand customers' purchasing preferences 15 A company-wide emphasis on the importance of producing high-quality products 16 Compensation programs to encourage worker creativity and productivity 17 Frequent evaluations of suppliers 18 Superior personnel training 19 Strong capability in basic research 20 Extensive buyer training to assure high-quality product installations 21 Investments in technologies for consistently producing highly differentiated products 22 Systems and procedures used to find the highest- quality raw materials 23 Intense and effective training programs 24 Purchase of highest-quality replacement parts 25 Simplified planning practices 26 Extensive personal relationships with buyers 27 Superior handling of raw materials 28 Consistent manufacturing of attractive products 29 Investments in technologies for process quality 30 Rapid and timely product deliveries 31 Complete field stockings of replacement parts