Question 1- (a) An effectively formulated operation strategy is critical to the success of a business, agree or disagree? Give reasons for your answer.

I do agree that an effectively formulated operation strategy is critical to the success of a business. In the case surrounding Cutey Barber Salon, strategy formulation is critical to the success of the business, in terms of efficiency and longevity. Executing strategy is dependent on the accurate and optimal usage of all resources including employees, technology, and finances are used. The scenario pertaining to the Cutey Barber Salon requires an intricate look into the activities in which they wish to embark on and the basis of this is operational strategy. The management is looking to compete in the market and therefore expand on the prominence of the business among the rising environmental changes and competition.

(b) Suggest two strategies that Cutie Barber Salon could use to achieve the mission outlined in your response to question 1:

i) Cutie Barber Salon already has an Operations Manager. As we know, Operations Managers are required to plan, organize, and control the flow of activities in the organization. As seen in the mini case, the growing challenges in the market would have placed management in a position to consider the different areas of the business for improvement for competitive advantage as demand is deemed to be on the rise. Operations management involves the managing of people, equipment, technology, information, along with other resources required for the production of goods and services. With an increase in demand for quality cost-effective service, the operations manager role is most crucial in the effort to forecast and there strive to achieve their proposed goals.

ii) The Operations Manager may delegate individuals verse in specific areas that require focus for the consistent rollout of the proposed strategies. In this case, there may be an Operations Supervisor in place who is tasked with ensuring that their subordinates are trained and motivated in accomplishing the goal at hand. Also, the operations supervisor is to maintain the quality of services and stocks are in good standing for products sold at the establishment. The supervisor offers the necessary support required and they are the middle persons between top management and frontline staff. Question 2- What is the strategic importance of forecasting for a business such as Cutie Barber Salon? What are the possible challenges faced by organizations that do not utilize forecasting in the planning of their operations?

For a business such as Cutie Barber Salon, forecasting holds strategic importance as the nature of the business is in operations in a fast-paced /ever-changing external environment. We know forecasting helps to determine the type of actions to take simply from the assessment of the activities experienced. Individuals that go to salons tend to take into consideration what is being offered for them to make their choices. Having the ability to decide whether to relegate extra assets for a remedial activity or to change the systems to reflect changes in the environment is crucial in order for the salon to remain competitive. The methods used to foresee business improvements are to be beneficial to the customers and ultimately the organization as a whole. The possible challenges to be faced would include having difficulties understanding cash flow and how it changes over time, the gathering of accurate data for the right forecast method to be considered & being able to manage the forecast data workflow process.

Question 3-Discuss two ways in which the barber salon can overcome the challenge of operating successfully in an environment of increasing costs while at the same time customers are demanding lower prices.

In order to manage the challenge of operating in such a scenario, I proposed that management should try to pursue customer/product orientated data. Client surveys are considered one approach in which the salon may establish this. As I would have indicated in my mini case submission, defining customer needs is crucial. This would require interactions with customers and revisiting their needs, which may have changed due to natural shifts in trends. It is always important to assumptions and be direct and transparent about your goals to ensure your resources are being properly allocated to improve their experience. Transparency is always considered for open appreciation from customers in an effort to improve the relationship and the quality service being provided.

Keeping close track of the companys inventory & stock is another approach that may be considered in this given scenario. It has been identified that customer feedback, it would allow for a better understanding of their needs, as such, it is important to assess all of the companys internal and external resources that may be available to better meet these needs. Question 4-Describe three Operations Management decisions that are taken at Cutie Barber Salon.

The three Operations Management decisions that are taken at Cutie Barber Salon focusses on:

Goods and Services aspect of the business. This includes looking at the ways to implement consistency in costs, quality, and resources across the board. Everything is considered to be changed according to the situational analysis.

Quality Management: The operations manager along with the supervisor must ensure to understand their customers demands and then meet those expectations through useful data. Market research is crucial in determining customer needs and ensuring quality assurance practices on products and services in production.

Process and Capacity Design: It is clear that the situation would have caused the Operations Manager to consider designing strategies that support all production goals including technology and resources. As it would be seen as useful, a value stream map can help determine what processes are necessary and how to keep them running efficiently for continuous market relevance and competitive edge.