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Question: Greentech June 2009

Forums › Ask ACCA Tutor Forums › Ask the Tutor ACCA SBL Exams › Question: Greentech June 2009

  • This topic has 2 replies, 2 voices, and was last updated 10 years ago by abdullahzafar.
Viewing 3 posts - 1 through 3 (of 3 total)
  • Author
    Posts
  • May 14, 2015 at 11:23 am #245918
    abdullahzafar
    Participant
    • Topics: 31
    • Replies: 65
    • ☆☆

    I can’t understand part c(ii) requirement.

    For you information, I am writing it down here.

    Question:

    “The board is determined to link stratwgy with current and future processes”

    Analyse the relationship between process design and strateguc planing.

    Kindly help me

    May 14, 2015 at 6:00 pm #245986
    Ken Garrett
    Keymaster
    • Topics: 10
    • Replies: 10591
    • ☆☆☆☆☆

    It is a difficult question I think!

    I would approach it as follows:

    Fulfilling a strategy requires an organisation to carry out a number of activities. These can be shown on the value chain, so would include inbound logistics, operations, outbound logistics etc.

    A company might have a cost leadership strategy. If so it will have to design processes which allow cost leadership to be achieved. This might include just-in-time inventory, very high automation and long batch runs. I could also mean that in some cases the process is outsourced to a company who can carry ot out cheaply.

    If the company has a diffeentiation strategy, then its processes might have to allow tailoring products and services to individual needs, do the production process will have to allow flexiblity and the technology development activity/process will have to be responsive to customer requirements.

    The link between strtegy and design can also be seen other strategic decisions. For example, if a company sees that it has to befin selling on-line to compete, thenit will have to design processes for taking orders, processing credit cards on-line, packing and depatching goods.

    Process design is essential to strategy implementation.

    Hope that helps.

    May 14, 2015 at 10:11 pm #246023
    abdullahzafar
    Participant
    • Topics: 31
    • Replies: 65
    • ☆☆

    Thank you gromit. You made the concept very very simple. Now i can understand it. Thank you again 🙂

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