this question for perspective on strategy the text book is s

this question for perspective on strategy the text book is strategic management theory and cases an intergrated a pproach 11th edition by hill, charles so the question is :

you are the managment team of a start up company that will produce hard drives for the personal computer (PC) industry . you will sell your product to manufactures of PC\'s( original equipment manufactures{ OEMs} . the disk drive market is characterized by rapic technological changes, product life cycles of only 6 t 9 months, intense price competion, high ficed costs for manufactruing equipment, and substantial manufacturing economies of scale. your customers, the OMEs , issue very demanding technological specifications that your product must comply with. they also pressure you to deliver your product on time so that it fits in within their company\'s product introductio schedule.1

1- in this industry , what functional competenceies are the most important for you to build?

2- how will you design your internal processes to ensure that those competencies are bulit within the company?

Solution

The foremost competencies must include the strong R & D that is to have the latest technical know how about production of hard drives at the shortest possible time in economic lot sizes with the flexibility to adopt and or incorporate new tecnologies. Along with core competencies in the field of production, Competenceies in CRM and SCM are necessary for survival and growth of the company. After production of finished product, there should not be any delay in delivering the same at the premises of its buyers. It may be worth considering to have long term agreements and or joint ventures/ collaborations with PC manufacturers.

2 Internal processes must focus on JIT, zero tolerances, zero inventory and continous improvement, upgradation with an eye on the customers needs/ requirements. Infusion of new concepts, processes, technical know how, training and development of manpower should be in-built in the culture of the company.