slide1 l.
Download
Skip this Video
Loading SlideShow in 5 Seconds..
Chapter 9 PowerPoint Presentation
Download Presentation
Chapter 9

Loading in 2 Seconds...

play fullscreen
1 / 28

Chapter 9 - PowerPoint PPT Presentation


  • 1004 Views
  • Uploaded on

Chapter 9. Operations Consulting and Reengineering. Operations Consulting Defined Operations Consulting and the 5 P’s Hierarchy Within a Consulting Organization Stages of Operations Consulting Operations Consulting Tool Kit Reengineering. OBJECTIVES . Operations Consulting.

loader
I am the owner, or an agent authorized to act on behalf of the owner, of the copyrighted work described.
capcha
Download Presentation

PowerPoint Slideshow about 'Chapter 9' - enan


An Image/Link below is provided (as is) to download presentation

Download Policy: Content on the Website is provided to you AS IS for your information and personal use and may not be sold / licensed / shared on other websites without getting consent from its author.While downloading, if for some reason you are not able to download a presentation, the publisher may have deleted the file from their server.


- - - - - - - - - - - - - - - - - - - - - - - - - - E N D - - - - - - - - - - - - - - - - - - - - - - - - - -
Presentation Transcript
slide1

Chapter 9

Operations Consulting and Reengineering

slide2
Operations Consulting Defined
  • Operations Consulting and the 5 P’s
  • Hierarchy Within a Consulting Organization
  • Stages of Operations Consulting
  • Operations Consulting Tool Kit
  • Reengineering

OBJECTIVES

operations consulting
Operations Consulting
  • Operations consulting involves assisting clients in developing operations strategies (i.e., product leadership, operational excellence, customer intimacy, etc.) and in improving production (and service delivery) processes.
operations consulting the 5 ps
Operations Consulting & the 5 Ps
  • Plants
    • Adding and locating new plants
    • Expanding, contracting, or refocusing facilities
  • Parts
    • Make or buy decisions
    • Vendor selection decisions
  • Processes
    • Technology evaluation
    • Process improvement and reengineering
operations consulting the 5 ps continued
Operations Consulting & the 5 Ps (Continued)
  • People
    • Quality improvement
    • Setting/revising work standards
    • Learning curve analysis
  • Planning and Control Systems
    • Supply chain management
    • MRP
    • Shop floor control
    • Warehousing and distribution
hierarchy within consulting firms

Finders

Who find new business

Partners

Who manage the business

Minders

Managers

Who actually do the work

Grinders

Consultants

Hierarchy within Consulting Firms

A way of looking at the typical consulting firm’s organization

economics of consulting firms
Economics of Consulting Firms
  • David H. Maister’s article on consulting draws an analogy between the consulting firm and a job shop operation. Three types of jobs:
  • 1. Brain Surgery: Requiring innovation and creativity
  • 2. Gray Hair: Requiring a great deal of experience (little innovation)
  • 3. Procedures: Requiring activities similar to other existing projects (little innovation or experience)
when are operations consultants needed
When are Operations Consultants Needed
  • When faced with major investment decision(s)
  • When management believes it is not getting the maximum effectiveness from the organization’s productive capability
stages in operations consulting process
Stages in Operations Consulting Process

1. Sales and proposal development

2. Analyze problem

3. Design, develop and test alternative solutions

4. Develop systematic performance measures

5. Present final report

6. Implement changes

7. Assure client satisfaction

8. Assemble learnings from the study

operations consulting tool kit category 1
Operations Consulting Tool Kit: Category 1

In this scheme we have five categories of activities, starting with Problem Definition, that consultants perform and the supporting tools used to aid the consultant in performing that category

Problem Definition

Issue trees

Customer surveys

Gap analysis

Employee surveys

Five forces model

operations consulting tool kit category 2
Operations Consulting Tool Kit: Category 2

Data Gathering

Plant tours/audits

Work sampling

Flow charts

Organizational charts

operations consulting tool kit category 3
Operations Consulting Tool Kit: Category 3

Data Analysis and

Solution Development

Problem analysis (SPC tools)

Bottleneck analysis

Computer simulation

Statistical tools

operations consulting tool kit category 4
Operations Consulting Tool Kit: Category 4

Cost Impact and

Payoff Analysis

Decision trees

Balanced scorecard

Stakeholder analysis

operations consulting tool kit category 5
Operations Consulting Tool Kit: Category 5

Implementation

Responsibility charts

Project management techniques

reengineering
Reengineering
  • Reengineering is defined as the fundamentalrethinking and radical redesign of business processes to achieve dramatic improvements in critical, contemporary measures of performance such as cost, quality, service, and speed. As a engineering discipline, reengineering can be applied to any process in manufacturing and service businesses, education, and the government.
  • Business process reengineering (BPR) is focused on reengineering business processes.
key words in the reengineering definition
Key Words in the Reengineering Definition
  • Fundamental
    • Why do we do what we do
    • Ignore what is and concentrate on what should be
  • Radical
    • Business reinvention vs. business improvement
key words in the reengineering definition continued
Key Words in the Reengineering Definition (Continued)
  • Dramatic
    • Reengineering should be brought in “when a need exits for heavy blasting”
      • Companies in deep trouble
      • Companies that see trouble coming
      • Companies that are in peak condition
  • Business Process
    • a collection of activities that takes one or more kinds of inputs and creates an output that is of value to a customer
principles of reengineering
Principles of Reengineering
  • Organize around outcomes, not tasks
  • Have those who use the output of the process perform the process
  • Merge information-processing work into the real work that produces the information
  • Treat geographically dispersed resources as though they were centralized
principles of reengineering continued
Principles of Reengineering (Continued)
  • Link parallel activities instead of integrating their results
  • Put the decision point where the work is performed, and build control into the process
  • Capture information once and at the source
question bowl
Question Bowl

Reasons for the boom in consulting include which of the following?

  • Globalization
  • Very inexpensive
  • Existing managers don’t know what they are doing
  • All of the above
  • None of the above

Answer: a. Globalization

question bowl21
Question Bowl

According to David J. Collis’s research on the consulting industry, which of the following companies made the most money?

  • PricewaterhouseCoopers Consulting
  • KPMG Consulting
  • IBM
  • McKinsey & Company
  • Accenture

Answer: c. IBM (from Exhibit 9.1)

question bowl22
Question Bowl

In the hierarchy of a typical consulting firm who are at the top of the organizational pyramid?

  • Minders
  • Finders
  • Grinders
  • Binders
  • None of the above

Answer: b. Finders

question bowl23
Question Bowl

Which of the following are some of the major strategic and tactical areas where companies typically seek operations consulting?

  • Plant
  • Parts
  • Processes
  • People
  • All of the above

Answer: e. All of the above (The five P’s also include Planning and control systems.)

question bowl24
Question Bowl

Using the “Stages in the Operations Consulting Process”, what stage follows the “Implement Changes” stage?

  • Sales and proposal development
  • Analyze problem
  • Assure client satisfaction
  • Present final report
  • Develop systematic performance measures

Answer: c. Assure client satisfaction

question bowl25
Question Bowl

Which of the following are a part of the “Operations Consulting Tool Kit” that apply to the category of “Problem Definition”?

  • Bottleneck scorecard
  • Employee surveys
  • Flowcharts
  • Statistical tools
  • None of the above

Answer: b. Employee surveys

question bowl26
Question Bowl

Which of the following are a part of the “Operations Consulting Tool Kit” that apply to the category of “Data Gathering”?

  • Decision trees
  • Employee surveys
  • Flowcharts
  • Statistical tools
  • None of the above

Answer: c. Flowcharts

question bowl27
Question Bowl

Which of the following are a part of the “Operations Consulting Tool Kit” that apply to the category of “Implementation”?

  • Organization charts
  • Gap analysis
  • Five forces model
  • Computer simulation
  • None of the above

Answer: e. None of the above (These tools actually should include Responsibility Charts and Project Management Techniques.)