Strategic Operations Management Assignment Example | Topics and Well Written Essays - 1500 words

Strategic Operations Management - Assignment Example On the basis of the relationship with the consumer, the company can capture new orders. This will give the ability to meet the requirement of customers and make the qualitative product. Price and delivery speed are also important factors that seem to be valuable in the stage of OEM. Prices and quick delivery are also a vital part of this market. At the stage of spares, competitive prices also have to set, and the delivery of the product must be fast and quick so to satisfy the customers. Demands of the customer can be change within the period it is essential to provide the product at the right time and reasonable price. It is also needed to focus on other sales that come during these two segments (Malaval & BÃ ©naroy, 2002). Automotive Market distribution of sales is in the way that 10 percent is covered by prototype, 60 percent by OEM and 30 percent by the spares. This market usually works in OEM stage at which the price and delivery of the product become more insightful. The aim is to decrease the cost of the product and produce within a specified time so control the inventory that is under production. This market is specialized in providing the services related to the product for quite long period. The company provides 12 weeks contracts with a material commitment for the same period. Price become less sensitive and demand become less predictable. The spare companies help in extending the relations with the customers. It will lead the product to be sold after the contracting period. Basically, this market will help to sell the product in the near future (Lipsyte, 2010). Industrial sales depend 10 percent on prototype, 45 percent on OEM and rest on spares. At the stage of prototype the orders are won on the quality of giving quick response to the inquiry of the customers. The proposal must include the reasonable price in accordance with the price of the identical product in the market. At OEM stage