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An SUMMARY OF The Godiva Chocolatier Company

Before heading on the first question, it is vital to learn about Operations Management. The simplest definition of Functions Management is 'the development of goods and service. ' It is the focus and target of the organizations. http://managementhelp. org/ops_mgnt/ops_mgnt. htm

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Operations strategy is one of the main element elements of operations management since it concentrates and encircles the goals of an organization. Before analysing and illustrating the goals gained by the functions strategy for an organization, comprehension of the functions strategy definition holds utmost importance. At first, the question comes up: what is recommended by strategy? And what exactly are the procedures?

Definition of strategy:

'A long-term method of applying a firm's business programs to achieve its business targets. '

http://dictionary. bnet. com/description/Business+Strategy. html

According to Hill in 'Businesses Management', "it embodies the aspects of both course (what to do) and execution (how to do), (2nd release). "

Definition of businesses:

According to Slack and Lewis, "operations are concerned with the day-to-day creation and delivery of goods and services, be strategic (2002). "

Definition of procedures strategy:

In the book, Procedures Management by Slack and Lewis, "operations strategy is a complete pattern of decisions which shape long term features of an operation and their contribution to overall targets (2nd edition, 2002). "

In the long term, all the above definitions focus the attention on getting the entire objectives of an organization or almost any business. The goals of functions strategy are:

  • Development of the organization
  • Customers' satisfaction
  • Use of new technology
  • Set use of resources into an organizational structure
  • Expansion of business
  • Good marriage with other organizations
  • Development of new products and services
  • Improvement and development or resources and techniques over time
  • Shape the guiding principles

These can be summarized into five performance targets:

  • Quality
  • Speed
  • Dependability
  • Flexibility
  • Cost

In the light of above definitions and proportions, that Godiva Chocolatier has considered the basic goals gained by the procedures strategy. Based on the case study, the organization has strategically decided to invest to achieve the improvement in output through automation, new technology e. g. use of robots, new equipment, one operator-assisted device etc. To keep up with the importance of flexibility atlanta divorce attorneys stage of production is also one of the key decisions of the functions strategy structure. As the overall flexibility can be identified into three major categories, according to Sethi and Sethi (1990); (cited in 'Design of Flexible Development System: Methodologies and Tools'):

'Component or basic flexibilities that included machine, material-handling and creation flexibilities

System flexibilities where Process, Routing, Product, Quantity and Expansion flexibilities were considered

Aggregate flexibilities, e. g. Program, Product and Development, Market Flexibilities'

In term of versatility, Godiva Chocolatier has ensured that in every stage of creation. Godiva's operations strategy is a couple of above mentioned five performance target that can be highlighted in both methods used by the organization and they are: enrobing and moulding.

According to the case study, Godiva is a small producer gives a variety of products with an increase of than 100 types of chocolates. The machinery and the technology used in the organization show that there is not enough level as compared with the range of variety. So, the business decided to make investments more on technology and new machinery to get high quality and high variety using its low volume. Such as for example, the enrobing section is operating the machine to get the average person product designs by linking along the various bits of equipments like extruders, guillotines, depositors, enrobers, decorators and so forth in different sequences and combinations. However, moveable conveyors are being used to web page link different machines to justify the quantity. The personnel and the machines are decoupled and functioned at different rate and times. The rate is enhanced in a nutshell span of time by using small liquid delicious chocolate tanks at the enrobing machines for different kinds of chocolates and for this function only 20 minutes changeover is taken up to disconnect the fish tank, clean the machine and joining to the other. Though it takes less time with good velocity in production but planning is complex as well because Godiva surely needs to save its economic area as well, as it is considered to be uneconomic to create less than 300 kg of a specific colour of delicious chocolate. So, it is designed that the various types of chocolates with the same coating is going through the procedure. Similarly the strategy is followed in the moulding team as well. Simple operator-assisted device, computer-controlled depositing machines (take significantly less than about a minute for the changeover), programmed individual wrapping machine and the packing robot are used to discover the best quality, quickness and save the time. In short, its functions strategy is wanting to attain its objectives along with the five performance targets as well.

For every kind of business or the business, the importance of customers cannot be rejected. For the extension of the business, good customer service performs an integral role. But first there is a need to understand what customer services is means for a business.

Definition of customer service:

According to CSM:

'an capability to provide service or product in the way it has been promised and relating to customers' needs and demands

treat the customer the way you like to be treated

take care of customer as customer support is a link between customer and the company

it is the commitment to providing value added service to the inner and exterior customers, including attitude knowledge, tech support team and quality of service in a timely manner'

http://www. customerservicemanager. com/definition-of-customer-service. htm

Definition of customer:

According to the 'BNET Business Dictionary':

"A person (customer) is a person or the organization that buys or obtains products or services from other organizations such as manufacturers, merchants, wholesalers or service providers. A person is not necessarily the same person as the consumer, as something or service can be payed for by one party, the customer, and employed by other, the consumer. "

http://dictionary. bnet. com/classification/Customer. html?label=col1;rbDictionary

Godiva's customers are the manufacturers, vendors, wholesellers.

Impact on operation's performance targets:

The performance of the five operation aims are aggregated by any company only to gratify the customers' needs, would like and wants. The customers' choice is always given first goal.


It is impacted in the manner that customers pay when they depend on the quality of the product. Quality means 'conformance'; supply the product as it is promised. High quality included with the price and stability as well. The more quality is high, the more cost organization will have to pay. The greater customer is happy with the quality, the more stability and the earnings of the business increase which is known as to be beneficial for the health of the company.


Speed means 'quickness of responses'; it means quick reaction to the customers' request. If they will order the products, they could easily get it on time if the hold off happens, it can't be as long as it make the customers annoyed. A good speed reduces cost, inventories and the potential risks and increases the dependability. For example, Godiva has used new technology and machinery to improve the quickness of creation. This reduces the cost happening labour as the technology used is automatic and self helped device. Acceleration is countable in services as well.


Dependability means 'being on time'; customers rely upon the business to get their orders on time. Delay in delivery triggers stress and waste of time which afflicted the quickness in other sense. If the business maintains its stability, it's possible for the organization to get more customers. In the inner operations, company should rely upon its procedures and the procedure combined with the speed to perform them. If the customer is not given the offer of good stability, the performance will be afflicted.


Flexibility means 'being able to change the operation in some way'; though there isn't a a definite description of it however the mentioned one is agreeable. There are various kinds of the flexibility, for example: in product and services, businesses, amount, delivery and mix flexibility. It creates the clients happy and satisfied by providing them a variety of products and services, by offering new ideas and attractive offers, allows the operation to adjust with its output levels, controlling the delivery things and coping the issues of if being delayed.


The performance of the other procedures objectives help in reducing the cost which vary atlanta divorce attorneys organization's structure. Top quality, broadband, high dependability, high flexibility give external rewards and decrease the cost as well which is good for the health of the business enterprise. http://wps. pearsoned. co. uk/ema_uk_he_slack_opsman_4/0, 8757, 1144836-, 00. html

A 'supply network' is known as to be a assortment of 'businesses'. It involves the whole process from insight to the outcome. Regarding to Sunil Chopra, "a network design needs to product characteristics on the correct delivery network. " Only niche companies will conclude using a sole distribution network. Most of the companies are best saved by a combination of delivery network. The mixture will be based upon product characteristics as well as the strategic position a company concentrating on.

Supply Network Design for Godiva Chochlatier:

Shown in the shape below;














In the supply network design, inventory is stored locally at shop. Such a design is appropriate for the organizations like Godiva regarding to its proper plan which is to provide its customers quality and dependability and what they want, want and demand. In such supply network the merchandise reach to the customer in short time satisfying the customer with the service which cuts the risk of delay and annoying the client.

Process Design (volume-variety):

A process design can be utilized as a proper tool in three ways:

To evaluate possible strategic goes along with the volume-variety diagonal.

To analyse a competitive area and examine a offering offering in accordance with your competition.

To analyse internal organizational processes with a view to discovering processes which have different volume-variety characteristics and that ought to therefore perhaps be been able separately.

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In the light of above talk, Godiva's process design is carried out successfully in term of volume-variety. It helps in analysing the organization's product demand in the market because of the quality and the variety which improving its earnings and the stability with lowering cost and internally analysing the handling of volume level with high variety. The whole process of the organization is designed to control its amount such as, it is analysed if the productivity is less than 300 kg, and it will be uneconomic. So, the professionals and the expertise present their service to regulate the issue which is decided that the products with the same delicious chocolate coating should pass through the process so the colour change can be carried out at the end of the day's creation to make it ready for the second process. Alternatively new machinery, technology and the robots are being used to upgrade the product quality, variety in so doing increasing dependability on the market and among the clients as well as conserving the price on labour to much level. It offers 50% reduction in cost and time and with higher quality. The strategy and the procedure derive from the low level, high variety. High quantity means the high quantity of the products which will be stored in the condition of inventory which is considered to be an obstacle for the cash move. An employee's importance can't be ignored in the look process. Although automation and technology is utilized to give a press to the product quality and the variety, but where the trained and senior staffs is needed to handle the process, the assistance is taken up to give more variety to the products. For instance, Godiva gets the service of its engineers' opinion and the employees' skills in packaging the chocolates by hand saving the price. This decision influences on the variability as much of the personnel are also very adept at adding value-added features to the packaging, such as ribbons, bows and labels.

The extension of the business depends on the good relationship with the clients. 'Customer Relationship Management' (CRM) is not just the application of technology, but a strategy is to find out about the customers' needs and behavior in order to produce stronger romance with them. http://www. businesslink. gov. uk/bdotg/action/layer?topicId=1075422922

SWOT analysis would work before giving offering to the customers and before making any agreement with them. The organization should know about its weaknesses whatsoever they are really and try to handle them. It should analyse which division is in electricity in increasing the revenue and the income whether in the shape of customer giving them good customer service. What opportunities could avail and utilize to discover the best efficiency of the business. It will trust on its dependability and then give offers to the clients. If the business does not give its customers actually what they expect and demand from it. Eventually, the organization will eventually lose by and by its customer and place on the market and business community that is the primary threat of the business. The loss of customers is the loss in income. Just imagine, if minus the SWOT evaluation offers are given to the clients and later on it is acknowledge that there surely is not enough to spend on the price, the organization will be failed to match its premises and offers to the clients. 'Quality and dependability' are two main factors in the form of progress. If the quality is given and the stability not, even then this cause customers loss. Because they need the delivery promptly and want to keep carefully the business up-to-date.

In the processing industry, developing methodologies are with respect to the industry, size of businesses and the practices are being advanced. In a processing organization, raw material transform into completed goods for the customers to the consumers. You will discover three types of methodologies:

Job development:

It typically will involve producing a one-off product for a particular customer. For example, construction agreement for the building or the home. While on the service sector, this means to repair your personal computer or organizing a publicity campaign for a client to meet customers' need. It really is slow but costlier.

Batch creation:

It involves production runs and the developing of components. A batch of components run in one production and then your equipment segregated for the other types of the productions. In this technique, versatile equipments are used to make a variety of products. This method is requested Godiva. Such as Godiva is using in enrobing and moulding functions. In enrobing, various devices and the conveyors are being used. The changeover for small liquid tanks requires 20 minutes in disconnecting, tidy up and then attaching to the other coloring of liquid reservoir. It is less costly than job creation. As it helps you to save cost. In the same way in moulding such machinery is employed which takes significantly less than about a minute changeover. In addition two depositors can be used simultaneously. Such a method helps you to save time and cost, rises swiftness and quality which combine the stability of the organization.

Continuous development:

It is mostly used in the steelmaking and the petroleum refining companies where in fact the process is continuous and continuous. Here the unit cost is leaner with continuous creation but investment cost is high. The potential risks involve as the equipment cannot typically be changed for producing other products.

http://businessmanagement. collection101. com/article. cfm/developing_methodology_influencing_factors


To summarize, Godiva is working relating to its strategic objectives. It is going perfectly with its performance goals, products and services. It really is decided to spend on technology to save lots of enough time and cost and increase the quality and all of the the merchandise with low level. The source network made for Godiva is not complicated because it is handled remember the tactical goal of the business which is to provide its customers the merchandise with end consumers needs, wishes and demands along with customers own as well. Godiva's factor with its positioning on the market and romantic relationship with the customer helps in expanding further relations with its offers. The batch production is a best suit for the organizations like Godiva since it is giving a number of products.

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