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Operational Management Strategies for Technology Company Success Case Study

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Operational management is the administration of business performance to maximize the efficiency of the company or an organization. It is used by the company to ensure that an operation of the company turns out successfully and turns input in goods and services in an efficient manner. It is essential to manage the resources of the company optimally. It will enhance the performance of the organization and increase its profits. This report will discuss the XYZ Company which is a technology company and how this company effectively manages its operations to ensure that all the aspects of the business are running smoothly. The operational management includes product designing, quality of product, location strategy, and inventory management. The company should implement its operations by coordinating sales, product design and development, marketing, and the firm's supply chain, along with the XYZ Company’s other business areas (Milovanovi?, 2021). With significant management in the computer technology and digital content distribution industries, this company is an example of success in addressing the Operational effectiveness and strategies involving technological innovation which helps the company to succeed, despite competition involving Apple, Sony, Google, Amazon, Dell, Lenovo, Microsoft, Samsung, Walmart, and others.

Main analysis

A brief history of the company

The XYZ Technology Company was founded 30 years back in California based upon technological work related to computers, mobiles, tablets, watches, and many more electronic devices. The company has come up with innovative products and services to attract a large number of customers. The company had gone through lots of struggle, many failures, and achievements which finally led to the way it positions today. The company is amongst the top few companies in the IT sector and has marked its presence with innovative products. The company has introduced many successful products in the market, which lead to an increase in their net profits. The company provides unique devices to its customers and the new version of these devices comes up with the series, which creates a brand image for its customers. The company then operated its stores in different countries to target a large number of audiences. The company keeps launching new products every year to make its presence with innovative products. The new technology and additional features were continually included in the devices to create a good brand reputation in the market. The brand name that the company created for itself helped in the creation of the competitive advantage, making the company stand out from the other existing companies. The company has faced many upstream as well as streams in its entire life. The company has a great reputation and brand in the market as they introduce many new products every year (Baimagambetovaand Tultabaev, 2022). From introducing Watches and technology in personal devices, the era of XYZ company and its product brought real glory to the market. The advertising strategy of the company is also very good which attracts many customers to buy the products. Due to a good reputation and higher sales, the pricing of the products is higher than that of competitors.

The XYZ Company had many wrong decisions but they have crossed their struggle phase and now the company has successfully established its presence in many countries. It is now one of the best IT companies worldwide which provide a variety of innovative products in the market. They operate many stores for customer service and solve the problems related to the product.

Current operational objectives, operations, and capabilities

The case company’s supply chain is the best worldwide which is both cost-effective and efficient. The company obtains all its workings and other raw materials from suppliers across the globe. Once the products are ready for sale, they are shipped straight to final customers through the Online Store or retail outlets. The company’s cutting edge will allow them to stay ahead of the competition. The company offers various services from its apps like music, video calls, television, podcast, health, and many more services. The distribution channel of the company is very strong. They have various store partners and retail outlets in many countries. They also sell their product through an online platform through their apps and websites. They provide new products every year with a cheap pricing strategy to gain a competitive advantage. The case company is keen to improve its distribution network by collaborating with numerous retail outlets. This strategy will ensure easy access to company products, which will lead to more revenue and profitability for the company. The case company uses mobile technology to develop products such as mobile, laptop, tablet, and online music sharing for customs (Costelloand Plester, 2020). The company has established highly structured marketing distribution channels that operate independently to sustainable competitive advantage. The company has continued to create multiple brands through its innovative products to keep the company ahead of other competitors such as Samsung, Microsoft, Nokia, and many more brands.

Capabilities of the company

  • Brand equity: brand equity helps the company to gain a competitive advantage and sustain its marketing position. It comes from the trust and loyalty of customers toward the brand. The case company has remained a leader in terms of customer and its obsession with superiority and strong relationship with clients. Strong customer linking and high-level customer engagement have helped in brand equity.
  • Product quality: the company's reputation in terms of product quality has remained unopposed. The company brought several innovative and distinct products starting from computers to mobile phones, watches, and several more products and services. Its products are market-leading because of the heavy focus on quality and innovation.
  • Research and innovation: as a technology brand the company needs to research the market demand and should make innovative products. They have to make their product design and features different from that of competitors.
  • Global presence: the major advantage of the company is its global presence which mainly operates through the stores available in other countries. It helps the company to gain a competitive advantage and increase its sales on the large scale.
  • Marketing: marketing is an important aspect of every business. Efficient marketing strategies help the company to gain a competitive advantage and differentiated its identity. The company has a good reputation and brand image. The key reason for their success is innovative products.
  • Customer loyalty: the company has strong customer loyalty worldwide as they focus on better quality, innovation, and customer services. The case company has also built environmental concern-related products which sustain its customer loyalty.
  • Supply chain: the company has managed its global supply chain network in many areas. They manage their supply chain in an effective manner which is the key to the production of the products.

Main challenges

The major problem the company faces to a large extent is due to stiff competition in the IT industry. The biggest challenge faced by the company is financial crisis although Stakeholder expectations remain high so it affords the company no room for errors. Although, a company is better shielded than others due to its rigorous supply chain management. The second biggest challenge faced by the case company is various laws as the government around the world is concerned about market domination which is increasing rapidly. Regulators and authorities are launching an investigation to challenge the power of the big IT company. The company also faced technological challenges in terms of physical attributes and technological capabilities. Managing the demands of customers has extremely become difficult because of the company’s achievement and development. The success of the company has been based on the price range of products, which were no longer based on the internal advanced hardware and software. The secure media content, competitive forces, changing entertainment value, and ownership matters are depends on performance ability of the company. The company should carefully analyze its strategic management to meet those challenges which must be applied to maintain its success. 

The company should keep analyses on external environmental forces that will have a huge impact on the performance of the company. Internal analysis of the XYZ company identifies its main competencies, which would consent the company to implement its strategy to achieve success. The company's major competencies include innovation, advertisement strategy, strong customer relations, reputation, and brand image. These are the major external challenges faced by the company. The competition has increased over the years, as there are a large number of companies providing technology products in the market. The company should produce innovative features, better quality, and reliable products. They should provide after-sales services to their customers, which will help them to build strong customer relations. The company is recently dominating the market with its innovative hardware and software. The new entrance is also another risk for the company, competitors are entering the market with outstanding features and low-price ranges (Haseeb, The XYZ company's entry into the mobile devices market with their mobile sets uncovered it to a new level of opposition. The company should differentiate its products, which include supply chain management, wireless contracts, innovation, brand value, and customer relations. This will provide a way of gaining new markets and a strong brand image to build customer confidence to the products of the company.

The case questions

  • How the company can improve its operational efficiency? (Sigma model)
  • What is the impact of competition that forced the company to diversify its marketing strategies?
  • How a company can review its operations and mission statements? (Business process redesign)


The case company can use the six sigma model to provide the company with the tools and techniques to improve their operational capabilities. It will enhance the performance of the company and improvement in profits. This is a model which improves manufacturing defects and reviews to limit mistakes. Six Sigma is a tool that offers companies to improve their capabilities which include improving employee morale, quality products, and reducing defect rates. The 6 models are DMAIC and DMADV. DMAIC is used to improve customer satisfaction were defining, measuring, analyzing, improving, and controlling are applied in the manufacturing of the product. DMADV is used to design the product to meet the needs of customers where DMADV stands for define, measure, analyze, design, validate. By adopting these two methods the case company can improve its business strategies, and enhance its performance. The process begins with defining the business problems from the perspective of the customers and available resources to meet the demand. The second step will help the company to identify the problem with supporting data and achieve the outcome (Gao, et. Al.2021). the next step will determine the influencing variables and quantify the goals to reduce defective goods. In the next step, the company can improve its performance by differentiating between the variables. In this final step, the company can determine its performance and sustainable design improvements.

The company should handle its market problems efficiently to improve its operations. The competition can be handled by market research and analysis. The XYZ Company should be very keen on identifying the strategy which is being used by its competitors. It is recommended to conduct continued market research to identify the customers needs in order for the long term results. Through proper knowledge of customers' needs and the strategies being used by the entrants, the company will be able to apply the necessary innovative product into the market new products. The company should also conflict to invest a lot in its supply strategies to ensure that the competitors do not take advantage of its poor delivery strategies (Altand Zimmermann, 2019). The company by developing smart technical devices can survive in the market. The company can minimize the risk with an efficient operating system, software, and hardware. The case company's innovative strategy will strengthen customer loyalty towards the brand.

The case company should manage its operations smoothly to increase its sales and productivity. The company should improve its product design, quality improvement, location strategy, and inventory management. The case company should apply the business process redesign (BPR) model cam review its operations, change business processes and prepare its mission statement. By minimizing the number of external forces, the company can strengthen its relationship with the customers by doing various research and development techniques. The company has governed itself to stay up with the market trends and respond to internal and external threats effectively. In order to set up clear objectives and goals by streamlining their products with competitors the case company uses the BPR model. In the second step, the company should analyze all the business processes. They should prepare a mission statement and design integrity. The case company can consolidate resources when there is a need. The company by implementing its market and brand strategy can gain a competitive advantage. The company should develop an innovative product that will differentiate them from customers. They can also adopt changes to empower employees in the process which will reduce the waste of time and resources. In the last step, the company should implement all the business process redesign and monitor their impact on the organization. If the model applied does not work efficiently the process should be repeated all over to improve the performance (Mustansir, et. Al.2022). In operative business process management, employees need to have the confidence to confront difficulties head-on before the subjects negatively affect the business’s long-term growth potential. In today's global market, customer services are an important aspect of every organization. The company should handle its customers effectively by responding to constructive feedback.


In the above report states that the company should handle its operational management efficiently this will increase productivity and sales for future success. The company has a large number of products like computers, laptops, mobile phones, tablets, watches, and other electronic devices. Operational management is a business concern to maximize its efficiency which includes planning, overseeing, and organizing the companies' processes. The company should also focus on balancing revenues and the cost of the product with different strategies. The operational management includes supply chain management, quality product, delivery management, and product designing. The report also states the challenges faced by the case company and how these challenges can be overcome. It also states the operational objectives and capabilities of the company in the existing markets. The company has operated its stores and service centres in different countries worldwide. This helps the company to reach a large number of customers and they also sell their products through online platforms. The company by analyzing the internal and external environment can increase its performance in the global market. The company is focusing on the demand of their customers and developing innovative and attractive products (Mourik, et. Al. 2021). The company's supply chain management is an important factor that controls everything from shipping, distribution, production, and delivery to the customers. Operational management allows the company to plan, execute and monitor its performance without losing focus.


Alt, R. and Zimmermann, H.D., 2019. Electronic markets on platform competition. Electronic Markets29(2), pp.143-149.

Baimagambetova, E. and Tultabaev, S., 2022. Theoretical concepts and models of operational management. ?????? ??????????? ???????112(2), pp.4-10.

Costello, J. and Plester, B., 2020. The impact of organizational culture and dynamic capabilities on learning evaluation: an interpretive analysis. International Journal of Learning and Change12(4), pp.476-497.

Gao, X., Hong, Z., Feng, Y., Wang, T., Li, Y. and Tan, J., 2021. A 6-sigma robust optimization method for stamping forming of automobile covering parts based on residual error and radial basis interpolation. Journal of Mechanical Science and Technology35(10), pp.4627-4642.

Haseeb, M., Hussain, H.I., ?lusarczyk, B. and Jermsittiparsert, K., 2019. Industry 4.0: A solution towards technology challenges of sustainable business performance. Social Sciences8(5), p.154.

Milovanovi?, D., 2021. The Role and Significance of Operational Management in the Implementation of Business Strategies. RESEARCHING ECONOMIC DEVELOPMENT AND ENTREPRENEURSHIP IN TRANSITION ECONOMIES, p.170.

Mustansir, A., Shahzad, K. and Malik, M.K., 2022. Towards automatic business process redesign: an NLP based approach to extract redesign suggestions. Automated Software Engineering29(1), pp.1-24.

van Mourik, S., van der Tol, R., Linker, R., Reyes-Lastiri, D., Kootstra, G., Koerkamp, P.G. and van Henten, E.J., 2021. Introductory overview: Systems and control methods for operational management support in agricultural production systems. Environmental Modelling & Software139, p.105031.

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