Developing_Good_Business_Sense

Developing Good Business Sense Brad Brownlee BUS/210 June 5, 2011 Instructor: Amber Williams Developing Good Business Sense There are many different types of companies out there that provide services for the world. In this paper we will look at three companies that provide different services to the world. These companies are Burger King, UPS, and Belk’s. All three of these companies has a operation system in place that allows them and their teams to serve the public with a specific kind of product. Burger King is a fast food chain, UPS is a parcel service that delivers packages, and Belk’s is a retail store that supports clothing lines for customers to purchase. All three of these companies are different but they all have three key components that are related to each other: input, operations, and output stages. Burger King inputs foods that they find at a low cost as possible. By Burger King keeping the cost down on this side helps to keep the cost of the meals down for us when we purchase them. Their operations side is how each employee is able to greet the customer by taking the order and then processing the order by cooking and packing it up. Their output side is how much inventory of food that they are able to go through without keeping a lot on hand. UPS is a parcel service that delivers packages to people from other companies or other people. Their input side is trucks and employees capable of doing the job at hand. They have to have a network setup so that the packages are sorted to the right place. The operations side is getting the packages to the customer on time and in the condition that it left in. Having employees that: unpack trucks. Sort trucks, repack trucks, and deliver them are the operations behind UPS operations. The output is keeping the cost down by sorting the packages closer to the final destination and keeping fuel cost down so it keeps the price of shipping down. Belk’s is a retail store that provides clothing for customers. The input side for them is keeping clothes stocked on the shelves and racks for customers to purchase. The operations is having employee’s that are able to help customers with picking out the right sizes and style they are looking for. It is also important in operations for them to have the store setup so that different brands are in different areas so that it is not jumbled up. The output is having inventory sitting there and not be able to move it. Having the right sizes and styles helps to move it through faster and keep the cost down for the consumers. The main kinds of OMM cost that these companies have are: Raw Materials and Components Cost, Plant Cost, Labor Cost, Inventory Cost, and Distribution Cost. All three of the companies that we have talked about have these cost associated with them. Having these cost affects their OMM operations by determining how much things will cost at the bottom end. Raw Materials and Components Are the food, boxes, and general supplies all these companies need to operate. Plant Cost is how much it takes for the companies to produce their products and supplies to be able to have ready for the customers. Labor Cost is the cost of having the right number of employee’s ready to make the products ready, and to help with customer service. Inventory Cost is how much inventory they have on hand and keeping the inventory moving so that it does not back up in the warehouses. Distribution Cost is the cost of shipping the product or bringing the product into them. Keeping the cost of these down will keep the cost of the final down so that we are able to afford them. Burger King designs their company so that their products and facilities are enticing for customers to come into them. Keeping food that people want to eat and making it faster than other fast food companies helps them to have a advantage over their competitors. UPS tries to have a advantage over their competitors by delivering packages at a cheaper price, and getting them in a faster manner. Belk’s makes their stores attractive to customers and has a setup so that customers are not just walking around trying to find what they are looking for. This helps to give them a advantage over other retail clothing store. As we have looked at these three companies we can see that they are all different in terms of what they provide for consumers. We have also seen that they have common things when it comes to OMM. They all have components that relate to each other in terms of operation, cost, and their overall business to consumers. OMM is major system in the way that these three companies operate so that cost to the consumers is kept as low as possible. Reference Jones, (2007). Introduction to Business. : The Mcgraw-Hill Companies