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, SIXTH EDITION


OPERATIONS
STRATEGY
NIGEL SLACK
MICHAEL LEWIS

, Contents

List of figures, tables and exhibits from case studies xi
Preface xxi
Authors’ acknowledgements xxvi
Publisher’s acknowledgements xxvii

Chapter 1 An introduction to operations strategy 1
Introduction 1
Why is operations excellence fundamental to strategic success? 2
What is operations strategy and how is it different from operations
management? 8
How should operations strategy reflect overall strategy (top-down)? 13
How do the requirements of the market influence operations
strategy (outside-in)? 15
How can operations strategy learn from operational
experience (bottom-up)? 19
What is the difference between the ‘content’ and the ‘process’ of
operations strategy? 29
How are operations strategy decisions made? 38
Summary answers to key questions 46
Further reading 48
Notes on the chapter 48

Chapter 2 Operations performance 50
Introduction 50
What is meant by operations performance? 51
How is operations performance judged at a societal level? 56
How is operations performance judged at a strategic level? 59
How is operations performance judged at an operational level? 62
Does the relative importance of performance objectives vary over time? 74
Do operations performance objectives trade-off against each other? 76
What are the advantages and disadvantages of focused operations? 81
Summary answers to key questions 87
Further reading 89
Notes on the chapter 89

Chapter 3 Socially responsible operations strategy 91
Introduction 91
What is corporate social responsibility? 92
How does the environmental dimension of CSR affect operations strategy? 94
How does the social dimension of CSR affect operations strategy? 98

, viii C ontents

How does the economic dimension of CSR affect operations strategy? 102
How does the stakeholder dimension of CSR affect operations strategy? 104
How does the voluntary dimension of CSR affect operations strategy? 109
How can operations managers analyse CSR issues? 112
Summary answers to key questions 115
Selected further reading 117
Notes on the chapter 117

Chapter 4 Capacity strategy 119
Introduction 119
What is capacity strategy? 120
How much capacity should an operation have? 121
How many separate sites should an operation have? 131
What issues are important when changing capacity levels? 133
What tasks should be allocated to sites? 141
Where should capacity be located? 142
Summary answers to key questions 149
Further reading 151
Notes on the chapter 151

Chapter 5 Purchasing and supply strategy 152
Introduction 152
What is purchasing and supply strategy? 153
What should we do and what should we buy? 163
What is the role of contracts and/or relationships? 168
How do we manage supply dynamics? 177
How do we manage supply networks over time? 183
How do we manage supply chain risks? 188
Summary answers to key questions 190
Further reading 192
Notes on the chapter 192

Chapter 6 Process technology strategy 193
Introduction 193
What is process technology strategy and why is it
getting more important? 194
How can process technology be characterised? 202
How do market volume and variety influence process technology? 206
How can process technology be evaluated strategically? 217
Summary answers to key questions 230
Further reading 233
Notes on the chapter 233

Chapter 7 Improvement strategy 235
Introduction 235
What are the different approaches to improvement? 235

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