Global Operations Strategy
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1 Yeming Gong Global Operations Strategy Fundamentals and Practice 4y Springer
2 Part I Introduction to Global Operations Strategy 1 Basic Concepts of Global Operations Strategy Strategy, Operations Strategy, Global Operations Strategy From Strategy to' Manufacturing Strategy From Manufacturing Strategy to Service Operations Strategy From Operations Strategy to Global Operations Strategy International Operations Management and Global Operations Strategy Introduction to International Operations Management The Difference Between IOM and Global Operations Strategy Basic Principles in Global Operations Strategy Global Integration Principle Global Coordination Principle Global Trade-off Principle Global Focus Principle Basic Decisions in Global Operations Strategy Structure Decisions Infrastructure Decisions Content Framework and Book Structure Content Framework of Global Operations Strategy 31 References 40 2 Globalization of Operations Globalization of a Firm Globalization Approaches Globalization Stages Globalization Components Globalization Directions 45
3 <ii Contents 2.2 Globalization of Operational Competencies, Resources, and Processes Globalization of Operational Competencies Globalization of Operational Resources Globalization of Operational Process Globalization of Manufacturing Operations Globalized Manufacturing and Key Operational Elements Basic Manufacturing Globalization Modes Globalization of Service Operations Global Services and Key Operational Elements Basic Service Globalization Modes 60, References 67 3 < Rationale Behind Operational Globalization 69! 3.1 Basic Theories Basic Frameworks Dunning's OLI Framework Porter's Five Forces Framework Kogut's Comparative and Competitive Advantage Framework Porter's Configuration-Coordination Framework Ghoshal's Means-Ends Framework Prahalad and Doz's Integration-Responsiveness Framework Bartlett and Ghoshal's Globalization-Localization Framework Porter's Diamond Framework of Nation Advantage Drivers Drivers for Global Manufacturing Drivers for Global Service Drivers for Sustainable Global Operations Benefits Growth Cost Reduction Knowledge Generation and Acquisition Competitive Leverage Customer Satisfaction Social and Environmental Value Creation Risks Natural Risks Economic Risks Political Risks Social, Ethical, and Environmental Risks 93 References 96
4 Contents xiii Part II Fundamentals of Global Operations Strategy 4 Competency-Based Fundamentals Introduction to Operational Competencies Cost Competency Concept of Cost Competency Approaches to the Achievement of Cost Competence Flexibility Competency Concepts of Flexibility and Flexibility Competency Framework of Flexibility Competency Delivering Flexibility Quality Competency Concepts of Quality and Quality Competency Evolution of Quality Management Quality Competence in a Global Environment Quality-Based Global Operations Strategy Time Competency Concept of Time Competency Time-Based Global Operations Strategy Value-Based Competency Concept of Value-Based Competency Approaches to Achieve Value-Based Competency Other Competencies Revenue Scalability Ubiquity 132 References Resource-Based Fundamentals Introduction to Resource-Based Global Operations Strategy Introduction to Resources of a Firm Resource and Competitive Advantage RBV of Strategic Management Resource-Based Global Operations Strategy Global Resource Size Management Introduction to Resource Size Problems Capacity Size Problem in a Global Environment Global Resource Type Management Introduction to Resource Type Problems Resource Flexibility in Production Input Resource Flexibility in Production Capacity: Single Facility Resource Flexibility in Production Capacity: Networks Product Flexibility 154
5 Contents 5.4 Global Location Strategy Introduction to Global Location Strategy OLI Framework and Dunning's Location Theory Location Strategy in Global Manufacturing Location Strategy in Global Service Operations Location Strategy in Global R&D Location Strategy in Sustainable Global Operations Global Dynamic Capacity Management Introduction to Global Dynamic Capacity Management Dynamic Capacity and Capability Lifecycles Dynamic Capacity Models 166 References 170 Process-Based Fundamentals Introduction to Process-Based Global Operations Strategy Introduction to Global Business Processes Business Process Design Business Process Reengineering Business Process Management Global Business Processes and Competencies Global Supply Chain Strategy Introduction to Global Supply Chain Strategy Global Sourcing Strategies Global Internal Supply Chain Strategy Global Distribution Strategies Global Supply Chain Coordination Global Supply Chain Strategic Alliances Global Sustainable Supply Chain Strategy Global Revenue Management Strategy Introduction to Global Revenue Management Strategy Strategies for Global Revenue Management Global Technology Strategy Introduction to Global Technology Strategy Global Product Development (GPD) Strategies R&D Internationalization Modes Global R&D Coordination and Communication Global R&D Sourcing Strategies Technology Strategies for Global Sustainable Operations Global Operational Risk Management Strategy Introduction to Global Operational Risks Basic Operational Strategies to Address Global Risks
6 Contents xv Part III Basic Approaches for Global Operational Risk Management Kleindorfer's Operational Risk Management Framework 211 References 215 Practice of Global Operations Strategy 7 Cross-Border Global Operational Practice Global Operations Strategy Across Political Separation Introduction to Political Separation Political Separation in Global Supply Chain Strategies for Political Separation Global Operations Strategy Across Cultural Separation Introduction to Cultural Separation Influence of National Cultural Separation Strategies.for Cultural Separations Global Operations Strategy Across Physical Separation Introduction to Physical Separation Influence of Physical Separation on Global Operations Global Operations Strategy Across Developmental Separation Global Operations Strategy Across Relational Separation Introduction to Relational Separation Relational Separation and Global Operations 238 References Cross-Function Global Operational Practice Introduction to Cross-Functional Integration Cross-Functional Integration Mechanisms Cross-Functional Practice and Performance Management Strategic Linkage Models and Balanced Scorecard Challenges to Cross-Functional Integration Global Operations Strategy and Marketing Global Marketing Strategy and Its Links to Operations Integration Practice Across GOS and Marketing Global Operations Strategy and Finance A Framework to Integrate Global Operations Strategy and Finance Cross-Functional Practice Between GOS and Finance Global Operations Strategy and Taxation Global Taxation Strategy and Its Links to Operations
7 xvi Contents Approaches to Integrating GOS and Taxation Tax Aligned Global Supply Chain Framework "Double Irish Dutch Sandwich" Structure Global Operations Strategy and Human Resource Global Human Resources and Its Links to Operations Integration Practice Between GOS and Human Resource Global Operations Strategy and Information Management Global Information Management Strategy and Operations Global Information Management and Competitive Advantages Cross-Functional Practice Between GOS and Information 272 ' References Cross-Value Global Operational Practice Introduction to Practice Across Values Environmentally Friendly Global Operations Introduction to Environmentally Friendly Global Operations Strategy Environmentally Friendly Practice Socially Responsible Global Operations Introduction to Socially Responsible Operations 294 If Socially Responsible Operational Practice Sustainable Global Operations Sustainability: Beyond Greening Globalization and Sustainable Development Global Sustainable Operational Strategies 304 References 309 Index 311
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