Operations and Competitiveness - How does a firm remain competitve?

Background:

Performance of a publicly held firm is usually measured in stockholder value. Operations managers are key to a firm's performance in a competitive, dynamic global economy. Although there is no magic business lamp the managers ask for some very pertinent wishes:

1. Cut overhead

2. Increase efficiency

3. Improve customer service

Questions for Thought:

1. Can you match the three wishes the managers ask for and their functional areas (i.e., finance, operations, and marketing)?

2. Can you think of examples in real life where businesses went out of business because the lost how to be competitive?

3. What is IBM selling here, a product or a service, or both?