Welcome to Module 8

The first part of this unit explores the issues associated with global operations management. At the outset, the terms operations, production, and material management are defined, and then it goes on to discuss the importance of total quality management (TQM) and ISO 9000. Particular emphasis is placed on the topics of where international firms should locate their manufacturing operations and how international firms decide whether to make or buy component parts. With regard to the former, the unit discusses how country factors, technological factors, and production factors influence a manufacturer’s location decision. The unit provides a balanced discussion of the advantages and disadvantages of buying components parts (in the world marketplace) opposed to making them in-house. The first part of the unit concludes with a discussion of what is required to efficiently manage a global supply chain.

The second part of the unit focuses on the marketing and R&D activities of global firms. The second part of the unit begins with a review of the four elements that constitute a firm’s marketing mix: product attributes, distribution strategy, communication strategy, and pricing strategy. The unit continues with a discussion of the importance of business analytics and international marketing research. Many firms vary their marketing mix from country to country depending on differences in cultures, levels of economic development, product and technical standards, the availability of distribution channels, and so forth. The unit discusses the strategic implications of each element of the marketing mix for an international firm. The link between marketing and R&D is also discussed. This unit stresses that selling a product on a global scale may require that a firm vary its products from country to country to satisfy local preferences. This may require a firm to establish R&D centers in different parts of the world and closely link R&D and marketing in each region to ensure that the company is producing products that its overseas customers will buy.

Module Learning Outcomes

Upon successful completion of this module, you will be able to:

Explain why production and supply chain management decisions are of central importance to many global companies.
Explain how country differences, production technology, and production factors all affect the choice of where to locate production activities.
Recognize how the role of foreign subsidiaries in production can be enhanced over time as they accumulate knowledge.
Identify the factors that influence a firm’s decision of whether to source supplies from within the company or from foreign suppliers.
Understand the functions of logistics and purchasing (sourcing) within global supply chains.
Describe what is required to efficiently manage a global supply chain.
Understand the importance of business analytics and international market research.
Explain why it might make sense to vary the attributes of a product from country to country.
Recognize why and how a firm’s distribution system might vary among countries.
Identify why and how advertising and promotional strategies might vary among countries.
Explain why and how a firm’s pricing strategy might vary among countries.
Understand how to configure the marketing mix globally.
Describe how globalization is affecting product development.

(CLO = Course Learning Outcome)

To Do

Please read/watch all of the module learning materials (readings, presentations, videos, etc.) and complete all assignments/assessments listed below. If you have questions, please contact the course instructor or ask in the Questions About This Course forum.

Readings and Presentations:

Read:
- Chapter 15 Global Production and Supply Chain Management
- Chapter 16 Global Marketing & Analytics

Videos:

Watch: YouTube: The Basics of Supply Chain Analytics

Assignments/Assessments:

Submit:
Discussion #4; 4 points; DEADLINE: Monday, Jul. 29, 11:59 PM

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