One of the duties of an operations manager is to participate in the mission and strategy of the organization. When looking at the strategy, the operations manager focuses on the goods and services that will achieve a competitive advantage for the organization in the industry. This advantage can be achieved through differentiation, low cost, or response. However, to ensure the company's ultimate competitive advantage, the operations manager must also assess the value add to consumers.
Based on the readings in the textbook and the ITT Tech Virtual Library, analyze the importance of value-added analysis in operations management by answering the following:
Define the term "value-added analysis."
Provide a brief explanation about how the concept of "value-added analysis" entered into the industry, including the person who authored the concept and the premise for introducing the concept in the industry.
Explain the advantages or disadvantages of performing a value-added analysis to operations managers.
Describe when in the operations design process this analysis should be performed and the expected outcomes of the analysis.