Analysis of Ikea Company - Essay Example

Competitive priorities have been a major consideration variable whenever he top-level management of any organization makes decisions. The operations managers and researchers are left with the responsibility to respond efficiently to the ever-changing business environment in order to gain a much-needed competitive advantage in the market. An ordinary approach to determining competitive priorities involves the use of a questionnaire where respondents rate the relative importance of each priority.

1 This method has been regularly implemented in many organizations and has portrayed reliability in results. Competitive priorities are directly linked to the performance of any business. The IKEA Company is involved with the manufacturing of household items across the world. As a manufacturing company, IKEA has divided its competitive priorities into the following elements; cost or price, quality, innovation, flexibility, and delivery. Under cost, the IKEA Company is able to pick a price of any prospective product and calculate what the product would cost.

The company involves all its experts in design, product developers, and purchasers to make the price choice. IKEA also ensures that there is quality in all the manufactured products.2 This is ensured by maintaining the usual suppliers of raw materials, for instance, the Romania factory. The products are also produced with Keen Corporation with suppliers. Innovation has also seen the company develop better products for its consumers. IKEA’s products are designed and produced by the best personnel in the company.

The most innovative design is passed for production. This has led to increased convenience in the use of their products in addition to more sales for the company. IKEA’s design and manufacturing process is also flexible. This means that they are able to accommodate any necessary changes to products in any phase of production up to the distribution level. The company was able to change the design of various tables to ease transport. Moreover, the design of the mug was changed three times to fit the packaging in order to ensure more sales.

Finally, IKEA’s delivery system is efficient in all aspects of adding value to consumers. The company ensures that the correct numbers of goods are delivered to the right stores and at the required time.3 These priorities explain the success that IKEA Company has enjoyed for a long time.