Case Study of Minit-Lube
How does the Mint-Lube operations strategy provide competitive advantage? Mint-Lube’s operation strategy with respect tool decision of operations management that provides competitive advantage Is given below: l) Goods and Service Design: Malt-Lube has designed Its goods and services very effectively and efficiently In such a way that customers not only find the place very clean and cozy but also get service very quickly.
To do this, they have designed a system to handle 3 cars at a time, no appointment required, instantly greeting ; taking order of customers by well trained graduate service representatives, start the required work immediately y 3 precise task specialists ; take out of the bay within 10 minutes etc are the key parts of their design to make the system effective, efficient ; get competitive advantage. I’) Quality: * In Malt-Lube, all the service personnel not only wear neat uniforms but also all are well specialized graduates from Malt-Lube University.
Their standard three- person team doing precise task and hence getting more & more specialization Is confirming their quality &: ensuring the competitive advantage. * Mint-Lube’s three-person team design, working simultaneously and finishing thin 10 minutes is showing how they have designed Process ; capacity efficiently. ‘v) Location Selection: * They have opened 4 branch offices located near residential area in Calgary with spotless environment that provides customers a refreshing feeling.
In order to increase the market penetration, recently they have opened two branches in Red Deer as well (as per wry. Entitlement. Com). V) Layout design: * The three bays are designed specifically for lubrication and vacuuming tasks to minimize wasted movement on the part of the employees and to contribute to the speedier service. ‘) Human Resource and Job design: * They have designed 3 persons efficient team. Well trained staff graduated from Mint-lube school, ensuring cost effectiveness by building good customer relationships and providing speedy and accurate service.
Whereas, each individual specializes in its own enabling the maximum level of service. Vii) Supply Chain management: * Mint-Lube has it’s own school for training and specialization. The company specialization allows it to control the complexity of its raw material inventory, and enables it to seek economies of scale by purchasing in large quantities and evolving strategic partnerships with its suppliers for example FRAME for oil filter, Petrol-Canada for motor oil etc. (as per www. Entitlement. Com ). Iii) Inventory: * As seen from the Mint-Lubes efficient case, it seems the inventory investment is relatively low and hence they can expect a high turnover. ‘x) Scheduling: * Service provided in least possible time frame with use of efficient human resource in order to meet customer schedules is the way how Mint-Lube scheduled x) Maintenance: and superior operations management. Moreover, with three bays and three systems, here is backup available in the case of failure. Q. 3 Is it likely that Mint-Lube has increased productivity over its more traditional competitors?
Why? How would we measure productivity in this industry? Answer: Yes, it is likely that Mint-Lube has increased productivity over its more traditional competitors. Here are the reasons: * Well trained/educated labor: labor plays a vital role in productivity and as employees of mint-lube are both well educated and trained, they increase the productivity of the organization. * More Output in lesser time: As compared to its competitors, at mint-lube the car moms in and goes out in only 10 miss which significantly increases the output and therefore, productivity.
Also, providing service to 3 cars simultaneously is boosting it’s productivity. Here, tasks completed per man-hour, numbers of vehicles serviced per hour etc. Would be a good measure of productivity in this industry. The continuous supervision of the task accomplished by the personnel and by maintaining log would be the greater start for the measurement of productivity. Reference: Operations Management (9th Edition, by Higher & Render) and www. Entitlement. Com