Global operations management can be defined by different aspects that add up to make the operations process: these include international manufacturing, international sourcing and international supply of the markets globally. Over the years, the management of global operations has often proved to be both a great opportunity and a great challenge in relation to the different culture and beliefs for large global business enterprises. In addition, international markets are increasingly becoming intertwined and competitive hence; there is a global goal of making equal standards to all international businesses.
Looking at the global operations management of the LOREAL'S company, in recent times they noticed that international consumers are on the path of asking for a common low price to all international products and services. L’Oreal Company is believed to be the largest beauty and cosmetics company which has its headquarters in France, Paris. The company has mainly focused on pharmaceutical and dermatological aspects in relation to its products.
According to research and studies, global operations management has been divided into two major aspects; these are cultural and structural which can also be termed as soft and hard approaches (Allard 1996). Corporations that are global are currently focusing more on institutionalizing returns that have been earned over the years globally and the processes involved rather than focusing on new technology (schniederjans 1998). Creating trust and coming up with an international language of doing business in relation to the different countries and their cultures is believed to be a vital factor to bringing out an international operations management that is highly efficient and effective. In relation to L’Oreal Company’s management, one strategy that they have adopted so as to improve the global operations management is to build an application that is global which will look at all the issues that are related to investment. This has proven to be successful and has led to improved production costs which are highly effective (Scott 1996).
Research and studies show that business globally is increasing at an alarming rate thus; companies that are established such as the L’Oreal Company should come up with new strategies that will continue to give them a competitive advantage over their rival companies. One way of achieving this is through changing the process of global operations management; instead of leaving the full control to leaders who are based solely at the headquarters, they should try and divide the responsibilities to other parties that are in relation to the given company globally (Loader 2006).
There have been numerous debates on whether there should be global standardization or local innovation: whereby the main question is whether globalization process can be practiced to both companies that are domestic and those that have been globalized. In addition, this has led to the question of trying to come up with equilibrium between innovation and efficiency in relation to global operations management (Latta 1998). When the L’Oreal Company wants to introduce a new product or service into the global market while targeting a given group of consumers, it will have to look at the diverse cultural aspects and come up with strategies that will guide the company to success in achieving their goals and objectives (Hockley 2010).
In conclusion, I believe that global operations management is a very important aspect in the growth and development of businesses that are international. Therefore, the L’Oreal Company should ensure that it implements effective global operations management.
Allard, L. A. C. 1996, Managing globetrotting expats. Management Review, vol.85 issue (5).
Hockley, L. R. 2010, Global Operations Management. Nova Science Pub Inc.
Latta, G. W. 1998 Expatriate incentives: Beyond tradition. HR Focus, vol.75 issue (3).
Loader, D. 2006, Fundamentals of global operations management. John Wiley & Sons.
Schniederjans, M. 1998, Operations management in a global context. Greenwood Publishing Group.
Scott T. Young, W. N. 1996, Managing global operations:cultural and technical success factors. Greenwood Publishing Group.