Critical Competitive Factors and Priorities of the Operations Function

The most critical aspect of gaining orders and retaining customers is customer service. As the world’s second largest home improvement retailer, Lowe’s is offering customers more for their buck. Lowe’s is devoted to giving superior customer service so buyers have more incentive to return. Nothing inspires return customers like low prices and a great customer experience. To improve the customer experience and attract new customers, Lowes has a store credit card program. With the card, a customer can get 5 percent back on purchases or receive special financing options. Lowe’s also offers green products and services to better meet customer needs. With low energy home lighting systems available for sale and recycling centers setup at most stores; Lowes is very environment-friendly.

Management is trying to accomplish productivity improvement. Lowe’s realizes significant benefits through improved merchandising decisions. With more timely responses to information requests, cost reduction initiatives, enhanced employee productivity, and better service to their customers; Lowe’s expects great results.

The main operational issues for the year 2011 are technology issues and expenses. Management plans on improving these issues by using a lean system for expense control such as managing payroll and anticipating staff needs. Along with getting rid of excess inventory. Technology will be improved by updating computer devices and getting the iPhone for faster, easier processing. The operations manager will be evaluated by the success of the company over time, if they’re profiting or not. The goal is to ensure that business operations are efficient in terms of using as little resources as needed while still meeting customer needs. The management is concerned about the fulfillment of the company’s vision: customer valued solutions, great products, better prices and services.