Writing Assignment #3 ExxonMobil Inc Case Study

Assignment # 3
Student’s Name
Institutional Affiliation
ExxonMobil Inc case study
ExxonMobil uses a postponement strategy which incorporates delaying customization or differentiation for specific customer requests as an approach to provide products in alignment with customer specification while reducing the overall inventory levels. Postponement involves strategic placing work in process inventory in the pipeline prior to customization points. Additionally, postponement holds the inventory in minimal costs and reduces custom products customer lead time. ExxonMobil postponement strategy considers inherent in product design and the postponement benefits are subject to commonality strategy. This section discusses the ExxonMobil organization management of lean and quality.
Lean and Quality management
Production systems generate items that the population demands with accuracy and speed. However, the manner in which items are generated and presented to customers involved function has been posing a challenge to meet the customers' satisfaction fully. Notably, lean manufacturing was developed to propel the use of materials and time maximally. ExxonMobil uses the concept of lean manufacturing to cut out unnecessary hindrances in achieving all its customers' best selection (SONG et.al, 2018).The organization adopts the lean principles in order to effectively compete through the use of increasing demand for materials with market cost dynamics. ExxonMobil engages in lean manufacturing with the aim of creating the highest quality for consumers with eliminated producers waste. The lean manufacturing process is ideal as the system run with exact productivity for prime quality delivery and zero waste. The organization use of lean processes expends useless material, energy and capital until the waste level vanishes. The organization waste per production unit is instituted in the entire company and the production flow is stretched to an overarching angle. ExxonMobil initiative to convert a system to lean saves employees additional time and extra efforts used in the projects. Employees use their full capacity to execute essential tasks as opposed to long laboring hours over convoluted assignments.
The organization also applies lean sigma six principles to analyze data and meet the highest possible standards (Strong, 2018).The mathematical objective is used to monitor the nature and consistency of products. The organization uses Lean sigma six strategies in waste reduction, limiting variations between products and protecting commodities against defect. The lean system also solves issues emanating from mathematical solution technique and production based on collected data. ExxonMobil application of Lean six sigma is most successful when supply chain, service quality drilling operations and customer satisfaction are emphasized
Management of inventory across the supply chain
The organization engages in a cost inventory management that looks at the total inventory across the entire supply line. The entire supply chain of inventory is essential for tracking the pipeline inventory and setting services levels with multiple suppliers.
Planning for successful operations
ExxonMobil has a good hierarchical strategy of planning for successful operations. The organization plans from Top Down. Goals and strategies are determined at the corporate level, operations are executed at a plant floor and the plans for meeting the organizations' objectives are developed at a facility level.
Determining Corporate Strategy
The corporate strategy ideally establishes ExxonMobil direction and securing competitive advantage in the global market. The organization is guided by principles such as a focus on being a low-cost provider, a focus on being the innovation or product quality leader and a focus on customers differentiated needs for competitive advantage (Buzzo & Mazzoni, 2019).Notably, individual strategy demands a different approach to operations management. The business plan is fundamental in the execution of the corporate strategy. ExxonMobil business plan addresses questions the affairs of running the business such as products and services that the firm provides and how and where the organization produces market and distributes the product. The business plan also examines both competition and market dynamics. The business plan has a long term effect on organization concerns and shareholders. Therefore it covers many aspects such as goals, product portfolio, markets, long-term capacity, and facility location, production allocation, outsourcing strategy and production policy.
Preparing for success
ExxonMobil examines its corporate strategy, establishes production policies and its long term needs, focus shift to intermediate planning commonly identified as aggregate plannin...