Operations Management: Zara's Approach To Operation Management

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Zara 's success is due to its superior approaches to operations management: which stands true. Zara 's success is based on the structured organization that takes place inside and outside of the company. The main purpose of this essay is to fully comprehend the Zara 's functions. As we are about to see later on, Zara produces clothes and accessories based on customers’ demands and preferences. In other way we are about to discuss Zara 's operation management. Zara 's background is also going to be mentioned. There is also going to be operating management about Zara 's competitors (H&M, Benetton), and the differences between those companies. Zara is a clothing and accessories retailer company, founded on early 70 's in Spain. In 1975 opened the…show more content…
Benetton does not own any of its suppliers, forward integration strategy. “The company’s central facility in Italy allocates production to each of the non-Italian network, deciding what and how much each is produced. Benetton has around 300 designers that they design for all the company’s brands and they are engaged in researching new materials and clothing concepts. Non- Italian operations include factories in North- Africa, Eastern Europe and Asia” (Fast Fashion Case Study, 2017). The Benetton manufacturing process is ' 'Batch ' ' sale strategy, too. The Benetton Group produces annually about 115 million different designs. From this volume are asked to choose 80 representatives (agents) from all over the world, what will be promoted in each country, to make orders and to reach the goods in the stores about 8 months later. These representatives are responsible for specific countries around the world and guide the flow of collections in each country. After, they choose from all projects that the designers of Benetton produce each season, they call the owners of individual stores to make its orders themselves (Ayers, 2002). Thus justified and that in different stores one finds different species. As Zara, never returned anything in group facilities, the system works in such a way as to produce only projects that have already been sold. Benetton products situated close to its main automatic warehouses that store, pack and assemble individual orders for its retail stores. The products are shipped in large quantities, low cost. Benetton stands out thanks to its provocative advertising campaigns, which have been not only a means of communication but also an expression of the time. Benetton also sells online through its own website (Anon, 2017). Store employee are very helpful and help customers find

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