Changes in the external environment


Identify how changes in the external environment may affect the OM strategy for a company. For example, what impact are the following factors likely to have on OM strategy?

a. The occurrence of a major storm or hurricane.

b. Terrorist attacks of 9/11/01.

c. The much discussed decrease in the quality of American primary and secondary school systems.

d. Trade Legislation such as WTO and NAFTA and changes in tariffs and quotas.

e. The rapid rate at which the cost of health insurance is increasing.

f. The Internet.

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Operation Management: Changes in the external environment
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