Operations Strategy of Food Industries in Stagnation Conditions

Due to the necessity to provide a proper decision framework, applying the operations strategy in different industries is very important. In this regard, food industries are one of the most important platforms where the corresponding companies should adopt a specific operations strategy, especially in the context of the economic crisis such as stagflation. In this paper, a framework for formulating an operational strategy using the operational strategy matrix model is presented. In this matrix, the market perspective in terms of performance objectives (including quality, speed, dependability, flexibility, and cost) and operations capabilities in four decision areas (including capacity, supply network, process technology, and development and organization) are considered together. In this research, based on a descriptive-analytical approach, the literature and similar conditions in other countries are discussed. Based on the carried out analyses, the type and nature of strategies are identified that provide a strategic plan for senior executives in the stagflation economic conditions. Accordingly, adopting the decisions corresponding to the development and organization are considered as the most appropriate solutions. In this regard, cost reduction and quality improvement can result in a substantial competitive position through a continuous cycle.