Operations Management
Seagate Technology is a leading provider of technology and products allowing people to store, access, and manage information. The company is the world’s largest manufacturer of disc drives, magnetic discs, and read-write heads. In addition, they are the leading developer of business intelligence software. With increasingly valuable role storage is playing in the computer industry and across the internet, Seagate continues to drive new solutions for this important market, which also includes the burgeoning opportunity for storage-centric consumer devices such as digital video recorders and internet TV. Seagate employs approximately 60,000 people worldwide and can be found around the globe. Their offices are located in Malaysia, Singapore, Northern Ireland, Thailand, and the USA. Seagate supplies their products and services to many companies in the computer and financial industry such as IBM, Compaq, Prudential Securities, and Bear Stearns. Their standards include the ISO certification, which is a registration to an internal standard for quality whose requirements are aimed at achieving customer satisfaction by preventing nonconformity at all, stages from design through servicing (seagate.com). ISO9000 certification is soug
Sun Microsystems, Inc. 31.15 16.34 1.095 In conclusion one may argue that Seagate’s strength would be their emphasis on research and development. They spend more money on R&D than any other company in the industry. They invest in creative ways to store information the way a customer wants it. Moreover, they innovate hard drives and storage area networks (SAN) that promote excellent performance and reliable service. A strong management team is a vital element for Seagate. For example, Seagate engineers are patent-conscious. When they make an invention, they submit a patent disclosure that describes significant technical advances. As a result, Seagate is receiving a large number of very good patents due to the quality of engineering done at Seagate. However, others may argue that Seagate’s ROE (return on equity) does not meet the industry standards. For shareholders of Seagate their earnings on profits are below par compared to the industry average. It is in my opinion that Seagate will continue to build a successful business with customers, employees, and partners, in belief that their success will lead to the prosperity of shareholders. As a result, Seagate’s commitment to technology development and invention has been performing well even during a time when market conditions have many companies scaling back on research and development. Return on Assets (ROA) is an efficient measure of operating efficiency. As of October, 2000 Seagate’s ROA is 4.47% It’s recent ROA is above the industry average of 3.57%, which indicates that the company is more efficiently utilizing its assets to generate profit compared to the industry. Another way to measure Seagate’s managerial effectiveness is Return on equity (ROE), which focuses more narrowly on a bank’s success in earning profits for its shareholders. Seagate’s current ROE is at 8.98%. The industry average is around 13.95%, giving Seagate a disadvantage against its competitors in generating value for its stockholders (yahoo.com). Lexmark International Group, Inc. 50.07 20.46 2.5 ht to demonstrate capability to Seagate’s customers and it’s mechanism for internal improvement. Seagate’s website (www.seagate.com) offers customers a convenient way to purchase products and view the latest innovative products in technology. Additionally, Seagate.com offers the latest company news and quarterly reports (seagate.com). It is clear that in order for Seagate to succeed in the market place today, they must have a website. Seagate.com continues to find ways for customers to have a close look at their company profile and purchase products quickly and effectively. Like most companies, the goal for Seagate’s operations management team is to create value for their customer (Russell 5).
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Approximate Word count = 2027
Approximate Pages = 8 (250 words per page double spaced)
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