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Product and Process-Oriented Layouts

Product-oriented businesses aim to focus on meeting the needs of their customers rather than the high level of production in a way that is inefficient or ineffective. Many firms practice product-orientation layout. Among these firms is the Gillette company. However, most companies use a mix of product and market-oriented approaches to ensure that they can analyze the market and meet the expectations and also provide the ideal product to meet the market needs. Gillette company looks to set standards in their conduct of business through the production of goods that are known to guarantee customer satisfaction. This kind of layout allows the company to meet the target market with the customer knowledge of their high-quality goods.

Advantages and Disadvantages of Product-Oriented Layout

            One of the advantages of the product-oriented layout is about the quality since the focus of the business will be directed towards meeting the quality requirement of its customers. the reason for such a goal is that such businesses try to develop the perfect product that would satisfy customer needs (Arthur, 2017). The other advantage pertains to technological investment. With technological investment, companies aim to develop a wide range of products and as such, there is a lot of technology investments to achieve such objectives. Economies of scale cover the third advantage which results from the focus on quality. As quality is the center of focus, more products can be produced at a cheaper cost (Arthur, 2017).

 Some of the disadvantages associated with product orientation layout are associated with customers’ interests, business reputation, and selling prices. With customers’ interest, the layout technique may fail the business if the customer is not interested in your product (Sherman, 2018). Also, the business reputation matters since customers may lack trust in your entity’s ability to deliver goods. For businesses practicing this type of layout, it may be hard to make profits at start-up levels since the market may not agree with the high prices (Sherman, 2018).

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Advantages and Disadvantages of Process-Oriented Layout

            Some of the advantages of process-oriented layouts are the fact that it is associated with low investment. The other advantage pertains to its flexible nature. Changes in operations could be introduced without much effect on the existing layout (Knowledgiate, 2017). Due to the high level of production, other machines can be used to produce the same in the case break down. Product orientation may require the stoppage of machines which leads to a standstill but such an event is unlikely in the process-oriented case (Knowledgiate, 2017).

            Disadvantages associated with process-orientation are such as the high-space requirement due to the high number of materials to be processed. The other disadvantage is about inefficiency in material handling (Knowledgiate, 2017). With this point, there are numerous handling requirements for a lot of machines. Therefore, processes can be inefficient leading to high costs. The other disadvantage pertains to time. There is a longer production time as compared to the product-oriented layout since there are numerous materials for production (Knowledgiate, 2017).

Recommendations for Gillette’s Layout

            Gillette can improve its layout structure by focusing on a selected niche for your customer target. Since the business is meant to enhance customer satisfaction, the company can also ensure a precise focus on how the customers respond to your product. This strategy allows the company to meet the needs and requirements of its customers in its target market (Quain, 2018). Finally, Gillette can enhance competitiveness and gain competitive advantage through responses since they can easily access customer requirements and respond accordingly. Also, if Gillette identifies customer needs through a focus on a market niche, they have a strategic advantage over their competitors.

 

References

Arthur, L. (2017, September 26). The pros and cons of product-based marketing strategies and customer-based marketing strategies. Retrieved February 18, 2020, from BizFluent: https://bizfluent.com/info-8286428-pros-strategies-customerbased-marketing-strategies.html

Knowledgiate. (2017, December 9). Advantages and Disadvantages of Process or Functional Plant Layout. Retrieved February 18, 2020, from Knowledgiate: https://www.knowledgiate.com/advantages-disadvantages-process-functional-plant-layout/

Quain, S. (2018, October 19). Difference Between Product Orientation and Production Orientation. Retrieved February 18, 2020, from Chron: https://smallbusiness.chron.com/difference-between-product-orientation-production-orientation-16004.html

Sherman, F. (2018, November 8). The disadvantages of product orientation to a business. Retrieved February 18, 2020, from BizFluent: https://bizfluent.com/info-8244137-disadvantages-product-orientation-business.html