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Unit 16 Operations and Project Management

   

Added on  2021-06-08

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11/19/2020Aurora OleinikSGS407292Title: Unit 16Operations and Project Management
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ContentsTitle: Unit 16.........................................................................................................................................0Introduction...........................................................................................................................................2Main Body.............................................................................................................................................2Recommendations.................................................................................................................................6Conclusion...........................................................................................................................................11References...........................................................................................................................................12
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Introduction Tesco was set up in 1924 by Jack Cohen selling groceries from a handmade stall based in theEast end of Brixton, London. Now they are an internationally recognised company with over 450,000 employees in over 6,800 stored across the world, including Europe and China. (Tesco Our history, 2020)Tesco is an international supermarket which sells goods and services to meet the needs of their customers. Tesco offers its customers a range of different goods and services which includes food, clothing, electronics and financial services. To meet the changing demands of customers they have also expanded their purchase options for their grocery products to online delivery and click and collect. Tesco is a Public Limited Company (PLC) in the private sector, this means that the business has limited liability, with the debits being limited to the business, it is owned by private individuals called shareholders and Tesco’s shares are traded on the stock exchange.This states that their values, mission and visions are more orientated to shape their whole company and to meet their key stakeholder needs. “We make what matters better, together.” Their aims are providing a wide range of services and products by maintaining their position as the market leader through their different departments within their stores such as; Marketing, Finance, Human Resources and Operations. Also, by selling their products at a low price so they can compete against their competitors such as Asda, Morrisons, etc. Tesco earns profit by maintaining good quality products to attract customers, by keeping their prices low this can help increase their sales revenue time by time and have a vast number of loyal customers through their marketing skills. Tesco currently has 26.9% of market share based by statistica. (Business Case Studies, 2020) (Statista, 2020)One of Tesco's main purposes is to maintain their competitive advantage, being the leading UK supermarket, providing high quality goods and services at a low price, Tesco offer a pricematch policy to keep their prices lower than their competitors and have recently launched their new store “Jacks” to try and keep up with the growing demand for low costs supermarkets, Aldi and Lidl. (Tesco Our history, 2020)Main Body Conduct a review and critique of the implementation of operations management principles within an organisational context Concept of an operation is design to structure and enable a business to become more efficient within a delivery or a product or service. Operation documents are meant to include statements and objectives. Strategies, tactics, activities, clear statement of responsibilities and processes of initiating, developing, mentioning and retiring the system. An operations plan has key processes and milestones. There are ten principles within the operations management which are reality, organisation, fundamentals, variance, accountability, casualty, managed passion, humility, success and
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change. These types of principles provide aid to operations managers within the production facilities. Reality is where operations management is focused on the overall problems, instead of the techniques they are using. Because there are no tools which provide universal solutions. For example, Tesco focuses on solving customer complaints by making sure they meet their demands as quickly and efficiently as possible. (Zhao 2014)The operations at Tesco have people who have coordination, management and empowerment, they have many service workers who interact with the customers in its stores to ensure they provide the best quality service.These are regular and strict recruitment activities because it helps Tesco to identify the most competent individuals through their training procedures. If these procedures aren’t followed it can create a negative effect on Tesco as customers will feel unsatisfied with the service if their needs aren’t met. Organisation are where processes within the manufacturing processes are interconnected. All elements must be predictable and consistent in order to achieve an increase of revenue. For example, Tesco uses the concept of ‘Fresh and Easy’ to format their food products as easily accessible and fresh. All customers expect to get all their food from the Fresh and Easy section where all types of foods are there, this is a predictable and consistent task for Tesco to follow.(McNamara 2011) The benefits for gaining the customers shopping experience trust reduces costs for the company and faster ordering which can benefit Tesco’s firm and their customers. Leading them to come back to purchase more for their products and services which creates an increase on Tesco’s revenue. If Tesco didn’t provide fresh and easily accessible products as their customer expect, this will lead to a decrease of customers coming in Tesco as they don’t stay up to date with their food products in order to attract their newer or existing customers. This will lead to a loss of revenue if they didn’t provide fresh product as their customers would expect to purchase in their everyday grocery shoppingFundamentals is where operation mangers must know how to comply with all the fundamentals as it is key to a production success. This is important because they ensure the accuracy of the inventory data and other general tasks in order to achieve their desired results. For example, Tesco sources their products with care such as sourcing their products through supply chains within the UK by prioritising the environmental and social risks with their important products from coffee to beef. (Tesco Strategic Report 2018, n.d.- Page 20) Collaborating with their suppliers is very important as it is vital for Tesco to make progress by tracking their products and inventory in order to seek some results if they are meeting some of their objectives. If Tesco didn’t have reliable suppliers, it would slow down Tesco’s progress because of the lack of standards. If they didn’t have the right suppliers, they wouldn’t be able to have certain products that their customers need which will lead the business on not meeting their business objectives. Accountability is where managers are expected to set rules and boundaries to determine if the employees are following their responsibilities and regularly check on them in order to see of, they have met the objectives. According to, Tesco’s employees serve their shoppers
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every day. Tesco wants to provide their employees their best experience so that everyone gets along and expand their ambitions. The employer such as the manager, invests training on their colleagues so they support and develop their careers for their future. Tesco regularly checks on their employees with great flexibility over their own work schedules to ensure Tesco is building an inclusive culture within the workforce and ensuring that new opportunities are offered to their employees so they meet the business objectives with the skills they need in order to achieve them. Tesco’s target is to help their colleagues by succeeding on providing them with flexibility, skills and rewards so they get on with the job role easily. Leading the candidates to meet the business objectives faster and efficiently. If these protocols aren’t met, this can lead to a demotivated workforce where employees aren’t prepared to deal with customer demands and complaints if they didn’t receive the proper training. “Our target To help our colleagues succeed by providing them with the flexibility, skills and reward they need to get on.” (Tesco Strategic Report 2018, n.d.- Page 18)Variance is the process where it must be encouraged when managed properly in order to tell the differences which can be sourced from creativity. (Neely, 2002) In relation to, Tesco has ensured the speed of operation by aiming to maximise customer satisfaction as well as reducing any errors and customer complaints by having skilled staff that reacts quickly when a customer needs any help when trying to find a product. Checkouts are always available to reduce any queues so the speed of queues and services atthe Tesco stores are very quick in response. Tesco has good suppliers that cooperate with the business in order for the customers to have any product they need and are looking for, Tesco has been creative by adding Tesco Extra stores at local areas so people from the outskirts don’t have to travel far in order to get the product they wish to have. To achieve the objectives, Tesco Extra is open 24 hours to enhance their dependability in order to be more flexible to meet their customer demands by introducing a range of products within thestores so it can service a large demand of customers at the same time based on the change of the market. (Tesco PLC, 2020)If Tesco wasn’t making sure they are meeting customer demands, such as adding a Tesco Extra on local areas, this issue will lead to Tesco on not meeting their business objectives and customers will be unhappy with their service and might go to other competitive supermarkets. Casualty is where problems will arise when the best efforts have been made, managers usually need to find the root of the problem so that they don’t get worse and a solution has been made. According to, Tesco implements a level of demand because it can afford stockpile. Filling up stock before a high in demand season will affect the inventory of the business negatively by damaging the processing efficiencies of the company’s distribution centres of Tesco. In order to avoid any over stock, managers best approach is to use the leanmanagement principles which seek to eliminate all the unnecessary goods to minimise any waste. Since 1999, Tesco has been using this type of method as it is reliable to manage sales data, this is based on real time information and covers all distribution centres within the company. (Baim, n.d.)
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It’s best for Tesco to follow the lean procedures in order to be a competitive business withinthe market as being ethical. Managed passion is where employee morale can be a major driver to the company’s growth. Managers can inspire their employees to be passionate with their job role. For example, in order to inspire employees to keep achieving the business objectives for the company to grow the company does not discriminate their employees by their backgrounds and beliefs or disabilities of any kind. They offer equal employment and opportunities to comply with the legislations. Tesco extends their performance appraisals to comply with theprivacy legislations. When offering performance appraisals or compensations creates motivation for their employees as it makes them more passionate about their job by getting rewarded from meeting the business objectives. (Tesco, 2004) If Tesco wasn’t following the rules, such as discriminating their workforce, this would lead totheir employees by leaving the business. in this case, Tesco must retain their employees by respecting them and treating them as equal. Humility is where no one wants to work within an aggressive workforce, this is important because for operation managers they are in a position when they can also make mistake and may not know everything. For example, Tesco is following the legislations where they don’t tolerate discrimination within their stores and warehouses. This includes, religion, mental or physical disability, age, sexual orientation and gender. Tesco offers employment opportunities that comply and affirm with the action legislation in the countries where Tesco is operating. (www.sec.gov, n.d.) If Tesco was not following the legislations this would lead to the business having poor brand image as the audience would not appreciate seeing the employees being discriminated. Tesco would also be fined for not following the rules leading them to lose profit. Success is where managers must be able to define what they consider successful, so that everyone in the company will have the parameters to work within the process of achieving targets. For example, Tesco is a service management company which has operations which are different from other businesses that manufacture their own goods. Managers make suretheir employees use their training skills on customer service to retain that high level of customer satisfaction throughout, in order to make sure they meet business objectives in order to stay a successful business. (Bradley, 2012) If managers weren’t making sure their employees are well trained and ready, this will lead to poor management affecting the business objectives and customer demands wouldn’t be met due to the lack of training and skills. Change is where everyone within the company must learn to adapt to market changes in order to follow the latest trends. This includes on understanding customers, target clients and on what they want. This involves on the automated solutions so that the company is always one step ahead. For example, Tesco has adapted to recent changes of improving their technology and logistics management in order to have ‘smart zone’ routing within the conveyor systems and zone picking solutions for chilled goods. (Issuu, n.d.- Page 16/17) This will later align with the inventory level of the packaging to allow personal shoppers to pick their groceries to then drop them on the conveyor systems for consolidating and
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