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Operations Management and Project Management

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Added on  2020/11/03

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This assignment delves into the world of operations management and project management. It covers a range of techniques including Lean, Six Sigma, Total Quality Management (TQM), and Just-In-Time (JIT). The resources provided are from reputable sources such as Investopedia, Taskmanagementguide.com, and inas.gov.vn. The assignment also touches on the role of operations management in business, process technology, and project management offices. It's essential for students to understand these concepts to succeed in their studies and careers.

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ASSIGNMENT 1 FRONT SHEET
Qualification BTEC Level 5 HND Diploma in Business
Unit number and title Unit 16: Operations and Project Management (528)
Submission date 10/9/2020 Date received (1 st submission)
Re-submission date Date received (2 nd submission)
Student name NGUYỄN PHAN HẠ HOÀNG
LONG Student ID GBS18630
Class GBS0710 Assessor name TuyetTA
Student declaration
I certify that the assignment submission is entirely my own work and I fully understand the consequences of plagiarism. I understand
that making a false declaration is a form of malpractice.
Student’s signature:
Grading grid

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P1 P2 M1 M2 D1
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Summative Feedbacks: Resubmission Feedbacks:
Internal Verifier’s Comments:
Signature & Date:
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Assignment Brief 1 (RQF)
Higher National Certificate/Diploma in Business
Student Name/ID
Number:
Unit Number and Title: Unit 16: Operations and Project Management (528)
Academic Year: 2020
Unit Assessor:
Assignment Title: ASSIGNMENT 1 Review and Critique of Operations
Management
Issue Date:
Submission Date:
Internal Verifier Name:
Date:
Submission Format:
Format:
This assignment is an Individual report. You must use font Calibri size 12, set number of the pages and use multiple line spacing
at 1.5. Margins must be: left: 1.25 cm; right: 1 cm; top: 1 cm and bottom: 1 cm. You should use in text references and a list of all cited sources at the end of the essay
by applying Harvard referencing style. The recommended word limit is 3000 words (+/-10%), excluding the tables, graphs,
diagrams, appendixes and references. You will not be penalized for exceeding the total

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word limit. However, the report should be written in a concise, formal business style. The cover page of the report has to be the Assignment front sheet 1 (to be attached
with this assignment brief).
Submission
Students are compulsory to submit the assignment in due date (slot 20) and in a way
requested by the Tutor.
The form of submission will be a soft copy posted on http://cms.greenwich.edu.vn/.
Remember to convert the word file into PDF file before the submission on CMS.
Note:
The individual Assignment must be your own work, and not copied by or from another
student. If you use ideas, quotes or data (such as diagrams) from books, journals or other
sources, you must reference your sources, using the Harvard Referencing System. Make sure that you understand and follow the guidelines to avoid plagiarism. Failure
to comply this requirement will result in a failed assignment.
Unit Learning Outcomes:
LO1. Review and critique the effectiveness of operations management principles.
LO2. Apply the concept of continuous improvement in an operational context.
Assignment Brief and Guidance:
*This assignment guidance is for reference only and can be customized by the tutor to meet
specific needs
Assignment scenario.
Assume that you are an operations assistant consultant working for Ernst & Young, one of the
top management consulting companies in the world. Currently, the managing director of a
real company has asked your company for consultancy services in operations management.
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Specifically, he wants to be briefed comprehensively about all operations management
concepts & processes and given recommendations on how to further improve the efficiency
and effectiveness of his company’s current operations so that the company can become more
competitive in the market. You have been assigned to conduct a report to satisfy the client’s
requirements.
Note: You are free to choose a company (regardless the nationality) to be your client
company (so called the chosen company) within the industry suggested by your
tutor/lecturer.
Structure of the Report:
General introduction: Based on the scenario, briefly introduce the chosen company, main
purposes and structure of the work.
Main contents of the report:
1. Conduct a review and critique of the key concepts of operation vs operations
management. To be more specific:
Define the key concepts: operations, operations management & operational functions
and explain the relationship between operations and other business functions in an
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organization in general.
2. Conduct a review & critique of the implementations of operations management
processes within an organizational context. To be more specific:
Discuss the general operational process and the key approaches to operations
management.
Review and critically evaluate the advantages and disadvantages of Six Sigma and
Lean principles and explain how Six Sigma methodology and Lean principles are
different in the operations of a company.
Discuss the development of operations management principles in modern context.
3. Prepare a continuous improvement plan based on the review and critique of
operations management principles for the chosen company. To be more specific:
Explain the application of operation and operations management concepts at the
chosen company, especially for the relevance of operations and other business
functions at the chosen company.
Identify and discuss the current continuous improvement processes (e.g. Six Sigma,
lean production, JIT, Kaizen) at the chosen company. Explain the roles of lean
principles within the cycle of continuous improvement in the company.
Identify and discuss the impact of process technology has had upon operational
functions and information flows of the company. (You may consider the use of
technological tools, models, frameworks, and software systems in ERP, SCM, NPD &
CRM,...)
Differentiate the different operation approaches (e.g. TQM, Kaizen, process re-
engineering,…) that a company can use to further improve quality of the
products/services in general using appropriate theories, concepts, and/or models.
Identify and discuss which operation approach(es) that the chosen company has been

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using and evaluate the advantages and disadvantages of that approach.
4. Recommendations to achieve improved efficiency
Based on the review and evaluation of the current method(s) that the chosen
company is using to improve the quality, make recommendations on how to further
improve the operation efficiency and effectiveness for the company.
Some comparison with the methods of other companies in the same sector (better if
examples in VN context are chosen) or application of appropriate theories, concepts,
and/or models can be made to justify strategies of the continuous improvement
plan/support your recommendations for achieving improved efficiency
A conclusion to summarize all the key findings and analysis should be presented. Plus, you
can also provide a critical self-criticism of your own report.
Unit assessment criteria
Pass Merit Distinction
LO1. Review and critique the effectiveness of operations
management principles
LO 1&2
D1. Apply appropriate
theories, concepts
and/or models to
justify strategies of a
continuous
improvement plan for
achieving improved
efficiency.
P1. Conduct a review and
critique of the implementation
of operations management
principles within an
organizational context.
M1. Review and critique
the implementation of
operations management in
relation to Six Sigma
methodology and Lean
principles
LO2. Apply the concept of continuous improvement in an
operational context
P2. Prepare a continuous M2. Analyse the
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improvement plan based on the
review and critique of
operations management
principles within an
organizational context.
effectiveness of a
continuous improvement
plan using appropriate
theories, concepts and/or
models.
Table of Contents
I. Introduction:...........................................................................................................................1
II. Theology:................................................................................................................................ 1
LO1. Review and critique the effectiveness of operations management principles...................1
P1. Conduct a review and critique of the implementation of operations management principles
within an organizational context............................................................................................1
LO2. Apply the concept of continuous improvement in an operational context.....................13
P2. Prepare a continuous improvement plan based on the review and critique of operations
management principles within an organizational context....................................................13
III. Conclusion:....................................................................................................................... 15
IV. References:....................................................................................................................... 16
I. Introduction:
Processes management usually entails overseeing multiple tasks for the purpose of creating
products or services, such as planning, manufacturing, overseeing, and redesigning the whole corporate
operations of a company. The most important and important thing about an organization is operations
management, because it improves productivity and quality in the process of making operating plans. The
main purpose of the management of operations is to ensure that the tools available are used to
accomplish business objectives or targets. Starbucks is a well-known and influential organization, with
many different outlets scattered all around the globe, selling beverages such as coffee around the globe.
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A contractor and operations manager is expected to be able to handle all tasks, such as advertising, retail
delivery, import-export of tea, coffee at home and abroad, etc. I am an administrative consultancy
assistant working for one of the world's leading management consulting businesses, Ernst & Young. The
Starbucks director asked me to consult on principles and practices for organizational management so
that they can see the success of Starbucks as they produce successful outcomes, they continue to learn
and grow. Around the same time, if this management process is not as planned, I need to make
proposals for ways to increase operating performance in order to be able to cope with industry rivals. Do
not let the Starbucks brand break its foothold in the market. This role will evaluate and discuss the
proper execution and planning of a strategy for the values of organizational management in an
organization. Any ideas, principles and models for the project lifecycle are also described in this section.
II. Theology:
LO1. Review and critique the effectiveness of operations management principles
P1. Conduct a review and critique of the implementation of operations management principles within an
organizational context.
1. Operations:
Operations is the task of handling a company's inner workings such that it operates as smoothly
as possible. Any small business owner has to oversee the design and operation of behind-the-
scenes work, whether you produce goods, market products, or provide services.
2. Operations Management:
Operations Management (OM) is a corporate role that is responsible for handling the product
and services production process. Which entails arranging, preparing, managing, and regulating all the
tools required to be able to manufacture the goods and services of an organization and provide them to
consumers and get them benefit back. Because operational management is a feature of management, it

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includes controlling the personnel, facilities, technologies, information, and all other resources needed
to manufacture products and services. The central core feature of an enterprise is operations
management. This is so regardless of the company's scale, whether it is manufacturers or services,
running for profit or not for profit, the sector in which it exists.
3. Operational Functions:
Finance - In operations management, finance plays a primary role. In unproductive duties, the
operations manager does not waste funding. He should ensure that all the organization's funding is used
to generate valuable products or services that can fulfill customer desires.
Service - The service management role is essentially concerned with arranging, coordinating,
directing and managing an organization's everyday routine operations. The service manager ensures that
all processes are performed safely and effectively.
Strategy - The design of the approach is also the primary feature of organizational management.
There should be pre-planned activities for the operation manager. The organization's development of
strategies and tactics helps maximize its capital and build a competitive advantage over rivals.
Product Design- The operations manager is responsible for developing the product according to
consumer trends and demands. He should ensure that the product integrates creative methods and
retains its consistency.
Quality Maintenance: Operations managers can ensure improved product quality. There should
be no compromise between the manager and the product quality. They should work on quality control
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and all activities should be monitored. They should take action to rectify such defects if any defects are
detected.
4. The relationship between operations and other business functions in an organization in
general:
Operations managers work with other functional fields of industry in the functions of operations
management function and the choice was made. This will clearly illustrate the connection between tasks
and other roles. There are three key functional areas in the organization, as most organizations know:
finance, marketing and operations as the primary supporter of their company, but other functions also
help an organization. Despite the breadth of these positions in various operations, they must collaborate
to accomplish the organization's objective and move the company forward as well.
The financial role is responsible for managing the funds and determining the need for capital
investment, such as machinery or relocations, gathering cash and covering corporate make-or - buy
decisions and plant expansions. The function of finance can’t function without understanding the
concepts and needs of operations. On the other hand, without knowing the main and method of
assessing financial investment, operations managers can’t make financial plans. It is important to
understand each other and work together for both functions.
The marketing role will generate the demand for the products and services of the business by
understanding the required customers and figuring out how to establish and grow new markets. Sales
would not occur if they do not understand what activities can be produced or what due date can or can’t
be met and what form of customization operations to offer. Therefore, the key marketing and
operational needs work closely together and both of them are important as marketing provides the
demand forecast that the products and services will be produced and sent to customers by operations.
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The primary responsibility for development and operations is to manufacture goods and services
and deliver them on time to customers. As previously mentioned, the operations function will link the
operations roles with any functional areas.
Human resources are responsible for recruiting and labor relations, and when they employ
people in any position, they must understand job requirements and worker skills. Operations managers
need to understand trends in the job market, labor costs when hiring or laying-off, and training costs
lead to efficiency in the management of employees.
Information technology that coordinates with the required computer-based information and
allows information to flow through the organization and allows operations management to function
efficiently. Operations management is typically highly dependent on information technology, such as
demand forecasting, worker schedule, output standard to be achieved, and supplier deliveries. Typically,
this close connection between operations management and information technology will work together
for information network design.
In order to develop the expense statistics for companies, accounting would take into account
existing efficiency metrics, asset control and lab our practices. In exchange, operations managers can
communicate billing information and process optimization with accounting. It is highly dependent on
accounting data to make decisions about cost control that illustrate the link between two of them.
5. Discuss the general operational process and the key approaches to operations management.
Reality: Operations management is a valuable method for an enterprise to find issues and instead
of trying to turn to the public assistance, it often takes concentration to fix problems. The approach is to
solve, and at the same time, there is no set of general methods available to solve individual problems.

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Organization: Operations control is linked to the manufacturing process, so all variables need to
be taken into consideration, so the variables need to be estimated in order to be able to produce the
expected outcomes properly. In order to improvise fast, always be concentrated and attentive to
difficulties and challenges.
Basic Principle: The manufacturing or development process is based on the basics so it would be
very helpful for the management job, because certain operations need to be performed in compliance
with the right documents, organizational control is needed for the paperwork. It also takes into account
all existing capital in order to produce the necessary products and to be able to do so.
Accountability: Under this concept, when operating the corporation, executives need to
concentrate on developing general rules and regulations, benchmarks, and commitments. Compare
statistics to each other in this scenario, finding the intention of evaluating individual outcomes in order
to meet the aims or expectations set in the proper manner. It focuses on evaluating productive
processes and, if possible, make informed decisions. Its core function is to predict the future by handling
the accounting of the business.
Variance: It is valuable to cut costs and to be competitive in operating a business. In order to
create competitiveness and imagination in the company, the manager ensures that the whole operation
is handled in the right manner.
Causality: This is another essential concept in which the question or question is shown and the
influence of the key factors is then examined so that successful solutions can be suggested. To keep this
from occurring in the future, certain issues need to be resolved.
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Controlled passion: Workers need to be excited about their jobs in a business and focus properly
on the priorities or aims of the enterprise. Both staff in the Haier Community are inspired and excited to
come up with new creative ideas or to apply technologies to achieve defined targets or expected
outcomes.
Modesty: Administrators should avoid their shortcomings and turn to other means of acquiring
information and understanding more. In order to take initiative and make choices by effective learning,
they must be able to develop better ideas or skills.
Performance: A manager identifies success indicators that need to improve over time, following
this theory, as well as catching the attention of consumers with a certain product or service.
Consequently, all the laws are to be altered according to the situation.
Change: There are a variety of theories in place that can be implemented by businesses to
operate efficiently. In order to find a different approach to any problem, new ideas or principles are also
developed, so the organization must embrace any improvements and apply new technologies inside the
organization.
According to FW Taylor, the theory relating to the division of labor is the primary approach to
being able to handle operations: the expected and executive roles must be called practical roles. To be
able to distribute the administration of those tasks individually, generating job reliability through the
operation of those two functions. For each department, management roles must be specified explicitly.
It is important to differentiate ordinary from extraordinary work, difficult to apply the law of derogation
in management in order to change the difficult situation.
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Around the same time, another point, according to H.Fayol, is that the key solution to
organizational management is to see the management theory as a headlight to help persons out of
darkness and uncertainty. Whenever facing problems and difficulties at work and inspiring each person
to consider new thoughts, better imaginative ideas.
Here are 14 principles of basic management:
1. Division of labor
2. Relevance between authority and responsibility
3. Discipline
4. Unified command
5. Unified direction
6. Personal interests are subject to common interests
7. Pay adequate remuneration
8. Centralization is consistent
9. Information system smoothly
10. Order
11. Fairness
12. Stable human resources
13. Creativity
14. Team spirit

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6. Six Sigma:
Six Sigma is a technique for quality management developed by Motorola, Inc. in 1986. To limit
errors or faults in manufacturing, this approach uses data-driven assessment. Six Sigma stresses that
cycle times are increased thus minimizing output errors to no more than 3.4 incidents per million units or
events. In other terms, with less bugs, the scheme is a faster running system.
Six Sigma points to the fact that it takes an occurrence of six standard deviations from the mean
for a mistake to occur, mathematically. "The occurrences along the bell curve would be below the six
standard deviations (where sigma stands for" standard deviation) "so there are only 3.4 per million (and
normal) random distributions.
In recent years, Six Sigma has grown into a more general theory of market management focused
on satisfying customer needs, enhancing and improving customer satisfaction, and sustaining business
goods and services. Of all fields, Six Sigma applies. Many manufacturers provide Six Sigma training with
special qualifications titled yellow belt, blue belt, and black belt, like Motorola.
A group of individuals, led by a Six Sigma champion, select an incorrect method to concentrate
on, decided by an interpretation of the priorities and requirements of the organization. This description
explains the challenge, the priorities and the work provided for the project. Group that measures a
process 's initial performance. These predictive measurements form a list of alternative inputs that could
create difficulties and assist the team to consider the output of the regular procedure. By isolating each
input or potential reason for the error and examining it as the root of the problem, the team then
analyzes the process. The reason for the process error is determined by the team through analysis. The
team works from there to enhance system performance. Finally, to ensure the process does not back
down and becomes ineffective again, the team adds controls to the process. Lean Six Sigma is a group-
focused management technique that, by eliminating waste and defects, increases efficiency.
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Six Sigma can produce bureaucracy and rigidity, since this approach encompasses all operations
of the company. Delays and creative problems stem from Six Sigma. For small businesses, Six Sigma is a
very expensive method to implement. The main cause of this expense is schooling. Organizations must
follow certified Six Sigma organizations in order to receive instruction or to carry out internal training
without standardized qualifications. Six Sigma relies only on a rigid and rigid system and goes against
current trends in favor of creativity and innovation, as the emphasis of the creative methodology is on
redundancy, unorthodox methods and performance deviations, and all this goes against the principles of
Six Sigma.
The applicability of Six Sigma is being discussed amongst Six Sigma reviewers. They thought that
quality levels should be focused on particular activities and that, as a benchmark, calculating 3.4 defects
per million resulted in more time being spent on less lucrative fields. Six Sigma demonstrates the rigidity
of the system, which essentially contradicts novelty and kills imagination. Creative technique suggests
irregularities in performance, replication, unorthodox solutions, insufficient analysis that violates the Six
Sigma principles. People say that, as practiced by Toyota, Six Sigma is a little gimmicky and merely a
rebranding of the methods and instruments of quality improvement. It also encourages the outsourcing,
with a lack of accountability, of activities for improvement. Professional human capacity is constantly
needed for Six Sigma execution. Therefore, if it is not systematically implemented, it is impossible to
maintain legislative and employee participation.
Real-world Six Sigma examples:
Both businesses and city councils use Six Sigma. Here are two examples of how six sigma boosts
operating performance, saves money and increases the loyalty of consumers.
a) Inc. from Microsoft.
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One of the world's biggest software designers is Microsoft Corporation (MSFT). Microsoft has
adopted the Six Sigma approaches as outlined on the company's website in an attempt to enhance the
stability and availability of networks around the globe. In order to mitigate IT infrastructure (IT)
vulnerabilities, the aim is to use a rigorous data-driven mechanism to help eradicate any faults in their
applications and data centers. Uh. Framework. Second, in order to allow a simple calculation for
identifying flaws, the organization has set specifications for both its hardware and applications. Microsoft
used root cause research, which involved data collection from previous high-priority problems, server
crashes, and product team members and customers' feedback. Microsoft has developed benchmark
standards to assess the future using historical evidence.
Significant volumes of data from multiple repositories are retrieved every day and regularly.
Defects and corrective measures for each defect were then identified by data collection and reporting.
Incidents are prioritized on the market and critical facilities of the organization depending on the severity
of the defect 's severity. Teams took steps to remove flaws using the Six Sigma technique. As a
consequence, the correction of faults in the first year increased by 40 percent. From 18 days to 125 days,
the total time or time between server errors increases. Microsoft has expanded the availability of its
servers, improved customer effectiveness, and increased customer loyalty as a result of Six Sigma.
b) Local administration:
The county is using Lean Six Sigma to save $43 million, as reported by TheVoiceCalifornia.com, in
Ventura County, California. In 2008, the city government began to use the countywide software and
educated more than 5,000 workers in how to use the process. The County claims that during employee
hours, benefits come from rough, non-funding, as well as benefits.
7. Lean:

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The aim of Lean is to remove waste-ingredients that in some method do not add value. It does
include any unused elements unless a process has been through several lean periods. Lean will deliver
significant gains in performance, processing time, productivity, material and scrap costs when performed
properly, leading to cost savings and enhanced capabilities. compete. And bear in mind, Lean is not
restricted to processing. It can enhance the way a team works together, manages inventory and even
communicates with clients. In order to develop it constantly, a lean company respects consumer
satisfaction and reflects on its core processes. The overall aim is to provide the client with perfect value
through a zero waste, perfect value production process. "Lean does this," LEI says, "by altering the
management focus from maximizing specific technology, properties, and vertical departments to
maximizing the distribution of products and services across whole value streams that distribution to
consumers horizontally through technology, properties, and departments."
The Inventory Problem: Historically, low volumes of stock are kept on hand in lean management
implementation to minimize carrying costs. This leads firms to rely on vendors and hope they can make
the change easily and successfully to supply products. If there is some interruption to inventory
procedures, then the enterprise will be derailed. Change over difficult: Employees may not always
welcome lean management practices. It would take a lot of time and a full redesign of the operating
processes to introduce this style. This might not be something that is going to be easy for longer-tenured
staff. Leaders must therefore be transparent about all changes in the company that will happen. For
inquiries from staff who are not yet sold on the move, there also needs to be some time allowed. High
Implementation Cost: Much of the time, as lean management is introduced in a business that has never
before used it, it is possible that all programs and manufacturing processes will have to stop in their
current state. This occurrence will bring high costs for businesses that are not equipped for the
additional expenditures of getting in new equipment and training programs. The Tendency to Over-
Structure: Everything does not need a redesign. The challenge for leaders is to determine what needs to
be incorporated into lean management and what does not. Leaders will drive the systems past what they
can produce, so it is key here to consider the effect of gradual improvements.
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8. Differentiate Six Sigma methodology and Lean principles in the operations of a company.
Lean focuses primarily on the movement of processes, while Six Sigma focuses on the issue.
Although the Lean tool relies on modeling, Six Sigma's main tools are statistics and arithmetic. The
following methods, such as Valuing, Determining the value source, Determining the flow, Determining
the tensile method, and Improving, are used in lean technique. Detection, Evaluation, Review,
Development and Control are the following methods when conducting Six Sigma. By comparing the two
methods, if Six Sigma is more consumer-oriented, the customer preferences are well established. Lean is
also understood to be beneficial because it focuses more on efficiency, eliminating waste. Six Sigma aims
to be unique within the value stream. Lean calls for constant change.
9. Modern context:
The OM world today is very distinct from what it was only a couple of years ago. Better content,
faster speed and lower prices are expected by consumers. Companies must learn the fundamentals of
operational management in order to survive. Many organizations are adopting a philosophy called lean
programs in order to do this. In order to build an effective process, lean solutions take a whole system
approach to draw together principles of best practice. This includes topics such as (Just in Time ( JIT)),
overall quality control (TQM), performance development , planning of capital, and management of the
supply chain (SCM). Many enterprises have now introduced broad information networks called
Enterprise Resource Planning(ERP) as a way of increasing productivity.
LO2. Apply the concept of continuous improvement in an operational context
P2. Prepare a continuous improvement plan based on the review and critique of operations
management principles within an organizational context.
Process technology:
The main influence of dramatically improved technology over the effect of other levers, such as
outsourcing, service sharing, and process reengineering company, is predicted by executives in some
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positions. The expected effect on financial and accounting processes of enhancing the use of technology,
where appropriate, is strongest for all roles and considerably higher than for other leverages. Executives
are expected to see a major effect from practices leveraging dramatically enhanced technologies in
certain sectors. R&D administrators in insurance and life sciences report that outsourcing, service
sharing, and enterprise process restructuring leverage have considerably higher impacts from increased
technology utilization. The effect is similar to the activities of commercial banking (both retail and
commercial) and life sciences. Many individuals do not, however, see automation as the physical
leverage to control processes.
Process management is a way to build a complex of interrelated and mutually involving problems,
including machinery and furniture structure, the coordination of all productive resources, human labor,
workflow, procurement, software, and the use of certain technologies to turn efforts into profit:
The restrictions impeding the advancement of company process technologies include:
Financial discrepancies in the procurement and deployment of emerging technologies;
Lack of support from management (political motives) and opposition to change;
Lack of plan for corporate innovation (no ongoing quest for innovations);
Lack of managerial capacity, comprehension and thought flexibility;
Technological innovation limitations and basic science;
The more effective process equipment is used; the more money a business can receive.
Continuous analysis and development of process technology is needed so it still has the potential to be
more effective than before:
Consume fewer utilities, time and other properties when in operation;
Producing more valuable production per cycle of control;

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Unproductively waste less energy (higher performance coefficient);
Take less space (because of smaller equipment sizes and less operating space required);
Maintain a higher consistency ratio along with a lower degree of variability;
Involve fewer experts to work in the process;
Include fewer activities;
Be simpler in terms of repair and service;
TQM:
Total Quality Management (TQM) is the continuous method of identifying and minimizing or
removing output defects, streamlining the management of the supply chain, enhancing customer
service, and ensuring that preparation is up to date for workers. Total quality control seeks to keep the
cumulative quality of the finished product or service accountable to all those participating in the
manufacturing process.
JIT:
JIT is a manufacturing operating system in which, in each phase, the movements of raw materials,
commodities and products circulating during production and delivery are prepared in the greatest detail,
so that the next process can be conducted as soon as the current process is completed. Therefore, no
products slip into a state of nothing in the manufacturing process, waiting for processing, no staff or
machines waiting for inputs to run. JIT is often used in the selling process. The volume of goods sold and
the flow of movement would be similar to the quantity produced, eliminating excessive capital and
inventory backlogs. There are firms that have nearly zero inventories now.
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KAIZEN:
In the book "Kaizen: The secret to success in Japan." The concept of Kaizen is as follows: "Kaizen
means change." In addition, Kaizen also suggests continual change in the world of personal life, family
life, social life and work. When Kaizen is introduced in the workplace, it means continual progress that
impacts all-the management as well as all workers.
LEAN MANUFACTURING:
Lean manufacturing is one of the new methods of management for streamlining production,
reducing organization duplication and increasing market productivity. Lean Manufacturing is about
targeting: less time, less space, less staff, less equipment, less resources, with the same amount of
performance but with lower inputs. Less investments and less prices
SIX SIGMA:
Six Sigma has evolved in recent years into a more general market management philosophy that
focuses on addressing customer desires, enhancing and enhancing customer loyalty, and retaining
company products and services. In all domains, Six Sigma is applicable. Many manufacturers provide Six
Sigma instruction with unique credentials titled yellow belt, blue belt, and black belt, such as Motorola
This method uses data-driven measurement to limit production defects or faults.
Differentiate the different operation approaches:
JIT:
Advantage:
Minimize the inventory phenomena and stagnation in capital.
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Minimize the storage area.
Increase the consistency of goods.
Scrap removal, flawed goods.
Improve quality by reducing waiting times.
Flexibility in changing methods of development, shifting shapes of goods.
Jobs are actively interested in the development and enhancement of production and the quality
of goods.
Cut back on indirect lab ours.
Reduce burden on consumers
Disadvantage:
The global downturn decreases solvency for customers.
Fierce rivalry, with varying results for many substitute goods. The practice of using old and
traditional items is given up by consumers.
The availability of gasoline, products and raw materials is influenced by regional warfare.
To raise the cost of the product and slow down the time it takes to get the product to market, the
cost of converting the equipment line for a new product is too high.
Globalization leads to socioeconomic, lifestyle, traditions, behaviors, changes ... A number of
ethnic groups.

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Example, For the first time, Ford Motor Company (USA) used a chain system to assemble cars in
the 1930s, a rudimentary version of the Just in Time (JIT) process. By the 1970s, the above method was
mastered by Toyota Motor Corporation (Japan) and updated to Just in Time-JIT Principle.
The Ford production line system has been developed by Japanese automaker Toyota, supporting
the benefits and overcoming the shortcomings of the two production types above. A team of
professional employees is equipped with a scalable and efficient series of machines which are capable of
manufacturing many types of goods on the same line at many levels of capacity.
TQM:
Advantage:
Lower costs: TQM in the market infrastructure and organisation reduces costs. Since it is an all-
encompassing quality control software, TQM allows different divisions to share their requirements,
problems, and expectations with each other, so that it is easier to identify workable solutions that help
the company minimize costs in the supply chain, delivery chain, shipment and receiving, accounting and
management divisions without compromising efficiency or the opportunity to
Improved Reputation: TQM systems have the effect of enhancing the marketplace 's business and
commodity reputations, since mistakes and flawed goods are detected even sooner than in a non-TQM
scheme, and sometimes before they are either submitted to the market or found in the public's hands.
Disadvantage:
Resistance to Change: Employees may believe that under a robust TQM policy, their careers or
occupations within the organization are at risk, and as a result, they may be slow or prone to make the
required improvements to function better with the TQM program. In addition, because of their
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frustration in the way that things are driven inside the company, talented employees may be lost if they
wish to quit, or they may not adequately enforce things, creating increased costs.
High Cost of Time: The high cost of implementing a TQM program, and the fact that it can take
many years for the program to be completely implemented before effects and savings are seen, may be
a major drawback, particularly in today's unpredictable economic circumstances, for a TQM program. A
long-term commitment should be deemed to be TQM.
For example, although a believer in Six Sigma these days, back in the 1980s, after its executives
saw what the approach did for Toyota, Ford believed in TQM. A new "Quality People, Quality Goods"
slogan appeared, especially after Ford collaborated with ChemFil, their paint supplier, a business that
helped consumers manufacture quality paint goods. As for many other automakers, the advent of
consumer surveys was vast, and more quality dependent on customer expectations emerged from
survey responses. Many of these agencies are enterprises that have learned from TQM. Although others
may have gone on to practices like the 5S Approach and Six Sigma and even Lean Six Sigma, the aim for
all three of these giants was better products; and they were also successful by using TQM.
KAIZEN:
Advantage:
Worthy targets: Kaizen is not only helpful to the enterprise as a tool of change. Employees,
investors and the company as a whole are all helpful. For most types of organizations, this management
philosophy is true. Kaizen respects and honors workers' contributions. It gives them a sense of worth in
the company by doing so.
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Improved performance: Improved efficiency is a big Kaizen gain. The efficiency of facilities is
improved by Kaizen enhancements. This helps organizations incorporate innovative process
improvements, maximize productivity and enhance time control.
Waste reduction: In enterprise operations, Kaizen eliminates waste. Another big kaizen bonus is
this. Kaizen is everybody's responsibility. Management and employees are also responsible for finding
places in the corporate process that represent waste. They will identify the root cause of wasting and
correct it by making continual improvements. Through doing so, waste from the business process is
eradicated and expense is minimized. In comparison, assets are used more judiciously, and the company
becomes more profitable.
Disadvantage:
Difficult to incorporate in current systems: Considering the numerous advantages of kaizen,
before agreeing to incorporate it, company administrators need to be mindful of certain shortcomings.
This is because it is similar to modifying existing management frameworks to implement kaizen. It is very
difficult to revert to old management structures as soon as kaizen is enforced in an organization.
Therefore, in organizations without already developed management structures, kaizen could be simpler
to introduce.
Change is hard: One of the main drawbacks to Kaizen is that people are still resistant to change.
Therefore, they have to put up with a certain opposition as corporations try to introduce kaizen.
Employees may not be able to consider a method different from what they have been accustomed to.
Management, on the other hand, may be hesitant to adopt kaizen because they believe it's costly.

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For example, Toyota Manufacturing Company employs kaizen in its production process. First of
all, they deploy muscle-memory training to train their employees on how to assemble a car. Muscle-
memory training helps them to achieve accurate results. Hence, their employees are able to work with
precision. Also, immediately an automotive plant reaches its peak in terms of efficiency, the company
removes a few workers from that plant. By so doing, Toyota Manufacturing is able to minimize errors
and maximize productivity.
After struggling through early morning struggles or debating with our partners over tasks,
contracts or end-of-day agony, drinks are a part of our daily life. A busy timetable for one day. Starbucks
has now become a revered name, offering consumers the sensation of sensing the rich fragrance of fine
coffee in the traditional Starbucks room and sampling fragrant bread. For a new day to resume. It is not
just Starbucks, though, that is a place to rest and unwind; it might also ignite a serious novel from the
pen of a troubled writer for Pulitzer; a script written to win a Grammy; or the executives of the company
resolving deals, fixing issues with their own special cup of coffee. So convenience, ads, corporate choices,
and profits all converge to go a long way down the road to Starbucks achievement. And it's not the
Starbuck coffee that you get-it 's really the Starbuck experience that makes them the coffee industry 's
apparent market leader.
Among them, divisions, people and staff work tirelessly and faithfully to deliver the best results in
order to achieve the impact that Starbucks has produced. At the same time, they still focus on the
operating philosophy that the organization has built as Lean Six Sigma, the technique behind Starbucks
success behind the science of retail optimization-The company has applied Lean Six Sigma as follows:
Consumerism – marketing and ways how business tailor to customer experience
The Art and Science of Persuasion and Admiration
Change from Practicality to an ‘Experience’ – the Experience should be efficient, personalized,
honest
Operation without waste of time and resource for producer as well as consumer
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Furthermore, Starbuck has enhanced retail operations and used Lean Six Sigma as a Six Sigma
deployment sub-method. Lean leadership is focused on five measures to eliminate deficiencies and
waste of personnel, equipment, time wasted on unreasonable items, etc. Around the same time, the
growth and advancement of market processes to get goods and services to boost productivity in the
most effective and efficient way, grow brand awareness, open more branches across the world.
The following are the six moves Starbucks has taken:
Defining the problem and end objective
Measure current data like levels of performance
Analyzing current data
Find Solution
Responding to customer feedback
Continually working for improvement
There has been a controversy among companies, however, about whether to use better than Six
Sigma or Lean: yet to produce more perfection, many companies are leaning towards the concepts of
'Lean' rather than 'Six Sigma.' Take Starbuck, for instance-the Lean Six Sigma principle has also been
extended to improve revenue along with improved customer loyalty. They've completed the process by:
Testing in laboratory
Framing the situation
Interacting with management, employees and customers
Gathering data, measuring and analyzing
Leaning the defects (waste), solving the problems
Continuous improvement and customer’s satisfaction
The performance of Starbuck, which was released in early 2000, can also be dramatically assured
by the introduction of Lean Sigma. Basically, checking is a must and needs to be achieved by gender by
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Starbucks. The launch of a modern roasting system for Espresso as an alternative to manual steaming,
etc. It was not an instant success, however, and could be criticized, which marked the drop in Starbucks
revenue. But in the end, with the adoption of the Lean Six sigma and the results before our eyes,
industry prospered. Starbuck has ascended the ladder in 40 years from an independent Seattle store to
becoming the world's biggest chain of coffee restaurants.
Plan to Starbucks:
Starbucks is a well-known coffee brand internationally, but the company has several rivals.
Around the same time, the world's developments still change from day to day and no person or business
can regulate it. Therefore, in addition to improving job productivity and increasing the capacity of the
company to expand efficiently, Starbucks has to establish more business management strategies and
initiatives to help the organization become more diversified in the management of operations. For
Starbucks, ventures are introduced as follows:
First, 2 to 3 more projects were set up to handle operations in 3 TQM, KAIZEN, JIT; and why did
they have so many to set up? When designing many other programs, prevent the condition where many
other organizations overuse or impact societal improvements in Six Sigma or Lean Six Sigma
organizational management approaches. When those things happen, to retain its position in line with
the evolving world, Starbucks has to have alternate management methods. New management strategies
will help them evolve, improve and innovate the way the company operates, produce new goods and
services stuff to draw clients, sign more contracts with many different suppliers, there are more firms,
help enterprises whether there are problems or if they want to collaborate and create new items.
Second, after certain techniques of operations management have been established, the
organization will have a lot of time to be able to resolve the weaknesses entirely, eliminating the errors
that most businesses have. The prior mistake was made. In the same time, if possible, to encourage,

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optimize and innovate them, and build the right approach so that they have advantages and develop
each employee's strategies and skills as they grasp the management method. Such an operation. In
addition to having the time to experiment with innovative approaches to be applied in the business, the
sooner Starbucks would allow workers gain more experience and the practice of dealing with that
approach by using the testing of new strategies in the organization. At first, as workers are not
comfortable with the modern management strategy, there can be some problems with the business, but
when done for a long time, they will get used to it, adapt easily and work efficiently.
Third, they should also outline the problems workers encounter at work, the obstacles and
damages the organization has incurred in the process during the phase of evaluating new operating
management approaches. Get this requested. They will open a conference after gathering all the
knowledge and hear more perspectives from various divisions, the staff trying to address and develop
those issues. The quickest and most effective.
Then, with the above three moves, Starbucks will be able to remain securely in the competitive
world amongst competitors along with society's evolving daily life and each person's growing needs.
The firm not only insists on material incentives, but also must pay heed to the needs of many
other workers in order to be able to develop more about the values of Starbucks operations
management. At the same time, listen to the views of workers on things like the needs of each other,
innovation of ideas for creation, etc. In addition , workers who are passionate about the job, who will
help the business expand, often work hard and creatively to optimize success and deliver income to the
firm, must be hired. Uh, Ty. You need to choose the right partners and really value them because they
will be the businesses who carry brand awareness and carry brand success and quickly penetrate deep
into the market. What is crucial and appropriate to help the business expand faster is to be flexible and
motivated to shift as diverse as society, consumer class, different drinks in order to be able to make a
difference to the highly competitive outside.
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Currently, there are many competitors that can compete with Starbucks like Phuc Long, which
also sells beverages such as tea and coffee; Highland Coffee, a company specializing in pure coffee,
brings a rich taste to users; and has a growing competitor and has the opportunity to compete with
other companies, Nestlé of Vietnam, which also specializes in pure coffee, competing directly with Trung
Nguyen and Highland.
As the secret to the competitiveness of Japanese firms in their global strategic approach, Nestlé
utilizes Kaizen management methods. Currently, many businesses around the world are seeking to apply
the Japanese Quality IMPROVEMENT methodology successfully to overcome the demands of a
challenging business climate, increased economic difficulties, continuous technological growth and
cultural and social shifts. This method is still used by Nestlé to evolve every day, along with its operating
philosophy of mutual value formation. Meaning: Any action that Nestlé does would offer 2 advantages:
advantages for the business and the people's culture in the countries where Nestlé works.
Highland Coffee uses an approach to industrial management of Lean Manufacturing that aims:
with the same production level but with lower input-less time, less space, less staff, less hook machines,
less material and less expense. This approach helps the Highland minimize preparation periods before it
is necessary to manufacture products, optimize the manufacturing cycle, and minimize the process time
and development cycle by reducing the waiting time between processes, as well as the time to plan the
process and the time to modify the model or product design. In addition to optimizing the plant
structure based on effective material flow structures, forging deeper connections with less vendors but
greater and more consistent efficiency, and the supplier may deliver small quantities of products and
components, both appropriately and accurately for output, directly to the manufacturing processes;
reducing inventory.
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Therefore, while Starbuck still retains a means of handling Six Sigma or Lean Six Sigma tasks, it
will not be able to compete again. In order to make them distinct, but at the same time to be more
efficient, it is important to create, modify or organize various management approaches, not because of
the advantages that the temporary approach desires. Adjust the system in use at the time. Since the new
approaches will be detrimental to the business in the future because they do not complement the way
they function and perform while manufacturing goods and services, and the challenges they introduce
may hurt. Damage to the organization such that rivals can use justification to deal with Starbucks.
III. Conclusion:
This research detailed the concepts of Starbucks operations management in depth so that they
can find out the abilities they need to build more, allowing further strategies and initiatives to grow the
brand in the same branch in the future with the rise in sales over time to sustain their place in the world.
In addition, it also exposes the shortcomings that they need to resolve quickly and does not encourage
them to last long, at the same time when facing further challenges and struggling, will hinder the job and
growth of the business. The more serious the enterprise is ruined by challenging the influence of the
internal and external climate. The steps I have recommended will also help the business grow in terms of
brand name and sales, eliminating negative things that impact the company.
IV. References:
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<https://www.henryharvin.com/blog/starbucks-success-box-the-six-sigma-process/> [Accessed 9
October 2020].
Lynn, R., 2020. Lean Vs. Six Sigma | Planview. [online] Planview. Available at:
<https://www.planview.com/resources/articles/lean-vs-six-sigma/> [Accessed 9 October 2020].

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