Improving Efficiency and Productivity for Living Styles

This progress report is based on the Living Style online retailer company that deals with premium grade products sold at affordable prices. The report examines and discusses the best ways for “Improving the efficiency of productivity of Living Styles.” The report also explores the changes that occur to peoples’ the living styles. The main objective of the research is to explore the changes in the living styles of the people and thus their ever fluctuating demands. Subject: MGT726, Course: MICT, College/University: University of Sunshine Coast

Improving efficiency and productivity for Living Styles
Student Name: Vishwa Chaitanya Javvaji
Student ID: 1106867
Subject: MGT726
Course: MICT
University: University of Sunshine Coast
Vishwa Chaitanya Javvaji (1106867) 0

1. Executive Summary:
This progress report is based on the Living Style online retailer company that deals with premium
grade products sold at affordable prices. The company offers a wide range of products including but
not limited to kitchen ware. The company’s main objective is to offer a broad variety of designs to
the customers by following the trends that offer the most incredible services. This report examines
and discusses the best ways for “Improving the efficiency of productivity of Living Styles.”
The company’s production efficiency can be considerably enhanced by identifying the
patterns in fluctuations of market demand of the products sold by Living Styles or by
carefully investigating the customers’ needs and work towards satisfying them. By
understanding the customers’ needs and their demand, the company’s production team
gets insight on what products have a huge market demand and thus increasing their
production. Conversely, the production of products that are seldom demanded by
customers is reduced. These consumer insights are a key factor in the company’s
productivity since resources are appropriated to the products that sell thus avoiding
wastage and possible losses.
Additionally, the report also explores, in detail, the changes that occur to peoples’ the living
styles. The management challenges experienced in Living Styles are largely due to the
constantly rising demands of the customers which, regardless of the company’s situation,
must be satisfied by following proper strategized planning. The research’s core objective is
to explore the shifts that take place in the Living Styles of people. The research is
purposefully performed so as to establish the exact requirements of the customers. In
conducting the research qualitative methods are used whereby secondary and primary data
is collected, analysed, and presented by using graphs and tables.
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2. Table of Contents
1. Executive Summary:.........................................................................................................1
3. Introduction:.....................................................................................................................4
3.1 Purpose:.................................................................................................................................4
3.2 Background and significance.................................................................................................4
3.3 Research question and objectives...........................................................................................6
3.4 Research boundaries..............................................................................................................6
3.5 Report outline........................................................................................................................6
4. Literature Review/Theoretical Framework...................................................................7
4.1 Introduction...........................................................................................................................7
4.2 Measuring Salesperson Burnout: A Reduced Maslach Burnout Inventory for Sales
Researchers........................................................................................................................................7
4.3 Trustworthiness Change and Relationship Continuity After Contract Breach in Financial
Supply Chains....................................................................................................................................8
4.4 The importance of logistics and supply chain management in the enhancement of Romanian
SMEs 8
4.5 Implications – the research gap..............................................................................................9
5. Methodology....................................................................................................................10
5.1 Introductions........................................................................................................................10
5.2 Research approach and justification.....................................................................................10
5.3 Details of specific data collection techniques......................................................................11
5.3.1 Gantt chart....................................................................................... 14
6. Proposed Analysis of Results.........................................................................................15
7. References........................................................................................................................18
8. Appendices.......................................................................................................................19
8.1 Appendix A: List of Secondary data sources:......................................................................19
8.2 Appendix B: Primary Data sample question and survey......................................................19
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List of Figures
Figure 1: Conceptual diagram......................................................................................... 9
Figure 2: Interview results........................................................................................... 12
Figure 3:Factors responsible for changes in customer’s living styles........................................15
Figure 4:Factors responsible for changes in customer’s needs...............................................16
Figure 5:: Paid and Authorized capital of Living Styles from 2014-2017....................................17
List of Tables
Table 1: overall data collection.................................................................................... 13
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3. Introduction:
3.1 Purpose:
The principal purpose of this report is to dissect all the management problems experienced
at Living Styles which in turn affect the company’s productivity. Moreover, the report aims
at exploring all the potential solutions to the aforementioned management problems
affecting the company. Essentially, the report seeks to answer the question; why
productivity is lacking for Living Styles and what the management can do to achieve
optimum productivity.
3.2 Background and report significance
Living Style online retailer company deals with products of premium grade at affordable
prices. Company offers wide range of products which includes kitchen, homeware etc. the
main objective of the company is to provide large variety of designs to the customers by
following the trend which offers best services.
Currently the Living Styles is dealing with a management problem which is due to the ever-
changing demands of the customers. Customers are the base of each and every company in
an industry with cut-throat competition. The business is driven by various factors such as
speed to market, low cost and god quality. That means that the company can increase their
business among the other companies by generating high quality of products as compared to
the competitive companies in the market. The company can also enhance their business
value by lowering the cost of the products but by maintaining the quality of the product. It is
observed that the fast as well as ever changing lifestyles of the people made the business of
the Living Styles more vulnerable in terms of sales. It has become difficult for the company
to generate the products at faster rate by fulfilling the increasing demands of their
customers. Due to the ever-changing demands of the customer, the demand of the retailers
associated with the products also changes. Therefore, it is essential to satisfy the demand of
the retailers by the end of the horizon.
There are various factors which have led to the immediate management problem which are
discussed below:
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 Issues in strategy and planning: This is the main factor responsible for the rise of
the management problem in the company. This is because improper planning as
well as strategy leads to lack of fulfilling of the ever-increasing customer
demands.
 Unreliable suppliers: Another main factor responsible for the management
problem in the Living Styles is the unreliable suppliers. The suppliers who deal
with the Living Styles are not able to meet the requirements of the company due
to reduction in service levels, backorders etc. Late shipments or short shipping
also contribute to the increase in the management problems experienced in the
company.
 Slow processing of business: If the overall business process will be slow the
management problem rises automatically, hence, the same management
problem is faced by the company currently.
Why does it matter?
These management problems have major impact on the overall development of the
company. In order to retain the customers it is necessary to offer best in class services to the
customers. Time is the only constraint in doing business in this busy world. Therefore, faster
as well as efficient service helps in creating the healthy customer interest towards the
business.
Why should the problem be investigated?
There is need to investigate the management problem as it will help in satisfying the
customer demands which will further help in increasing the overall development of the
Living Styles. By carefully investigating the root causes of the management problems
experienced at Living Styles, the management team will gain an understanding of exactly
how to address the issue in order to increase the company’s productivity while minimizing
expenses and resource wastage. This, consequently, will enable the company to fulfill all the
customer demands.
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Expected benefits:
 Increased market revenue
Increased company productivity translates to more sales for the company and thus
higher revenue. In addition, by increasing efficiency in production, the company is
likely to enjoy increased profitability.
 Better managed inventory
Addressing the underlying cause of the management problems experienced in Living
Styles goes a long way in transforming the whole company’s operations. Some of the
most impacted operations include management of the company’s inventories. By
ensuring due diligence in the company’s management, critical company operations
such as book keeping and inventory management are also bound to improve for the
better.
 Reliable suppliers
Changing the way business operations are run in Living Styles may include having to
let go of unreliable suppliers and choosing to work exclusively with suppliers that are
reliable. This is important especially in ensuring that all customer orders are met
punctually. Unreliable suppliers would cause late completion of customer orders
consequently losing the clients’ trust and thus hard to retain them.
Consequences
If these management problems are not addressed then it will create an adverse impact on
the overall development of the company. Moreover, it not addressing of the management
problem also results in lack of proper supply and economic scale. This will further result in
improper planning of the inventories.
Therefore, the management problem due to ever increasing demands of the customers
must be satisfied by following proper planning as well as strategy.
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3.3 Research questions and objectives
The main objective of the research is to explore the changes in the living styles of the people
and thus their ever fluctuating demands. Through completely understanding the consumers’
demands and their preferences, it will be much easier for Living Styles’ management to
direct energy and other resources on the most demanded products.
3.4 Research boundaries
The report’s research boundary is the ever shifting living styles and preferences of the target
market. Understanding the market’s changing living styles and preferences is crucial for
establishing its relationship with the patterns in the fluctuations of the demands of the
customers.
3.5 Report outline
The scope of this report is to investigate the supply of the product to the customer in time
efficient manner. The report includes the Purpose, background as well as the significance of
the report in the Introduction section. Introduction section also includes the research
questions, research objectives, research boundaries and the report outline. The second
section of the report includes the Literature Review/ Theoretical framework in which the
literature review of the various authors is done. From this literature review, the research
gap is analysed and the conceptual framework is design which helps in eliminating the
research gap identified from the literature of the other authors. Then in the next section,
the methodology used in this research that is the qualitative method is described along with
the research approach and justification. Data collection techniques are discussed along with
the proposed analysis results.
4. Literature Review/Theoretical Framework
4.1 Introduction
Start with an overview of the literature review by outlining the main topics to be
discussed. For example:
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This section will review literature on the following topics:
Topic 1 includes “Measuring salesperson burnout: A reduced Maslach burnout
Inventory for Sales Researchers. Although, the study examines the outcomes of burnout but
the future research can be conducted by examining the predictions of burnout such as role
conflict, role ambiguity and work family conflict (Rutherford, 2011).
Topic 2 includes “Trustworthiness Change and relationship continuity after contract
breach in financial supply chains”. Since the study focuses only on the one outcome variable
therefore, the future work can be conducted on exploring other performance variables
associated with the customer requirements.
Topic 3 includes “The importance of logistics and supply chain management in the
enhancement of Romanian SME’s”. Although, the study investigates the management of the
supply chain management as well as logistics services market in Romania which can be
useful for both the profile companies operating in the market but, it does not investigate
the customer needs in Romania.
4.2 Measuring Salesperson Burnout: A Reduced Maslach
Burnout Inventory for Sales Researchers
The author stated the salesperson burnout is a multidimensional process which helps in
decreasing the salesperson’s job satisfaction (Rutherford, 2011). In this study it is analysed
that, the negative impact of the burnout on the sales force such as increased turnover
intentions and decreased performance can have implications regarding the management
drivers and outcomes of burnout. Moreover, the impact of the multiple burnout dimensions
in sales context is identified for which the data collected is used to subscale the burnout
inventory. The arguments of the authors include that the 10 items reduced the salesperson
burnout scale and the reduced scale provides a considerable reduction in scale length while
maintaining the consistency and dimensionality. Along with this, the reduced scale provides
a considerable and more reliable valid scale by reducing the fatigue and acquisition bias.
Reduced scale also helps in reducing the concerns from participating organizations for long
academic surveys which consumes valuable employee work time (Douglas and Bhuian,
2009). Although, the study examines the outcomes of burnout but the future research can
Vishwa Chaitanya Javvaji (1106867) 8

be conducted by examining the predictions of burnout such as role conflict, role ambiguity
and work family conflict.
4.3 Trustworthiness Change and Relationship Continuity after
Contract Breach in Financial Supply Chains
The author stated that the management financial flows in the supply chain are integral part
of effective Supply Chain Management (Ta, 2018). A breach in the relationships between
the firms as well as financial providers might not only affect the financial health of the local
firms but also affects the financial stability of their supply chains. A change in the
trustworthiness is crucial since inter-firm supply chain relationships are impacted by the
negative effects such as contract breach. It is analysed that the Trustworthiness Change is
used for serving the key determinant in the non-breaching decision of the party to continue
on in a relationship. The archival data is collected by the author and the evidence shows
that the TC significantly influences the relationship continuity. The findings show that there
are several important implications for both the financial supply chain relationship theory as
well as practices. Since the study focuses only on the one outcome variable therefore, the
future work can be conducted on exploring other performance variables associated with the
customer requirements (Cambra-Fierro & Polo-Redondo, 2008).
4.4 The importance of logistics and supply chain management
in the enhancement of Romanian SMEs
The author described that the globalization as well as development of the economy is a
process which helps in creating the single market and this process the most important
toll which is used is a logistics (Kherbach, 2016). A market that has well organized
logistics as well as supply chain management facilitates the qualified advantage over
the other economies. The arguments of the author conclude that small enterprises are
improving logistically and infrastructure-wise and thus making plausible efforts in rising
in their market share. The trade logistics as well as supply chain management are
required by the emerging countries in order to enhance their competitiveness (Goldsby,
& Martichenko, 2015). The main significance of this study is that it investigates the
methods in which the logistics can be considered as tool for developing the activity of
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small as well as medium sized enterprises. Although, the study investigates the
management of the supply chain management as well as logistics services market in
Romania which can be useful for both the profile companies operating in the market
but, it does not investigate the customer needs in Romania.
4.5 Limitations– the research gap
The main limitation of literature of this research is that it does not investigate the
customer needs and only explores the changes in living styles of people. Therefore, in
order to overcome this limitation, a conceptual framework is designed which will help
in resolving the identified research limitations of the literature. In order to address the
research objective and eliminate the limitations of the research, the secondary as
well as primary data is collected in order to perform the qualitative research. The
primary data is collected from the interviews of the customers. Whereas the secondary
data is collected from the statistical reports in order to identify the pattern in
fluctuation of demand. Moreover, in order to address the objective of the research,
the reports are analysed for best inventory management. Since the objective of the
research is to explore the living styles of the people, to achieve this, interviews of the
customers were conducted.
Conceptual diagram:
Figure 1: Conceptual framework diagram
Through this conceptual design, the objective of the research is achieved by collecting
the primary and secondary data and by performing the qualitative research on the
collected data.
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5. Methodology
In this research, the qualitative research design and methodology is selected in which
the two types of data are collected which includes the secondary and primary data.
This research method is used in this research method is used in this research because
through this method the data is collected by performing the interviews of the
customers. This data helps in analysing the increasing demands of the customers and
changes in the living styles of the people (Atieno, 2018).
5.1 Introductions
This section describes the design used by this study in order to achieve the objective of
the research stated in this research. The research method used in this research is the
qualitative method.
5.2 Research approach and justification
In order to perform this research on exploring the changes in the living styles of the
people, qualitative research method is used. This research method is used because it
subjects materials which can be evaluated with greater detail. This research helps in
focusing less on the metrics of the data which is being collected. With the help of this
research, a research framework or design can be developed based on the incoming
variables. This research further helps in adapting the quality of information which is
being gathered. Moreover, the main reason behind the selection of this research
method is that is based on the human experiences as well as observations which help
in achieving the objective of this research. Moreover, this research method is based on
open-ended process which helps in rationalizing the thoughts to gather the
information from the response of each individual (Ganguly, 2011).
In this research both types of data is collected in this research which includes the
secondary as well as primary data. The primary data is collected by conducting the
interviews and surveys. The survey is conducted among the 10 customers of the Living
Styles in order to explore the changes in the living styles of the people. Whereas the
interviews are conducted among 10 customers in order to investigate the missing
requirements which are required by them. The secondary data used in this research
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includes the statistical reports of the company which is used to identify the pattern in
fluctuation of demands (Hox, 2005).
Secondary data used is more significant form of data used in this research because
from this data inventory management used by the Living Styles is analysed properly.
5.3 Details of specific data collection techniques
The data collection technique used includes the secondary and primary resources. In
order to collected the secondary data various sources of secondary data are collected
which includes the Australian Bureau of Statistics, Annual Sales of the company,
Australian transport open data source and the Raw Product supplier historical data.
From the annual report of the Living Styles, the paid as well as the authorized capital of
the company is analysed and is illustrated in the following graph:
The primary data which is collected from the interviews of the customers is analysed
in this report. Several questions were asked from the 10 customers regarding the
availability of the products online and the quality of those products. The questions that
customers were asked in the interviews include:
1. How often do you buy items online?
a. Always
b. Most of time
c. Few
d. Prefer to buy instore
2. What is your age?
a. 18-24
b. 25-35
c. 35-45
d. >45
3. What is the total annual income of the household you live in?
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a. 0 to $25000
b. $25000 to $45000
c. $45000 to $75k
d. $75k to $120k
e. Above $120k
4. How would you rate our product?
a. Not good
b. Fine
c. Good
d. Excellent
5. How well does our product meet your needs?
a. No good
b. Fine
c. Well
d. Life saving
e. Not applicable
6. Features that you don’t like on our product?
a. Packaging
b. Delivery services
c. Customer services
d. Anything else/not sure
e. Happy with all
7. How would you rate the value for money on the product?
a. Bad
b. Fair
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c. Good
8. How easy is it to navigate on our website?
a. Difficult
b. Regular
c. Easy
9. Why did you choose our product rather than a competitor’s?
………………………………………………………………………………….
These interview questions were useful in establishing the customers’ preferences
among Living Styles’ products. Also, the questions were important in understanding
the challenges encountered by customers when trying to order from Living Styles.
The answers obtained from the questions were analysed and from the answers it is
evident that some of the customers were not able to get the products from the Living
Styles on time. Whereas there were 4 customers only from who’s answered it is
analysed there no such problem was faced by the customers regarding timely
availability of the products. Moreover, from the answers of the customers it is
analysed the main reason behind the unavailability of the products on time is ever
increasing demands of the customers associated with the products produced by the
company. Therefore, it was established that the company needed to come up with the
best strategy to ensure timely order fulfilment.
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60%
40%
Interview results
1st Qtr 2nd Qtr
Figure 2: Interview results
Therefore, from the above pie chart it is analysed only 40% of the customers were not
facing any problem regarding the timely availability of the products whereas there 60%
of the customer who were not satisfied with Living Styles as the company was not able
to deliver their products in time efficient manner.
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The overall data is collected in following manner as discussed in table:
Table 1: overall data collection
Research
Objective
Data Collection
Method/ Technique
Specific research questions or
sources
RO1: To
explore the
changes in
living styles
of people
Primary data: Survey
Secondary data: Annual
product sales history
Sales reports are compared to the
customer survey in order to find the
likings of people
RO2: To
investigate
the
customer
needs.
Primary data: Interviews
with customers
Interviews are conducted in order
to find any missing requirements
that the customer need.
RO3: To
identify the
pattern in
fluctuations
of demand.
Secondary data: Statistical
reports
Analyse report for best inventory
management
RO4: To
develop a
strategic
plan in
maintaining
inventory
Primary data: Focus
groups interview
Interviews help in producing an
economical plan to achieve good
profits.
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5.3.1 Gantt chart
Task Name Duration Start Finish Predecessors
Living Styles company 13 days Mon 8/27/18 Wed 9/12/18
Data 3 days Mon 8/27/18 Wed 8/29/18
familiarization of data 3 days Mon 8/27/18 Wed 8/29/18
analyzing familiarized data 0 days Wed 8/29/18 Wed 8/29/18 3
primary and secondary data collection 3 days Thu 8/30/18 Mon 9/3/18
Interviews 1 day Thu 8/30/18 Thu 8/30/18 4
Secondary Data 2 days Fri 8/31/18 Mon 9/3/18 6
deep analysis 0 days Mon 9/3/18 Mon 9/3/18 7
construction of initial set of categories 3 days Tue 9/4/18 Thu 9/6/18
refining and grouping together of
categories 3 days Tue 9/4/18 Thu 9/6/18 8
target audience 0 days Thu 9/6/18 Thu 9/6/18 10
data gather 2 days Fri 9/7/18 Mon 9/10/18
refining and grouping together categories 2 days Fri 9/7/18 Mon 9/10/18 11
contrasting comparison 0 days Mon 9/10/18 Mon 9/10/18 13
development of theories 2 days Tue 9/11/18 Wed 9/12/18
results 2 days Tue 9/11/18 Wed 9/12/18 14
discussions 0 days Wed 9/12/18 Wed 9/12/18 16
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6. Proposed Analysis of Results
In this research the data is collected from both the resources that is secondary as well
as primary resources.
In order to explore the living styles of the customers, various factors are analysed
which are responsible for changes in the living styles of the people which includes
change in the technology, quality of products produced by the other companies,
globalization, unravelling economy, and health risks.
health risks
technology
0 0.5 1 1.5 2 2.5 3 3.5 4 4.5 5
Factors
Figure 3: Factors responsible for changes in customer’s living styles
Focus Interviews are conducted across a group of people to focus on the issues of
transition process of the inventory management. The group is selected on the
designation i.e., inventory managers, CEO, financial manager and designers. The
respective aspects are discussed and a proposal is made for the changes to improve
the efficiencies.
Some of the questions asked in the focus include:
1.) What are the most commonly experienced challenges in your daily duties?
2.) What are the most cited complaints from customers?
3.) What products are often ordered by clients?
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4.) Would you term all the company’s suppliers as reliable, if not; who are some of
the suppliers you think are unreliable?
5.) What do you think is the biggest challenge affecting the company’s inventory
management?
Surveys and small questionnaire response session were conducted among the
customers in order to identify the customer’s needs and it is analysed that the two
main factors responsible for the change in the customer needs include the
globalization and quality of product produced by the other competitive companies. It is
analysed that the customer’s needs could easily be fulfilled by using advanced
technology in order to develop the products at the right time as this will further help
the company to increase their market value. The following graph describes that the
globalization is more responsible for the changes in the customer needs as compare to
the product quality.
product quality
globalization
0 0.5 1 1.5 2 2.5 3 3.5 4 4.5 5
Factors
Figure 4:Factors responsible for changes in customer’s needs
The statistical reports of the company are used for analysing the pattern fluctuations
of the demands and the best inventory management system and to develop a strategic
plan in maintaining inventory. It is analysed that all these elements depend on the
overall capital of the company.
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The Paid capital and the authorized capital of the Living Styles company is shown
below and it is analysed that the authorized capital increases in 2017 due to the
increased demands of the customers
2014 2015 2016 2017
0%
10%
20%
30%
40%
50%
60%
70%
80%
90%
100%
Paid Vs Authorized captial
Paid Captial Authorized Captial
Figure 5:: Paid and Authorized capital of Living Styles from 2014-2017.
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7. References
Atieno. (2018). AN ANALYSIS OF THE STRENGTHS AND LIMITATION OF
QUALITATIVE AND QUANTITATIVE RESEARCH PARADIGMS. Retrieved
August 26, 2018, from
http://www.scientiasocialis.lt/pec/files/pdf/Atieno_Vol.13.pdf
Cambra-Fierro,J.J & Polo-Redondo, Y. (2008). Creating satisfaction in the
demand-supply chain: The buyers' perspective', Supply Chain
Management: an International Journal, vol. 13, no.3.
Douglas, A , and Bhuian, S . (2009). SALESPERF: The salesperson service
performance scale. Journal of Personal Selling & Sales Management, 29,
4 (Fall), 367–376.
Ganguly, G. (2011). Understanding supply risk in supply chain: a fuzzy
framework. International Journal of Logistics Systems and Management ,
267.
Goldsby, T. J., & Martichenko, R. (2015). Lean Six Sigma logistics: Strategic
development to operational success. Boca Raton, Flor: J. Ross Pub.
Hox, J. a. (2005). Data Collection, Primary vs. Secondary. Encyclopedia of Social
Measurement , 593-599.
Kherbach, O. a. (2016). The Importance of Logistics and Supply Chain
Management in the Enhancement of Romanian SMEs. Procedia - Social and
Behavioral Sciences , 405-413.
Rutherford, B. H. (2011). Measuring Salesperson Burnout: A Reduced Maslach
Burnout Inventory for Sales Researchers. Journal of Personal Selling &
Sales Management , 429-440.
Ta, H. E.-D. (2018). Trustworthiness Change and Relationship Continuity after
Contract Breach in Financial Supply Chains. Journal of Supply Chain
Management .
Vishwa Chaitanya Javvaji (1106867) 21

8. Appendices
8.1 Appendix A: List of Secondary data sources:
 Australian bureau of Statistics (ABS)
 Australian transport open data source
 Raw Product Supplier historical data.
 Annual sales of the company
 Annual year report
 CSR reports
8.2 Appendix B: Primary Data sample question and survey.
Survey and questionnaire and Interview questions
10. How often do you buy items online?
a. Always
b. Most of time
c. Few
d. Prefer to buy instore
11. What is your age?
a. 18-24
b. 25-35
c. 35-45
d. >45
12. What is the total annual income of the household you live in?
a. 0 to $25000
b. $25000 to $45000
c. $45000 to $75k
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d. $75k to $120k
e. Above $120k
13. How would you rate our product?
a. Not good
b. Fine
c. Good
d. Excellent
14. How well does our product meet your needs?
a. No good
b. Fine
c. Well
d. Life saving
e. Not applicable
15. Features that you don’t like on our product?
a. Packaging
b. Delivery services
c. Customer services
d. Anything else/not sure
e. Happy with all
16. How would you rate the value for money on the product?
a. Bad
b. Fair
c. Good
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17. How easy is it to navigate on our website?
a. Difficult
b. Regular
c. Easy
18. Why did you choose our product rather than a competitor’s?
………………………………………………………………………………….
19. What else would you like us to know?
………………………………………………………………………………..
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