Operations Management: Definition, Principles, Activities, Trends

This assignment provides a comprehensive overview of operations management, including its definition, principles, activities, and trends. It covers various sources related to operations management, such as research papers, journals, and websites. The assignment aims to help students understand the key concepts and importance of efficient operations management in different contexts.

Management operations

TABLE OF CONTENTS

INTRODUCTION
OM is the administration of business practice aimed to ensure to gain highest level of
efficiency within a firm which helps to improve profitability in positive manner. It is
multidimensional aspect which specifically connect with manufacture and produce best
services. Main aim of operation management is to ensure that delivery of commodity should be
in specified time duration by successful turning raw material into finished products.
This assignment is rely on Toyota which is a Japanese international auto mobile
manufacturer firm and it headquartered in Japan. It is sixth largest company in world in context
of revenue. This report is based on grandness of a leader and manager in organisational success.
Further it detailed role and responsibilities of leader with manager in context of Toyota. In
addition, role of leader and manager in OM are analysed with clear differentiation. It also
explains relationship between leader and manager in contemporary business concern to get
desirable results. Respective assignment rely on structure of administration so that according to
that an organisation can differentiate between leader and manager in better way.
TASK 1
1.
Toyota is a international corporation that manufacturers automotive vehicle and it headquarters is
in Japan. In its corporate construction consist of 364,445 employer all over world. It is the sixth
sizeable institution in context of its revenue, it is worldwide second largest business concern in
world wide. It is market leader in sales of hybrid vehicles and encourage towards adaptation of
these vehicle (Boyd and Dougherty, 2016).
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Structure of Toyota:
Toyota adopts hierarchical structure and follow mechanism in handling crisis with ideas
in forward by most effective way. In conflict such as those factors that paralyse productivity but
if deal in effective manner can give constructive results (Ellitan, 2017). Toyota follows rigid
corporate culture and senior based hierarchy in which risk of reacting at slow pace. It has chain
of board of directors of 29 Japanese individuals. So, they have centralised structure and
authorities not delegate in company. All information and data should be dividing in a flow to
increase productivity and enhancement. That structure helps to manager and leader to dispense
functions and responsibilities by accessing their capabilities in better way so that they can
achieve one of their best efforts.
2.
Leader is one who occupy dominant position in its field and control all work with
activities to influence behaviour of others. A leader by motivating others affect others activity to
get better control and achieve desirable outcomes (Eraki, 2015).
On other hand a manager is a job title that is deliver by organization to an individual with
specific roles and responsibilities by identifying capabilities. A manager is responsible for a
department and direct report to employees. A manager accountable for managing various
activities and staff members to get desirable outcomes.
Role of leader and manager:
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There are some specific roles and responsibilities that are accomplished to gain desirable
outcomes. In case of Toyota their leader and manager handle various activities to manage overall
organisation that are as follows:
Required at all level:
Leadership is an attribute that requires at every step of management to coordinate all
work and activities. Toyota follows hierarchical system in which power and responsibilities
passes from top to bottom level (Fan, Liu and Zhang, 2015). In top level it is necessary to
coordinate in plans and policies so that subordinates can clearly understand their task. In Toyota
at middle and lower tier they implement plans and policies which is specified by top
management. Leaders play crucial role in counsel their subordinates at time of execution of
policies.
Representative of organisation:
A good leader is one who have the ability to counsel and become a representative of an
organisation. To build awareness and to communicate about aims and objectives leader have to
conduct seminars, conferences and meetings so proper communication should be maintained. In
case of Toyota while debut a new commodity into marketplace it organises many meetings and
include everyone to get suggestions from them. Toyota Senior consultant leader Akinori Hyodo
conduct various conferences and meeting to communicate in effective way. In case of Toyota
they play crucial role in clarify goals and objectives and then distribute in their subordinates.
Role of a manager:
Manager show very important role in organizational development and improvement by
handle various aspects and then distribute authorities and instructions from a leader (Han and et.
al., 2017). In role of manager includes hiring, training and development and work of maintaining
discipline in organisation. Functional authority and power give them power to exercise control
over various activities. In case of Toyota it gives specific roles and responsibilities to line and
other managers to attain their own and then organisational objectives.
Another role of a manger is to collect data and information by observing and scanning
surroundings, their subordinates and roles and responsibilities (Idris, 2016) In case of Toyota
their managers are responsible for gathering important information in interior and extraneous
environment that impact their business in both affirmative and pessimistic way. The focus of
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managers on auto mobile firm in implying to regulating policies and legislation and to maintain
effective employee relation.
Difference between leadership and management:
Basis of difference Leadership Management
Meaning Leadership is a set of skills
that are used to lead others by
giving specific examples or
influencing their behaviour in
positive way so that they can
attain desirable outcomes.
Management is an art that
helps in systematic planning,
organising and controlling
work and activities to gain
desirable outcome in efficient
way.
Basis Leadership works on basis of
trust on their followers that
follow instructions and
guidelines to gain desirable
outcomes.
Management work on control
of all work and activities to get
effective results in
organisation.
Power Leader use their power to
influence other people to get
desirable outcomes.
Management uses their power
in manage all activities so that
it manages whole activities of
organisation.
Focus on Leaders focus on encourage
other people to accept changes
that occurred in organisation.
Management focus on by
controlling all activities in
effective manner to bring
stability in organisation.
Perspective Leaders have long and good
foresightedness to grab large
no. of opportunities.
Management has short
foresightedness to assume
perspective of organisation.
Characteristics Management in their basis
characteristics is sense that
given their authority.
Leadership characteristics is
strategically focused and rather
than coordinating employees
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through their tasks.
Functions Leadership focus on listening,
building relationship and
inspiring and motivating their
followers.
Management includes function
of planning, organising,
staffing and directing with
controlling.
Leader and manager:
leader is one who help others and themselves to pursue right things by giving right
direction and by build inspiring vision in front of people and create new image and personality in
front of followers. On other hand manager is one who manage or in charge of roles and
responsibilities that the aim of organisation. They guide people who are can give their
contribution in organisational goals and objectives.
3.
Leader is accountable for motivating and directing subordinates to execute task and reach
the desirable outputs. Other side , decision maker are accountable to design and utilize plan of
action that enables Toyota to attain desirable outcomes. There are various circumstances in
administration in which both manager and leader plays crucial role in organisation growth and
sustainability (Ma and Sun, 2012).
Conflict management- conflicts are very much common in every kind of firm that hinders the
self interest of an individual as well as organisation in performing well. In context of Toyota they
faces kinds of problems that hinders in their communication and understanding the things and
events in proper manner. As they deal in kinds of various nations in which personnel comes from
various backgrounds and various languages that sometimes hinders their level of productivity. In
respective situation the manager and leaders plays crucial role as they provide assistance to
employees in performing well.
Handling conflict management-
The first and foremost duty of leader and manager is to manage conflicts in proper
manner as they deliver right kind of knowledge and information to personnel regarding their
efforts towards achieving goals and objectives in proper manner. The major accountability of a
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leader is to find out root cause of the problem and manager directs all employees to eradicate it
maximum level.
The major role and responsibility of a manager and leader is to examine the causes
behind the problem by collecting important insights and information to gain important results.
After getting the proper knowledge and information they able to take some significant decisions
to gain optimum outputs. In that situational leadership style should be used to that can be modify
by managers and leaders according to time and helps in adapt according to situation by manager
and leader of toyota.
Launching a new product
While come into market with the new product and services it is very much important to
conduct proper knowledge and information priorly. In that regards organisation collect crucial
knowledge regarding taste and preference of consumers to gain important outcomes. In that
situation leader and manager have to use contingency theory of leadership which give important
insights in taking important decisions. In such situations leader and manger perform various
functions that are as follows:
 To reach at large no. of consumers organisation plan and organise each and every event
by accumulating necessary knowledge and information to remain always competitive in
the marketplace. In order to they select one of competitive personnel that are capable in
giving their one of best efforts (Pakistan, 2012).
 The first and foremost role and responsibility of a manager and leader is to take some
crucial kinds of decisions in profitability of an individual as well as organisation. They
by accumulating the information regarding finance and resources by applying kinds of
strategies and tactics to gain sustainability in marketplace. It uses situational leadership
theory to deal in different situation to solve problem in organisation.
Assigning roles and responsibilities:
it is one of the important task in an organisation to distribute proper roles and
responsibilities to people who are working with the organisation. In that case leader gives
knowledge about what kind of tasks and responsibilities have in organisation and in that case
role of manager to access skills and capabilities of an individual and accordingly assign work to
them.
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4.
In an administration leader have the capabilities to influences and give guidelines to other
and accordingly take decisions that enables in taking appropriate decisions. Toyota adopts
different practices of leadership to accomplish goals and these approaches of leadership are as
follows:
Situational leadership:
It is also known as accommodative leading form in which leaders can modified their roles
and responsibilities accordant to state of affairs that arise in Toyota. Leader in Toyota adopts
different style of leadership to succeed different circumstances that arise in organisation (Parmar,
2014.). For example, in situation of leading and determiner employees in that leader give
coaching and guidance to their subordinates but in that situation, followers are highly
competitive but they are lack in motivation under that situation leader make strategies and take
decisions and change its leadership style. In that four-leadership style that adopted by leader in
different circumstances that are as follows:
Telling:
In approach states that leader have to give their suggestions and according to that
distribute orders to their subordinates and leader of Toyota follow that approach.
Selling:
In that leadership approach leader and manager take appropriate decision and according
to it dispense roles and responsibilities to their assistant.
Participating:
In that approach of leadership, leader pertain other employer also to give thought and
thought in taking effectual decision.
Strengths:
Management of Toyota create environment in which leaders can comfortably takes
decisions while any situation appears so it gives effective results.
Weaknesses:
In Toyota when a leader faces different and adverse situations it get confused that which
leadership style is suitable according to situation.
System leadership:
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In that type of leadership style which is adopted by Toyota, creates conditions in that
subordinates can create conditions that they can contributes in effectively manner. In that
scenario leader build strategy, design system that enables to predict behaviour of an individual to
perform in effective manner (Plesser and et. al., 2014).
Strengths:
This type of leadership style helps in clarify ideas and thoughts on complex situations
with dynamic environment to build framework that helps in effective results (Tristancho and
Gutiérrez, 2012).
Weaknesses:
This leadership style is lengthy to adopt and complicated in nature and in it there is
interconnection with various parameters.
Contingency leadership:
This theory of leadership states about style of leadership is contingent according to
situation. It focuses on both personality of a leader and situation in that it deals. In Toyota leader
consider best style of leadership in which a leader can give their best (Wang, Jie and Abareshi,
2015.). Leader have various skill set that helps in taken appropriate decision at time of different
situations.
This theory has three characteristics that are as follows:
Leader member relations:
It assist leader in Toyota to maintain healthy relationship with employees at workplace.
That helps in heighten their team spirit and satisfaction level.
Structure of task:
It helps leader to deliver tasks and responsibilities according to individual capabilities and
strengths.
Positional power:
It is the factor that gives both reward and punishment authority to leaders in Toyota to
attain objectives.
Strengths:
In that situation leader have different styles which can be adopted by them in different
situations.
Weaknesses:
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Sometimes leader is ineffective that incapable to deal in different complex situations.
At last it has been concluded that for Toyota situational leadership style is best to cope up with
different situation and it also helps in adopt changes according to circumstances (Wen-chao, Fan
and Wen-wen, 2012). in that situation manager also play crucial role to dispense roles and
responsibilities to get desirable outcomes. In case of Toyota manager and leader plays very
crucial role in organisational development by distributing roles. Manager role is understand
behaviour and give key contribution in different situations.
5.
Managers and leaders play critical role that impacts positively on organisational
development because with help of manager, leader can take appropriate decisions. Manager by
follow instructions and views of leader can get desirable goals and objectives in progress of
Toyota. For example, in Toyota they follow a complete chain of hierarchy in which instructions
and orders should be passes from upper to lower level so that to accomplish their objectives it
proves to be fruitful. In future Toyota can reforms and modify in their rules and regulation in
which everyone can share their thoughts and point of view in front of higher authority so that
they feel motivated and encouraged, so that they can give their best.
TASK 2
1.
In administration operation consist with conversion of raw material into finish products
and services into final goods. It helps in designing, controlling and coordinating different
activities so that desirable results should be achieve. There are some important functions that
should be follow by administration to achieve certain content and objectives (Williams, 2015). in
their key operations are quality management, process and capacity design, designing of goods
and services etc.
2.
Operation management is a system and administration that helps in creating highest value
and practices to increase efficiency level in organisation (Operations Management: Definition,
Principles, Activities, Trends 2019). Main focus is transformation of raw materials into finish
products to get better outcome. There are some key functions of operation management that are
as follows:
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Supply chain management : It connected with the delivering of products in the marketplace.
The managers and leaders of Toyota has adopted Lean production system in order to supplying
the products in the market. with this system, managers and leaders of Toyota will evaluate chain
of activities on the basis of time through which the cost of product will be eliminated and the
managers will take more effective decisions for the betterment of organisation. (XIANG, Chen
and Zhang, 2013.). To deliver right kind of value and attributes to the consumers organisation
have give proper instructions to their managers so that they can deliver right products and
services. In that case leaders gives instructions to their subordinates so that by obeying it in
proper way organisational goals and objectives should be achieve. In supply chain management
managers evaluate each and every activity that helps in reap out major benefits so that every one
can get best results out of it and remain competitive in marketplace.
Designing of auto mobiles:
Another main function of organisation is to design products and services according to
consumer needs and wants. In that case manager and leader plays very important role to know
taste and preference of consumer and communicate with other departments so that accordingly
products should be framed. In case of Toyota it adds feature in their cars such as safety measures
and comfort zone and fuel efficiency that is choice of consumers. In that scenario managers and
leaders play very important role in accessing needs of consumers and accordingly give
suggestions. In designing Leader and manager give their suggestions and ultimately by
evaluating each and every aspect leader give final decision to design the product in proper way.
In designing products and services role of leader and manager is very much vital manager by
observing trends in market and leader after collecting designs in proper way and take effective
decisions in proper way.
Managing quality:
Another main function of organisation is to manage quality of products so that consumers
can get delighted experiences and become loyal consumers of organisation. In case of Toyota it
made product that satisfy their consumer wants in proper way. It has impressive resale and trade
in value due to quality in their products. In that case manager and leader plays very crucial role
to by judging quality again and again so that they can satisfy consumers wants. In managing
quality manager give instructions to their subordinates to control quality measures and at last
leader check quality of products and services so that desirable results should be achieve.
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Managing quality is one of important factor to give best quality products and services to
consumers to give delighted experience to them. In that context role of leader and manager are
very much important that manager evaluate taste and preferences of consumers and leader
finalise the best quality of them.
Delivering products:
It is the major function which includes proper estimating demand of customers and
producing products accordingly. This would avoid wastage of resources and achieves maximum
efficiency in its operations. It is the responsibility of leaders and manager by forecast demand of
products in market and deliver product so that appropriate results should be achieve. In case of
Toyota they build a particular team that work to collection in data and information about demand
forecast and deliver product accordingly.(Yun and et. al., 2018). The role of leader and manager
are very much important in deliver right kind of value to the ultimate consumer base. In that
manager accessing needs and wants of consumers and leader accordingly give their accent.
Importance and value of operations management:
The
primary Importance of OM is to present on time merchandise and services by turning raw
materials into finished products. It assist in to execute project in successful manner and enhance
productivity by adopting information and technology. Operation management helps in improving
the quality of goods and gives measure for the efficiency of manager as well as for employees.
Operation management helps in optimum utilization of resources by getting huge profit.
Operation management is important for an organisation to manage and deal in effective manner
by evaluating each and every department by observing their works and activities closely.
3.
Six sigmas:
Six sigmas is a disciplined approach that helps in continuous improvement methodology
for eradicating errors and mistakes in production process. It is developed by Motorola in 1980s
to improve quality of products to achieve best and desirable outcomes. It represents population
standard deviation for collect data and information. It plays very important role in organisational
development by reducing wastage and errors with increase in productivity to gain large market
share. In that manager and leader plays crucial role to observe each and every activity while
implement in organisation (Walker and et. al., 2014.).
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Lean production:
Lean production/ manufacturing is a management approach which focus on cut out
wastage whilst ensuring quality of product. That approach helps in every aspect of business such
as design to production and distribution. Its main objectives are to cut cost by giving best value
to consumers. In case of Toyota it focusses on reduction in wastage while building their vehicles.
It is very valuable for organisation because it helps in reduction in cost by increasing their
production process. In that scenario manager and leader plays crucial role to observe the need of
adaptation that kind of approach in organisation.
Just in time:
It is an also known as just in time production or Toyota production system that is a
methodology aims to reducing time in production and reduce wastage and time from suppliers to
customers. It is very useful for organisation to reduce wastage by increase their productivity
level. In respective situation managers and leaders responsible to play significant role to
coordinate all attributes in proper manner.
Total quality management:
TQM is one of most important tool and continuous improvement process assist in
eliminating concerns while producing products and services during supplying products,
amending experiences of consumers and while giving training to employees. It is accountable
for improve quality of products by reducing wastage. In case of Toyota their leader and manager
play crucial role in become accountable for improving quality. It is very important for
organisation for improving quality of their products (White, 2016). in that case Toyota uses that
operation to eliminate wastage and save resources to get better results.
Operation management approaches helps in improving production capabilities and by
reducing wastage in production process that indirectly reduce ultimate deliver cost of products. It
increases efficiencies in products and serve in better manner to customers to improve quality.
4.
It is very crucial for business to understand and interact with environment to get better
results and it impacts great on operation management. There are lot of factors that influence on
operation management and process of decision making that are as follows:
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CSR- Environment of business is majorly affected by CSR policy and reason is that related
with the responsibilities of organisation and also publishing the firm in accomplishing their
social responsibilities.
Values- Toyota also pay emphasis on values that are connected with society or where
they are practices their activities. It also enables firm in getting better ideas and views so that
company can in well manner promote their products and satisfying potential needs of their
consumers. (Wong and et. al., 2012). it affect in decision making while organisation build some
values it is very beneficial for them to deal with them in best manner.
Ethics:
There are some principles and rules of an individual behaviour that affect business
proceedings. It gives guidelines to organisation to behave in ethical manner so that desirable
results should be achieve. In case of Toyota they behave in ethical manner with their consumers
by giving appropriate information and knowledge so that they can take decision accordingly. It
helps to organisation in building loyalty in market. In case of Toyota it aimed to settle sudden
acceleration that is one of ethical issue that face by company in 2012. Toyota is always concern
with doing good job and they are reliable for that and on other hand it focus on aggressive
growth with unmanageable risk that build strong relationship with their consumers. It helps in
taking appropriate decision because they give them guidelines to take appropriate decisions by
following ethics and norms.
Stakeholders:
Stakeholders are the individuals in which creditors, directors, employees and
government, suppliers and other community should be include from which an organisation
drawn their resources. The tactics and behaviour of all these major stakeholders impact on
organisational development and enhancement and also organisation have to pay attention on self
interest of these individuals.
Culture :
Culture is an important aspect in which norms, values and working style of an
organisation consist in it. To bring desirable results organisation have to build healthy culture in
an organisation. In that aspect leader and manager have to understand working style in an
organisation and bring changes in internal environment.
Pest factors:
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In PEST factors consist of Political, Economic, Social and technological factors that
directly and indirectly impacts on organisational works and procedures. In that case leader and
manager have to assess each and every aspect that restricts their growth.
All these factors are very important for an organisation to give delighted experience to consumer
base and also give satisfaction level to every class of people such as shareholders and
consumers, employees and many more are from which organisation give their major benefits.
5.
Operational efficiency is very important aspect in business environment to improve
efficiency level of product and services. In case of Toyota it by increase product quality always
try to give best products to their consumers (Yun and et. al., 2018). In case of Toyota their
managers and leaders play crucial role in bring skilfulness in organisational growth and
enhancement. There are different theories of management and leader to carry skilfulness in
product and services that are as follows:
Scientific management theory:
Scientific management theory denotes the work performance at time of manufacture of
goods and services as to differentiate one task from the other task. Some activities are repetitive
in nature and individual have to perform it again and again. In that case it has exercise complex
problem-solving activity. Hence this theory is focused on standardization of methods of working
by adopting scientific management theory to improve in performance. In case of Toyota it uses
different methods and tools to improve in their working conditions by analysing different aspects
such as competitors, suppliers and other major factors. This management theory helps in improve
efficiency by using different above-mentioned tools and techniques so that cost should be cut and
efficiency can be improving (White, 2016).
Transformation theory of leadership:
Transformation theory of leadership is a new approach that focuses on best leadership
practices to present value and alteration in their precede. Transformation leaders emphasises on
gaining compliance by giving rewards and benefits. Building high performance workforce is an
important for organisation and leader to inspire others to go beyond their specified tasks. This
theory emphasised on requirements of workers so that they can yield their best in structural
improvement by increase in working efficiencies so that desirable outcomes can be achieved. In
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case of Toyota to it uses different leadership style that set according to various state and assist in
accomplish organisational goals and objectives.
6.
Organisation grow in market but to remain always competitive for that firm have to
modified in their product features so that they can grab large no. of consumers. in that some
recommendations that should be need in future for Toyota to improve in their performance. In
that case managers and leaders play crucial role to adopt changes according to situation and
guide their subordinates in adopting changes in organisational growth and advancement. In case
of Toyota they have future design to grow their market share by introducing fuel cell vehicles,
designing lower cost products, mass market passenger cars that helps in push their technology
into their buses and trucks to gain economies of scale. They planned to improvement in their
limited production strategy to mass production, reduction in expensive materials such as
platinum in vehicles and make system of operations more sound proof and powerful to get
desirable outcomes (Idris, 2016). It planned to improve in prototype for small delivery vehicles
and for large transport trucks and it improve in their vehicle by adopting battery operated
commercial semi-trucks to improve in their efficiency level. Hence these are the most important
recommendations for Toyota that should be bring in market in future that helps in increase their
efficiency level by reducing cost and better satisfaction to consumers to give more eco-friendly
products to complete their product line by incorporating use of lean production approach.
Hence management and operations plays very crucial role in enhance performance of employees
to give best tools and techniques to provide best of services for an organisation.
CONCLUSION
From the respective assignment it has been summarised that management operations are
very obligatory because it enables managers for estimating growth and success of the firm.
Leaders and managers play very crucial role and yield their leading endeavour in organizational
growth and enhancement. For achieving objectives different leadership and management
approaches work in giving important insights. In organisation different kind of management and
leadership approaches have to adopt by the managers and leaders of the firm. In addition to this,
these kinds of approaches also help the managers for enhancing skilfulness and effectualness of
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the enterprise operations. The report outlined with operational approaches to improve efficiency
and reduction in wastage is very essential to improve efficiency of products.
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