Project Management: Concepts and Applications

This assignment explores the multifaceted world of project management. It delves into fundamental concepts, examines different methodologies like Earned Value Management and MULTIMOORA, and highlights the importance of incorporating sustainability principles. The discussion encompasses the evolution of project management practices, acknowledging the shift towards control and flexibility, and the role of project management offices as knowledge brokers. Additionally, the assignment addresses challenges such as dealing with 'knowable unknown unknowns' and navigating the complexities of a fragmented field.

OPERATION AND PROJECT
MANAGEMENT

Table of Contents
INTRODUCTION...........................................................................................................................1
TASK 1............................................................................................................................................1
P1 Review and critique of execution of operation management principles................................1
TASK 2............................................................................................................................................4
P2 Preparation of continues improvement plan which are based on operation management
principles.....................................................................................................................................4
TASK 3............................................................................................................................................7
P3 Application of product lie cycle strategies.............................................................................7
TASK 4............................................................................................................................................9
P4 Effectiveness of Product Life Cycle......................................................................................9
CONCLUSION .............................................................................................................................10
REFERENCES..............................................................................................................................11

INTRODUCTION
Operation management is a department that control over all the resources for conducting
a business operations in an effective manner. It helps an organisation in manufacturing goods
and services according to the needs and demands of customers (Antonio Martins and Ramos
Martins, 2012). Thus, department of operation management is fully responsible for converting
raw material into final products so that it can be delivered to consumers. BSH Hausgeräteis is
one of the leading companies that manufactures electronic items, home appliances, washing
machines and many more. Therefore, this research is conducted because the company wants to
enter into a new market where they are planning to launch a new product i.e. a 58 inches
television. In this report, implementation of operations management along with principles is
included. Other than this, a continues improvement plan and PLC is mentioned in this
assignment in order to know the growth of business. Lastly, review of product life cycle is also
done by using appropriate theories, concept and models.
TASK 1
P1 Review and critique of execution of operation management principles
Every organisation is divided into many segments so that they can perform the task
according to the capabilities. This will help them in giving excellent results and outcomes. For
example: To make an electronic item, all the parts are assembled in same department, further it is
done according to the requirements. Other than this, management of also makes policies and
strategies so that while manufacturing the goods they can use resources in a proper way by not
wasting them.
Therefore, the prime work of operation management is of designing and controlling the
whole process of producing a good so that a perfect commodity can be manufactured. Other
departments like human resource management, finance, marketing etc., also plays an important
role in the whole process. Thus, to run a business in an effective manner it is required that an
appropriate strategies are implemented so as to take proper decision can be taken in context with
its designing, inventory control, cost and time effective, process of manufacturing goods and
items (Beringer, Jonas and Kock, 2013). Therefore, to produce a excellent product it is required
to follow certain principles with BSH Hausgeräteis Group is Companies is doing and they are
mentioned below:
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Operation management Principles: These are the principles that are utilised by most of
the organisation for manufacturing a better product and for this strategies that are required are
given below:
Reality: Under this, company must focus on resolving issues that are creating problem in
converting the task into reality (Blomquist and et. al., 2010). For this, organisation utilises the
best suited tools and technologies for producing goods.
Organisation: All the departments in a company are interconnected and as a result they
assisting the firm in doing their best by helping each other and for this, management of the
organisation is providing training programmes to its employees.
Fundamental: In order to get maximum benefits BSH Hausgeräteis has implemented
Pareto rules from which the organisation is getting 20% of success and other 80% is by
maintaining and applying discipline and records perfectly.
Accountability: To maintain a peaceful environment it is necessary that a proper rules
and regulations are set so that employees can work accordingly. This will assist the organisation
in performing the task in a better manner as a result it is helping them in achieving the goals and
objectives.
Variance: Accepting changes can be very effective as this will aid the organisation to
running their business in an appropriate way. This will encourage them in creating innovative
ideas.
Causality: Issues that arises should be taken in a positive way so that it can be resolved in
a proper manner. Other than this, its a prime role of management to look out all the problems in a
better way so as to eliminate them in an effective way.
Managed passion: This is considered as an important element because it encourage
workers in completing the work properly. It will gradually increase the quality of manufacturing
products.
Humility: The trial and error process are most costlier methods thus it is required by
managers to know about the limitations and get assistance in order to move forward on the right
pathways.
Success: Most of the companies manufacture products so as to get success in order to get
into a better position in market area (Brauers and Zavadskas, 2010). Thus, it is essential that
organisation knows the interest and choices of its clients for achieving the same. Other than this,
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Change: Change is good until it is providing benefits thus, to get success it is necessary
that alterations are done according to the present scenario and market situations.
Six Sigma:
This is a process that is used by most of the organisation in order to enhance the quality
of manufacturing products and business operations as well. Six Sigma guides a company in
eliminating all the flaws that are acting as a barrier in the whole process (Management Theories
& Concepts at the Workplace, 2018). Apart form this, by applying this method one can get
suitable products by reducing the cost and time. Therefore, for achieving the best quality product
it is necessary that company uses latest technologies and machineries so as to give quality
products to its customers. Further Six Sigma can be explained into five steps that are mentioned
below:
Define: Under this a critical analysis about any product is done so that company can
develop a blueprint which they can follow in producing a commodity. In this process,
organisation also takes opinion of its customers by conducting a survey in order to know the
choices and preferences.
Measure: In this an investigation takes place so that they can evaluate whether a
particular product which the organisation wants to develop is valid or not. Other than this, they
also see whether the company is having sufficient resources with them.
Analyse: Under this, all the expected issues are taken into consideration so that company
can understand the cause and effect of a commodity. Therefore, all the factors are need to be
determine for resolving the problem in a better manner.
Improve: It is not possible that, products that are manufactured are perfect there may be
some issues which needs to be changed. Improvement or alteration will increase the sales and
productivity. For this, companies utilises technologies by which they can make out the issues that
are arising.
Control: This factor is very important, it make sure that for manufacturing a products the
resources are used appropriately so as to sustain it for future process (Fernández-Sánchez and
Rodríguez-López, 2010). Thus, a control system must be there from where managers can
monitor materials which are used are of good quality or not.
Lean Principle:
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Lean principle is a done by considering five steps that guides company in executing the
lean techniques. This is a complex process and instantiation can sometimes find it difficult to
attain. Therefore, BSH Hausgeräteis is following some of the principles that are mentioned
below:
Identifying Values: This process helps the organisation to identify the nature and
behaviour of customers so that they can know whether consumers are willing to pay the amount
which company are deciding (Fleming and Koppelman, 2016). Thus, BSH Hausgeräteis mainly
concerning about manufacturing best quality products in limited cost price. This will help its
consumes in getting excellent product at low cost.
Map value stream: It comes under product life cycle, and assist the organisation in
converting the raw material into final products for their users. Thus, it constitute procedures like
designing, manufacturing, administration, consumer services etc., therefore, a systematic pattern
is followed for getting better results.
Create flow: This is the step which comes subsequently with map value stream, Iteration
flow can get run in smooth way with the help of this type of flow. Along with this, any sort of
hurdle can be faced by administration of a firm. This may also aid in developing proper sort of
state bound in a sequence that helps in delivering products and services to consumers right on
time.
Establish pull: By manufacturing quality products an organisation can attract more and
more people towards their company. Thus, BSH Hausgeräteis producing commodities as per the
choices which is enabling them in pulling customers in large number.
Seek Perfection: Under this, in order to make products that are best in quality, than it is
mandatory for BSH Hausgeräte company to eliminate the unnecessary steps which can time
consuming.
TASK 2
P2 Preparation of continues improvement plan which are based on operation management
principles
Companies work in order to make commodities according to the choices and preferences
of consumers and also to gain maximum profits from them (Gunasekaran and Ngai, 2012).
Alterations according to the current market situation is necessary so that organisation can sustain
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the better position for a longer period of time. With the change in course of time BSH
Hausgeräteis are making compact products that are handy and easily accessible as compared to
earlier times. This is assisting the organisation in gaining customers loyalty (Lenfle and Loch,
2010). Managers of BSH Hausgeräte company is making proper planning and so as to increase
the productivity and profitability at the same time. Therefore, continues improvement is very
important to work according to the choices and preferences of consumers. BSH Hausgeräteis
using Continues Improvement plan that is explained below:
Provider
Date
Source Existing performance
level
Improvement in
strategies
Expected Outcome
Promotional events In this world where
companies are using
various mediums to
promote their activities.
BSH Hausgeräteis not
using appropriate tools
and that is the reason
why customers are not
aware of new
commodities and
products.
Company can go
through the strategies
that are implemented
by other companies
just to take an
overview. This will
assist them in making
proper plan for gaining
better results.
Managers of BSH
Hausgeräteare working
on making proper plan
of action by
communicating with
various experts in
order to know what
strategies they can
apply for the same.
Company is also
thinking of launching a
new television with
advanced features in it.
After sales services Company is not using
appropriate ways of
communicating with
their customers and
because of which they
BSH Hausgeräteis
planning to establish
stores in different
areas so that they can
deliver maximum
BSH Hausgeräteis now
planning to open a
different department
where customers can
easily gets solution
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are facing problems.
Thus, it is required BSH
Hausgerätehave
effective team who can
work on it.
number of products to
its consumers. This
will enable them in
providing better
services and facilities
in a proper manner.
regarding their
problem. Other than
this, company is taking
feedbacks form
customers regarding
the service given by
the organisation.
Improvement plan and its effect:
From the above mentioned plan it can be concluded that the process which are
implemented is working as an effective tool for BSH Hausgeräteand as a result it is helping them
in achieving goals and objectives (Mir and Pinnington, 2014). Thus, continuous improvement is
necessary for giving excellent services and facilities so as to get maximum profits and benefits.
With the implementation of effective tools and technologies company can achieve success. Other
than this, they are more focussing on making innovative products which can make life easier.
Therefore, it is important that administration of a company is manufacturing those products
which are adding value in the commodity.
Strategies for implementing of plan:
Continuous improvement process is helping the organisation in giving appropriate
services and facilities on a regular basis. Reviews regarding the product taken form customers so
that BSH Hausgerätecan manufacture products according to the needs and wants of customers.
Thus, by providing better quality products, BSH Hausgeräteis enabling themselves in gaining the
loyalty of its customers as a result an increase in sales and productivity can be seen in the
organisation.
Good employment relation: To sustain the loyalty of customers it is important for a
company to have a healthy relations with customers and employees as well. Proper worker
relation will give better outcomes and will increase the performance and productivity of the
organisation.
Proper communication process: Communication is a proper medium which is used to
have an appropriate interaction and also for conveying the message properly. BSH Hausgeräteis
using this process so as to guide employees in order to work properly (Pemsel and Wiewiora,
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2013). Other than this it is helping them in maintaining a healthy environment and proper
coordination between superiors and employees.
Organisational theories and models: BSH Hausgeräteis using various models and
theories for making appropriate strategies in order to attain superior position in the market area.
Classical, scientific and bureaucratic are the approaches that are used by most of the organisation
so as to perform in a better manner. Through this, BSH Hausgeräteis enhancing its productivity
and sales effectively. Therefore, all the theories are helping the organisation in manufacturing
products as per the needs and wants of customers.
TASK 3
P3 Application of product lie cycle strategies
BSH Hausgerätewants to launch a new product i.e. a large television of 58 inches and for
this, they have conducted surveys before launching the television product so that they can know
whether this can sustain in the market area for a longer period of time. This is assisting them in
analysing the areas form where they can get effective benefits (Ramasesh and Browning, 2014).
Thus, companies have proper strategies under which they have set target audiences. In their
product they are making innovative changes by making television a smart gadget. In addition
BSH Hausgeräteis making their product light weight with all the features like wifi, smart
processor etc. invaded in it. This is helping them in attracting maximum number of customers
and as a result an increase in market shares and productivity can be seen. Product Life Cycle is
used by BSH Hausgeräte which constitutes certain steps that are explained below:
Introduction Stage: This is considered as the first step of product life cycle in which the
commodity is introduced in the market for the first time. Thus, BSH Hausgeräte is making
strategies accordingly as in the initial years it is essential to set up the business in a proper
manner. This is an expensive process because it requires to analyse the whole market area. There
are many rival companies of BSH Hausgeräteis, that are manufacturing the same products thus, it
is necessary to make their commodity different for others. In the initial period the sale of the
commodity is very low and to retain the regular process it will take approximately 3 to 4 weeks
to make the final products.
Growth Stage: Under this, company gradually increases its sales and productivity and
this enable them in gaining maximum benefits in the sector. As the production is done on a large
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number and quantity it automatically increase the margin of profit and its impact can be seen in
the growth of the company (Robichaud and Anantatmula, 2010). For increasing its growth BSH
Hausgeräte company is using various promotional activities for attracting more and more
customers towards their company.
Maturity Stage: Under this stage, main role is to expand the sales in order to increase the
profit. This will assist them in generating more funds so that they can buy raw materials on huge
quantity. Other than this, BSH Hausgeräteis focussing on making alterations so that they can
make changes according to the choice and preferences of customers. This is enabling them in
gaining competitive advancement so as to sustain in the market for a longer period of times.
Decline Stage: This is the last stage where the product is at declining stage at the market
place. The main reason behind this can be customers are buying products from other rivalry
firms which are available at market places or the market conditions become saturated (Turner,
2016). The decline in selling of products are inevitable but there can be possibility that BSH
Hausgeräte cooperation's can earn higher profitability index by moving towards the process of
production which are less expensive and these can be easily available at market places.
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In order to achieve strong positions of products at market and sustain goods for long time
durations then management can develop plans and strategies in order to establish strong brand
images thus enhancing their higher profitability.
TASK 4
P4 Effectiveness of Product Life Cycle
BSH Hausgeräte wants to enter into a new market by launching a new product which is a
large television of 58 inches. In this products they are making some changes which are according
to the situation. Company is making it light weight with lots of new innovative ideas inbuilt in it.
Thus, comparing with other they are trying to launch a television which is smart. Other than this,
main focus is on developing a product which is cost efficient that can be affordable whether for
middles or higher class people (Söderlund, 2011). BSH Hausgerätecompany is best known for
giving better services and facilities and it is helping them in achieving superior positions.
Product Life Cycle is not a easy task and for this a proper plans and strategies are required to be
followed and managers of BSH Hausgeräteis assisting them for the same. By utilising this
process it is helping them in fulfilling their objectives and targets in specific time period.
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Therefore, the approaches which BSH Hausgeräte has adopted is not sufficient and they must
include some other models for making their product more effective in nature.
Product Life Cycle is helping them in achieving the set targets as the strategies which
BSH Hausgeräte have implemented are best executed by them for gaining maximum profits.
Organisation is trying to provide the product at reasonable rates (Subramanian and Ramanathan,
2012). A better analysis is required to be done by managers of the company in order to eliminate
the chances of getting failure. Thus, BSH Hausgeräteis evaluating various strategies by which
they can identify the policies that have been applied by them.
Leader of BSH Hausgeräte company is showing paths to their employees by which they
can provide maximum benefits to organisation. Other than this, firm is using tools and
technologies so that they can maximize the use of resources
CONCLUSION
From the above mentioned report it can be concluded that, operation management is
considered as one of the essential part as they provides basic facilities that are required by the
company so as to make effective products. For this, firms are using latest tools and technologies
for getting better outcomes. Manager of the organisation is helping them in making proper
strategies and plans which they can apply for gaining maximum profits.
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REFERENCES
Books and Journals
Antonio Martins, V. and Ramos Martins, M., 2012. Outsourcing operations in project
management offices: The reality of Brazilian companies. Project management
journal. 43(2). pp.68-83.
Beringer, C., Jonas, D. and Kock, A., 2013. Behavior of internal stakeholders in project portfolio
management and its impact on success. International Journal of Project
Management. 31(6). pp.830-846.
Blomquist, T. and et. al., 2010. Project‐as‐practice: In search of project management research
that matters. Project Management Journal. 41(1). pp.5-16.
Brauers, W. K. M. and Zavadskas, E. K., 2010. Project management by MULTIMOORA as an
instrument for transition economies. Technological and Economic Development of
Economy. 16(1). pp.5-24.
Fernández-Sánchez, G. and Rodríguez-López, F., 2010. A methodology to identify sustainability
indicators in construction project management—Application to infrastructure projects in
Spain. Ecological Indicators. 10(6). pp.1193-1201.
Fleming, Q. W. and Koppelman, J. M., 2016, December. Earned value project management.
Project Management Institute.
Gunasekaran, A. and Ngai, E. W., 2012. The future of operations management: an outlook and
analysis. International Journal of Production Economics. 135(2). pp.687-701.
Lenfle, S. and Loch, C., 2010. Lost roots: how project management came to emphasize control
over flexibility and novelty. California Management Review. 53(1). pp.32-55.
Mir, F. A. and Pinnington, A. H., 2014. Exploring the value of project management: linking
project management performance and project success. International journal of project
management. 32(2). pp.202-217.
Pemsel, S. and Wiewiora, A., 2013. Project management office a knowledge broker in project-
based organisations. International Journal of Project Management. 31(1). pp.31-42.
Ramasesh, R. V. and Browning, T. R., 2014. A conceptual framework for tackling knowable
unknown unknowns in project management. Journal of Operations Management. 32(4).
pp.190-204.
Robichaud, L. B. and Anantatmula, V. S., 2010. Greening project management practices for
sustainable construction. Journal of Management in Engineering. 27(1). pp.48-57.
Söderlund, J., 2011. Pluralism in project management: navigating the crossroads of
specialization and fragmentation. International Journal of Management Reviews. 13(2).
pp.153-176.
Subramanian, N. and Ramanathan, R., 2012. A review of applications of Analytic Hierarchy
Process in operations management. International Journal of Production
Economics. 138(2). pp.215-241.
Turner, R., 2016. Gower handbook of project management. Routledge.
Online
Management Theories & Concepts at the Workplace. 2018. [Online]. Available
through:<http://smallbusiness.chron.com/management-theories-concepts-workplace-
17693. html>.
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