Operation Management Assignment Sample

Operation Management

EXECUTIVE SUMMARY
Operation management in an organisation may defined as combination of planning,
operation, control and supply of operation system. This is basically used to ensure that the
products and services of firm meet the quality and functionality needs. Furthermore, Operation
management also aid in delivering quality services to customers as per their requirement and
need for attaining desired goals and targets of firm. This report is basically aid in determining
overall concept of operation management that contribute to identifying its significance for
attainment of competitiveness. Furthermore, supply chain management, quality management and
sustainability practices are used to identifying organisation’s operation strategy that s determine
as critical success factors. Swot analysis is used to determine impacts of internal and external
factors as well as quality management tool as Just in time, TQM and Six sigma aid in
determining quality practices of operation management process. Five performance objectives are
also determined in impact of operation management upon overall business success. In order to
better attainment of future goals there has been some recommendation are provided that define
improvement criteria.

Table of Contents
1. INTRODUCTION.......................................................................................................................1
2. Critical evaluation of JW Marriott Kuwait’s operations strategy.....................................2
3. Analysis and explanation of internal as well as external factors which affect the success of
JW Marriott hotel and sufficient usage of quality tools.........................................................5
4. Critical application and explanation of the impact of performance objectives..................8
5. Current position, Recommendation and Future strategies...............................................10
6. CONCLUSION..........................................................................................................................12
REFERENCES..............................................................................................................................13

1. INTRODUCTION
Operation management is a process that incorporate planning, organizing and supervising
activities in the context of production and provision of services (Kiehtreiber and et.al., 2018).
Main objectives of management practices are to ensure that an organisation can successfully
turns its input to outputs in order to attain desired objectives easily. It contains management of
resources, equipment, manpower, technology and so on for managing business activities and
operations effectively. By implementing operation management, an organisation can administer
all the business practices that aid them to create highest level of efficiency that are possible for
the business (Nakamura and et.al., 2015).
In this report, importance of operation management is defined of JW Marriott, which is
formerly locate in Kuwait City. It is also known as JW Marriott Kuwait City which was taken
over by Marriott international in the November 2002. This hotel is a bliss of tranquillity that
provide quality services to users by analysing their requirement and need. The concept of
operation management in hospitality industry aids to deliver quality services through which it
can effectively deal with major challenges. Service encounters are used to building positive
relationship directly with service user that helps an organisation to attain their targets easily.
Concept of operation management in JW Marriott is determine as designing, planning,
monitoring, controlling and supply of services to clients. it also incorporates a responsibility of
ensuring that the business operations are efficient by utilising all the resources in order to meet
all the business requirements. It is essentially very necessary to carry out all the operational
management activities in productive manner so that businesses tends to effectively deal with
competition and attain desired business objective appropriately. One major role of operation
management in an organisation is to define clear path of success by managing quality of services
such as accommodation, food, facilities and many more. With the help of this, firm increase the
organisation’s value added activities within any given process. By implementing such
management practices JW Marriott carried out desired competitiveness that aid them to create a
positive goodwill in front of existing or new rivalries.
In order to analysing operation management of JW Marriott, this report is going to cover
operational strategy and process of firm by implementing success factors as supply chain
management, quality management and so on. For identifying success of operation management,
internal and external analysis of environment will be determining by implementing quality tools
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and concepts. It also covers impact and contribution of performance objectives over the business
success. At last it going to determine organisation’s current position as well as some
recommendations for carried out desired improvements for the better attainment of future targets.
2. Critical evaluation of JW Marriott Kuwait’s operations strategy
JW Marriott take advantage of specific plan with the help of which they can effectively
able to allocate resources as to provide support to production and infrastructure. This will further
lead them towards increase in maximising production cost. It has been identified that
organisation undertake use of competent price strategy as to offer products at comparatively
lower prices as compared to their competitors. While services that has been offered by them are
of superior quality with good feature with the help of which they maintain more developing
growth against their rivals. In addition, with this, it has been determined that company
effectively maintain their level of inventory, materials and resources in best effective manner. As
they continuously offer training to their staff as to further serve customers in well-defined
manner while ensuring organisational growth. Along with this, critical success factors of
Marriott include regular training and education to employees, effective management
commitment and ensuring customer satisfaction, continuous improvement and communication to
improve process quality. With the help of these factor Marriott ensure that they conduct smooth
and effective functioning as to lead towards more directional growth. Manager of organisation
ensure that they properly focus on their people, operations, marketing, finances and strategic
focus in order to increase overall organisational profitability and productivity.
Effectiveness of supply chain management in the context of the organization’s business
success:
Supply chain management is the process which is followed by each and every industry as
this process involves flow of goods and services along with this also includes the process which
helps in conversion of the raw material into a final product. This process is well known for
processing and managing of the overall production activity including work in progress, storage
of the goods and services etc. In other words, Supply chain management refers to wide range of
the activities necessary to plan, control and implement the flow of products from acquiring the
raw material by distribution to final consumers. Supply chain management within the JW
Marriott is different from other industries in the hospitality sector as JW Marriott has unique
characteristics and operating system which have made it different in comparison to other hotel
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like Hilton, Thomas cook etc. Effective process of supply chain management in JW Marriott
have helped them in reducing their overhead cost of operations and has boost their business
profitability (Haksever, and Render, 2017).
Through the supply chain process, the business has also strengthened their efficiency.
Implementation of the effective supply chain management has also enable the manager of the JW
Marriott in managing their good customer’s relation by keeping their customer logistics in an
appropriate manner from their arrival to their departures. Due to this the Marriott is enjoying
large customer base. It enables an organisation to source materials which require to develop
goods and provide them to consumers (Vives, Jacob and Payeras, 2018)... In organisational
context, supply chain management encompasses an integrated planning as well as
implementation of process that is necessary to optimise information, flow of material and the
financial capital in areas which widely consists sourcing, demand planning, inventory logistics
etc.
It can develop the positive impact on productivity of JW Marriott hotel to make
improvement in customer service. Better supply chain management has ability to assure for
providing satisfaction to consumers through making necessary goods and accommodation
services which available at right location at tight time through JW Marriott hotel. It enhances the
customer satisfaction through providing the high quality goods to consumers and fast services. It
will help in enhance loyalty of customers towards company (Jones and Robinson, 2012). On the
other hand, supply chain management reduce the operating cost of JW Marriott hotel. Its
activities can minimize the purchasing cost, total supply chain and production cost. Reduced cost
of the supply chain can maximize the cash flow and business profit.
Differentiation between JE Marriott and its rival Ramada Kuwait Hotel in context of
Quality management and Sustainability
Quality management: This involves managing or overseeing all the activities and tasks
that are performed in an organisation so that a uniform and standard level of excellence in goods
and services produced can be maintained. This involves making policies for quality management,
creating a quality plan and its proper implementation so that quality can be controlled,
maintained and improved continuously.
Sustainability: It is the ability to maintain a certain level so that their existence over a
long period can be maintained. This can be done through bringing continuous innovations in
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their skills and abilities to be able to survive in the competitive environment and meet the ever
changing requirements of customers (Penner, Adams and Rutes, 2013).
Basis JW Marriott Ramada Kuwait Hotel
Quality Management JW Marriott is the largest
international hospitality company
with more than 6000 properties in
122 countries. The company mainly
focus on Quality Management
System that accords with the
principles of ISO 9001. it follows a
TQM approach so as to ensure
quality services to its customers.
The management of the hotel is
committed and completely focused
on enhancing the experience of
customers by giving them best
quality of services through
continuously improving its
processes, establishing performance
measures, treating suppliers as
partners etc.
Ramada Kuwait is a
multinational hotel chain owned
by Wyndham Hotels and Resorts
with about 811 hotels in 63
countries all over the globe. The
hotel chain offers warm and
friendly environment for the
travelers all across the world
with high speed Wi-Fi, cozy
beds for relaxed and restful stay
and other such facilities. It
follows Six Sigma approach so
as to eliminate the defects in the
services provided so that best
quality of services can be given
to customers (Pereira-Moliner
and et. al., 2012). It works
towards managing its
performance and providing
quality service.
Sustainability For the sustainable development of
the hotels the management of JW
Marriott works towards integrating
sustainability across their value
chain and managing climate related
risks so that the impact of
environment can be reduced by
Ramada hotels strongly supports
sustainable tourism and is itself
an environmental friendly resort.
Through their sustainability
programmes they try to reduce
the impact that their resort have
on the environment by
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developing sustainable hotels. They
work towards minimizing their
environmental footprint by
managing the use of resources such
as water and energy, reducing waste
and carbon emissions and increasing
the use of renewable energy such as
use of decorative candles to light the
areas instead of electricity (Simpson
and et. al., 2015).
developing techniques that can
help in the sustainable
development of the resorts. They
work aggressively towards
providing the tourists with more
natural and renewable resources
while making their stay a
memorable experience.
3. Analysis and explanation of internal as well as external factors which affect the success of JW
Marriott hotel and sufficient usage of quality tools.
SWOT Analysis
SWOT analysis is considered as a strategic planning tool that can be undertaken by JWB
Marriott in order to conduct situational analysis of organisation. It is one of the most important
and suitable technique that offer formative understanding to organisation as to identify strength,
weaknesses, threat and opportunities that may be faced by business organisation (Alfalah, 2017).
Thus, with the help of SWOT analysis framework organisation can effectively able to evaluate
internal strategic factor strength and weaknesses & external strategic factor opportunities and
threat that later aid them to frame strategies for more developmental growth:
STRENGTH WEAKNESSES
 JWB Marriott has different types of
strengths with the help of which they
effectively thrives in marketplace. All
these strength aid them to safeguard
their market share and penetrates in
new markets. In relation with this, it
has been identified that company have
superb permanence in marketplace
 It has been analysed that Net
contribution and profitability ration %
of JWB Marriott is relatively below of
the industry average.
 This is been identified that Marriott is
not engaged in proper financial
planning as current ration as well as
liquid asset ratio or organisation
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along with this, Marriott is having an
expertise at making an entrance in new
market that further help them to build
new revenue stream.
 JWB Marriott have successful track in
order to develop new products with the
help of which they effectively sustain
in marketplace at strong position.
 Organisation is having strong free cash
flows that aid them with effective
resources and automatically helps them
to expand their new projects.
reflects that they can effectively take
advantage of their cash in more
effective manner than what they are
currently doing (Axten, 2015).
THREAT OPPORTUNITIES
 Intense level of competition has been
measured in marketplace that
automatically impacts upon Marriott
profitability level. As stability in profit
of country lead towards significant
increase in number of market players
within industry over past 3 years. This
not only downward pressure on
Marriott profitability but also affect
their overall sales margin (Kua, 2016).
 With the increase in competition there
is new technologies that has been
developed by rivals that further act as
market disruptor and later proves as a
serious threat of Marriott. In addition
with this, no continuous supply of
innovative products is also a major
 Marriott can attract new range of
customers form online channel. It has
been seen that organisation invested
adequate sum of money in online
platforms as to identify new sales
channel. Thus, Marriott can effectively
leverage this opportunity in order to
know their consumers in a better way
and further serve them by taking
advantage of big data analytics.
 With the advancements in new
technology Marriott can undertake
opportunities relating to practising
differentiated pricing strategy with new
market. With the help of this they can
effectively able to maintain their loyal
consumer with the help of other value
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threat for organisation and later affect
company by bringing low swings in
their overall sales margin ratio over the
period of time.
oriented propositions.
By effectively understanding the low points with the help of SWOT analysis. Marriott
can frame more effecting strategies with the implementation of which they can effectively able to
overcome challenges and can further achieve more completive advancements as compared to
their competitors.
Quality management techniques: Quality management refers to the procedure which involves
planning as well as controlling functions in order to ensure that the goods and services meet the
design and need of customers (Pratiwi and Sudiarta, 2019). In general, it is the method which
emphasis on controlling the quality of goods and services offered by organisation. In the present
context of J.W. Marriott hotel, managers of the company focuses on maintaining the quality of
services offered by them to their customers. Some of the most effective techniques used by the
managers of chosen company includes:
Six Sigma: It is said to be one of the most tool with the assistance of which an
organisation aims at increasing the capabilities and potential of operations. With the help of this
method, managers of the organisation reduce the number of defects and issues in the output. In
the present context of JW Marriott hotel, managers of the company use this approach of quality
management in order to reduce the defects and provide high quality services to their customers.
Six sigma technique is adopted by the management team of JW Marriott hotel, in order to reduce
the defects and provide effective services (Scott, 2017). This as a result increase the goodwill of
the organisation along with the profitability of the company.
Total Quality Management: It is the approach mainly emphasis on a belief that the staff
members of an organisation is dedicated, motivated and committed to the business entity. said
that TQM is one of the most comprehensive approach for the long term success of the company.
It is the method used by managers in order to improve the quality of services offered by an
organisation. It is a technique used by management team of each and every organisation and
leads to continuous improvement in every single aspects. It is define as a process which assist in
detecting, eliminating or reducing any kind of error arise while providing services to the staff
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members. It is the method used by managers of JW Marriott in order to maintain the quality of
services by reducing scrap and wastage while doing business operations. With the help of TQM
process within the organisation, managers leads to provide high quality services to their
customers, enhance their experience by enhancing their quality.
Just in time: It is considered as the another critical approach in which material are
purchased by the managers only when there is the requirement of raw material. This is the
method which provide assistance to the organisation in utilising the material and money in an
effective manner. In the present context of JW Marriott Hotel, it is said that managers need to
develop positive relationship with their suppliers so that if there is any kind of situation arise
within the organisation when manager need raw material on urgent basis they will be able to get
it from them (Tolinski, 2016). With the help of this, managers will be able to maintain their
capital in an effective manner. Along with this, JIT is considered as one of the most effective
approach which is used by the managers and leaders of the JW Marriott Hotel.
All these techniques assist the management team of JW Marriott Hotel in maintaining
their quality while providing services to the customers. This as a result create positive image of
the organisation at the competitive marketplace and increase their profit ratio.
4. Critical application and explanation of the impact of performance objectives
Performance objectives are the different goals that are set by a person or organisation as
whole against different time duration that varies from monthly to yearly. It is important that they
are precise, attainable appropriate and are bound with fix interval of time. In order to evaluate the
results of any organisation there are different factors that are analysed at the end of every
financial year (generally) and accordingly the performance is judged (Nakamura and et.al, 2015).
The most common dynamics that are considered to measure the growth are cost, speed, quality,
reliability and flexibility in context of JW Marriott. Following discussion will reflect on how
each one of them are contributing and impacting on the performance of the referred to service
organisation:
Speed:
According to Hembram and Franco, 2018, Customer is the king and with the increase in
options in the market they seek for standard services that are supported with speed. In service
industry there is huge competition and therefore it is important for each enterprise to maintain
promptness while delivering the service to customer as delay in same may result into switching
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to other best option by the clients. JW Marriott charges high prices against the facilities which it
gives to the user and therefore the contribution of good speed is high while measuring its
performance and maintenance of same will result in high growth in future.
Cost:
According to kitsu and et.al., 2012, Cost is another important factor that has its major role
in calculating the overall performance. In order to have good profit margins it is required to have
effective control over the overall cost of operations as if it is high then the revenues will be less.
JW Marriott is dealing in business where the cost of operations is very high and it is essential
that close monitoring is kept on how the work is done so that any addition to the total cost can be
avoided. There is different cost in the business among which some are fixed and other are
variable and therefore the operation manager of the referred to organisation should ensure that
those cost that can be reduced or avoided are managed at the same time so that maximum returns
are received by the business.
Quality:
One of the main factor on which the performance of any organisation is analysed is the
worth of services delivered against the value paid for the same. JW Marriot has great competition
from the external market and therefore this makes quality an unavoidable factor to be maintained
for the company. The objective of company is to make sure that do not compromise with the
quality standards at any cost as this effects the business in long run. It is the most common
influence that is compared by the customer before making their choice from the various options
that are available to them (Yee, Yeung and Cheng, 2010). These days’ different hotels can be
easily compared on the basis of standards maintain by them as social media has given much
power to the service user to rate their experience with any particular brand. Their reviews on the
quality standards are highly considered and therefore this way it effects the long term
profitability of JW Marriott.
Reliability:
Reliability is another performance objective of JW Marriott which ensures such reliable
hospitality services that can build a trustworthy relationship between guests and hotel. This is a
long term objective for this organisation, as by this JW Marriott intends to ensure that their
guests and visitors can turn into their permanent service consumers. Contribution of this
objective is that it helps organisation to gain trust of their guests by providing them maximum
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satisfaction. Contribution of this performance goal can also include recurring visits of same
guests, ample new visitors through positive recommendations etc. These contributions can surely
result into overall business success in long run.
Along with various contributions, performance aim of reliability impacts operations of JW
Marriott as well. Reliability encourages staff of this organisation to work harder which ultimately
smoothen their operations. Apart from this, the aim to be reliable impacts strategies of this
organisation to be consumer oriented. In order to be a reliable enterprise, strategies of this
company are mould in such a way that it includes schemes and offers which aim to provide
satisfaction to clients which provide surety of a generous profit to guests as well as to the
company which helps overall growth of organization (Fotopoulos and Psomas, 2010).
Flexibility:
Another performance goal of this JW Marriott is flexibility which ensures flexibility in
strategies, policies and plans of this organization so that improvements in business operations
can be done. This objective of company is both short term and long term depending on the period
in which pre developed policies and strategies are needed to be implemented. Contribution of
this aim includes ease of operations from the end of staff as they can operate their function with a
sense of flexibility in order to provide satisfaction to their consumers. For example: If a rule or
strategy defines that a staff person is not allowed to issue additional key to any guests but in
order to provide customer satisfaction, staff member will be use the flexibility in their strategies
by consulting to a manager and the helping respective guests. Other contributions of this
performance goal includes effective plans for hotel guests, satisfied employees and consumers
etc.
Along with above contributions, impact of flexibility objective is that it ensures change of
future plan due to current trends, flexible rules for guests’ satisfaction and flexible organisational
policies.
All the above performance aims whether long term, short term or both are developed by JW
Marriott in order to gain overall business success and effective operations.
5. Current position, Recommendation and Future strategies
JW Marriott and its chain of hotels has international flagship brand in more than 500
global locations. Their first priority is firstly given best customer services by bliss of tranquillity
in Kuwait city's commercial and financial centre. They are appreciated by the seasoned travellers
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their five-star hotel in both contexts of classic charm and special amenities. They are elegantly
known for the rooms and suites for their personalized services around the clock. There is large
no. of competitors in the market place existed that aimed to launch new services frequently
which impacts adversely on their profitability. After comparing the results from their
competitors, Marriott international reported the decrease in their revenue in two quarter in year
2019 by -.77% which is faster than the overall decrease of Marriott international chain of
competitors by -14.73% in same quarter (Marriott international Inc (Mar), 2019). So it can be
evaluated that some factors or services that are provided in better manner by their rivalries.
Recommendation to improve
Within hospitality sector there are variety strategies which businesses needs to inherit in
order to carry out operations with full efficiency and desired business objectives can be achieved
effectively. With regard to JW Marriott, respective organisation needs to conduct a proper
research through which improvement within respective organisation shall be witnessed and
overall productivity can show a positive shift. Following are recommendation for JW Marriott
which would help in enhancing overall market share:
 Capture and Analyse feedback to enhance guest experience: JW Marriott shall
proactively capture as well as analyse the feedback from its potential customers on
regular basis. This will future help respective organisation in implementation several
policies through which customers tends to get desired level of satisfaction.
 Track and measure performance: Multiple tools for measurements shall be adopted by
JW Marriott so that employee’s performance can be measured. In order to do this
effectively respective organisation needs to create baselines and standards.
Future strategies
There are variety of strategies which businesses under hospitality sector adopts in order
to carry out business operations with full efficiency. Following are major strategies which JW
Marriott shall adopt in order to capture reasonable market share:
 Staying Competitive: During the periods of rising revenue also, hotel chains must
effectively protect against profit erosion. However, in order to stay competitive JW
Marriott shall implement strategies which tends to attract more and more customers
(Hotel chains: survival strategies for a dynamic future, 2019).
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 Financing the future: Proper strategies with regard to fund allocation shall be made so
that consistency within respective organisation shall be witnessed. This strategy should
be most appropriate in nature because finance plays a very curial role in accomplishing
desired roles.
6. CONCLUSION
The above report concludes that every organisation needs to implement various policies,
plans and strategies in order to ensure proper operation management of their organisation.
Various tasks are addressed in above report which helped to summarise a finding that
organisations create few performance objectives which ensure their business success and growth.
In above case, these performance objectives were related to cost, quality, reliability and
flexibility which intended to develop such policies and plans by which a company can make sure
that their consumer are satisfied from the services provided to them. It is also concluded from
above report that every organisation has few strengths, weaknesses, opportunities and threats
which defines the effectiveness of a company and helps in evaluation of growth and success.
It can be also concluded from above report that supply chain management plays an
important role in effective operations of a service organisation as it ensures that all the goods and
services are supplied on time with full efficiency so that they can be fully utilised. It is essential
for an organisation to be aware of all the external and internal surroundings so that all the
policies and strategies are developed accordingly.
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REFERENCES
Books and Journals
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Publishing Company.
Jones, P. and Robinson, P., 2012. Operations management. Oxford University Press.
Penner, R.H., Adams, L. and Rutes, W., 2013. Hotel design, planning and development.
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performance: direct and mediating effects in the hotel industry. Journal of Cleaner
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Simpson, D. and et. al., 2015. Professional, research, and publishing trends in operations and
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Fotopoulos, C. V. and Psomas, E. L., 2010. The structural relationships between TQM factors
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Online
Marriott international Inc (Mar), 2019. [Online]. Available through.
<https://csimarket.com/stocks/compet_glance.php?code=MAR>.
Hotel chains: survival strategies for a dynamic future. 2019. [Online]. Available
through:<https://www.emerald.com/insight/content/doi/10.1108/JTF-06-2016-0018/
full/html>.
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