Microgrid Operation and Management

This assignment delves into the complexities of microgrid operation and management. It examines various aspects, including multi-operation management strategies, scenario-based stochastic operation models, and the integration of diverse energy sources like wind, photovoltaic, microturbines, fuel cells, and energy storage devices. The assignment also analyzes optimization algorithms used for efficient microgrid operation and highlights real-world case studies.

Management and Operations

Table of Contents
INTRODUCTION...........................................................................................................................3
TASK 1............................................................................................................................................3
Introduction.................................................................................................................................3
P1 Roles and characteristics of a leader and manager:...............................................................3
P2 Role of leader and function of a manager in different situational context:...........................5
P3 Application of different theories and model:.........................................................................6
Conclusion...................................................................................................................................7
Task 2...............................................................................................................................................7
Introduction.................................................................................................................................7
P4 Key approaches in operations management and role of leader and managers in making it
successful:...................................................................................................................................7
P5 Importance and value of operations management in achieving business objectives:............9
P6 The factors which impacts operational management and decision making of leaders and
managers in an organisation:.....................................................................................................10
Conclusion.................................................................................................................................11
CONCLUSION..............................................................................................................................11
REFERENCES..............................................................................................................................12

INTRODUCTION
Managerial and operational capabilities are most important factor in its future success.
An organisation has to develop knowledge, skills and abilities of its employees as per their key
performance area as to improve their operational capabilities. This helps the company in
establishing better organisational culture and environment of productivity (Bahmani-Firouzi and
Azizipanah-Abarghooee, 2014). Also these enhanced skills helps the managers in developing
leadership qualities. Leadership qualities help the managers in effectively overcome crisis by
delegating the work among his team/followers. In this report it is analysed how and why great
doers do not become great leaders. Also it states about various operation management concepts
and how leaders and managers make it more effective. It is also explained how different leader
and manager's approaches are towards a problem or an issue.
TASK 1
Introduction
Wiseman group is associated with providing leadership training, team leadership
workshops and development programs. They provide training to the top management, middle
management and also lower management of all world class companies. They have a tag line
which states that “We develop leaders who take on the world's toughest challenges”.
Wiseman group has a a flat organisational structure. This organisation has made its
structure simple as the flow of idea and new energy stays high in company (BBurke, 2013).
They have reduced the layers of authority from the organisation to a great extent. Also they act
like a team instead of being a hierarchy entity.
Liz is the vice president in the group who saw difference between being a doer and being
a leader. She was a doer who did not knew how she could have delegated her work as to promote
team building and act as a multiplier to the team. So she has decided to understand what and how
leadership have impact of the results.
P1 Roles and characteristics of a leader and manager:
Leader and manager are very different from each other. As leader follows his inner
feeling and instincts while manager follows the defined management theories and concept. A
leader is a person who motivates his followers to accomplish a task which would not achieve
otherwise. He delegates the work responsibilities to his followers as to achieve the goals on time.

A manager has authority by the virtue of his position in the organisation. He has defined
authoritative powers which helps him in getting the job done by his subordinates. The major
difference between these two are: First, manager has legal authority while a leader do not have
legal authority. Second, a manager gains commitment of employee's by using the authority he
has by the virtue of his position while a leader gains commitment of his followers by his
influence and interpersonal skills.
There are several issues which are faced by the doers like Liz faced. As these people tend
to do all the work on their own which overburdens them and reduces their effectiveness. To
make their situation better they have to be trained (Handschin and Petroianu, 2012). They have
to be told about the difference between the roles of leader and managers:
A leader do:
 Produce change: A leader has a capability to identify need for change in the
organisation. He is the one who brings changes.
 Provide direction: He is the one who creates vision, which has to be achieved. He also
provide direction and guidance to people.
 Align people: He align people objectives with the overall objectives as to ascertain that
the final goals are achieved.
 Motivate: He motivates his followers by making them realise what will be the situation
once they achieve the result.
A manager do:
 Plan: Manager plans about the future before hand as to establish a path for the
organisation which will help it in achieving its mission and vision.
 Organise: The plan designed by manger helps organisation in identifying the resources
which needs to be achieved.
 Co-ordinate and control: Manager also keeps on analysing the employee's performance
as to measure his effectiveness and also enhance his control over the activities.
There are some major difference between leadership and management which has to understood
by the people:
 Leadership is about being a multiplier and not just a role model, while management
wants the work done at any cost.
 Leadership sparks new idea, while management follows its defined path to achieve goals.

 Leadership has to take intelligent actions, while management follows its defined theories
and concepts to take decisions
 Leadership has to be hard but impactful while management focuses on effectiveness and
efficiency.
There are certain ways new leaders like Liz can enhance their managerial skills as to achieve
their objectives on time (Hao, 2010). She has to start listening more to the people as to
understand their issues. Also she has to learn how she can put other people on change as to
enhance their skills.
P2 Role of leader and function of a manager in different situational context:
A leader and manager acts differently in situation. Leader has the support of his qualities
and inter-personal relation while a manager is supported by the authority he has by the virtue of
his position. Manager gains the commitment of employee by compliance with rules and
regulation and a leader gets commitment of his followers by the using his influential powers and
multiplier skills. Both of them has different attitude towards the problem and solution.
As mentioned in the case, Liz is facing leadership crisis which have made her to do the
task instead of delegating all the work to her team. So Liz needs to understand that leaders are
the one who manages the work instead of doing it themselves. There are theories of leadership
which are important to be understood as to increase her managerial skills in the organisation
(Heizer and Barry, 2013). There are certain roles and functions which are performed by leaders
and manager in the situation faced by Liz.
A manager will focus on controlling the issues by using different strategical tools as to
attain the objective. It will be backed by the theories and different approaches. His main task will
remain:
 Creating healthy environment: Manager has to create a healthy environment in the
organisation by supporting all the activities conducted by the employee's.
 Training and development of staff: He also have to ensure proper training and
development to the employees as to ensure that they are prepared to face the future
contingencies.
 Compensation management: Manager also keeps on analysing the need of
compensation at different levels of organisation. Compensation can motivate and
demotivate the employee's.

 Planning and organising: Manager has to plan before hand as to organise all the
resources for future process.
 Controlling and measuring performance: It is very essential to keep on measuring and
controlling the performance of the employee's as to track their growth.
A leader depends on his instincts as to sort a situation out. A leader in given situation will
use his ability of innovation. This will enhance his chances of solving the problem more
effectively. She will encourage them for self learning and self analysis (Johnstone, 2016). There
are certain strategies which can be used by the leader to enhance his productivity. Situational
theory states that the leader should be prepared to face any change and he should adjust or
change his style as per the need of the situations.
A leader or manager also has to develop proper approaches as to ascertain that the
problem is sorted out on time. She should be able to develop task or relationship oriented
approaches as to attain the objectives on time.
P3 Application of different theories and model:
There are theories and model which help the organisation in supporting their growth.
These theories and model give an organisation platform to prepare themselves for contingencies.
A leader or manager task is to manage the shocks which occurs due to uncontrollable factors. In
the chosen situation Liz is facing leadership crisis and has to understand various aspect of it (Liu,
Yin and Fu, 2011). There are theories which she will have to understand which will help her in
achieving substantial growth
Situational/Contingency leadership: This is the contingency theory which states that the leader
has to adapt changes as required by the situations. This helps in solving solutions on time. Also
this theory states that every situations boost some one from team to show his expertises and
leadership skills.
Systems Theory: System theory help the manager in understanding the patterns and events
which have high impact on the situations in the organisation. This help them in co-ordinating
various task and programs as to integrate all the process which are essential to be achieved.
Chaos Theory: Chaos theory recognises that change can not be stopped and it is rarely
controlled. Organisation keep on growing with time which brings in change in its structure and
working. This theory helps the manager in managing the changes which keep on coming with
better growth.

Management by Objectives: Management by objectives is a approach which help the manager
and employee's in setting their objectives as per their best abilities. This help both of them in
setting objectives in alignment of organisational goals and objectives.
These approaches help the leader in developing better functionality in the organisation and
achieve the targets.
Conclusion
Liz will have to focus her energy in understanding the issue relating to leadership qualities. As
this will help her in upgrading her skills. These up gradations will lead to better team and work
management. She will be able to act as a multiplier to her team.
Task 2
Introduction
Hyundai is a well known global company. It is known for its quality, productivity and speed. It
was founded in 1967 along with its 32.8%5 subsidiary KIA motors. It is the third largest vehicle
manufacturer. Hyundai is also operating world's largest manufacturing facility in Ulsan, South
Korea, where they produce 1.6 million unites every year. Its business is placed in 193 countries.
This part of report is concerned with the analysis of Hyundai operational capabilities. It
will also explain about different roles and responsibilities of managers in running successful
operations.
P4 Key approaches in operations management and role of leader and managers in making it
successful:
Operation management is concerned with monitoring and maintaining operational
capabilities of the organisation. This function is developed as to increase the efficiency and
effectiveness of the organisation like Hyundai (Moghaddam, Seifi and Niknam, 2012). Operation
management is basically concerned with the organisation manufacturing capabilities but it
provides great support to all other functions of an organisation. Today it has become a multi
disciplinary field that focuses on managing all the aspects of business operations.
There are many key operations which are undertaken by the Hyundai organisation. These
operations help Hyundai in achieving higher efficiency and effectiveness. Organisations like
Hyundai needs a effective operation management process as to boost its core values. There are
key operations which run in Hyundai:

 Designing: This steps is undertaken in the organisation as to prepare strategies for the
organisation. This is the phase which is used at two different times. First is concerned
with preparing strategic blueprint and second is concerned with the designing of new
models for company future product launch.
 Planning: Planning is a step which is taken as to plan out the future course of action.
This facilitates employees as it describes about the path which can be taken to achieve the
goals and objectives more efficiently and effectively.
 Organising all the resources required for the process.
 Co-ordinating: Operations manager has to co-ordinate all the activities taking place in
the organisation and its subsidiaries.
 Inventorying: Hyundai has huge manufacturing capabilities. They produce millions of
units per years that is why they use inventory so that they can keep their raw, in process
and final goods safe and ready.
 Supply chain management: This is the part which has gained most importance for
Hyundai functional advantage. This helps Hyundai in supplying the products and services
to all parts of the world in time.
 Quality management: Hyundai gives special attention to the quality of the product in
the organisation. This helps it in monitoring and improving the quality of its cars.
There are some key approaches which help Hyundai in managing its operations with
effectiveness:
Lean Production: This production approach was established by John Krafcik, President and
CEO of Hyundai. He developed this approach after he went around the world to check how
Toyota manufacturing system works (Mohammadi, Soleymani and Mozafari, 2014). Lean
production is a concept which helps the manager in minimising waste in manufacturing system.
This concept promotes optimum utilisation of resources while keeping the productivity as high
as possible. This helped Hyundai in reducing cost and increasing productivity.
Six-Sigma: Six Sigma is a set of techniques and tools used for process improvement. This
process was adopted by Hyundai as it helps in improving the quality of output by reducing the
variability in the manufacturing system and other business process. Six Sigma uses various
qualitative methods as to create a special environment in the organisation which promotes
qualitative results. It have a sequence of steps and have specific value targets: Reducing

pollution, reducing cycle time, minimising cost, improving customer satisfaction and increasing
profits.
These approaches and activities are taken by manager and leader who play a significant
role in making operations effective and efficient (Nakayama and Bucks, 2012). They facilitates
analysis on the factors which have impact on organisation operation, coordination of different
process, maintaining health environment, etc. Leaders and managers have important task to keep
on monitoring the process as to keep it at par with standards.
P5 Importance and value of operations management in achieving business objectives:
Operations management is very important for an organisation success and growth in
future. It helps in enhancing organisation capabilities and efficiency. Operations management
helps in the management of total effectiveness of the organisation. Today operation management
has grown into its scope. From being only manufacturing oriented, it has spread its functionality
in all departments of the company. In the beginning of industrial age operations management
was considered as a function which aids manufacturing companies but sooner organisations
realised that operations management can help in establishing a better system (Neck and Manz,
2010). Operations management has well defined functions: planning, organising, controlling,
directing, motivating. Operations importance in the organisation is described below:
 Enhances organisation productivity: Operations management helps the organisation in
developing higher productivity systems. These systems help the organisation in
achieving its goals and objectives on time.
 Improving customer satisfaction: Operation management is also concerned with the
customer satisfaction. It helps in managing changes as per the need of the market which
improves customer satisfaction.
 Managing multiple portfolio's: This is what makes operation management unique as it
is able to manage multiple portfolio's/departments. Without lowering productivity.
 Enhances efficiency and effectiveness of organisation: This helps in enhancing
efficiency and effectiveness as operation management have various techniques and tools
which enables it in reducing wastage of resources .
 It brings in long term perspective: Company is able to plan for long term goals as it
have all the data which is required for long term planning.

These are some factors which help in improving the company capabilities for growth and
success. Operation management adds additional value to the chain of production by influencing
the factors of production. Leaders and managers play a very vital part in development of the
operational capabilities of the organisation (Niknam, Meymand and Mojarrad, 2011). They have
to locate various resources for better functionality of the operation departments.
P6 The factors which impacts operational management and decision making of leaders and
managers in an organisation:
There are various factors which impacts organisation and its productivity. This impacts
sometimes improves and reduces organisational capabilities . Basically these factors are divided
into two parts:
 Internal Factor: Internal factors exist in the organisation environment and with any
change thy have impact on its effectiveness. But these factors are controllable in nature.
These factors are finances, human resource, organization structure, communication and
assets.
 External Factors: These are the factors which impacts the organisation due to their
variability and risk. These factors occurs in external environment of organisation which is
uncontrollable. If they are not managed properly they will have negative impact on
organisation efficiency and effectiveness. These factors are political, social, economical
and legal. These factors have major impacts on the operational capabilities of Hyundai's
but they can be dealt with three concepts:
◦ Business ethics: Hyundai follows all the ethics for achieving its goals and objectives.
Ethics are the rules and regulations which are defined by law of society. These issues
help the business in keeping its products and services at per with the law.
◦ Corporate Social responsibility: Corporate social responsibility helps the business
enterprise in increasing the standard of living in society while it is improving its
image and brand recognition (Pinkerton, 2011). Hyundai launched a CSR activity
with the motto assurance in 2008 which stated that a user can return his car and get a
better amount for his car. It was a time of recession.
◦ Stakeholders: The flow of information should be smooth and all the important
information should be passed on to all the involved stakeholder. Stakeholders are the
entities who are one way or other involved with organisation and its process.

Managers and leaders have a vital activity of managing change in various external factors and
also taking effective decisions. Proper change management is required in the organisation as to
boost effective decision making (Rani and Moreira, 2010). Good decision making will help the
organisation in improving moment of goods, co-ordination between different departments,
reducing wastage of resources, improving resource management.
Conclusion
Hyundai has adopted various strategies as to ensure that they serve their customers with the best
in class products and services. They have adopted various strategies for that. In 2001 Hyundai
ranked at 32 out of 37 on quality index. But in 2009 it bypassed Toyota which it considered as
benchmark for quality. Now it ranks fourth on the quality list. All credit goes to its operational
changes which reduced wastage.
CONCLUSION
Leaders and managers has to focus on various issues which have direct or indirect impact on the
organisation and its operational capabilities. It has become very important for the organisation to
adapt change as to counter the dynamic market. For implementing change in a proper manner,
company has to provide training and development opportunities to its employee's. These
opportunities develop necessary skills and abilities in the employee's. This improves their
efficiency and productivity. Hence it is very important for organisation to encourage leadership
qualities in managers.

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