Operation Management

Running head: OPERATION MANAGEMENT
Operation Management
Name of the Student
Name of the University
Author note

1OPERATION MANAGEMENT
Table of Content
Introduction................................................................................................................................2
Purpose.......................................................................................................................................2
Deliverables................................................................................................................................2
Operational management strategies...........................................................................................3
Objectives...................................................................................................................................3
Standards and control measures.................................................................................................4
Action planning and timeline.....................................................................................................4
Human Resource planning.........................................................................................................5
Budget plan................................................................................................................................7
Recommendations......................................................................................................................8
References:.................................................................................................................................9

2OPERATION MANAGEMENT
Introduction
IKEA is a interior decorator company that has major focus on “well-designed”
wooden furniture production. The aim of this company is to produce furniture for home as
well as office usage with affordable price. IKEA has around 200 stores in 30 countries. IKEA
stocks around 9500 items in its store for sale. With the increasing number of national level as
well as local level competitors and the globalised consumer preference, the competition level
of the target market is also increasing for IKEA. Expanding the business through increasing
the user accessibility is the strategy of this company.
Purpose
The purpose of this project is to open a new store in a semi urban site where people
can easily access the high quality and affordable products offered by IKEA to make their
residential and office premises beautiful. The core concept of this strategic intervention came
from the “Place” strategy of 5P of marketing mix (Product, Price, Promotion, Place, and
People) (Kerzner & Kerzner, 2017). The purpose of this project is to increase the profitability
of the business from the communities of semi-urban areas by providing their affordable
product and greater accessibility.
Deliverables
This new store will offer the potential customers verities of furniture with beautiful
design. This operational site will be also used to take special manufacturing order from the
customers who will want to customise the product as per their choice. The store will have
some sales and marketing worker, who will directly communicate with customers to make a
healthy consumer relationship (Too & Weaver, 2014). Marketing team will also execute
promotional activities to draw attention of the local and regional peoples. The delivery
service will be also available where, customer can set their delivery location online.