Operation Management - Overview of the Organization

Running head: OPERATION MANAGEMENT
Assignment Task 1A
Name of the Student
Name of the University
Author’s Note

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Table of Contents
1. Introduction to the selected organization.....................................................................................2
1.1 Overview of the organization................................................................................................2
1.2 Operational principle important for enterprise......................................................................2
1.3 Discussion about operational strategy by elaborating the alignment with the corporate
strategy.........................................................................................................................................3
1.4 Definition of the inputs, transformation process and output elements..................................4
1.5 Overview of the operational challenges faced by the organization.......................................4
2. Review of the operational strategy..............................................................................................5
2.1 Exploration of long-term solutions for addressing the challenges........................................5
2.2 Discussion about the internal and external influences...........................................................6
3. Supply chain management...........................................................................................................8
3.1 Three SCM strategies for successful and profitable enterprise with recommendation and
example........................................................................................................................................8
4. Quality management approaches.................................................................................................9
4.1 Quality management approach highlighting mindset for adding value to the operations.....9
5. Ways in which AI can enhance the overall business operations...............................................11
5.1 Ways in which big data driven platform enhance business operations...............................11
6. Conclusion.................................................................................................................................15

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1. Introduction to the selected organization
1.1 Overview of the organization
The paper mainly reflects on the organization “HSBC bank” which is one of the
multinational financial service holdings as well as investment bank. It is found that the bank is
mainly organized with the help of four different business groups including global Banking,
Commercial Banking, Retail Banking, Wealth management as well as Global Private Banking.
In UAE, the HSBC bank helps in providing different types of conventional as well as Islamic
commercial services including loans, deposits, credit cards as well asset management services.
They also provide other services including corporate finance, investment advisory within the
mergers as well as acquisitions.
1.2 Operational principle important for enterprise
HSBC’s commercial banking-based business generally helps in providing a number of
opportunities starting from relationship management to trade finance. The different types of
operational principles which are considered important for the HSBC bank is mainly listed below:
 Liquidity: The principle of liquidity is quite important in HSBC bank for managing its
operations as liquidity generally refers to the proper ability of an asset for successfully
converting into cash without any loss in a very much short period of time (Dochshanov,
Verotti and Belfiore 2017). Paying the money that is deposited on the customer demand
is generally called liquidity in context to banking.
 Profitability: The main objective of HSBC bank is to earn profit and in order to earn
profit, it is quite important to invest in short term loans for successfully compensating a
certain amount of money as liquidity.

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 Remittance of funds: The HSBC bank generally helps in facilitating proper fund transfer
from one particular place to another by effectively leveraging the vast network of
branches which are generally interconnected with one another (Mojica et al. 2017).
 Saving: This particular principle helps in collecting different types of funds by
successfully creating different types of saving facilities. The HSBC bank after then
invests these saving for generating proper amount of profit which further reflects that
more savings means more investment and then more profit.
1.3 Discussion about operational strategy by elaborating the alignment with the corporate
strategy
The operational strategy of HSBC is to analyze the orientation of the entire organization
effectively and how this particular orientation generally affects the ability of delivering key
operational components for its proper survival including speed, quality as well as flexibility.
Secondly, it is quite necessary to determine the various key changes within the entire
organization (Mwamila et al. 2015). In addition to this, it is necessary to develop centralized as
well as specialized processing in order to gain economic efficiency with the different financial
service groups and this generally helps in making the customers comfortable due to which the
bank attract a very much larger percentage of the target market. The integration of the financial
service companies must be less integrated with very much little activity that is generally
outsourced which further helps in aligning with the different corporate strategy (Seng, Jantan and
Ramayah 2017). Furthermore, the HSBC banks generally review the existing accounts for
determining positive banking as well as credit trends within the customers. These determined
positive trends generally helps in sending pre-approval letters for the credit cards as well as lines
of credit and mortgages.

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1.4 Definition of the inputs, transformation process and output elements
According to Ani (2017), operations management of HSBC bank generally helps in
transforming the input that is labour, equipment, buildings, materials as well as information into
outputs like goods as well as services which further provide added value to the customers. In
addition to this, HSBC bank generally strive to maximize the quality of the entire transformation
procedure for meeting different needs of the customers. Moreover, it is stated by Meng, Fu and
Butler (2016) that a transformation procedure is one of the activity or it is a group of activities
that generally takes more than one input for transformation and further adds proper value to them
in order to give output for the customers. It is found that when the inputs are generally raw
materials then it will be quite easy for determining the transformation that is involved.
1.5 Overview of the operational challenges faced by the organization
The different types of operational challenges which are faced by the HSBC bank in UAE
are mainly listed below:
Complexity: It is found that slowdown within the Asian economic growth generally
disrupted Mr Gulliver’s new pivot Asia strategy which was mainly launched in the year 2015 in
order to properly cut the business and generally reinvest within different promising areas (Zhang
et al. 2017). The inventors generally believe the various types of drawbacks of the sheer size of
the bank and the different type of complexity that generally overweigh the benefit which further
will take much more brutal approach.
Regulation: It is found that the board members of the HSBC bank does not follow the
banking regulation effectively from the last three years and therefore they generally need to
spend very much less time on the various issues as most of the heavy lifting is already done that
further frees up in order to think much more strategically (Liu et al. 2019).