Operational Management Assignment PDF

Running Head: OPERATIONAL MANAGEMENT
OPERATIONAL MANAGEMENT

OPERATIONAL MANAGEMENT
Table of Contents
OPERATIONAL MANAGEMENT........................................................................................................1
Table of Figures................................................................................................................................2
Table of Tables.................................................................................................................................2
Case Study- ABC Garments Limited.................................................................................................3
Part One- Quality Management......................................................................................................3
Q1. Definitions.............................................................................................................................3
Q2. Quality Dimensions 270 words for 10 marks........................................................................4
Q3. Data Collection and Information...........................................................................................6
Q4. Formal Processes and Review...............................................................................................7
Q5. Formal Systems.....................................................................................................................9
Q6. Quality Management Tools.................................................................................................10
Case Study –Call Us Plumbing Supply Company Limited..............................................................14
Part Two- Operations Management..............................................................................................14
Q1. Capacity and Production Planning......................................................................................14
Q2. Inventory and Stock.............................................................................................................17
Q3. Investigation-Supply Chain Management...........................................................................19
Reference Lists...............................................................................................................................23
Table of Figures
Figure 1: Scatter Diagram..............................................................................................................13
Figure 2: Lead Time Strategy........................................................................................................15
Figure 3: Lag Time Strategy..........................................................................................................15
Figure 4: Lag Time Strategy..........................................................................................................17
Figure 5: Inventory Management System......................................................................................19
Figure 6: Supply Chain Process Flow...........................................................................................21
Table of Tables
Table 1: Incident 1 Data................................................................................................................11
Table 2: Incident 2 Data................................................................................................................12
2

OPERATIONAL MANAGEMENT
Case Study- ABC Garments Limited
Part One- Quality Management
Q1. Definitions
The term quality as defined by the organisation’s stakeholders inclusive of the Board of
Directors of ABC Garments Ltd. is as follows;
Quality can be said to aspects that meets the requirement and usability criteria (Guyatt et
al., 2008). The requirements include the requirements of the product and the customer. ISO 9000
defines quality according to how the features meet the requirements. The organisation is
responsible for the quality of the product according to the product.
Grade according to the 6th edition of the PMBOK Guide defines the classification as "a
category that addresses deliveries with the same functional endpoint but with different technical
characteristics". The definition details the classification of the product according to the technical
configuration of the product (Guyatt et al., 2008). This means that different assembly products
are stored differently.
The definition of quality indicates that the product meets the requirements, and the
classification of the product is based on its technical characteristics. There is a big difference
between quality and grade. The product can be high-end or low-end, is perfectly acceptable and
has no problems as long as it meets the requirements. On the other hand, a product of poor
quality is never accepted and is always a problem. Each product has to be of high quality
regardless of quality. A low quality product will never be desired. Poor grade product is not a
problem, because when a purchase of a low quality product takes place, then one is paying for a
3

OPERATIONAL MANAGEMENT
low quality product and it is expected to be accepted (Guyatt et al., 2011). However, a low
quality product is always a problem, since it does not meet your expectations and does not satisfy
it. The product or service must be of high quality regardless of quality. Quality means that
promise of a product behaves with a certain behavior and that quality is a type of product. The
note is the classification of the product according to its characteristics. A low grade product has
some characteristics and a high quality product has more features. The quality of products must
be stated in spite of its grade. Otherwise, the manufacturer will encounter problems when selling
the product. A high-quality product can take time and money initially, but offers huge benefits,
such as a reduction in sales promotion and greater brand recognition.
Q2. Quality Dimensions 270 words for 10 marks
Quality Dimensions for ABC Garments and their application while manufacturing of
children’s garments will need to be defined. They are included in the table below;
Quality Dimensions How it applies to the manufacture of children’s
garments:
Fitness for Purpose The children’s garments manufactured need to be
manufactured in varied sizes. There should be no
manufacturing defects such as holes or shape defects in the
garments. There should be adequate choice of colors for
the garments. The colors should not run off after washing.
The material on which the garments will be manufactured
should be of good quality and not cause any itching or
allergies.
4

OPERATIONAL MANAGEMENT
Compliance The quality of garments manufactured need to fit into
compliance requirements as designed by ABC Garments.
The Compliance requirement will include that the quality
of raw materials should be of good quality. Fiber and
texture need to be of adequate quality. Measuring garments
dimension, there needs to be specified tolerances. All
functions of buttons, closures, zippers and other accessories
needs to be ascertained. Testing of fabric for conforming to
standards needs to be adopted such as Fabric GSM check,
Stiches per inch (SPI) check and material composition
check. Proper labeling and packaging of garments is the
final inspection process that needs to be adopted by the
manufacturer. A report on quality defects and severity
needs to be prepared.
Value The children’s garment quality needs to provide adequate
standards according to costs. This will allow customers
match quality against price.
Q3. Data Collection and Information
Data and information collection is integral for continuous development especially for
organisation’s operations (Lewis, 2015). While manufacturing garments and catering to quality
standards the organisation has to randomly collect and analyse various sets of information.
(a) Importance of data and information contributing to the success of ABC Garments
Limited
5

OPERATIONAL MANAGEMENT
ABC Garments Limited is a manufacturer of Ready to Wear clothing for children in the
age 0-12 years old. The organisation needs to present an operational plan for the
department to the Board of Directors so that the organisation is able to gain significant
competitive advantages for the Company. Collecting data and information is crucial as its
application directly on the product needs ascertaining. The manufacturer is producing a
certain quality of products at a certain costs, its competitors especially; Chinese are
providing a certain quality of products at a certain price. Collecting data regarding each
aspect of the material, processes and finished products will help develop a compliance
report and comply with standards that have been accommodated for the products.
(b) Data and information collection policy governing operations
The data and information collection policy needs to be developed that can cater to all
possible operations that the manufacturer undertakes. For the purpose of developing a data
and information policy, it should align with a legitimate business purpose. Meaning the data
and information collection policy needs to be undertaken for conforming to quality standards
that has been adopted to be standard in the organisation (Gill, Stewart, Treasure & Chadwick,
2008). The policy will need to include possible highest quality in materials, processes and
finished products for the purpose of clothing material. The following will be the integral
aspects of the policy document.
 The data and information collection needs to collect data according to standards
provided. A detailed layout with various parameters of data will be collected,
6