Operational Plans and Strategy in Business Development Context

This report provides an overview of operational management and its strategic importance for business development, focusing on planning, organizing, and controlling operations within Oak Pub. It highlights the aims of operations management, including enhanced productivity, improved quality, efficient supply chain management, and responsiveness to customer needs. The scope of operations management is discussed, covering strategic location identification, product range planning, waste reduction, and alternative supplements for cost reduction. McKinsey’s Strategic Horizons framework is examined for its advantages in maintaining focus on current business, exploring future avenues, enabling product diversification, improving service quality, and expanding market reach. Priorities for increasing sales are outlined, including product design, production planning and control, quality control, marketing and promotion, and materials management. The report concludes that effective operations management enables efficient planning, minimizes production costs, supports product diversification and marketing activities, ensures efficient inventory management, enhances quality and productivity, and helps achieve desired sales targets and increased market share.

Operational Plans and Strategy

• Introduction
• Aims of Operations Management
• Scope of Operations Management
• McKinsey’s Strategic Horizons.
• Advantages of McKinsey’s Strategic Horizons.
• Priorities for Increasing the sales: Product Design
• Priorities for Increasing the sales: Production Planning and
Control
• Priorities for Increasing the sales : Quality Control
• Priorities for Increasing the sales : Marketing and Promotion
• Priorities for Increasing the sales : Materials Management
• Conclusion
• References
Table of Content

• Operations management deals
with planning, organising and
controlling.
• Production, manufacturing and
provision of services.
• The important functions are
supply-chain management and
logistics.
• Deals with optimum utilisation of
available resources.
• Enables Oak Pub to develop
strategies to coordinate marketing,
finance, and operations.
• Enables to improve the efficiency
and effectiveness of operations.
Introduction

Aims of operations management:
• Enhanced productivity.
• Improved quality and efficiency
of products and services.
• Efficient supply-chain
management and inventory
control.
• Production of different recipes
and beverages as per the
customers requirement.
• Enhanced flexibility and
responsiveness while providing
services to the customers.
Aims of Operations Management

Scope of operations management:
• Identify the strategic locations
for conducting business.
• Designing and planning the
product range to attract the
customers.
• Identify the ways to prepare
recipes which are long-lasting
and accepted by customers.
• To reduce the wastages and
input costs.
• Identify the alternative
supplements that can be used to
reduce the costs.
Scope of Operations Management

• Selecting the best option helps to maintain the focus on achieving
the objectives.
• Oak Pub should identify the suitable techniques which can be
adopted.
• The framework that is used in Oak Pub is McKinsey’s Strategic
Horizons.
Strategic Frameworks

• Enables to maintain the focus on the current business.
• Helps to explore future avenues and creating new ideas.
• Enables product diversification.
• Improve the quality of food and services to the customers.
• Helps to create the market for wider geographical area.
•Advantages of McKinsey’s
Strategic Horizons.

By designing operations management effectively, sales can
be increased.
Product Design:
• Develop new recipes and unique services to attract
customers.
• Conducting surveys and research for understanding
customers’ preferences.
• Use of advanced technologies to prepare and store
beverages.
• Fixing a particular time for effectively sequencing the
production.
• Identifying and monitoring the ways to economically
despatch the products.
Priorities for Increasing the sales

Production Planning and Control:
• Production planning involves the
decision regarding how, what,
who, and when to perform the
activities.
• Economical way of transporting
goods from market to place of
production.
• Progress of production activities
and implementing changes, if
required.
• Scheduling all activities related
to production and despatching.
Continued..

Quality Control:
• Designing and maintaining the desired quality of products and
services.
• Reduce wastages in production and reduce the costs of
production.
• Maintain the desired level of output of products.
• Identifying the deviations and implement appropriate control
measures.
• Maintain the supervision throughout the production process.
Continued..

Marketing and Promotion:
• Identifying the target market and
providing coupons and discounts.
• Developing new pricing strategy
and providing services at lower
rates.
• Use of social media platform to
promote the products.
• Identifying and contacting branded
retailers to sell the products.
• Identifying new opportunities of
expanding the markets by
partnerships and collaborations.
Continued..

Materials Management:
• It is also known as Inventory
Management.
• Enables to procure and store the
required raw materials efficiently.
• Use of latest technology to reduce
storage costs.
• Minimise the inventory turnover
ratios.
• Coordinate activities related to
supply and storage of raw
materials.
Continued..