Table of Contents Table of Contents.............................................................................................................................3 INTRODUCTION...........................................................................................................................3 MAIN BODY...................................................................................................................................3 One operation management practice within ASDA Company...................................................3 Supply chain management as OM practice impacts firm in context of efficiency.....................5 Technology within the operation management practice.............................................................6 Supporting function which are linked with the operation management practice and its role in ensuring organizational success..................................................................................................7 CONCLUSION................................................................................................................................8 REFERENCES..............................................................................................................................10
INTRODUCTION Operations and service management is essential administration of business practices utilized to create highest degree of efficiency and affectivity within a company. It is concerned with transforming materials into finished items or things as effectively as possible to deliver target market and increase profit of firm in effective manner. The current study is based on ASDA, is British leading retailer in UK and serving in many nations with skilled and talented applicants serving millions of buyers in systematic and ethical manner. This study will explain specific operation management practice within selected firm and also clarify how chosen operationsmanagementpracticeimpactscompany in context of efficiency. Furthermore, this report also justify technology embedded in operation management procedure and will examine how it has already achieved. This assignment will also define supporting function connection to one operation management practice that will be chosen and explain it will assure operational success. MAIN BODY One operation management practice within ASDA Company Operations management is mainly concerned with planning, managing and monitoring in contexts of manufacturing, production or provision of products and services. Here,supply chain managementpractice of operations management is discussed that is quite beneficial and effective in regards to ASDA. It is one of the best management of flow or items or services and includesallproceduresthatconvertrawmaterialsintocompletegoods.Supplychain management includes active streamlining of firm supply side actions to increase consumer’s value and gain competitive benefits in retail sector. It shows an attempt by suppliers to create and implement supply chains that are as economical and efficient as possible. It covers each and everything from manufacturing to data systems required to direct these undertakings. Supply chain administration efforts to mainly control or connect production, distribution and shipment of product. It is totally based on idea that mostly every item that comes to sell outcomes from efforts to firm that makes up a supply chain (Coyle and et.al., 2016). Supply chain of ASDA is comprised of all individual and management contributions included in manufacturing and delivering groceries items, furniture and other things. It makes
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company able to source raw materials needed to produce a item and deliver that thing to consumers who are seeking to purchase it for longer period of time. The aims of this practice is to improve and manage supply chain activities much better than past few years while operating business in retail industry. Accurate and timely supply chain info permits firm and their production department to produce and then ship only as much items as can be sold in market. It help retailers and manufacturer to eliminate excess inventory, it can also decrease cost of shipping, storing, producing and insuring item that cannot be sold (Genovese and et.al., 2017). Supply chain management comprised with 6 elements that are quite beneficial and useful in term of increasing profitability, productivity and sales rather than before. Planning, sourcing, making, delivering, returning and enabling are most important components of this operation management practice within ASDA that are highly beneficial for firm. It analyzed that SCM is important within company as it help to restock shelves as goods are sold to buyers. It is wide range of activities needed to plan, manage and execute a item flow from raw materials to manufacturing to distribution in most economical method possible. There are varied types of methods used in context of supply chain management within firm to manage each activity before and after producing goods. Transactioncostanalysis,networkperspective,channelcoordination,consumer relationship management; requirements chain management and supply chain road map are the most common approaches of SCM. It help to identify potential issue before they occur, when a buyer orders more item than company can deliver traditional response has been to cut order. It leaves consumer feeling inessential & convinced firm services is poor. Producer who anticipates shortage before customer is disappointed may be capable to provide a substitute item of other things to keep people happy. Supply chain management within organization optimize price dynamically. Seasonal items especially food products have a limited shelf life. Any that does not sell by end of season are removed or sold at deep discounts before it get worst to empty ASDA warehouse. Retailers like ASDA with a range of products adjust prices dynamically to meet market demand. It can be said that supply chain management is connected network of individuals, activities, resources and technologies included in producing and selling of range of products. It is quite beneficial in all aspects that will discuss below clearly (Pettit, Croxton and Fiksel, 2019).
Supply chain management as OM practice impacts firm in context of efficiency Supply chain management is the best operation management practice that direct influence profit margin and productivity of business rather than before within marketplace by increasing operational efficiency. By managing supply chain, ASDA is able to cut excess cost and cater items to consumers faster than its competitors operating in same sector since for so long. It can be done by keeping tighter control of internal inventories, sales, production, inventories and distribution of firm vendors. It analyzed that supply chain management put positive impact on company as it help to increase sales and productivity rather than before (Gandhi, Shaikh and Sheorey, 2017). It produces many benefits such as higher profits, new efficiencies, increased collaboration and lower costs. It enables firm to better manage buyer’s demands, keep costs to enhance and meet consumer’s needs in most effective manner. These supply chain management benefits are achieved and gained through selecting effective methods and appropriate software to manage progressing complexity of today’s supply chains.It has important impact on firm as increase efficiency and retains potential buyers for longer period of time. Its activities can improve consumer’s service of ASDA as it helps to assure consumer’s satisfaction by making some important items is accessible at right place at right time. By increasing satisfaction level of Buyers Company can able to build their positive brand image all around the world and improve target market loyalty. Supply chain management also cater many benefit or advantage for firm by decreasing operations costs rather than before. It reduces cost of buying, manufacturing and total supply chain. Decreasing costs improves organization financial position by maximizing profit & cash flow. SCM best practice can increase overuse of wide fixed assets such as vehicles and warehouses by permitting supply chain experts within company to redesign their network to maintain consumers service level while managing warehouses as it reduce cost of owning extra facilities (Li, Holsapple and Goldsby, 2019). Supply chain management as operational management practice within ASDA put impact in several ways. For example, it put positive influence by boosting consumer’s services, reducing operating costs and improving financial position. Firm value SCM because it help reduce and control supply chain costs, it can outcome in dramatic increases in company profits. It decreases use to wide fixed assets such as warehouses as well as transportation vehicles use in supply chain activities.
It also help by increasing speed of product flow to buyers for instance when ASDA can produce and deliver their items to target market in 2 more than 5 days it can inform people 6 days sooner. In recent time, supply chain management is really very important as it increase customer satisfaction and competitiveness. Efficiently and effectively running supply chains permit firm to quickly and efficiently deliver items to end users for a low cost. The main motive of efficiency practice is to reduce inventory costs for organization. It ultimately keeps track of items consumption and accessibility when needed. It brings immense modification in business growth and success. There are varied of ways according to which SCM can lower down present overhead expenses to firm. Improves inventory management programme, facilitates successful implementation of inventory system, reduce damage assets by managing storage space efficiency of completed products. The most effective feature of supply chain management is boost up cooperative level within retail sector or company task. It gives access to measure what suppliers & distributors are doing all period. Technology within the operation management practice The technology is the most important aspect in the current competitive and global world and this need to be adapted by the company. This is essential because of the fact that the if the company will not use the latest technology within the operation and service management of company then the company will not be able to manage the working of the company and this will have a huge impact over the working and profitability of the company (Hugos, 2018). The operationisthemostimportantpartofthecompanyasthisincludestheproductand manufacturing process and if this will not work in proper and effective manner then this will have a huge impact over the productivity and profitability of the goodwill. In operation management the most important practice is the supply chain management. The supply chain management is the process of activity which manages the flow of good and the raw material to and from the company to the end consumers. The supply chain is the most important practice within the operation management of ASDA as if the raw material will not be provided on time then the company will not be able to produce the goods and services ion time and that produced good will not be delivered to the consumers on time.
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In this highly advance and competitive world the technology plays a crucial role within the management of the supply chain. This is majorly because of the reason that when the company uses the practice of supply chain then the company has to communicate with many differentpartiesandthevarioustypesofsuppliers.Thus,heretheInformationand Communication Technology (ICT) is very much helpful. This is so because of the reason that this assists the company in managing the proper and clear and understandable communication with the other parties. Also, this communication can be kept as a proof for the future reference as well. In addition to this the use of the tracking and ordering system is also being used by ASDA with regard to the latest changes taking place in the technological sector. This is due to the fact that under this technique as and when the inventory level reaches to a particular level the inventory is automatically ordered with help of the machine and the online system (Pettit, Croxton and Fiksel, 2019). In this just the manager has to enter the minimum stock level and as the whole stock reaches to that level then the order is automatically being placed with help of either the emails or with help of social media marketing (Jabbour and de Sousa Jabbour, 2016). This system is referred to as the economic order quantity under which as the level of the stock reaches to the minimum the order is automatically placed with the suppliers and then the order is delivered on time. This is essential for the proper functioning of the whole production process. Supporting function which are linked with the operation management practice and its role in ensuring organizational success With the main activity there are some or the other supporting functions as well which assist the company in managing that function in proper and effective manner. These supporting functions help the company in managing the main function in good and successful manner. The major supporting function in the supply chain management of ASDA is as follows- Purchase- this is the main supporting function of the supply chain management as if the purchases are not made in effective and efficient manner then the supply chain will not work in proper manner. Thus, this is the major supporting and assisting function of supply chain management. Logistics and transportation- this is another major important supporting function of the effective supply chain management of ASDA. This is majorly because of the reason that it is not possible that the raw material is available at the nearby places only and thus, the raw material
and the finished good need to be transported to and from far off places. Thus, for this the logistics and transportation is the most important supporting function for the success of the supply chain management of ASDA. Resource management- this is also a good and necessary supporting function of ASDA as the resources are less and if they will not be managed in effective manner than this will affect the working to a great extent. This is due to the reason that if the limited resources will not be managed and allocated in optimal manner then the production will not take place in proper and effective manner. All these different types of supporting function are very helpful for ASDA in gaining success (Lambert and Enz, 2017). This is due to the fact that if the supply chain management will be successful then the company will be able to get success in the other entire department as well. This is majorly due to the fact that when the company is able managing the production then all the other functions and department will automatically work in proper and effective manner. All these major and supporting function help the company in gaining success as when all these function perform and work in properly coordinated manner then ASDA will surely attain success and will be able to survive in the highly competitive market in proper and effective manner. This will ensure that the company is getting success in this highly competitive market (Grant, Trautrims and Wong, 2017). Thus,forgettingthesuccessofthecompanythemostimportantthingproper coordination among all the different activities and department of the company. This proper coordination will ensure that all the activities of the company are managed in effective and efficient manner and this will ensure proper coordination. Hence, in the end it can be assured that if the company will not be able to manage the working in proper manner then the company will have sure short and this will be ensured. CONCLUSION From above analysis it has been concluded that operations management is one of the most essential element of company which drives them towards gaining competitive benefits and achieving set aims as well as objectives of ASDA. Supply chain management within company cater many benefits as it help to improve overall procedure related to manufacture items or serviceswhichisquitebeneficialforcompanyintermofincreasingprofitabilityand productivity rather than before.
Furthermore, it has been summarized that logistic, resource management and other important functions within company are connecting to supply chain management as operation management practice. Information and communication technology is embedded in supply chain management that provide many advantages as it help to increase speed of managing inventory and other activities in effective manner. After conducting overall research it has been concluded that operations management practice is beneficial in context of company. It satisfy buyers appropriately and effectively which in return increase sales.
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REFERENCES Books and Journals Coyle, J.J and et.al., 2016.Supply chain management: a logistics perspective. Nelson Education. Fernandes,A.Candet.al.,2017.Supplychainmanagementandqualitymanagement integration.International Journal of quality & reliability management. Gandhi, A.V., Shaikh, A. and Sheorey, P.A., 2017. Impact of supply chain management practices on firm performance.International Journal of Retail & Distribution Management. Genovese, A and et.al., 2017. Sustainable supply chain management and the transition towards a circular economy: Evidence and some applications.Omega.66. pp.344-357. Grant, D.B., Trautrims, A. and Wong, C.Y., 2017.Sustainable logistics and supply chain management: principles and practices for sustainable operations and management. Kogan Page Publishers. Hugos, M.H., 2018.Essentials of supply chain management. John Wiley & Sons. Jabbour, C.J.C. and de Sousa Jabbour, A.B.L., 2016. Green human resource management and green supply chain management: Linking two emerging agendas.Journal of Cleaner Production.112. pp.1824-1833. Lambert, D.M. and Enz, M.G., 2017. Issues in supply chain management: Progress and potential.Industrial Marketing Management.62. pp.1-16. Li, X., Holsapple, C.W. and Goldsby, T.J., 2019. The structural impact of supply chain managementteams:Supplychainagilitydevelopmentinmultidivisional firms.Management Research Review.42(2). pp.290-310. Pettit, T.J., Croxton, K.L. and Fiksel, J., 2019. The evolution of resilience in supply chain management: a retrospective on ensuring supply chain resilience.Journal of Business Logistics.40(1). pp.56-65. Pettit, T.J., Croxton, K.L. and Fiksel, J., 2019. The evolution of resilience in supply chain management: a retrospective on ensuring supply chain resilience.Journal of Business Logistics.40(1). pp.56-65. Online TheImportanceofSupplyChainManagement.2019.[Online].Availablethrough: <https://cscmp.org/CSCMP/Develop/Starting_Your_Career/Importance_of_Supply_Chai n_Management.aspx#:~:text=Improve%20Financial%20Position,dramatic%20increases %20in%20firm%20profits.&text=Increases%20Cash%20Flow %20%E2%80%93%20Firms%20value,up%20product%20flows%20to%20customers.>