Operational Management in Business Organisations

This assignment delves into the significance of operational management within business organisations, highlighting its role in monitoring, planning, and controlling various aspects of the manufacturing process. The use of Project Life Cycle methodology is also discussed as a structured approach to preparing plans for introducing new products. The study guides and resources provided offer valuable insights into managing productivity, safety, and logistics operations within companies.

Operations & Project
Management

Table of Contents
INTRODUCTION...........................................................................................................................1
TASK 1............................................................................................................................................1
P1 : Implementation of operations management principle.....................................................1
M1 : Critical review of implementation of operation management.......................................4
TASK 2............................................................................................................................................4
P2 : Continuous improvement plan on the basis of operation management principle in the
context of the organisation.....................................................................................................4
M2 : Analysis of effectiveness of continuous improvement plan..........................................6
D1 : Theories, models and concepts to justify strategies of Continuous Improvement Plan. 7
TASK 3............................................................................................................................................7
P3 : Application of various stages of PLC on the given project............................................7
M3 : Analysis of project methodologies, tools and leadership............................................11
M3: Analysis of project methodologies, tools and leadership ............................................11
TASK 4 .........................................................................................................................................12
P4, M4 and D2 : Evaluation of effectiveness of PLC using theories models and concepts.12
Importance of designing and implementing PLC.................................................................13
Analyse techniques which ensure quality, scope and tenure in the project implementation13
Critically evaluate the PLC .................................................................................................14
CONCLUSION..............................................................................................................................15
REFERENCES..............................................................................................................................16

INTRODUCTION
Operations management is defined as the area of management which concerned with
designing & controlling the procedure of manufacture and redesigning operation of a business at
the time of manufacturing products. It is helpful process as it helps to generate higher percentage
of profit. It focuses on day to day production as well as strategic production. The chosen
organisation for completing this project is Hovis Food Company which is a British company. In
this file, different types of principles of operation management will be prepared including
continuous improvement plan. Number of techniques will be identified in it according to the
continuous improvement plan. In second part, Portakabin has been selected which is one of top
rated business organisation. Project life cycle will be prepared on the basis of Portakabin.
TASK 1
P1 : Implementation of operations management principle
Overview of Hovis Food Company
It is one of the British Company which focuses on manufacturing flour and bread. The
headquarter of company in present scenario is High Wycombe, UK. It is was founded in the year
1886 where its current CEO is Nish Kankiwalab(Harrison and Lock, 2017). The main aim of
organisation is to deliver the better of flour and bread products as compared to their rivalries. For
giving tough competition in the market they have been delivering the product at reasonable price.
In addition, they are needed to expand their business organisation to different part of the world.
Operations and Operations Management
Operations is the process which is used by business organisation to manufacture any of
the specific products. There are different work includes from initial stage to distribution stage.
Operation is simply explained as the process which is important for any of the company
as it is responsible for manufacturing any of the new products within the company. It focuses on
each and every work which has been done while manufacturing the product and it plays the most
crucial role within the business organisation.
When it comes to operation management, it is understood as the process of management
which monitors the production process of any of the company (Heldman, 2018). It mainly
focuses that manufactured products are of finest quality which is delivered to customers with the
help of available stores.
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Operation Management is simply a department of business organisation which has been
delegated the responsibility of managing every single work related to manufacturing department.
This is the department which coordinates with other department for taking any of the business
decision so that effective results can be obtained in future period of time.
Principles of operation Management
There are number of principles of operation management which helps business
organisation to achieve strategic goals. Some of the principles which can be applied on Hovis
Food Company is:
 Accountability: In this principles, it is clear that managers are the one who need to
develop plans and policies and it must be applicable at different level. It will held
personally liable to manager for the work which has been done by them (Joslin and
Müller, 2015). In context of Hovis Food, they are work in different part of Europe and by
looking at this branch manager is needed to conduct business activity according to the
situation and requirement of local market. In any of the case they are unable to meet the
target, then they are needed to be held personally liable.
 Change: As per the norms of change principles, it is necessary for business organisation
to adopt the changes in technologies as it directly helps to company to perform business
activity for longer period of time within marketplace. In context of Hovis Foods, they are
needed to understand the situation of market changes on every short period time. In order
to face the competition in current market, company will needed to adopt changes in
technology.
 Quality Control: In present scenario, it is most important principle for those business
organisation who have involved themselves into the activity of manufacturing of goods
and services. In terms of Hovis Food, they are one of the retail sector industry and they
need to understand that quality of product should not be reduced and if in any of the case
it happens then it will affect on the revenue of a company. Also, company is required to
manufacture their product according to laws and legislation to meet out the set standards
of any food products.
 Reality: This principle indicates that organisation most concentrate on the problem which
they are facing rather concentrating or technologies and methods which are being used by
them (Nenonen and Vasara, 2013). While talking about Hovis Food, they are needed to
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follow the principle of reality as they distribute number of food products which is being
consumed by consumers. Here, they will try to find those products where they have been
facing any sort of problems because sometimes it affects on the sale ratio of other food
products as well.
In business organisation, operation management play crucial for those business
organisation which has involved themselves within production process. Some of the advantages
of operation management for Hovis Food Company is:
 It provide guidance to Hovis Foods that how they can reduce the percentage of wastage
by utilising the available resources at optimal level.
 It ensures that any of the products which has been manufactured by company has been
produced according to the level of required standards of legislation.
 The main advantage for company is that they are able to sort any of the issues occurred
within production department related to designing, operations and maintenance of system.
Lean production: This is an effective approach which provides the benefit to the
manager of Hovis Foods in eliminating waste product from their production department. Here,
the main thing which is considered that the reason of occurrence of waste products is overburden
on the employees which should be reduces by the organisation in order to reduce production cost
& enhancing the value of company.
Flexible specialisation: It is the business strategy which gives benefit to organisation as
it enhances the level of competition within the market. While talking about Hovis Foods, manger
can easily adopt the use of multi technologies by considering the requirement of changing market
situation. In addition, in can influence manager to appoint multi-skilled employees in their
organisation which will help the administration in achieving their targets.
The use of Six Sigma and Lean principles to improve efficiency and effectiveness
Six Sigma: It is the process which is applied within the business organisation for the
purpose of eliminating the defect products due to which company gets the chance to perform
better within the market. In context of Hovis Foods, manager can take the help of six sigma
which will help them to take better decision through which targets of a company can be
accomplished easily.
Lean Principles: It is explained as the priniciple which can b used by the business
organisation for the purpose of reducing errors from their work. It can play the crucial for the
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company like Hovis food s because they will have the clear idea that how they are required to
work and what can be main way through which their targets can be accomplished.
M1 : Critical review of implementation of operation management
In any of the organisation, operation management plays the crucial roles as they performs
different activities related to manufacturing and designing the products as per the necessity of
consumers (Zhou, 2016). Operation system uses six sigma methodology which provide benefits
to business organisation as it helps to finds the exact problem to come up with solution while
delivering the services to customers. Here, association also get the option to improve themselves
by maintaining the quality of commodity which they supplies within the market.
TASK 2
P2 : Continuous improvement plan on the basis of operation management principle in the context
of the organisation
Continuous improvement plan is one of the ongoing process where organisation gets
the chance to improve their process, products and even services which they provides to their
customers. It is helpful for company because they get the option to stays within the competition
in market. With the help of continuous improvement plan, company get the option to enhance
their efficiency, profitability, customer satisfaction and productivity by giving more focus on
quality, price and even safety. In context of Hovis Foods they are needed to use CIP because it
will help them to work on weaker areas due to which organisation is struggling. It will give them
the idea that how company can give their best performance within the existing market.
Lean Manufacturing Principles : It is methods which plays the crucial role for business
organisation as it generates the idea that how company can reduce the overall wastage during
production process (Rosemann and vom Brocke, 2015). It main focus is that how wastage can be
removed without affecting productivity. Below, there is the detail description about lean
principles on Hovis Foods.
 Value: It is related with needs of customers that what are they are willing from the
organisation according to that company provide them the benefit. Here, number of areas
are included as delivering the products on time, providing the products as per the needs of
customers and many more. It is helpful for Hovis Foods because they will be able to know
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that what their customers want from them and at what price they are able to purchase.
This will give them the idea that how they can reduce the waste product.
 Map the value stream: Once organisation is able to identify the value, they are needed to
understand that how they can enhance the value for customers. Here, there are two types
of activities and they are non-value added by necessary and another one is non value but
unnecessary (Artto, Ahola and Vartiainen, 2016). In context of Hovis Foods, they are
needed to find the importance of non value and necessary activity as it will give them the
idea that how they can save the cost of any product and reduce the overall percentage of
wastage.
 Create Flow: Here, Hovis Food is required to understand that each and every activities
are needed to understand that from initial stage to end stage each and every work should
be managed in smooth way.
 Establish Pull: It states that whenever organisation establishes the work flow they are
able to deliver the products on time. In context of Hovis Foods, after applying this
principles they will be able to reduce the time to deliver the food products within the
market and even they can easily save higher amount of money which can generate more
profit. Pursue Perfection: This principle says that it is not enough for company to do only
planning because executing is more important in it (Lam and Lai, 2015). In context of
Hovis food, if they will be able to execute the plans and policies then they can easily
sustain within the market for longer period of time.
Continuous Improvement Plan For Hovis Food Company
BASIS EXISTING METHODOLOGY PROPOSED METHODOLOGY
Cost In this, Hovis Foods quickly changes
their form of business with the help of
adopting new technology. Although, it
increases the cost but still it gives
additional advantage to company to
perform better (Wilson, Bhakoo and
Samson, 2018).
Here, Hovis food can easily take the
help of lean principle as it will help to
reduce overall wastage from their
production department due to which
they can easily save expenses on cost.
This will provide benefit to company as
they can spend the saving on purchasing
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new machineries.
Quality Hovis Food product have delegated the
responsibility of to their different
departmental heads due to which quality
of their products have been reduced.
In this, company have the option to
adopt TQM approach as it will ensure
that each and every department uses the
same approach which can be beneficial
for them.
Safety In this, company only try to focus on
those problem which occurs due to
implementation of changes. It is one of
the reason that requirements of products
changes which leads to mismanagement
of safety of products (Chirumalla,
2018).
In future, company can use Just-in-time
approach which will confirms that
company will be able to deliver the
products on time and even it will save
the cost of keeping inventory in storage.
Delivery As company is involved in retail
business, they are required to give more
time on delivery factor as it important
factor for them.
In future, Hovis Foods can improve
themselves by using the approach called
six sigma. It will help to them to
improve to different process at various
stages. It will also provide advantage in
improving production department.
Recommendation: As per the above Continuous Improvement Plan, it can be easily
recommanded to Hovis foods that they are required to take the help of six sigma, TQM approach
as it will provide them the guidelines that how any of the business decisions can be taken. In
addition, it will help them to reduce overall expenses through which profit will increase.
M2 : Analysis of effectiveness of continuous improvement plan
Continuous Improvement Plan is necessary for organisation as it helps to know what
company should do to achieve their goals. It helps company to find what are the changes that
need to be adopted for positive result. Here, company also gets opportunity to use lean principle
which guides them that how they can reduce percentage of waste product while manufacturing
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any of the product (Schönsleben, 2018). Even it guides that what are positive factor in an
organisation through which they can improve the quality of a product.
D1 : Theories, models and concepts to justify strategies of Continuous Improvement Plan
In context of Hovis Foods, they have the option to use different types of models, theories
and concept through which desire goals can be accomplished. As, main motive of Company is to
reduce cost and improve the quality of food products and for that company have the option to use
lean manufacturing. The most important thing which is needed to be understood by any of the
organisation is that they are required to deliver the products on time to customers and that is only
possible if they uses Just-in-time approach. The extend of necessity of all these can be observed
with the help of CIP.
TASK 3
P3 : Application of various stages of PLC on the given project
Overview of the case: Portakabin is one of the leading company which is working within
6 different nations since last 50 years. It is one of the B2B company which has been operating in
secondary & tertiary sector. They commence different standardise school, hospital and offices.
The latest product which they have introduced within the market is Yorkon Building System.
Project life cycle : It is defied as the process of understanding any of the specific project
by the in-charge of project (Pheng and Meng, 2018). It has been categorised into different part
such as initiation, planning, executing and closure.
 Project initiation: It is the primary stage of PLC in which objectives, issues and
opportunity are determined. In context of Portakabin, their project manager will required
to prepare business case where each and every documents will be prepared related to
mission, vision & objective of a company.
Business case for the project
The latest focus of company is in Yorkon Building System which gives additional standard to
buildings and they are mainly used in the sector of schools and hospitals.
Vision and Mission To deliver modular building in which various latest technologies have
been used.
Target Market The major focus is on schools, hospitals who are willing to invest higher
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amount of capital for latest technologies within the building.
Objectives They have involved themselves in this line since many year and because
of that they want to lead this market in upcoming year (Slack, 2018).
Strategies For the purpose of constructing modulated building, they are have make
the strategy to either buy or construct the new building.
 Project planing: In this stage of PLC, planning of the project will done that how it is
needed to be completed. For this complete project is being divided in different parts. In
this, project manager of Portakabin will need to prepare Work breakdown structure,
Gantt charts. In addition, company will also try to find that what are those charges which
is needed to be complete the project such as wages cost, raw material purchase, charge of
architect and many more. Below WBS, Gantt Chart has been prepared.
Work Breakdown Structure :
Gantt Chart:
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Agile methodologies: IT is a practice that promotes continuous process of development
and testing throughout the software development life cycle of the project. Both development and
testing activities are concurrent unlike the Waterfall model. In context of Portakabin, it will give
then them the idea that how they need to break the project into different stages so that each and
every task can be completed on specific time period.
M3 : Analysis of project methodologies, tools and leadership
 Project execution: After doing the planning in second stage, it becomes important that
planning must be executed and after that it will be monitored. Every activities must be
coordinated with head of the project i.e., manager. Here, Portakabin will either buy the
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building or else they will start to construct new building for executing their ideas and
plans (Heldman, 2018).
 Closure: It is the ending process in which work is completed and delivered to the
customers. In context of Portakabin, they will finish the project and start to handover the
possession of built of their client. Here, Key Performance Indicator will guide to know
that whether the work which has been done by them is right or wrong and if it any of the
situation it is wrong then appropriate decisions can be taken for improvement. While
talking about Benchmarking, it will help Portakabin to compare themselves with other
business so that they can try to improve their performance for achieving the target of a
company.
M3: Analysis of project methodologies, tools and leadership
While conducting Project Life Cycle, various types of methodology, leadership and tools
are needed to be used as it directly helps manager to execute their plans and policies.
Stages of PLC Methodologies, Tools Leadership
Initiation It can be used because it
helps to identify every
aspects for example:
problems, opportunities
and many more.
Here, they can take the
help of RASCI tool
which makes working
condition easy but it
consumes time as well.
Visionary style is
commonly used because
it helps to give idea to
employees how they need
to proceed for the
succession of project.
Planning Project plan is suitable to
use because it will help to
identify different factors
which save time as well
as money.
WBS & Gantt Chart is
suitable option to divided
each and every work.
For the purpose forming
effective plans, company
can use democratic
leadership.
Execution Rapid application
development
methodologies is the best
option for them because
it will give them the idea
PERT- CPM is needed to
be applied because it will
manage every work in
systematic manner due to
which time can be saved
Coaching style is the
option which can be used
because it can keep
motivating to every
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to monitor every single
work.
(Schönsleben, 2018). employees.
Closure Only delivery is to be
done here so no need to
use any methodology.
No tool is needed in it. Strategic leadership can
be option to attract more
number of customers.
TASK 4
P4, M4 and D2 : Evaluation of effectiveness of PLC using theories models and concepts
In order to accomplish the goal of an organisation, it is necessary for project manager to
take the help of Project Life Cycle as it helps to divided each and every work in systematic
manner. It is important because it helps to provide and deliver authentic framework which
supports to run different activities of project at a particular time so predetermined goals can be
accomplish easily. It explains that at every stage it becomes important for project manager to use
methodologies, tools and even leadership style because it will give them the idea that how any of
the plan can be executed in successful manner. PERT-CPM is one of the option available for
them to find the way that in which way they are needed to work so that it can be concluded in
easiest manner. But, in case PLC model is not applied in appropriate manner then it might
increase the overall expenses due to which profit can be decreased. There are various cost saving
which can be incorporated in the PLC such as budgetary control, standard costing as these will
enable in easy completion of the project with the minimum cost .
PERT MODEL
It is defined as the project management planning tool which is used for calculating to find
the accurate time which is required to complete any of the specific project. It stand for Program
Evaluation Review Technique. If organisation like Portakabin uses this model they will be
beneficial for them as this allow the business of Portakabin in planning and coordinating of their
large scale projects by reducing all the uncertainties which arises while completing the tasks.
Working through this model in the business the manager of the Portakabin can easily reduce time
and cost of the business.
CPM model
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CPM model is considered as the critical path method which will enable the business of
Portakabin in managing each and every steps of the project management. It will also allow the
business in predicting in advance about hows much time it will take to complete the task.
In order to maintain the quality, tenure and scope the business can focus on the
implementation of the lean and six sigma principle where the focus will be on the quality work
through the reduction of unnecessary wastage and time. This technique within the business of
Portakabin will leads the business overall performance to the higher level with effective
maintenance of the tasks.
Importance of designing and implementing PLC
For the purpose of executing any of the strategy, company is required to PLC method
because it will give idea to business organisation that how any of the plan can be executed at each
stage. In context of Portakabin, they will be able to execute their plan effectively due to which
their targets can be accomplished easily and even company will get the chance to perform better
within the market place.
Analyse techniques which ensure quality, scope and tenure in the project implementation
It is necessary for each and every business organisation that they must adopt suitable
techniques so that standard of the project can be maintained. In context of Portakabin, they have
the option to adopt PERT model and even CPM model which can help business organisation to
sustain within the market for longer period of time. This techniques will reduces the percentage
of defect in the work through which company will get the chance to obtain their targets.
Critically evaluate the PLC
Business organisation are helpful for doing planning and plotting because it gives idea
that what types of decision should be taken at any of the stage. It reduces the chances of
obtaining the negative result due to which company gets the opportunities to perform better
within the market. But, in case Portakabin fails to implement the plans and policies then they will
have to face various problem.
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CONCLUSION
From the above file it can be understood that operational management is one of the
important topic in context of business organisation because it easily monitors, do planning and
even control any of the situation during the process of manufacturing. It even confirms that every
work is being conducted in qualitative form. Whenever any of the business organisation plans to
introduce new product then they can take the help of Project Life Cycle because it will help them
to prepare each and every plans in systematic manner.
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REFERENCES
Books & Journals
Harrison, F. and Lock, D., 2017. Advanced project management: a structured approach.
Routledge.
Joslin, R. and Müller, R., 2015. Relationships between a project management methodology and
project success in different project governance contexts. International Journal of Project
Management. 33(6). pp.1377-1392.
Nenonen, S. and Vasara, J., 2013. Safety management in multiemployer worksites in the
manufacturing industry: opinions on co-operation and problems encountered.
International journal of occupational safety and ergonomics. 19(2). pp.168-183.
Zhou, B., 2016. Lean principles, practices, and impacts: a study on small and medium-sized
enterprises (SMEs). Annals of Operations Research. 241(1-2). pp.457-474.
Rosemann, M. and vom Brocke, J., 2015. The six core elements of business process management.
In Handbook on business process management 1 (pp. 105-122). Springer, Berlin,
Heidelberg.
Artto, K., Ahola, T. and Vartiainen, V., 2016. From the front end of projects to the back end of
operations: Managing projects for value creation throughout the system lifecycle.
International Journal of Project Management. 34(2). pp.258-270.
Lam, J. S. L. and Lai, K. H., 2015. Developing environmental sustainability by ANP-QFD
approach: the case of shipping operations. Journal of Cleaner Production. 105. pp.275-
284.
Wilson, K.B., Bhakoo, V. and Samson, D., 2018. Crowdsourcing: A contemporary form of
project management with linkages to open innovation and novel operations.
International Journal of Operations & Production Management. 38(6). pp.1467-1494.
Chirumalla, K., 2018. Managing Product Introduction Projects in Operations: Key challenges in
heavy-duty vehicle industry. The Journal of Modern Project Management. 5(3).
Schönsleben, P., 2018. Integral logistics management: operations and supply chain management
within and across companies. CRC Press.
Pheng, L. S. and Meng, C. Y., 2018. Managing productivity in construction: JIT operations and
measurements. Routledge.
Slack, N., 2018. Essentials of operations management. Pearson UK.
Heldman, K., 2018. PMP: project management professional exam study guide. John Wiley &
Sons.
Schönsleben, P., 2018. Integral logistics management: operations and supply chain management
within and across companies. CRC Press.
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