Review and Critique of Operation Management Principles at Unilever
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This report discusses the implementation of operation management principles at Unilever and provides a continuous improvement plan. It also critiques the effectiveness of the project life cycle.
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Table of Contents INTRODUCTION...........................................................................................................................1 PART 1............................................................................................................................................1 P1. Conduct review and critique of the implementation of operation management principles ................................................................................................................................................1 P2. Prepare a continuous improvement plan and critique of operations management principles ................................................................................................................................................3 PART 2............................................................................................................................................8 P3. Produce project life cycle and documentation for completing the project.......................8 P4. Critique the effectiveness of the PLC by using appropriate theories, concepts and models ..............................................................................................................................................11 CONCLUSION..............................................................................................................................12 REFERENCES..............................................................................................................................13
INTRODUCTION Operation administration is important for business organisation as it assists in different activities as well as operation at large level. It is significant for management team of organisation to make ensure that human resource follow rules and regulation in an appropriate manner within business organisation. Projects are considered as a unique and have appropriate budget and their objective is to earn more and more profit for operating their business. Project Administration is considered as the activity of preparation implementation and concluding the task of member of team that help in achieving objectives in timely manner. This report is depending upon Unilever which is given by William lever in 1929. It is considered as a British transnational company provide products and services to its user and its head quarter in London, UK. This assignment will provide discussion regarding appropriateness of operation management and also the concept of continuous development plan in context of operational management. Furthermore, they also provide discussion regarding project life cycle as well as critique application related to PLC (Berbegal, Gil and Alegre, 2017). PART 1 P1. Conduct review and critique of the implementation of operation management principles Unilever is considered as an international business organisation that provides consumer goods such as personal care goods, beverages foods and many more. This organisation was founded in the year of 1829 and it is located in London, UK. There are around 1, 63,000 subordinate to perform their work within an organisation and provide contribution for growth or development of business organisation. Operating income or revenue of this organisation is around€12.535 billion and also net income is around€9.8 808 billion. The organisation operates its company in approx 100 countries that have more than 400 brands. Operation signifies as a process of different functions or activity that is implemented by management of organisation to finish a particular tasks and projects. For instance, if the administrations of organisation manufacture innovative goods then they must perform different activities such as planning, manufacturing as well as budgeting and many more. Operation management signifies process of handling activities or functions in such a manner that help in achieving goal as well as objective in timely manner. It is considered as the ongoing activities 1
that help in conducting different activity in an appropriate manner for handling manufacturing of product and services. Principles of operations management Realitythis principle signifies that operation administration should focus on problem related to activities of organisation rather than techniques. The management team of Unilever emphasized on present scenario of organisation by conducting investigation regarding market whether the good introduce task will become successful or not. If management of organisation will not emphasize on issue related to task than it impose direct affect on profit or productivity of organisation. But if management team emphasized on strategies and techniques then it impose positive impact on performance of employees(Eyers and Naim, 2019). Organisationas per this principle, organisation signifies different department in which working of each activity is linked with one another. The management team of Unilever focuses onperformingtheiroperationsincooperationwithanyotherdepartmenttohandle communication flow. It will assist in appropriate operations of process of production because there are different department which provide their contribution or efforts in it. Fundamental this principle assists in maintaining proper record of inventory, specific system discipline and many more. This principle help company in eliminating cost related to operation. It uses different options that assists organisation in reducing the price. Unilever focuses on managing proper balance between cost and creativity that help in achieving goal in timely manner. If organisation handle inventory and price that is connected to operation than it impose positive impact on growth and development of business organisation. It also affects innovation as well as creativity of subordinate in negative manner if cost imposes by company is high. Accountabilitythis principle signifies that it is significant to manage appropriate record related to accounts within organisations for successful assessment of profit as well as loss during particular phase of time period. Accounting manager is responsible to conduct this role in an appropriate manner. The accounting manager of Unilever focuses on executing policy and conduct task in an appropriate manner and in timely manner. If management of organisation will not adopt this principle then they do not maintain manufacturing budget in an appropriate manner. 2
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Variancethis principle signifies the business organisation help in eliminating cause related to operation. It uses different operations that help the organisation in eliminating cost. Unilever focus is on maintaining appropriate balance in cost and also intensifies creativity between employees by using this principle. If company will show more creativity as well as innovation in its goods as per need of customer than it adversely affect the organisation in context of increasing cost of production. Causalityeverybusinessorganisationconfrontedissueinadministrationsuchas requirement of crucial shipment, capital administration as well as additional need of resources. To resolve this kind of issues, Unilever focuses on adopting this principle thus it results in appropriate execution of performing daily operation in an appropriate manner. This principle is considered as an advantageous to handle problem related to capital management and also offer additional resources but it adversely affect the stock and waste administration procedure (Kerzner, 2019). There are different theories of Operation Management which is adopted by chosen organisation such a six sigma, Lean manufacturing, business process redesign as well as many more. Therefore herein, the concept related to business process redesign is going to be mentioned below: BPRis determined as a theory which is given in 1993 and it is determined as a business administration strategy that emphasis on assessing and also designing workflow and processes of organisation during particular phase of time period. Therefore, the BPR is used as a management strategy in order to conduct different work in an appropriate manner. Six -sigma:Six -sigma is considered as another theory which is adopted by business organisation for optimum utilisation of resources and also focuses on minimizing wastage during particular phase of time period. Therefore, this approach is useful for increasing productivity and efficiency level in future period of time. P2. Prepare a continuous improvement plan and critique of operations management principles There are various tools and techniques which are adopted by company for reducing wastage that is going to be mentioned below: Six -sigma:This approach is adopted by business organisation for optimum utilisation of resources and also focuses on minimizing wastage during particular phase of time period. 3
Therefore, this approach is useful for increasing productivity and efficiency level in future period of time. Total quality management:Herein, this tool is used for maintaining quality of products and services and reducing unnecessary wastage that helps in attracting customer towards products and services of company. Just in time approach:In this approach, the management team focuses on providing products and services according to the need of customer. They provide the products in right time at right place in an improved manner. After that company focuses on implementing PLC for smooth running of operations of business organisation during particular phase of time period. Lean principles By using this principle, operation management team of company focuses on generating innovative ideas in reference of making improvement in process of production in appropriate way. There are five techniques of these method and that are considered as relevant to production of innovative product. In context of Unilever, they focus on manufacturing innovative product and the management of organisation in better way. This technique or principle which is going to be mentioned below: Define valuein first step of this method, the management of organisation can consider the need or requirement of user and also assess income of an individual person. In context of Unilever, the management making appropriate use of resources that help in production of appropriate products or goods or eliminate wastage. . 4
Source: Lean principles,(2019). Map value systemthis is the principle of lean approach that offer proper direction in respect of process of production. This is connected to buying raw material from producer and provides finished goods to its end user. In context of Unilever, the management team of organisation can control all procedure related to task in an appropriate manner by implementing appropriate plan during particular period of time. Create flowin this step; the whole procedure of producing innovative product is conducted in an appropriate manner. In context of Unilever, t is advantageous for organisation to fulfil need and requirement of user in an appropriate manner. Established pullthis technique obey the same procedure as just in time approach used by Unilever. By using this approach, the Unilever manufactured goods according to the need of customer or user. Therefore, by using this in an appropriate manner help in satisfying the demand of its user(Lee, 2018). Pursue perfectionas per this; all goods of organisation cannot produce in similar way. Therefore, the manager of Unilever executes innovative technology to producing product and services as per need or requirement of user. Six Sigma 5 Illustration: Lean principles
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It is monitored, controlled, statistical support that helps in providing commodity to its user. In context of Unilever, this approach is adopted by administration of organisation to resolve different issue in an appropriate manner. Through this, the organisation can make appropriate improvement in product quality during particular phase of time period. This approach possesses five factors which are going to be given below: DefineIn this phase, the administration of organisation manufactured products and services as per need of user with aim of offerings satisfaction to them. It can be useful for Unilever because it provide proper guidance or direction that helps in fulfilling need of its user by providing products as per them. Measurein this level, the manager of Unilever can monitor and control the present situation of manufacturing and if there is any need related to improving them in an appropriate manner that help in production of good as per need of its user. Analysedin this level, their management of business organisation can assess issues that isrelatedtodifferentactivityofprocessofproduction.Throughthis,theycancontrol requirements for improvement in wants of its user. Improvedthis level is connected to bring modification or alteration in product and services of Organisation. In reference of Unilever, the operation management focuses on monitoring and controlling requirement of its user. Through this, they can focus on improving need or wants by providing goods as per them. Controlin final level, the manager offer proper solution to maintain balance between actions and operation related to production. In context of Unilever, the operation management team can offer goods to its user for satisfying them(Ravindran, 2016). Continuous improvement Itindicatesanongoingprocessofmakingimprovementingoods,servicesand procedures. In context of organisation, companies make innovation in their products and services due to changes in taste & preferences of their target audiences so that they can offer products and services to them as per their demands. Continuous improvement plan BasisCurrent methodologyProposed methodology CostUnilever PLC focuses on using the principlerelatedtovariancein To control demand or need of consumer theybringcreativitywithan 6
operation but they do not follow in propermanner.Creativitybetween employeescanincreasecostof production. organisation.Theorganisationcan adoptdifferentprinciplerelatedto variancethathelpsinmaking appropriate balance between production costsandenhancingproductivityof organisation. QualityIn present time, the organisation use fundamentalprinciplerelatedto maintain price or intensify innovation and creativity among worker. Due to bringinginnovationaswellas creativity, the company is capable to manage cost of production. Tomaintainbalanceincostof productionandadministrationof organisation can execute the principle relatedtocasualtybecauseitis advantageous to handle problem related to capital that help in handling cost of production. DeliveryIncurrenttime,theorganisation adoptsprinciplerelatedto accountability that helps in attaining work in timely manner. Byusingthisprinciple,ithelpin handlingbudgetbeforeissmooth running of activity that is connected to manufacturing of products and services. Throughthis,theemployeesof organisationachievetaskinan appropriatemannerbecausethecost relatedtoproductionisalready handling as per activities. ControlIn present context, the organisation adoptsprincipalrelatedtocasualty whichisappropriatelyusedfor monitoring and control the issue or problemrelatedtoCapital administration.Itimposesdirect impactonperformanceof organisation in unfavourable manner Byexecutingdifferentprincipleof organisation, the management team of company can handle issues related to inventory,capitaladministrationand manymore.Theorganisationis dependent on different department for various activities that help in reducing wastageandinventoryandsoon 7
due to problem or issue relatedto wastage. (Ravindran, 2016). Agile methodology It signifies methodologies that are depending upon iterative improvement in which need or solution evolve by using collaboration between cross functional team(Lientz and Rea, 2016). It helps in enhancing frequent inspection as well as stimulates team work and accountability. PRINCE2 Methodology:It is considered as a procedure depends upon method for appropriate project administration. This methodology adopted by national authority at UK, widely popular and it is practised in private industry at UK. T 8
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Recommendation According to above-mentioned plan, it has been analysed that organisation confronted various issues at the time of manufacturing of product and services. The operation management of organisation adopts principle of organisation that helps in smooth running of organisation and also the company interconnect with other activities of administration. The marketing department assists in monitoring and controlling need or requirement of users that help organisation to produce or manufactured goods as per the need of user. It can also recommend to Unilever that they follow principle related to administration of organisations that help in maintaining budget before the smooth running of activities of manufacturing that help in perform their work in an appropriate manner as per their budget. PART 2 P3. Produce project life cycle and documentation for completing the project Overview of case study:The construction program of London 2012 offer venues as well as infrastructure requirement to stage games. This program was extensively political as well as technical challenges and they have a fixed deadline of opening ceremony related to games. The visionof this Olympic bid into reality of road, bridges and stadia was considered as a job of Olympic. Theobjectiveof this Olympic is to deliver construction work that is mainly built on largely polluted site in East London in order to satisfy different stakeholders such as government public and media and so on(Rowe, 2020). Before implementing Plc, It is necessary to consider validity, reliability, timeliness as well as success of project that is going to be mentioned below: Validity:The project must be valid in context of performing it in timely manner. Reliability:It is necessary for organisation to use the products and services in reliable manner for success and growth of project during particular phase of time period. Timeliness: It is necessary for company to complete project in timely manner that helps in achieving goal and objective in stipulated period of time. Project life cycle 9
It is considered as a sequence that helps in undergoing particular project form from starting to end. This stages or level of project life cycle that is going to be mentioned below: Initiation stagein this level, the management of organisation conducts or implement objective of organisation to perform task, control project and also manages project in an appropriatemanner.In thislevel,the administrationof organisationwillassessneedor requirement of its employee in order to satisfy them. In context of construction programme, the management of organisation focus on providing appropriate service to its public. The program baseline report helps in provide description of program risk as well as budget that help in allocating risk among ODA and its funder. Planningherein the large project get separated into small work and implement a program that helps in completing or finishing task in an appropriate manner. In context of construction programme, the management of organisation can focuses on adopting program baseline report that help in allocating risk in an appropriate manner and also complete the project in timely manner. To improve all procedure, the management of organisation will needed 4 to 5 weeks. ExecutionIn this phase, the management focuses on converting plants into actions. The project administrator of organisation improve task and provide reliable information to team member that is connected to project and also maintain budget. In context of construction program, the manager of organisation can design objective that help in operating advanced technology and conduct program of baseline in an appropriate manner. In reference of adopting this plan the management of organisation will require 25 to 30 days. The ODA has accomplish objective both for delivery of its physical infrastructure and also this is important in achieving priority theme like health and safety as well as sustainability and many more. Monitoring:In this phase, the management focuses on monitoring activities related to project. The project administrator of organisation improve task and provide reliable information to team member that is connected to project and also maintain budget. Controlling:The management team focuses on controlling different types of functions in an appropriate manner. It assists in increasing performance level of subordinates that helps in performing different task in better way. Closure itis considered as the last step of project life cycle in that the management of organisation offer different things to complete a project in timely manner. In context of construction program, the administration can control implementation of task and coordinating 10
different things in an appropriate manner. They focus on adopting this program for fulfilling need of its public in proper way(Spiegel and Assad, 2017). Advantages and disadvantages of project life cycle model: Advantages:it offers structure that is related to delivery of specific project. It also enhances communication among team member which is beneficial for organisation. Disadvantages:There is a higher risk and uncertainty arises which is determined as a main weakness for company. Gantt chartit signifies a timeline that is adopted as a project administration technique to assess how task or work can operate. It is considered is bar chart which is given by Henry L. Gantt in the year of 1970 as manufacturing control technique. There are two axis in it in which X signifies the action as well as activity related to project. On the other hand, X axis is involved performance conducted for completing those activities. It offers a brief description regarding program that help in planning, organising or conducting a specific task and functions of business organisation. Work breakdown structureit signifies project management that organise work in an appropriate manner. It is kind of project administration that offer visual method to complete a task in timely manner(Uhl and Gollenia, 2016). It assists in separating a large project in different section in order to complete or finish by member of team and achieve objective related to project 11
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in timely manner. WBS is considered as a verbal description related to work that must be completed in an appropriate manner. P4. Critique the effectiveness of the PLC by using appropriate theories, concepts and models The application related to various techniques, methods as well as process that help in processing work by adopting program baseline report that is advantageous for construction program. There are various models as well as concept that is adopted to complete the particular project in timely manner(Van Aken, Chandrasekaran and Halman, 2016). Waterfall modelit is considered as a model which is adopted to increase growth of a chosen Olympic program. It is considered as a first model that is adopted for enhancement of software. It is used in making, controlling or monitoring activities related to project in an appropriate manner. There are several phases which are going to be mentioned below: 12
Requirementin this phase, the need connected to project design in its activities and purpose is defined in an appropriate manner. The project manager adopts visionary leadership style for satisfying requirement of project. They also bring modification in project by using this leadership style. System designIn this phase the design is prepared in such a manner that helps in describing project work in an appropriate manner. It is appropriate for organisation to make appropriate adjustment by using situation leadership style. Then main focus is to execute plan of action according to the requirement within Olympic program. Implementationin this step, the administration of construction program can gather data information that helps in implementation of program in an appropriate manner. Integration and testingin this level, all the improved unit are formulated into a particular system after assessment of each unit. In context of construction program, this process is arising within Olympic program so that any kind of fault or issues has been analysed. 13
Development of systemin this level, the functional as well as non functional assessment is finished.Themainpurposeofconstructionprogramistosatisfytheneedofdifferent stakeholders such as government or public and many more. Maintenancethere is few issues or problem within environment of organisation and the management team focuses on enhancing their vision and deliver the changes in the environment which will be helpful for organisation(Young, 2016). There are various advantages as well as disadvantages of waterfall model that is going to be mentioned below: Advantages: Before improvement in next phase, every phase or level must be finished. It is suitable for small projects in which need are defined in appropriate way. Disadvantages: Error is occurs during every phase is main disadvantage for organisation. It is not suitable for difficult project in which need changes in frequent manner. CONCLUSION Accordingtotheabovedefinedinformation,ithasbeenanalysedthatoperation management is an important aspect to control, cooperate different activity related to project. The principleofOperationManagementareappropriateforsmoothrunningofoperationof organisation in good way that help in achieving goal and objective in timely manner. It can be controlled to increase performance related to sales and also increase profit margin in future period of time. With the help of this, they can implement plan that help in assessing market status or trends and also control need or want of user during particular phase of time period. 14
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REFERENCES Books & Journals Berbegal, J., Gil, D. and Alegre, I., 2017. Where to locate? A project-based learning activity for a graduate-level course on operations management.The International journal of engineering education,33(5), pp.1586-1597. Eyers, D. and Naim, M., 2019. Project management for effective operations management. InContemporary Operations and Logistics(pp. 11-27). Palgrave Macmillan, Cham. Kerzner, H., 2019.Using the project management maturity model: strategic planning for project management. John Wiley & Sons. Lee,C.K.H.,2018.Areviewofapplicationsofgeneticalgorithmsinoperations management.Engineering Applications of Artificial Intelligence,76, pp.1-12. Lientz, B. and Rea, K., 2016.Breakthrough technology project management. Routledge. Ravindran, A.R. ed., 2016.Operations research and management science handbook. Crc Press. Rowe, S.F., 2020.Project management for small projects. Berrett-Koehler Publishers. Slack, N. and Brandon-Jones, A., 2018.Operations and process management: principles and practice for strategic impact. Pearson UK. Spiegel, T. and Assad, D.B.N., 2017. Operations project and management in trauma centers: the caseofbrazilianunits.InHandbookofResearchonHealthcareAdministrationand Management(pp. 104-119). IGI Global. Uhl, A. and Gollenia, L.A. eds., 2016.A handbook of business transformation management methodology. Routledge. Van Aken, J., Chandrasekaran, A. and Halman, J., 2016. Conducting and publishing design science research: Inaugural essay of the design science department of the Journal of Operations Management.Journal of Operations Management,47, pp.1-8. Young, T.L., 2016.Successful project management. Kogan Page Publishers. 15