Operations and Project Management: A Review of Implementation of Operations Management Principles in Tesco

This report reviews the effectiveness of operations management principles and its implementation within an organizational context. It applies a range of concepts based on the operation management principles in order to achieve continuous improvement for the organization. The report also use different concepts and theories for an effective improvement plan for the purpose of higher efficiency in the organizational operations. The purpose of this report is to understand the need of applying the Project Life Cycle (PLC) for the completion of the given project with the highest level of effectiveness.

TABLE OF CONTENTS
INTRODUCTION...........................................................................................................................3
PART 1 ...........................................................................................................................................3
1. An introduction to the chosen organisation.............................................................................3
2. An explanation of operation vs operations management.........................................................4
3. A review and critique of the implementation of operations management principles within the organization. 5
4. An analysis of the extent to which the operations management of the organization meets the requirements of the organization.
......................................................................................................................................................6
5. Discussion of continuous improvement as a philosophy and describing the Lean principles.6
6. A continuous improvement plan with justified recommendations..........................................8
PART 2..........................................................................................................................................10
Project Title................................................................................................................................10

Overview of case study..............................................................................................................10
Explanation of each stage of PLC that applies to selected project, including supporting documentation. 10
Analysing project methodologies and tools...............................................................................12
Reviewing effectiveness of PLC in application to project using appropriate theories, concepts and models. 13
REFERENCES................................................................................................................................1

INTRODUCTION
Operations management can be defined as the process that deals with the day to day approaches as well as the strategic
business issues in a systematic way. The project management deals with controlling resources, planning, motivating and organizing in
order to achieve particular goals. The current report reviews the effectiveness of operations management principles and its
implementation within an organizational context. It applies a range of concepts based on the operation management principles in order
to achieve continuous improvement for the organization. The report also use different concepts and theories for an effective
improvement plan for the purpose of higher efficiency in the organizational operations. The purpose of this report is to understand the
need of applying the Project Life Cycle (PLC) for the completion of the given project with the highest level of effectiveness. The
report monitors the rationale for the project methodologies, tools leadership within the PLC for the given project. It also critically
reviews the effectiveness of the PLC in different project with the help of appropriate theories, concepts and models. The report also
analyses various theories and models in the PLC and how they differentiate between the large and small scale projects.
PART 1
1. An introduction to the chosen organisation.
Tesco is a private limited is a multinational groceries and general merchandise retailer. The organization wad founded in 1919
in London by Jack Cohen. Currently it is headquartered in Welwyn Garden City, Hertfordshire, England (Kar and et.al., 2021). It is
one of the largest multinational grocery chains in the world and the market topper in UK with about 28 percent of the total market
share. The multinational organization generates a total net income of more that six billion pounds with total assets worth more than ten
billion pounds. The market giant employees more than 360,000 employees. The organization has multiple brands such as one stop,
booker and premier in its supermarkets, hypermarkets and superstores.
It is essential to develop effective strategies and planning for the organization to achieve its goals and make improvements that
lift the brand to success in all parts. The organization focus on making different strategies for the purpose of higher profit and
competitive advantage against its market rivals (Mohapatra and et.al., 2021). For achieving these goals, the organization aims at

providing value products services at low cost so that more customers can benefit from the products of Tesco's various brands. This
may enhance the brand value of the organization and the customer base in the market.
2. An explanation of operation vs operations management.
Operations Operations management
The operations can be defined as the process of
production of the products (Atieh, 2021). It
involves the aspects of production such as
planning, organizing and supervision of the
activities in the process to ensure the
operations are running successfully and in a
controlled way.
The operation management includes
management of the procedures of the
organization. It monitors and controls whether
the operations in the organization are carried
out with the desired quality and the desired
outcome is achieved (Dawaliby and et.al.,
2020, September). Efficiency of the operations
management ensures that the organization
achieves its business objectives.
It includes the quality of the products and
services to ensure that the desired outcome id
produced (Dawaliby and et.al., 2020,
September). It also checks the quantity so that
there is adequate production to fulfil the needs
of the customers.
It focus on the satisfaction of its clients and
ensures the resources are used with full
capability.
The decision- making is regarding the The decision- making is done in accordance

production process of the business. The entire
process demands bigger investment as the
entire output is based on the operation of the
production.
with the activities in the business system. The
activities operations of different units impact
the management (Atieh, 2021). Compared to
the operations, it requires less investment as it
is generally dependent on the outcomes rather
than the end to end process.
In context of the organization, the operations ensures effectiveness, coordination and flexibility in the organization. Tesco may
evaluate whether the procedures are going as per the plan or not to ensure better productivity.
Tesco may use the operations management to ensure better working conditions as it is purposeful and considers group efforts.
It is tangible and in dispensable and hence, can be applied to different functions and at different levels.
3. A review and critique of the implementation of operations management principles within the organization.
Implementation of operations management principles is essential for the organization to achieve the maximum level of
effectiveness and efficiency in utilizing the resources of the company. In context of Tesco, the operations management process that
may be applied is the Taylor's theory of scientific management (Dar, 2022). The main principles and strengths of this theory are-
 It advise the idea of replacing the traditional study work method by simple habits and common sense ideas of work and
perform the specific tasks with efficient and scientific methods.
 The main strength of the theory is that it focus on assigning the work based on the capability and interests of the workers by
motivating them rather than simply assigning the work (Shann, 2021). Tesco may train its workers to make them capable for
performing specific tasks.
 The organization monitors the employee performance and provide instructions and supervision to ensure effective work
methods are being used. It enables the organization to achieve higher efficiency in the operations.

 It distributes the work between the leaders and the employees so that they spent more time in their respective duties.
The implementation of the operations management principles within the organization ensures that the workers, leaders of
different functions are able to work with higher efficiency. This ultimately benefits the organization to achieve its goals.
Critiques-
Taylor's scientific management theory highlights the idea that there is only “one right way” to do something. It seeks push
decision- making through different organizational levels and pressure individual responsibility. Team work is where the Taylor's
theory fails as it tends to divide projects into smaller parts which is usually apposite to the modern methodologies (Dar, 2022). It
separates manual work from mental work and focus entirely on the mechanics, therefore, fails to value the employee side of work.
4. An analysis of the extent to which the operations management of the organization meets the requirements of the organization.
Operations management process is quite crucial as it manages the business of the organization in the most effective way. It
controls and supervise the various objectives of the firm.
Cost reduction- The management monitors the resources that are available in the organization, and they can be utilized in an
effective manner that it reduces the cost without compromising the quality (Turgut and et.al., 2022). It focus on the cost of operations
and productions and also on eradicating the unwanted cost to ensure proper production.
Quality of the products and services- The quality becomes the driving force that impact the decision- making of the
consumers. The operations management keep a check on the durability of the products and the reliability of the services and qualifies
the products that will best suit the customer's requirement.
Productivity- The operations management ensures that best employees are available along with the resources to achieve
maximum results and effective work process. It can be defined as an effective way to affirm the employees input.
In context of Tesco, the operation management contributes a lot in meeting the requirements of the organization. For example-
the quality of the goods of Tesco plays a big role in differentiating it with its competitors (Turgut and et.al., 2022). It has created a

good reputation by maintaining better quality in all its brands. The productivity ensures that all the demands of the customers are
fulfilled with utmost satisfaction.
5. Discussion of continuous improvement as a philosophy and describing the Lean principles.
In context of the lean principles, the continuous improvement can be defined as the intent of improving the entire procedures
of the organization by targeting the activities that enhance and generate the highest value for the customers and eliminating all the
waste activities that seem useless (Grubb, 2018). There are different methods of lean production such as-
 Kaizen (continuous improvement)- It is a speedy improvement process and is considered as the building block of other lean
production methods (Meissner and et.al., 2018). It mainly focuses on removing the waste and enhancing the quality to achieve
sustainable and continuous improvement in the targeted areas of the company.
 Just- in- time- It is the manufacturing in which the workflow methodology aims at reducing the flow time within the
production system as well as the response time from suppliers to customers (Betcke and et.al., 2021). It allows the
organizations tom control the unevenness in the procedures and increase the productivity by lowering the cost.
 Kanban- It is the methodology that aims at improving the efficiency of the tasks, communication in the team and maintain
continuous flow of product delivery.
 Andon- It refers to the system of alerting the operators and responsible individuals about the problem that occur in the real
time so that quick measures can be taken.
Tesco applies the Kaizen and Just- in- time principles as both these principles are effective in making fast improvements and
control cost by eliminating the unwanted waste (Meissner and et.al., 2018). The JIT methodology is effective in reducing the response
time to create better convenience for the customers.

The six sigma is a data based improvement practice that organizations use in order to achieve strategic goals (Smętkowska and
et.al., 2018). In context of Tesco, six sigma is quite effective in
 Defining the problems and task objectives.
 Measuring the current data.
 Analyzing the key findings and identifying the loopholes.
 Improve the process on the basis of identified problems.
 Controlling the procedures to avoid unevenness.
The continuous improvement plan for the organization-
 Kaizen- It helps the organization in eliminating the unwanted additions in the process and reduce cost and time.
 Quality circles- It is the group of employees that perform similar work and solve each- others work related issues regularly.
 Bench- marking- It can be defined as the process of measuring the organization's performance bu comparing the products
with products of other organization (Grubb, 2018).
 TQM- Total quality measurement is the focus of the business organization to maintain the internal quality of the organization
from the lowest level of workers to the highest executives.
 SCM- Supply chain management handles the complete production flow of the goods and services.
 ERP- Enterprise resource planning is a type of software that monitors and manage day to day business activities such as
accounts, operations etc.
With the help of this continuous business plan, the organization can eliminate the production cost, develop quality relations
between employees, identify the issues, measure the employee engagement, handle the production flow and monitor the entire plan to
achieve the best work flow possible (Jimoh and et.al., 2019).

6. A continuous improvement plan with justified recommendations.
A continuous improvement plan is quite crucial for the organizations because the ever changing market dynamics demand the
latest trends and features in place (Jimoh and et.al., 2019). It also becomes an essential element in the competitive environment and
the improvement plans comes along with certain advantages and disadvantages.
Taylor's management plan-
Pros-
 It enhances production and increases the organization's ability to control the system.
 It reduce the cost of production and focus on quick decision- making.
Cons-
 It requires high capital and the management takes the control.
 It is too much bureaucratic and not suitable for teams.
It can be improved by using specialized techniques and regular monitoring of the workflow and identifying and working on the
issues that arise.
Flexible management specialization for improvement-
Pros-
 It enhances the efficiency in the production process.
 The production is mostly automated, reducing the labor cost.
Cons-
 The built in cost is much higher and requires a lot of time in designing the system.
This can be improved by hiring specialized employees that can utilized the automated techniques in the best manner.

Kaizen's improvement plan-
Pros-
 It focus on strengthening the teamwork and improve the leadership skills.
 It benefits the employees as well as the customers.
Cons-
 Implementing bigger changes becomes complicated.
 Additional training becomes essential.
This can be improved by proper training and a system that takes care of individual interests. It also requires detailed planning
to make sure all aspects are covered.

PART 2
Project Title
In house, is the main title of current project, that drives the attention of project manager toward conducting strategic and
essential practices.
Overview of case study.
In the Midlands, organization is performing well, with 1250 candidates, who are capable to fulfil their duties and
responsibilities in appropriate manner. In the premise, employees are unable to eat their meal on-site, because of no on-site catering
facility that they expect to obtain. It is quite essential for a project officer, while working in the project & programme office as a team
member, who is accountable to deliver change programme for the company. In house project encompasses two different business
objectives and these are;
 To reduce movement of staff from premises during lunch break, which is recently developing congestion problems in the local
area.
 To support employees, for purpose of developing a healthy lifestyle which company believes is part of their corporate social
responsibility and reduce employees absenteeism.
The main motive of this project is to cook or prepare food in house, which is healthy and budget friendly, too, so that
employees can afford the same. It will help to eliminate the causes behind hampering organizational performance and impacting in
negative manner.
Explanation of each stage of PLC that applies to selected project, including supporting documentation.
Project life cycle stands PLC, which included key steps that a project manager take into their consideration, to make their
project successful in each and every manner, from starting to the end (Araújo and et.al., 2022). It encompasses different phases and
these are;
Project initiation-

In house project, is required to implement into practical manner, because it will eliminate the reason behind employees
movement out of premises. It will put positive impact on other business systems in term of reducing rush (Yong Kim and Thuc, 2021).
At initial stage, project manager can take decision related to stakeholders and specify their roles and responsibilities.
Project planning-
After completing first stage, project manager can move to the next step, where they make plan related to varied things like
prepare work breakdown structure, project schedule development, planning related to resource, budget, communication and risk as
well as quality.
Project execution-
The third phase drives the attention of management toward considering changes and requirement related to the same and then
focus on project deliverables. Under this phase, team performance will be measured that also affect project success.
Project closure-
This stage can drive the attention of management toward closing the project and delivering the final outcomes.
Building case-
Name of the Project - In House Project.
Vision and objectives-
 Reduce the movement of candidates from organization during lunch break.
 Support staff to develop a healthy lifestyle.
 To reduce employees absenteeism.
Mission-
The mission of current project is to create a comfort and pleasant environment for employees where they can spend time
during lunch break and have a healthy lifestyle.
Executive summary-

The main reason to develop the project is to eliminate the employees' absenteeism by building in house canteen.
New idea of innovation-
In house catering, with all the healthy meal menu.
Opportunity-
It helps to grab the opportunity of employee retention and increase level of their commitment.
Improve on what already have?
It will help to improve and increase staff performance as well as their strength.
Resources-
People, time, human resource, plan, and budget.
Project plan-
Task
Mode Task Name Duration Start Finish Predecessors
Auto
Scheduled Project Initiation 11.5 days Wed 3/2/22 Thu 3/17/22
Auto
Scheduled
Identification of project
objectives 3 days Wed 3/2/22 Fri 3/4/22
Auto
Scheduled
Setting project
deliverables 3.5 days Mon 3/7/22 Thu 3/10/22 2
Auto
Scheduled
Defining clear project
scope 2 days Thu 3/10/22 Mon 3/14/22 3,2
Auto
Scheduled Setting milestones 3 days Mon 3/14/22 Thu 3/17/22 4
Auto
Scheduled Planning 13 days Thu 3/17/22 Tue 4/5/22
Auto Budget planning 2 days Thu 3/17/22 Mon 3/21/22 5

Scheduled
Auto
Scheduled Resource planning 4.5 days Mon 3/21/22 Fri 3/25/22 7
Auto
Scheduled Risk management 4 days Mon 3/28/22 Thu 3/31/22 8,7
Auto
Scheduled
Addressing potential
issues 2.5 days Fri 4/1/22 Tue 4/5/22 8,9
Auto
Scheduled Execution 13 days Tue 4/5/22 Fri 4/22/22
Auto
Scheduled Deliverables 3.5 days Tue 4/5/22 Fri 4/8/22 10
Auto
Scheduled Adjust and update tasks 3 days Mon 4/11/22 Wed 4/13/22 10,12
Auto
Scheduled
Communicate between
team members 2 days Fri 4/15/22 Mon 4/18/22 7,13
Auto
Scheduled Manage budget 3.5 days Tue 4/19/22 Fri 4/22/22 14
Auto
Scheduled
Team performance
measurement 1.5 days? Fri 4/22/22 Mon 4/25/22 14,15
Auto
Scheduled Closure 6.5 days Tue 4/26/22 Wed 5/4/22
Auto
Scheduled
Analysis of project and
final results 2 days Tue 4/26/22 Wed 4/27/22 16
Auto
Scheduled Document project closure 2 days Thu 4/28/22 Fri 4/29/22 18,16
Auto
Scheduled
Analyse project
performance 2.5 days Mon 5/2/22 Wed 5/4/22 18,19

Risks and potential benefits-
Lack of time, data privacy, operational and functional terms are included in category of risks. When project manager considers
all risks it provides potential benefits to them such as deliver project on time, with fulfilling stakeholders needs.
Cash flow forecast-
The below is the cash flow forecast for the next 12-months with respect to the cafeteria that is going to be open in Midland.
Cash flow forecast for the 12
months
Particulars Jan Feb Mar Apr May June July Aug Sep Oct Nov Dec Total
Cash Receipts
Cash sales 5000 5500 6000 6200 6300 6400 6500 6600 6700 6800 6900 7000 75900
Bank Loan 2000
0
1000
0
30000
Total receipts 2500
0
5500 6000 6200 6300 1640
0
6500 6600 6700 6800 6900 7000 10590
0
Cash Payments
Food Purchases 2500 2600 2700 2800 2900 3000 3100 3200 3300 3400 3500 3600 36600
Beverage Purchases 700 800 900 1000 1100 1200 1300 1400 1500 1600 1700 1800 15000
Rental charges 100 100 100 100 100 100 100 100 100 100 100 100 1200
Web hosting 50 50 50 50 50 50 50 50 50 50 50 50 600
Salaries 1000 1000 1000 1000 1000 1000 1000 1000 1000 1000 1000 1000 12000
Utilities 40 40 40 40 40 40 40 40 40 40 40 40 480
Insurance 60 60 60 60 60 60 60 60 60 60 60 60 720
Maintenance 100 100 100 100 100 100 100 100 100 100 100 100 1200
Hood cleaning 100 100 100 100 100 100 100 100 100 100 100 100 1200
Trash disposal 70 70 70 70 70 70 70 70 70 70 70 70 840
Office supplies 100 100 100 100 100 100 100 100 100 100 100 100 1200

Accounting 250 250 250 250 250 250 250 250 250 250 250 250 3000
Capital purchases 5000 7000 12000
Loan Repayments 0 200 200 200 200 200 200 200 200 200 200 200 2200
Total Payments 1007
0
5470 5670 5870 6070 1327
0
6470 6670 6870 7070 7270 7470 88240
Net Cash flow at the end of the
month
1493
0
30 330 330 230 3130 30 -70 -170 -270 -370 -470 17660
Opening cash balance 0 1493
0
1496
0
1529
0
1562
0
1585
0
1898
0
1901
0
1894
0
1877
0
1850
0
1813
0
0
Closing balance 1493
0
1496
0
1529
0
1562
0
1585
0
1898
0
1901
0
1894
0
1877
0
1850
0
1813
0
1766
0
17660
When and where costs incurred-
Through the above cash flow forecast, the following fixed and variable costs have been identified with respect to the cafeteria of
Midland.
Variables costs would be varied in all the months concerning the cafeteria of Midland depending upon the demand for the products by
the employees of Midland. It includes purchases related to foods and beverages or raw materials concerning these foods & beverages
items.
Fixed costs would be incurred constantly throughout the period beginning from January to December and includes the following:
 Rental charges, web hosting, salaries, utilities, insurance, maintenance, hood cleaning, trash disposal, office supplies,
accounting and loan repayments.
 Further, a non-cash expenses of depreciation would be charged over the capital assets of the firm which is £12000 @ 10% p.a.
on straight line basis. Therefore, £1200 would be the fixed cost concerning the depreciation of capital purchases made for the
cafeteria.
When will project break-even-

To determine the breakeven point (in terms of sales) at which the project would bring back the costs incurred for the entire year would
be determined as follows:
Sales = £75900
Variables costs = Purchase of Foods and beverages = 36600 + 15000 = £51600
Fixed costs = rental charges + web hosting + Salaries + Utilities + Insurance + Maintenance + Hood cleaning + Trash disposal +
Office supplies + Accounting + loan repayments + Depreciation = 1200 + 600 + 12000 + 480 + 720 + 1200 + 1200 + 840 + 1200 +
3000 + 2200 + 1200 = £25840
Profit = Sales – (fixed costs + variable costs) = 75900 – (51600 + 25840) = 75900 – 77440
Contribution Margin = 1 – (Variable costs / Sales) = 1 – (51600 / 75900) = 1 – 0.68 = 0.32
Breakeven Sales = Total fixed costs / Contribution margin = 25840 / 0.32 = £80750.
Saving be and when will project break-even-
Time will the saving be and project break-even will be done during change require.
Business strategy for project-
New area develop is the best business strategy that company can implement practically.
Benefits and drawbacks-
It helps to increase employee retention and commitment level, while consume a lot of time.
Solutions for limitation-
Project manager can take approach to consider time and other limitation and then take smart move accordingly.
Conclusion or suggestions-
From above analysis, it has been concluded that project manager by using the best project management tools and methods has
achieved set aims. They can conduct more practice to reach desire outcomes in term of providing training and generating awareness in
the workplace among employees.

Pros and cons of plc-
Project life cycle consist some advantages such as it provide a well-structured method that used to delivery a project on time,
according to deadline. It also includes some disadvantages such as the growth is hard to measure on each stage, and PLC may not
ideal for object oriented projects or assessments.
Project plan-
The current term refers to set of activities and decisions that project manager take to define the clear execution and control
phases of their project.
Advantages and disadvantages of project plan-
Project plan provide varied benefits, such as boosts project performance and saves times, as well as improve team
communication and collaboration. While, it may false sense of security and quite expensive too.
Cost benefit analysis-
Total costs that would be incurred in the upcoming month would be = fixed costs + variable costs = 25840 + 51600 = £77440
Total earnings in terms of sales = 75900
Earnings in terms of increased productivity of employees due to saving of time and comfort as a result of getting food in their own
premises = £50000 (approx.)
Total earnings = 75900 + 50000 = £125900
Therefore, the cost – benefit ratio = 77440 / 125900 = 0.61.
Work break down analysis-

Analysing project methodologies and tools.
Agile methodologies-
Scrum, six sigma and Kanban, is the best agile methods, that project manager can utilize to reach desire outcomes. Scrum is
effective because it characterized by stages or cycles of development (Losana and et.al., 2021). Six sigma, is also included in the
category agile methodologies, which provide company tools that it can utilize to improve the capability of venture process or project
such as in house catering. Kanban, is the best Japanese origin method that utilize to organize on a board divided into columns.
Benefits and drawbacks-
Scrum is beneficial because it helps to motivate team and enable them to meet deadline for project, while it affect negatively
as segmentation of project and finding for agility of development might lead team to lose track of their task. Six sigma, is useful
because it help to reduce any error or defect related to the project, on the other hand it affect in negative manner, by creating rigidity
that can be delays creativity. The key advantages of Kanban, is that it have capability to view all tasks under one project and also
limit number of running activities. The same agile methodology includes some drawbacks such as lack of time frame, which is
essential for team members to follow.
Project management tools-
Trello and Zoho are the best project management tools that project manager can utilize to complete in house project.
Advantages and disadvantages-
Trello is beneficial tool because it empowers manager and their team member to manage their project, and conduct practice of
tracking task appropriately, along with workflow. On the other hand, it encompasses some drawbacks such as does not show task
dependencies and fully features project management tool. Zoho as PM tool enable user to create a budget, schedule tasks and develop
tasks that help to achieve success. While, it can put negative impact on work in term of having some drawbacks such as poor
dashboard functionality and high learning curve.
Project leadership within PLC-

The current term is considered as art of steering a group toward successful delivery of any project, either it is small or large. A
project leadership within project life cycle may assure that together, groups and a group member accomplish more than they as work
or perform as individual.
Pros and Cons-
It helps to boost the morale and increase productivity of employees, while it consumes a lot of time for those who are unable
how to work with a project or within the same.
Reviewing effectiveness of PLC in application to project using appropriate theories, concepts and models.
Performance management benefits and disadvantages-
The current term is quite beneficial for the company success, because it encompasses some advantages such as help to boost
employees morale, and increase retention rate (Hristov and et.al., 2021). While, it also includes some drawbacks such as time-
consuming, biases, and others.
Evaluation-
PLC is quite effective because of varied reasons, for example it includes milestones, target, benchmarks, and key performance
indicators that help to make a project successful. Performance life cycle, it effective and beneficial, as it specify the important aspects,
that is essential for project manager to take into their consideration.
Monitoring-
It can be reviewed that project monitoring is important because it helps project manage to evaluate the success and growth of
their project. They can monitor project in term of considering the employees' performance, that require good monitoring, which enable
them to gain knowledge about milestones achievement.
Importance of reliability and validity-
Reliability and validity are those key sources on the bases of which evaluation can be done in appropriate manner. It may
enable project manager and management to take right decision that help to achieve above aims and objectives.

Programme theory and logical theory-
The current theory may drive the attention of manager toward considering, why and what program, exist and reason for their
existence. Agile methodology is applicable for the new project as it help to make project life cycle and their stages effective, in form
of driving the concentration of manger toward making work more reliable and valid.
CONCLUSION
On the basis of above discussion, it has been concluded that utilization of project management methodologies and project life
cycle stages, manager has delivered the right and useful project to the company. It has successfully eliminated the absenteeism of
employees in effective manner, by building in house canteen.

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