Principles of Operations Management

Principles of
Operations
Management

Contents
INTRODUCTION...........................................................................................................................3
TASK 1............................................................................................................................................3
1. Introduction of organisation.....................................................................................................3
2. Explanation of operational manager roles and responsibilities...............................................3
3. Core operational activities of Domino's Pizza.........................................................................5
4. Interrelationship between the operational activities................................................................5
5. Current trends...........................................................................................................................7
6. External and Internal environmental analysis..........................................................................7
7. Internal and External factors of organisation...........................................................................9
8. Operation management and it supports to long-term Strategic goal......................................10
TASK 3..........................................................................................................................................11
Determine the appropriate allocation of resources for operation management.........................11
TASK 4..........................................................................................................................................15
Conduct a strategic analysis (SRA) on the operations functions of an organisation.................15
CONCLUSION..............................................................................................................................16
REFERENCES..............................................................................................................................17

INTRODUCTION
Operation management can be defined as a process which is focused by business entities
for the purpose of administrating all the business practices for the purpose of reaching long term
strategic goals. It is focused by managers in companies to covert labour and material in product
and services and then generates higher profits. There are various principles of operation
management such as reality, humility, success, change, accountability, quality control etc. which
should be focused by all the top level executives for attaining growth for business. All of them
can provide higher level of visibility in to the operations so that effective decision for future
could be formed appropriately (Savino, Manzini and Mazza, 2015). For better understanding of
the concept of operation management a restaurant named Domino's Pizza is selected. It was
founded by Dominick DiVarti, Tom and James Monaghan in year 1960. It is one of the largest
restaurant chains which are operating business all around the world. This assignment covers
various topics such as understanding of impact of business environment on operations and the
purpose of operations in support of organisational strategy. Additionally, appropriately allocation
of resources for operation management along with strategic risk analysis on the operation
functions are also covered in this project.
TASK 1
1. Introduction of organisation
Domino's Pizza is a fast food restaurant chain which is execution operational activities in
different locations around the world. CEO of the enterprise is Richard E. Allison. It is public
limited company which is operating business under food delivery franchising industry. It
operates business in around 16000 locations and the operations are carried out with the help of
more than 290000 staff members (Choi, Wallace and Wang, 2018). There are various types of
items which are sold by it to the customers. These are pizza, pasta, dessert, chicken wings,
submarine sandwiches etc. The entity is growing continuously because of its good market image
and high quality of eatables and beverages which are sold by it to the customers.
2. Explanation of operational manager roles and responsibilities
Operational manager is a person who is responsible to make sure that all the operational
activities are performed systematically. In Domino's Pizza there are various individuals are
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working on this job profile for the purpose of executing the operations in systematic manner.
There are various roles and responsibilities of them which are as follows:
Roles: Operation managers are one of the key personnel in upper level of management which
makes sure that company performs with full productivity. Their role involves keeping control on
multiple areas of the business and its operation. Some of the rules of the operation manager of
Domino's Pizza are as follows:
Workflow and staffing: The basic role that operation manager perform is to handle the manpower
requirement of the different department of organisation. They play a major role in working with
HR of the company to select and train employees along with handling issues (Vivaldini and
Pires, 2016). As they are aware of the needs of department they are effective in adjusting the
workflow and fulfilling the staffing demand to improve performance of operation.
Monitor inventory and supply chain: another role that operation manager performs is to
supervise supply chain processes and track inventory for the operations. They are also
responsible for properly stalking the finished product and delivering it to the retailers to meet the
demand. Each and every department is busy in their specific processes while operation manager
supervise the entire process and interfere to make adjustment.
Responsibilities: this is a requirement of the job provide profile of operation manager in the
organisation. It is their duty to comply with all these responsibilities so that organisation can
perform with full productivity. Some of them are as follows:
Frame policies and strategies: one of the major responsibility that operation manager in any
organisation perform is to make strategies that align with companies vision and mission
statement. They are also responsible for framing policies for different departments so that rules
and laws are fully implemented in the operations of the Domino's Pizza.
Working with senior stakeholders: operations manager roles are concerned with supervising and
controlling overall operations and thus is it it is needed that it works with upper level
management of the organisation (Cotrim, Leal and Filho, 2017). This is one of the major
responsibility as oral strategies are framed so that operations can function smoothly and achieve
organisation objectives.
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3. Core operational activities of Domino's Pizza
Domino’s Pizza production process is well structured and design according to customers
demand. There is stepwise process by which cool operational activities of production is carried
out in the organisation. The steps are as follows:
Demand forecasting: in order to plan demand and manage inventory it is important that
demand is forecasted effectively. This forecasting is then communicated to production
department of Dominoes which also increases overall supply chain and its efficiency. It also
helps companies to control its inventory Stop distribution, optimise orders on the basis of
distribution and meeting quality standards.
Supply chain management: Dominos consider make to stalk approach on the basis of just-in-
time technique. The sales organisation to make orders when there is demand so that stock cost is
kept minimum (Davis and et. al., 2018). Through this approach demands are met faster along
with certain advantages like consistency in Quality, effecting by buying power to reduce cost of
fluctuating prices and minimising issues of packing material.
Quality management: in Dominoes quality is maintained so that brand image can be improved
and industrial laws are regulated. There is agreement between suppliers and Domino's Pizza
regarding the quality of raw material and packaging. Along with this controlling system check
the safety and consistency Of food ingredients. There is a mechanism which analysed and check
samples and monitor customer feedback to maintain quality.
Innovation: this with application of radical innovation by the dominoes in its supply chain
system Mr the technique of viral marketing introduced by Domino's Pizza is one of the greatest
example of position innovation. The process of delivering pizza in 30 minutes has a great
creative approach. Along with this it is important that product is protected from my sure,
physical damage, heat and stickiness (Soto-Silva and et. al., 2016).
In all the above are the core operation activities that are carried out by Domino's Pizza in order to
be effective in its operations and meet the specifications demand of the customer.
4. Interrelationship between the operational activities
Operation are integral part of the organisation and strategies are made accordingly to achieve
objectives. So there is a need that different operational activities into relate with each other so
that proper management can be achieved. The interrelationship or as follows:
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Planning: operation management has responsibility to call collaborate with other departments
and their heads so that planning for the overall operations can contribute to the long-term
strategy of company. This also helps to assist functional component of the strategies and
activities are planned according so that they can contribute to the overall performance of the
organisation. This into relationship includes deter mining policies for management, budget and
support services (Lelieveld, Holah and Gabric, 2016). This into relationship shows that Dominos
Pizza ensures that all functional units are aligned with the direction for effective overall
operations.
Direction: to ensure that the plan is this effective operation management is also responsible to
provide direction to different departments. There is a need that all departments complete their
functions according to the planning so that productivity golden standards are achieved. There's
also need That necessary corrections are taken so that quality standards can be met. This shows
into relationship in coordination between the operation management and other departments of
Domino's Pizza.
Coordination: operation management also assist in achieving organisational strategy goals with
the help of coordinating functions of various functional unit of the company. The sales in
improving efficiency by maintaining relationship between the department and even allow them
to operate independently. In this operation management please a major role in coordinating and
directing the activities in maintaining relationship between the different departments of the
Domino’s Pizza.
Production and other departments: an organisation is a system of several soft departments
which work together to achieve organisational objectives. Manufacturing department or the
production unit uses raw materials, machinery to turn it into Finnish product which has some
value for customers (Syed, 2016). All such sub-systems are interdependent and maintain
relationship in order to make production department efforts successful. There are number of
activities that are interlinked between production and other departments so that they can
effectively meet ever changing demand of consumer for Domino's Pizza.
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