Operational and Project Management: Quality and Capacity Management at Tesco

Operational and
Project Management

Table of Contents
INTRODUCTION ..........................................................................................................................2
TASKS.............................................................................................................................................2
1. Quality Management ..............................................................................................................2
2. Capacity & Inventory Management .......................................................................................5
Capacity...........................................................................................................................................5
types of Inventory ..........................................................................................................................6
Table of ABC Analysis of Tesco-....................................................................................................8
2.Inter relational with one other department ..............................................................................8
CONCLUSION................................................................................................................................9
REFERENCES..............................................................................................................................10
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INTRODUCTION
Quality Management allows the company to make its products or services consistent and it
makes sure the quality of products and services are superior. This management is essential to
create quality products to satisfy the demands of customers in terms of relatability, durability and
performance. In this project the chosen company is the Tesco. It is one of the top leading
companies in the world which is a multinational grocery and retail company which has
headquarters in Welwyn Garden City, Hertfordshire, England. This project will talk about the
Inventory Management. It is the whole process of managing inventories from raw material to
finished products which defines the process of ordering, storing and selling the inventory of the
company. It also includes the raw materials, finished products and processing of such items.
This project will help in the understanding the dimensions of quality, tools of quality and the role
of quality in the Management of Tesco with objectives of capacity management. Moreover, it
elaborates the various steps of capacity planning so that the consequences of capacity
management system of the company can be understood. This project will talk about the methods
of forecasting Demand, various examples of votality forecasting at the company and analysis of
the ABC system theory.
TASKS
1. Quality Management
Quality Management theory
 Definition of Quality
It is a degree of excellence as lack of quality leads to poor management,ineffective assurance
which can affect the consequences for individuals, business and society as a whole.
 Dimensions of Quality
There are eight dimensions of Quality which are as follows-
◦ Performance- It is a link between the customers and suppliers and if the
performance is poor then it may lead to increase in negative reviews which directly
impact the loss in reputation as well as sales.
◦ Features -Theses are the characteristics which helps in enhancing the appeal of the
products or services to the customers. Features add to the benefits of the products to
make it
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◦ Reliability- Various brands have maintained trust with its customers all because of
the reliability of the customers. It is the ability to do anything consistently within the
specifications . It is directly linked to the performance of the product.
◦ Conformance- It makes sure that the design of the product given by the customer is
properly followed.
◦ Durability- It helps to measure the life of the product to make sure the product can be
repaired and used by the customers
◦ Serviceability- It makes sure that the customers are highly satisfied with the
products and services of the company so that the ability of the product is maintained
and repaired easily.
◦ Aesthetics- It plays a major role in the company to build up the identity of brand.
◦ Perceived quality- It refers to the thinking about the brand and how the customers
think about the specific product.
 Importance of Quality in reference to revenue and cost
Maintaining quality enables the company to charge and maintain the higher prices and it focuses
on satisfying the customers to retain their loyalty so that they can choose the company again in
the future.
 Quality Management of Tesco
Quality management is all about making the company perform for its stakeholders in order to
improve their products, services, systems and processes. It is a commitment to known and
unknown consumers in the market. This management is important for an organisation to analyse
the performance of various type of responsibilities and activities in order to provide products
and services. It focuses to guarantee that all company's stakeholders to change the rules, products
and services of company to elevate the happiness of client to keep them satisfied (Wu and Lai,
2021).
Tesco always makes sure about the quality of the products the sell as the company has
highly skilled employees and management teams to ensure the expectations of the clients are
fulfilled. Their main focus is to manage the quality of the product from the original product to
the main customers and stores. They also analyse the needs of the customers as per the market
trends and by the help of expert team to develop the best quality product in the market.
Total Quality Management
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