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Supply Chain Management: Risks and Mitigation Strategies

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Added on  2021/02/22

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This assignment provides an in-depth analysis of supply chain management, focusing on the risks involved and effective mitigation strategies. It discusses various theoretical perspectives and practical applications, highlighting the importance of collaboration, logistics capabilities, and sustainable practices. The assignment also touches upon the role of big data analytics in improving supply chain management. It's a valuable resource for students and professionals looking to enhance their knowledge in this field.

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Understanding
Operation, Logistics
and Supply Chain
Management

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Table of Contents
INTRODUCTION...........................................................................................................................1
MAIN BODY...................................................................................................................................1
Introduction to Queen Elisabeth Hospital and Two Main Topics Chosen.............................1
Explanation of Theories to Managing Quality, Its Application, Critical Analysis and Example
................................................................................................................................................2
Application of Theories to Managing Business Relationships in Supply Chains, Its
Application, Critical Analysis and Example..........................................................................4
Recommendations..................................................................................................................7
CONCLUSION................................................................................................................................7
REFLECTION.................................................................................................................................8
REFERENCES................................................................................................................................9
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INTRODUCTION
Operations Management can be defined as the process with the help of which the
different operations performed in an organisation are managed in order to achieve efficiency in
the work (Operations Management: Definition, Principles, Activities, Trends, 2019). Proper
administration of tasks will help the company in achieving efficiency and the improvements can
also be made in them. Logistics can be defined as the proper planning and execution of
transportation and storage of the products and services of an organisation (Chen, Sohal and
Prajogo, 2013). Supply Chain Management is a broad concept that focuses on the management
of supply chain by an organisation such as by maintaining good relation with those covered in
supply chain. The focus of this assignment will be on Operations Management, Supply Chain
Management and Logistics that are important for the proper functioning of an organisation. The
assignment will make its focus on managing quality and maintaining good relationships with the
people covered in the supply chain and it will be done with the application of various theories
and models.
MAIN BODY
Introduction to Queen Elisabeth Hospital and Two Main Topics Chosen
The organisation chosen for the completion of this assignment is Queen Elisabeth
Hospital, which is a UK based organisation that provides health care services to their customers.
The Queen Elisabeth Hospital is in top 40 hospitals on the 34 rows according to CHKS
(Christopher, 2016). This hospital is a part of the Lewinsham and Greenwich NHS Trust. The
following hospital was formed on 1 Octobor, 2013 and the operations of this hospital are carried
over in Lewisham and Greenwich.
The following assignment will makes its focus on the tow main areas of concern which
are related to the managing quality and maintaining good relationship with the people in the
supply chain management of an organisation. The discussion of these two concepts is provided
as under:
Managing Quality: It can be defined as the process which is engaged with making inspection of
all the processes of an organisation which can impact upon the quality of the products and
services of an organisation. The improvement in the quality of products and services of an
organisation could be made with the help of implementing good policies for the organisation that
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could provide the employees to focus on the major areas where the deviations related to the
quality are found. Company receives payment from the customers for the services they are
selling to them so it is also required for the organisation such as Queen Elisabeth Hospital to
provide the customers with the best possible quality of service. As the organisation is a
government body so the main motive of this organisation is not to earn profit but work for the
welfare of society (Gimenez, van der Vaart and Pieter van Donk, 2012). In case, the company is
not focusing on the quality of the products than it will lead to impact badly on the working, sales,
profit and brand image of the organisation in the market.
Managing Business Relationships in Supply Chains: The following point says about the
relationships that an organisation should have with the people covered in the supply chain. In the
supply chain of an organisation, people covered are customers, suppliers, government and many
more. So it is important for the organisation to maintain proper relation with the people in the
supply chain because these are the one which helps in the survival of the company in the market.
As the company sells their products to customers in the market so they are the source of income
for the company. In this way, it becomes important for the company to maintain goo relationship
for long term with the individuals covered in the supply chain. It can be done with the help of
providing good quality services to customers, contracts with suppliers, paying proper taxes and
following the rules and regulation made by government will help the company in managing good
relationship with those covered in the supply chain (Heckmann, Comes and Nickel, 2015). This
will help in making the customers loyal for the company, reduces government intervention in the
working of organisation, makes suppliers to have faith in the company.
Explanation of Theories to Managing Quality, Its Application, Critical Analysis and Example
Queen Elisabeth Hospital is located in UK and provide 24 hour medical facility to the
customers. This hospital purpose is to improve the health of the patient by providing them best
medical care. They do search work on continuous basis as well as come up with innovation in the
medical field so that best medical facilities can be provided. TQM is adopted by the hospital so
that best outcomes can be received and effective medical care can be served to the customers.
This improve their workforce efficiency on continuous basis. Total quality management is a
customer oriented process works for the up-gradation of business operations in the competitive
world. The main objective of the this is to investigate problems, focus on customers demands,
promoting decision making among workers and building commitment. However, the strengths of
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the total quality management is to raise profitability, improve customer base, enhance market
image etc. Queen Elisabeth Hospital adopts total quality management in their working so that
best outcomes can be achieved in the cut throat competitive world. By using TQM customer can
be provided with best quality treatment and more customer base can be increased which is a
positive sign for the company. It leads to up-gradation in profit a maximization in the cut throat
competitive world. Administration follows total quality management in their working criteria so
that fast and quality treatment and medical services can be provided to the customers. Here, there
are distinguished principles related to total quality management in Queen Elisabeth Hospital
health care which are explained as follows:
Total employee involvement:Total quality management aid the Queen Elisabeth
Hospital health care to increase more customers base for the services in the market place. When
every staff members like, nurses, doctors, physician etc. are working day and night to meet the
emerging needs of the customers then set objectives can be achieved on time (Heizer and et. al.,
2017). Employees working in Queen Elisabeth Hospital provide effective medical services to the
patient so that early recovery of customers can be done. By doing so goodwill can be raised in
the market place and huge profit can be maximized.
Customer focused: Queen Elisabeth Hospital is more focusing on customers needs and
demands. By adopting total quality management emerging needs of the customers can be
fulfilled and they can be made satisfied with the services accordingly. Organization works for the
betterment of the patient and tries to provide best medical facility to them so that degrading
health can be cured. By doing do faith and trust of the patient can be gained strong bond can be
build for longer time duration in the cut throat competitive world.
Strategic and systematic approach: In this case tactics are formulated in order to
integrates quality as a core components. Queen Elisabeth Hospital by following total quality
management desired goals can be achieved as well as vision and mission can be fulfilled.
Effective strategies are designed by the business associates in order to provide best and quality
medical facilities to the customers (Neilson, 2012). It assist the enterprise to come up with
effective tactics in order to gain more market ratio in the competitive world.
Communication: Effective communication skills helps administration to attract potential
customers towards the service offered by Queen Elisabeth Hospital in the market place. Top
level management carries out free flow of communication so that employees like, doctors,
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physician, nurses gets motivated to provide best medical care to the patient. Due to which best
results can b e achieved in the cut throat competitive world.
The applications of total quality management (TQM) in the working premises assist to
increase targeted customer base for the service. It plays a significant role in the fulfilling
emerging needs, demands and preferences of the customers in the cut throat competitive world.
Total employee involvement and communication application helps the Queen Elisabeth Hospital
to improve goodwill in the eyes of the patient due to which sales volume for the medical
facilities raised at a tremendous scale. Whereas, strategic approach assist the business associates
to design effective and efficient strategies to create tough competition for others in the global
market. By doing so Firm can survive for longer time duration and is able to serve best medical
facilities to it's potential customers in the competitive market place. Queen Elisabeth Hospital is
more customer focus are keep them in their priority level due to which huge market ratio in
terms of medical services is captured in the cut throat competitive world (Rushton, Croucher and
Baker, 2014).
Example: Alliance Health care in UK deals in pharmaceutical and carries out total
quality management in their working pattern due to which tremendous growth can be seen in the
market. It assist in maximization huge profits by following TQM in the working premises. As
well as it raised market ratio in the cut throat competitive world.
Critical analysis:
Total quality management should be adopted by hospital so that overall business
operations can be improved and best results can be achieved. It is the essential task which need
to be carried out effectively by the organization in the competitive world. Avoidance of total
quality management reduces the productivity and profitability level. Due to which best medical
care is not provided to the patient . All this directly affect the market value of the Queen
Elisabeth Hospital in the eyes of the customers.
Application of Theories to Managing Business Relationships in Supply Chains, Its Application,
Critical Analysis and Example
As operational management is concerned with area of management which is responsible
for proper designing and controlling the process of production and thereby redesigning the
business operations in such a manner that leads to the production of goods and services in the
efficient manner. The major purpose of operational management within the respective
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organisation is to create a highest level of efficiency within the organisation. Therefore in order
to have proper supply chain management within Queen Elisabeth Hospital it has been analysed
that should adopt appropriate approach so that it attains maximum efficiency in logistics and
supply chain management.
ď‚· Business Network Approach- This is a open system approach in which respective
organisation should interact within the business environment in a negative manner.
Therefore Queen Elisabeth Hospital should make a complex network of relationships
with suppliers, customers, competitors, employees and many other stakeholders. In
accordance to this approach, respective business created a model of business network in
which they business has been describes as the interrelation of the various business
activities, actors and resources (Gligor and Holcomb, 2012). Actors is considered to be
the organisation in which business takes place by the maximum utilisation of the
resources. Resources are considered to be the technical, personnel or the capital required
by the company so as to function its business activities in a proper manner. Therefore,
this structural dimension helps the respective organisation to maintain series of network
with various stakeholders as well as ties links with resources and activities within the
organisation in a better manner.
Application of Model within NHS
As business network approach allows employees to make series of network with various
stakeholders , it is explained as follows-
ď‚· Customers- For proper operations and supply chain management it is necessary for the
respective organisation to make proper relationships with customers by providing them
services according to their demand and requirements and therefore attains maximum
efficiency in business operations. Therefore Queen Elisabeth Hospital should provide
with necessary health facilities to improve the healthy life style (Sunil and Meindl, 2013).
ď‚· Employees- It is necessary for the respective organisation to make proper relationships
with employees within the respective organisation by providing them with proper policies
and regulations and therefore necessary guidance should be provided so that employee
can work in a effective manner towards rendering services to the customers and
maintains efficiency in their operational and supply chain management.
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ď‚· Government- There is always the role and interference of the government in the daily
business activities of the organisation. It is required for the respective organisation to
work according to the governmental rules and regulations and its set policies and
principles so that there is no issue in supply chain and and Queen Elisabeth Hospital can
attain maximum efficiency in their business operations and enhances brand image in the
market (Touboulic and Walker, 2015).
This model shows that making proper relationship with the various stakeholders of the respective
organisation helps them to maintain efficiency in supply chain management activities and
provides efficient services to it customers.
Tripple Bottom Line
Tripple Bottom Line is a framework which consist of three parts such as social,
environmental and financial. It is necessary for respective organisation to adopt the TBL
framework as a way to evaluate their performance and achieves greater business values. It is
divided into three categories which is described as follows-
ď‚· Social aspect- It is considered with the employees or the individuals which is involved
in the business activities or as a wider community where the business exist. Therefore its
is necessary for Queen Elisabeth Hospital to provide fair wages to its employees and
benefits the individuals within the society as a way of providing them better services and
attains maximum efficiency in their business operations (Van Wassenhove and Martinez,
2012).
ď‚· Economic aspect- This aspect is considered with that every business exist for attaining
the maximum profitability. In addition to this respective company should ensure that
efficient services should be provided to the customers which enhances their brand image
in the market and maintains productivity within the organisation.
ď‚· Environmental Aspect- This factor is considered with respective organisation that
business activities should be function in such a manner that leads to the attainment of
organisational goals without impacting the environment and thereby maintaining
sustainability. Therefore Queen Elisabeth Hospital should ensure that supply chain
services should be adopted in such a manner that minimises its impact on environment
and should adopt eco friendly services.
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This approaches will assist Queen Elisabeth Hospital to maintain efficiency in operational
activities and thereby maintains proper configuration in supply chain activities (Wang and et. al.,
2016).
Recommendations
With the help of above analysed data, it has been recommended to Queen Elisabeth
Hospital that although the performance of the organisation is good in most of the aspects but
there are some grounds in which the improvements could be made by the organisation with the
help of application of different theories and models in the working of the company. It could
make improvement in the quality of services provided by the company to their customers. The
use of Total Quality Management Approach in the working of Queen Elisabeth Hospital will
provide various aspects on which the company could make improvement such as it will help in
increasing employee engagement which is very important for delivering good quality services for
the customers. The organisation is recommended to develop their policies, strategies and plans to
make improvement in the way of delivering services to the customers. Additionally, it is also
recommended to the company that it is important for Queen Elisabeth Hospital to maintain good
relationship with the people in the supply chain of the organisation such as by knowing their
needs, by providing them good quality services such as the suppliers, customers as they are main
factors on the which the success and failure of an organisation depends upon.
CONCLUSION
From the above assignment it has been concluded that operations management, supply
chain management and logistics are one of the key important factors that are to be taken into
consideration at the foremost preference by an organisation. In addition to this, it is also
concluded that the application of TQM Approach will help the company in making
developments in the quality of services they are providing to their customers. Further, the
conclusion has been made about the use of network theory and triple bottom line approach that
tells about the management of good relationship with the people in the supply chain as this will
help in ensuring proper growth and development of the organisation in the market.
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REFLECTION
This following is the reflection of my own experience which I came across during the
completion of this project. I passed through many experiences which were both positive and
negative at the time of the completing the given project. The completion of this assignment
enhanced my knowledge about the concept of Understanding Operation, Logistics and Supply
Chain Management. Before doing this assignment I was not known with the aspects which is
important for every business organisation. This assignment has changed my perceptions into
reality as the perceptions regarding this project changes as I came across this project. When I did
this project first time, at that time also I was not having much knowledge about what to do, how
to do and complete the project. But I was given with a second chance to do this project as my
tutor gave feedback on this project. I was not known with the way of completing the assignment.
The feedbacks provided by my tutor also helped me a lot as with the help of these feedbacks I
was able to find out the areas where I was lacking behind and also provide me the way of
working. As earlier, I did not knew about the application of different theories in the context of
the organisation. This has made me fail in the complete project. Another issue was related to the
lack of knowledge of the format of the assignment and the way lack of knowledge of theories
and models which impacted the completion of the project for the first time. The bad experience
was about the collection of data in order to complete the project which was solved with the help
of family, friends and teachers. These issues faced by me during the completion of project also
helped me in improving my skills which further contributed in my personal and professional
development. This assignment has also made me capable of doing further assignments in future
to do them in an efficient and effective manner.
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REFERENCES
Books and Journals
Chen, J., Sohal, A. S. and Prajogo, D. I., 2013. Supply chain operational risk mitigation: a
collaborative approach. International Journal of Production Research. 51(7). pp.2186-
2199.
Christopher, M., 2016. Logistics & supply chain management. Pearson UK.
Gimenez, C., van der Vaart, T. and Pieter van Donk, D., 2012. Supply chain integration and
performance: the moderating effect of supply complexity. International Journal of
Operations & Production Management. 32(5). pp.583-610.
Heckmann, I., Comes, T. and Nickel, S., 2015. A critical review on supply chain risk–Definition,
measure and modeling. Omega. 52. pp.119-132.
Heizer, J. and et. al., 2017. Operations management: sustainability and supply chain
management, 12/e. Pearson Education.
Neilson, B., 2012. Five theses on understanding logistics as power. Distinktion: Scandinavian
journal of social theory. 13(3). pp.322-339.
Rushton, A., Croucher, P. and Baker, P., 2014. The handbook of logistics and distribution
management: Understanding the supply chain. Kogan Page Publishers.
Gligor, D. M. and Holcomb, M. C., 2012. Understanding the role of logistics capabilities in
achieving supply chain agility: a systematic literature review. Supply Chain
Management: An International Journal. 17(4). pp.438-453.
Sunil, C. and Meindl, P., 2013. Supply chain management. Pearson India.
Touboulic, A. and Walker, H., 2015. Theories in sustainable supply chain management: a
structured literature review. International Journal of Physical Distribution & Logistics
Management. 45(1/2). pp.16-42.
Van Wassenhove, L. N. and Martinez, A. J. P., 2012. Using OR to adapt supply chain
management best practices to humanitarian logistics. International Transactions in
Operational Research. 19(1-2). pp.307-322.
Wang, G. and et. al., 2016. Big data analytics in logistics and supply chain management: Certain
investigations for research and applications. International Journal of Production
Economics. 176. pp.98-110.
Online
Operations Management: Definition, Principles, Activities, Trends. 2019. [Online]. Available
Through: <https://www.cleverism.com/operations-management-definition-principles-
activities-trends/>
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