Understanding Operations, Logistics and Supply Chain Management

This essay explores the problems associated with Operations, Logistics and Supply Chain Management in Aston Martin and discusses strategies to improve quality and efficiency. It focuses on the new product development and quality management concerns in the company.

Understanding Operations,
Logistics and Supply Chain
Management

Understanding Operations, Logistics and Supply Chain Management
Concept of supply chain management is related with flow of products and services and
also cover the transportation of raw materials and finished goods. Operations logistics is the
procedure of delivering goods from one place to another in an efficient manner. Both these
aspects help company in carry out production, packaging and supplying of products in a cost
effective manner (Mangan Lalwani and Lalwani, 2016). Apart from this these departments are
applied in overall operations management practices, that refers to management of different
operations which are used to convert the raw material into final products. It is very important for
employees of organisation to appropriately do the application of principles related Logistics and
Supply Chain Management so that the overall objectives of the enterprise are achieved in cost
effective manner.
The below essay will explore the various problems that are associated with Operations,
Logistics and Supply Chain Management in Aston Martin. It is a British Enterprise which is
involved in the making of premium class automobiles. It was incorporated in 1913 by Lionel
Martin and Robert Bamford for this assessment. Special focus will be given on the problems that
are associated with the new product development and quality management concerns. It would be
highlighted that how through working on the supply chain logistics and operations company can
improve its overall quality of the products and can add more features to its line-up of existing
products. In order to do improve products and services offered, various strategies, theories and
concepts will be discussed which can be applied by company and can experience change (Banks
and Stanton, 2016). Here use of total quality management and six sigma technique would be
done. It is because these concepts assist in maintain the overall quality of company’s operations
and final product which is the major issue identified in selected enterprise. By following various
principles of these models change in present quality standards can be brought which will help in
developing company’s strength. Apart from this triple line bottom approach will also be
considered as this way Aston Martin would be able to regain its vale in the competitive market.
Every organisation executes or perform number of operations with the aim of attainment
of its set goals and objectives. Different efforts in context of raising the overall quality and
standards of the automobiles are done by enterprise to ensure to design and control all activities
in an efficient manner as this directly affect the final production and also have an impact of
profits of entity. Aston martin in order to fulfil its responsibility towards the people need to take

care of the employees benefits too while planning their future incentives. It should be considered
that those who are giving their more contribution in the business are awarded accordingly. Apart
from this maximum attention to the safety of works should be given while they are working on
different projects. This way the organisation will be meting the criteria’s required for achieving
the triple line bottom approach. Logistics is the concept related with the transportation of
material from one place to another. It is a corporate action in which the goods are transported
from one place to another. It is essential that operation is carried out with proper monitoring so
that all the major risks and challenges relating to the business are minimized. Last but not the
least, is the supply chain management which is a chain or network which is made between the
organisation and its suppliers. These stakeholders help the firm in making the final goods and
services available at the desired locations from where the ultimate customer can buy it. Aston
martin is known for the luxury cars which it delivers to the upper class segment of society and
has many competitors like Audi, BMW who offers similar products (Ganescu, 2012). The
targeted market of the firm is the upper class people who demands or prefer more of premium
vehicles instead of using the regular cars. It has its work station in UK and from there it carries
out its various activities relating to production and manufacturing. Company is procuring the raw
material from all over the world and hence is capable of delivering the final product. In order to
develop a new product, it is essential for Aston Martin that it manages its operation, logistics and
supply chain as collectively they can help in successfully achieving the objective of raising a
fresh product. It is a complex activity ad need much planning beforehand so that success is
achieved. Aston Martin is now inclined to produce new electric cars. It faces several issue in
context of delivering the electric cars as to maintain the same level quality and effectiveness is
difficult along with the maintenance of same cost. The vehicles have to be safe and easily
accessible by the customers. Company needs to be very careful in all the operations that are
involve process of manufacturing the electric cars as failure of any area may lead to great harm
to the brand image. For same company must evaluate the production processes on the basis of
harm which they do to the surroundings. Renewable sources of energy must be promoted and
minimum emission to the surroundings should be made as this will create a better brand image.
Also this will again meet the requirements of the triple bottom line criteria’s. Company has
evaluated all the different options which it has in order to develop a new product so that the best
suitable option is chosen which can offer maximum benefits to the firm. Company may adopt six

sigma theory of operations management in order to resolve this particular issue of maintenance
cost and quality in electric cars (Kumar, 2017).
This is an efficient way through which organisations can perform their commercial
operations in cost effective manner. It explores six standards that help in identifying and dealing
with all the barriers related with manufacturing of products and also assist in improve the
shortcomings consist in production process. The first stage is to define the problem that needs to
be solved. Here Aston Martin may gather all the relevant problems that are related to the
development of new product. It will assist in making the prior arrangements which will further
aid in avoiding issues that may occur in future. While launching the new electric car, company
need to identify that what all issues will be faced by it during the production and after sale of the
vehicles. Once all these are recognised it is measured that what are the capabilities of the
process. At this stage it is identified that what is the degree of the issue involved as how much it
can affect to the business so that accordingly the solutions are planned. To continue with the
manufacturing of the electric cars business can investigate the issues are faced by the users so
that same can be resolved. It would help in maintain the brand name in the market and will assist
in improving future sales (Earley, 2015). Once the capabilities of the process are identified six
sigma suggest the operation management to check and identify the areas which are not
functioning as per business standards. It would help in knowing the most vulnerable areas of the
new product development. Not ever section is equally valuable and hence need to be operated
accordingly. Once all these issues are identified then it becomes easy to determine that how the
capabilities of the different process can be improved. As per the risk and cost involved planning
regarding the possible solutions is done. Here all the identified areas of risk are managed and
further control is practiced on the reached standards so that same risks are avoided in future.
After the operations there is also requirement of managing the supply chain as new product
development need of effective supply chain so that the new product is made available to
maximum customers who are spared in different areas. Supply chain management is the process
through which flaws from the delivery of the products at different areas are eliminated and
continuation in the same process is maintained. This is important that the process is cost effective
so that the overall profit of the firm do not get much effected. Aston martin faces problems of
managing continuity in the supply and hence it needs to be managed (Rebolledo-Mendez and et.
al., 2014). There are two type of the supply chains i.e. internal and external. The internal supply

chain is managed by ensuring that the raw material is available all the time. For same company
has to keep proper record of the raw material and do timely purchase of the resource which are
lacking.
Distribution of resources within the different departments has to be on time so that
functioning of departments do not gets affected. This way the production process is carried out in
the most effective way and hence the full capacity utilisation of the resources is made. Only
producing the products on time is not just sufficient and do not solve the problems. It is equally
important that whatever is produced is made available at the right place and on the right time.
Effective decision has to be taken in a way that how the availability of the company product can
be ensured at different distributors and suppliers so that maximum area is covered and no
potential buyer is missed. Appropriate forecasting of the demand should be done in a way that
the demand is fulfilled and competitive advantage can be gained. There should be clear
communication with the various agencies of the referred to brand so that orders are placed on
time and flow in the business is maintained. Thereafter comes the management of the logistics. It
is an art through which the supply chain is managed. It assists in keeping the supply effective by
making the timely availability of all the required goods, information and other resource which
are needed for raising the customer satisfaction level. It is also inclusive of all the facilities like
packaging, warehousing, inventory etc.
In order to manage the issue of new product development use of just in time approach can
also be made. It is an effective way through which along with the maintenance of supply total
cost is kept control. According to this concept raw material should be procured at the same time
when it is needed (Christopher and Peck, 2012). It means keeping excess stock in advance must
be avoided and also the chances of non-available of material should also not occur. Having the
right quantity at a time will help the company in avoiding the excess cost of storage and
maintenance. Also as the new product development demands expertise which shows that until
the present resources are not fully utilised investing much in same is not fruitful for the business.
The other issue identified in context of the Aston martin is of managing the overall quality. It is
of utmost importance that the customer is provided with standard products in return of the high
amount that is paid by them. According to the Clegg and et. al., (2013), there are issues with the
clutches of the cars as most of the clients has complained regarding same. Also as the car is hand
built and this makes it one of the most unique and car which is unbeatable but because of the

same reason it cannot defeated the other mainstream cars as they are made suing the advanced
technology. It makes this car very expensive and less reliable. Apart from this the other issue
associated with the designing of this brand car is that it does not offer the designs which can be
used on regular basis by the customers. It limits the use of luxury cars by the users which is not
the same case with the other brand automobiles as they can be regularly used. If Aston Martin
designs are used by the clients on regular basis to travel in local area than the user may have to
bear huge wear and tear cost. Although the recognised issue cannot be solved completely
measures must be taken to reduce the impact of same. With the help of total quality management
techniques company can control the overall problems that are associated with the product. It is a
well-known concept through which such environment at work place is establish that supports the
improvements on regular basis and do not resists to changes. Through this system work done is
more customer focused. It would help the designing team of the brand to suggest such model
which are impressive and can also be manufactured at comparatively less cost and can also be
used on a regular basis (Clegg and et. al., 2013).
This might help company in attracting different segment of the customer too. tanning and
developing of team should be done so that maximum customer satisfaction can be delivered to
the clients. Maximum involvement of the employees should be done. It is an effective way of
bringing change in the business as when employee engagement is there in the company there are
more sources of information and suggestions of the work force can be more effective as they are
in direct connection with eth employees as well as with the company’s operations. They know
what customers expect from their spending.
Continuous improvements can be made in the operations of the brand which is necessary
to ensure the growth of company and to reduce the complains of the clients. Also the theory of
total quality management supports the concepts of process centred. To have an effective process
is needed to give quality output. Here information which is relevant is gained from the various
suppliers of the brand who know the trends of market and are familiar with the customers. They
give their quality information to the brand and the same is used and processed in the various
departments of the company. Accordingly, the final output is produced which is better from the
one which is already present in the market. this way again the concept of TQM can be applied by
Aston martin to raise the present quality standards. Apart from this in order to resolve the quality
related issues it is necessary that brand start taking the fact based decision making. It has

encounter many concern with the standards from the customer despite being so expensive
(Jacobs, Chase and Lummus, 2014). It shows that the origination has to identify the cause behind
the problems which are caused to the brand user and on the basis of same decide what has to be
done in context of quality like how and by making what alterations the grievances can be solved.
Judgements that would be taken on the basis of available facts will be easy to execute and also
chances of receiving the desired results would be high. proper and open communication should
be followed so that no one hesitates to present their views and suggestions to the management. It
will further raise the employee morale and hence they will work with feeling of motivation
which directly reflects on their final work. The output is more effective in both the terms quality
and cost.
Conclusion and Recommendation
From the above information, it can be summarised that concept of operations logistics and
supply chain management both are one of the most essential areas of an organisation as these
concepts cover all the activities related with transportation of goods and services of enterprise.
Proper functioning of each together leads to the attainment of the goals and objective of the
company. Issues that are related to the quality standards and new product development can be
resolved using different theories like total quality management and six sigma’s. With the
application of same most of the flaws from the process of business are eliminated and desired
objectives are achieved. it is necessary for the automobile organisations to continuously work on
their products as there is close and tough rivalry in this field which demands expertise and
excellence in the work attitude. It is recommended to Aston martin that while doing the
development of new product it must do consider all the key areas of its business and then on the
basis of their capacities takes the further decisions. It would help them in eliminating the risk
involved and also will help the management in position of the new automobile successfully in
the market area. apart from this employee must be provided with equal opportunities to become
part of the decision making process as they will motivate them to do better and hence they will
work with better dedication. By meeting the different requirements of the triple bottom line
criteria company can improve its brand image and can carry out more effective operations.

REFERENCES
Books and Journals
Banks, V. A. and Stanton, N. A., 2016. Keep the driver in control: Automating automobiles of
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Christopher, M. and Peck, H., 2012. Marketing logistics. Routledge.
Earley, S., 2015. Analytics, machine learning, and the internet of things. IT Professional. 17(1).
pp.10-13.
Ganescu, M. C., 2012. Corporate social responsibility, a strategy to create and consolidate
sustainable businesses. Theoretical & Applied Economics. 19(11).
Jacobs, F. R., Chase, R. B. and Lummus, R. R., 2014. Operations and supply chain
management (pp. 533-535). New York, NY: McGraw-Hill/Irwin.
Kumar, N., 2017. Milestones in Business Ethics. Journal of Industrial Relationship, Corporate
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Mangan, J., Lalwani, C. and Lalwani, C. L., 2016. Global logistics and supply chain
management. John Wiley & Sons.
Rebolledo-Mendez, G. and et. al., 2014. Developing a body sensor network to detect emotions
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