Operations and Project Management

This study material provides an in-depth understanding of operations and project management. It covers topics such as operation management principles, six sigma methodology, continuous improvement plan, stages of PLC, and more. The content is suitable for students studying operations and project management in various courses and universities.

Unit-16 Operations and project
management

TABLE OF CONTENTS
INTRODUCTION...........................................................................................................................3
MAIN BODY..................................................................................................................................3
Operation management principles...............................................................................................3
Six sigma methodology...............................................................................................................5
Continuous improvement plan.....................................................................................................6
Stages of PLC..............................................................................................................................7
Effectiveness of PLC...................................................................................................................9
CONCLUSION AND RECOMENDATION................................................................................10
REFERENCES..............................................................................................................................12
Books and Journals....................................................................................................................12
Online........................................................................................................................................12

INTRODUCTION
Operation management is dealing with the business strategies and issues on daily basis.
Project management comprises of planning, organising, motivating and controlling the use of
resources to attain some specific goals. Operations and project management department in an
organisation is there to expertise in analysing the design, controlling and looking for
improvements in the operations, handle issues related to logistics and supply chain (Otsuki,
Akiyoshi, and Samejima, 2017). Team members are involved in identifying the differences in the
field of information systems, having knowledge about the management process and work in an
environmentally sustainable way. Operation and project management work in both
manufacturing and service fields. Tesco is a British multinational supermarket company. Review
on the operations management is done by applying its principles and continuous improvement
plan is generated. Cross rail is the biggest infrastructure project taking place in Europe is the
only large investment done by UK. Project life cycle of cross rail is done using project life cycle
theory and effectiveness of the plan is calculated using different theories and concepts.
MAIN BODY
Operation management principles
Operation management refers to the administration activities of a business to achieve its
long term goals with maximum effectiveness. This consists of proper management of raw
materials, machines being used, technology and labour to offer good quality products and
services that will help the business grow (Al-Odeh, 2020). These elements in the whole
procedure must be managed properly into different levels such as planning, implementation,
production and so on. An operations manager has lot of responsibility in daily overlooking at the
working of a process. Tesco is a big company which works on large scale in retailer market and
comes under top ten positions when measured by its revenue. A company working in this large
platform needs to have an operation management to ensure smooth working of its operations.
Some of the principles that must be applied to the operation mangers are:
Reality: Operation manager must put their main focus on overall problems and instead of
finding the techniques. There are no tools which can provide universal solutions. They must
focus on the issue at hand as tools and trends work in a broader manner. Operation management
is always business specific.

Organisation: In the production procedure and manufacturing, every operation is
interconnected. All the elements must be consistent and predictable to attain same outcome
(Maylor, and et.al., 2018). Without this, operations are not capable to achieve output which is
profitable for the company. Working of operations is interconnected such that how human body
system works to help the person stay alive. Operation managers are supposed to keep the
movement of the organisation as large as Tesco flowing without any obstruction.
Fundamentals: An operation must know how to handle all the basic fundamentals
because that holds the key to success of production. It is necessary to make certain accuracy in
identified data, BOMs and many other general chores in order to achieve desired results
(Peinado, Graeml, and Vianna, 2018). Rule of efficiency relies mostly on maintaining process
and other to new techniques and tools.
Accountability: Managers are required to set rules and regulations for determining the
responsibilities of their subordinates so that people complete the work they are supposed to do.
They must regularly check on the achievements and if the goals have been attained or not. Being
an accountable manger is the key to run a manufacturing operation. Checking on the process on
frequent basis and communicating the process is important. Accountability is a must in an
operation.
Variance: This principle of operational management needs more encouragement. If this
is managed properly can do good to the working conditions in operations. Manager must support
the changes happening in the process (Galli, 2018). Some of the differences can become source
of creativity and may lead to forming better results.
Causality: Some or other problems will occur even when everyone has put on their best
efforts. Manager must find the root and cause of this problem and prevent it from getting worse.
Problems are same as to have symptoms, both of them has underlying causes and removing this
cause can remove the problem. Managers rather not ignore the problem and must find the source
of it. Until this source of problem is not removed, the problem will keep on continuing.
Managed passion: Rising morale of employees can drive the growth of the company.
Manager must have the power to inspire and motivate its employees and subordinates to receive
effective working performance from their side. Company’s growth lies in the joy of its working
employees (Cardiel-Ortega, Baeza-Serrato, and Lizarraga-Morales, 2017). Managers play vital
role in boosting and encouraging them to be passionate at work.

Humility: No one likes to work with a person who is aggressive about their knowledge.
Thus, it is important for the mangers working in the operations to place themselves as ordinary
working employee who can make mistakes. Hit and trial methods are expensive for company to
handle and this is why it is important for the manager to know its limitations. This will help in
saving time, money and energy making the production run. Manager must not hesitate to ask for
help before things go down.
Success: A clear definition of success must be presented before the working employees
so that each person in the company Tesco will work within the parameters of achieving targets.
Needs and interest of customers must always be taken into account while operating. Customers
hold the key to company’s success.
Change: Every company and every employee working in these companies must be
flexible towards any change to survive in the market as change is the only constant. By trying
new theories for manufacturing operations change can be brought into action. This will help the
company to sustain and give a competitive advantage to Tesco.
Six sigma methodology
This method provides the organisation like Tesco to improve their abilities in their
process for the business. Increasing the performance of employees and decreasing the changes
and variations in the process will help in producing products with fewer defects and more profits.
This will build up employee’s morale when the products are services offered are best quality. Six
Sigma is generally used to lead a process which is well controlled. Methodology used here are of
two types having five steps of actions.
DMAIC: This process is used to improve already existing business process. The first step
here is to define the problem that operation of the product is facing and setting a proper goal that
needs to attain. Various aspects of the current running process must be measured. Next step
comprises of analysing the data and other things in the operation. Finding out the root from
where the problem began in the first place is important for the process. Once the source is found
then the team must work on improving and controlling the process and following the procedure
in future.
DMADV: This method is used producing new products and new process. First step is to
define a vision and set goals. Look after the needs of the product and required elements for the

process. The data is then analysed in order to develop a design for the process and selecting the
best suitable procedure (Venkateswaran, and Padmanaban, 2018). Then the design of the product
into the process is tested. The produced design is verified by running simulations and other
methods and then lastly, hand over this process to the customers and clients.
Six sigma process is used to reduce any variations while enhancing in the process,
whereas, lean drives the waste out from the process and encourages work to flow in standardised
way. The difference between sigma and lean is filled by the term lean six sigma as operations
require both the approaches to attain better results. It is based on improving and preventing the
defects and increasing the value of defect detection. It drives the satisfactory level of customers
by reducing waste and variation in the process. This gives Tesco a competitive advantage.
Continuous improvement plan
Continual improvement is referred to the ongoing improvement on products and services
along with their processes via incremental and having breakthroughs. Organisation must identify
the window of opportunity and plan to change accordingly. First they must implement the
changes on small level then analyse the data and receive results for the changes. Organisation
must check if this change made any difference or not. When the change is successful then it is
implemented on larger level while assessing the results. When the change is a flop then they
cycle must be repeated. Few ways to do the improvements are firstly the improvements are based
on small changes and not on major variations and new inventions (Gemar, and et.al., 2019).
Employees working in the operations will have better improvement ideas and one must consider
them as they can be very helpful. When an operational manger believes in their employees can
help in understanding their side of perspective towards the problem and their idea can be
valuable for the organisation. Process of improving a product can be an expensive for the
company but using the approach of incremental improvements can help in reduced costs as they
are inexpensive to implement. When an employee takes full credit of the success, they must also
take up and own their mistake which has lead to this. They can make up for this mistake by being
completely involved the improvement process and work with their full potential. Having a
reflective sense from the improvement helps in avoiding of being in same situation again. Lastly,
improvements are measurable and have the potential to be repeated.

Stages of PLC
Project Life Cycle (PLC) is the organizational step through which company tend to identify
the expected, life which the organizational product tend to achieve within the market. Through
this approach it ensures that organizations like Crossrail is being able to develop its future
working process accordingly, through which it can ensure that appropriate steps are being taken
within the correct time frame by which high level of stakeholder engagement can be
accomplished. Thus the organizational PLC is being segregated into various stages which are
being segregated in the following steps.
Introduction, is the first stage in which the new products is being introduced within the market
and customers are able to closely evaluate the organizational offering (Davies and et.al, 2017).
This is the initial stage for product development and because of which company has to ensure
that it is being able to influence customers to develop a direct contact with the organization.
Through which it is being able to guarantee that it is being able to accomplish a high level of
work customer engagement, with which high sales can be achieved.
This stage will be highly beneficial for companies like Crossrail because it tend to provide
products and services like railways projects and infrastructure. Therefore, it often has to integrate
innovative approach within product through which manufacturing cost is being reduced and
overall reliability and sustainability of the project is improved.
Growth, this is the next stage which often arises when the customers are being able to identify
the organizational offering and company has started to accomplish initial sales. This happens
because since the company is proving new type of product to the customers which is having the
properties of previous products. While also at the same time is being possessed with new
technological advancements as well (Denicol, 2020). By which they are being assured that they
are able to achieve a product such that their specific requirement is being fulfilled and due to
which sales graph is being increased.
Since high customer engagement is being seen in this stage, therefore this can be seen in
the case in which Crossrail is being provide new projects like installing new railways stations
and extending existing lines. With this it ensures that it is make targeted actions to improve the
overall quality and through which high return of investment is also being achieved.
Maturity, is the stage which often arises when the product being provided by the institute
is being utilized by the customers are they are able to achieve a high level of engagement in

terms of utilizing the product. Due to which the company is being able to maintain an efficient
competitive edge, through which it is being able to attain a high level of customer engagement
by which expected sales is being achieved.
It is the stage at which the developed products by Crossrail tend to reach its peak sales. Due to
which organization often uses technological advancements within the product designing and
development of new products (Jackson, 2017). With which it ensures that it is being able to
minimize the expenditures and attain high profit margin.
Decline, this is the final stage in the product which is being provided by the organization
has managed to surpass its peak sales and with this is now facing a decline within the sales. This
happens due to the reducing customer interest and easy availability of the product to the
customers, due to which they are less likely to pay high prices. Therefore, this is the time at
which companies often tend to introduce new product to maintain high sales and customer’s
efficient level of engagement with the corporations as well.
In case of Crossrail corporation tend to several efforts which include step like
maintenance, through which it identifies that weak areas which require improvements. Thus with
this approach it guarantees that it is able to achieve a high work productivity and minimizes
chances of brand switching by clients.
Review applications of PLC concept-
Product life cycle is an important phase for the companies, due to the fact that it has to
guarantee that it is being able to achieve a efficient economic growth and due to which
companies uses product life cycle to identify the product performance within the market. Thus
on that bases the product placement of the upcoming future project is being done accordingly,
through which high level of customer engagement is being accomplished. This is an important
stage because in this approach pricing of the existing product is being reduced in the decline
phase to maintain high sales (Moonen, Clark and Nunley, 2018). Whereas this PLC segment can
also be used by the corporate to launch new product, by which it guarantees that it is being able
to utilize the customer’s high engagement with the existing product to introduce new product.
With which it is being able to accomplish high organizational sales and also at the same time it
ensures that it is being able to maintain efficient economic growth, through which the chances of
goal achievement can be increased.

Effectiveness of PLC
Review of PLC in application to Crossrail-
Crossrail tend to provide railways based services to its customers and because of which
organization is being able to accomplish high level of sales. This also becomes significant due to
the fact that Crossrail is one of the corporations which is having a large number of investors.
This happens because since corporation tend to provide railways based services, due to which
high financial growth is necessary for the corporations (Newlove-Eriksson, 2020). Therefore due
to which institute has to make a series of actions by which all the responsible stakeholders can be
satisfied.
Thus in order to maintain the loyalty of organizational stakeholders towards the company
it has to take appropriate steps. With which it is being able to maintain high productivity and due
to which uniformity within the performance is also being achieved.
Lean manufacturing, is often being used by the corporation to stream line the overall
operations with which it ensures that operations are being arranges as per the product life cycle.
With this approach it guarantees that overall quality to customers is being reduced, while
minimizing the initial expenditures. Following are the key five principles for lean manufacturing
in context to product life cycle for Crossrail.
Identify values as per customer requirement- This is an important step for Crossrail because it
has to guarantee that it is being able to implement innovative approach within the organizational
operations. This is critical because organization has to ensure that it is being able to integrate
innovative approaches within the operations as per customer requirements. Through this
approach company tend to ensure customers that their requirements are being fulfilled. This is
crucial for the institute because it tend to guarantee that expected level of organizational sales is
being accomplished (Pike and et.al, 2019). Through which high expected level of economic
growth is being accomplished by which the overall chances of goal achievement can be
increased.
Mapping of value stream- Companies like Crossrail tend to develop working strategy which
include overall supply chain management departments of the institute. Therefore due to which
company often tend to ensure that it is being able to accomplish total fellowship of the strategy
which is being developed in order to maintain high work productivity. Thus by proper mapping
all the respective factors corporations like Crossrail ensures that development of new product is

being initiated within the time frame of growth and maturity. This is done because at which this
time segment organization is being able to achieve customer reviews and suggestions which has
to be integrated within the daily operations.
Create flow- It is the approach in which overall operations are being stream lined and then on
that bases organizational operations are being modified accordingly. Through which all the
operations are being performed, such that business is being able to achieve desired high work
productivity (Crossrail, 2021). This is also very critical for the corporation due to the fact that it
has to ensure that it is being able to maintain an uniformity within the organizational operations.
Through which it is being able to accomplish high work productivity and also at the same time
has to guarantee that that it is being able to maintain its efficient competitive edge.
Pull system establishment- This is the approach in which company tend to forecast the expected
high level organizational sales, then on that bases develop proper working strategy through
which it can ensure that it is being able to meet the future customer requirements. This can be
seen in the case of Crossrail in which the institute integrated advanced technological remote
monitoring systems within the daily operations. Through which the remote monitoring of the
operations is being performed, therefore with this approach organization tend to ensure that it is
being able to accomplish high level of organizational sales by which the chances of goal
achievement can be increased.
Pursue perfection with scheduled improvement-
Crossrail tend to ensure that it is being able to perform operations as per the developed
strategy, through which it can ensure that it is being able to able to accomplish high
organizational sales. But also at the same time corporation tend to ensure that it is being able to
closely monitor the organizational working. This is necessary because with this approach it tend
to ensure that it is being able to attain high work productivity and also due to which it ensures
that it is being able to identify the weak areas which is affecting the overall operations. Through
which targeted actions can be made in order to improve company’s performance within the
market.
CONCLUSION AND RECOMENDATION
From the evaluation in this report it is being concluded that organizations have to make a
series of consecutive actions. Through which it tend to ensure that it is being able to accomplish

a high work productivity and also at the same time company tend to guarantee that it is being
able to accomplish required working productivity. Through this corporations often tend to
guarantee that they are being able to minimize the performance gap with the other market
competitors. While also at the same time by corporations has to guarantee that it is being able to
minimize the expenditures and due to which appropriate steps are being taken by which company
to reduce cost to company.

REFERENCES
Books and Journals
Al-Odeh, M.A., 2020. Economic and Cost Analysis For Operations and Project Managers.
Rylanbooks.
Cardiel-Ortega, J.J., Baeza-Serrato, R. and Lizarraga-Morales, R.A., 2017. Development of a
system dynamics model based on Six Sigma methodology. Ingeniería e
Investigación. 37(1). pp.80-90.
Davies, A. and et.al, 2017. Five rules for managing large, complex projects. MIT Sloan
Management Review.
Denicol, J., 2020. Managing megaproject supply chains: Life after Heathrow terminal
5. Successful construction supply chain management: Concepts and case studies.
pp.211-235.
Galli, B.J., 2018. Can project management help improve lean six sigma?. IEEE Engineering
Management Review. 46(2). pp.55-64.
Gemar, G., and et.al., 2019. Procedure for the continuous improvement of human resource
management. Ingeniería e Investigación. 39(1). pp.53-62.
Jackson, P., 2017. Infrastructure Asset Managers BIM Requirements. Report No TR.
Maylor, H., and et.al., 2018. Old theories, new contexts: extending operations management
theories to projects. International Journal of Operations & Production Management.
Moonen, T., Clark, G. and Nunley, J., 2018. London: Mobility city (Volume 4).
Newlove-Eriksson, L., 2020. Accountability and Patchwork Governance in Urban Rail
Interchanges: Junctions of London Crossrail and Stockholm City Line
Compared. Public Works Management & Policy. 25(2). pp.105-131.
Otsuki, M., Akiyoshi, M. and Samejima, M., 2017. Identification method of improvements in
user operations on project manager skill-up simulator. IEEE Access. 5. pp.5811-5818.
Peinado, J., Graeml, A.R. and Vianna, F., 2018. Operations management body of knowledge and
its relevance to manufacturing and service organizations. Revista de Gestão.
Pike, A. and et.al, 2019. Fixing urban infrastructure in the London global city-region,
undermining the rest of the UK?. In Financialising City Statecraft and Infrastructure.
Edward Elgar Publishing.
Venkateswaran, N. and Padmanaban, P.N., 2018. Impact of Six Sigma Methodological Practices
in Manufacturing Unit: An Experimental Study. Oman Chapter of Arabian Journal of
Business and Management Review. 34(6109). pp.1-11.
Online
Crossrail, Europe’s biggest railway infrastructure project, 2021 [Online]. Available through:<
https://www.crossrail.co.uk/project/# >