Aston Martin Operations Management: A Case Study Analysis

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This report presents a comprehensive case study of Aston Martin, a luxury sports car manufacturer, exploring its business operations and management strategies. The report begins with an introduction to business operations, outlining key functions such as finance, marketing, sales, management, production, and accounting, emphasizing their roles in organizational success. The case study then provides an overview of Aston Martin, its history, and its brand identity. A significant portion of the report focuses on the company's operations management decisions, including production strategies, supply chain management, logistics, quality control, human resources, and location strategies. The analysis highlights how Aston Martin makes key decisions regarding production, supply chain, logistics, quality control, HR, and location strategies to improve its operations and expand its business. The report concludes by summarizing the importance of business operations and management for the growth and development of an organization, referencing the various functions and strategic decisions that contribute to Aston Martin's success. This report is designed to offer insights into real-world business practices and strategic decision-making.
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INTRODUCTION TO BUSINESS
OPERATION AND MANAGEMENT
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Table of Contents
INTRODUCTION ..........................................................................................................................1
CASE STUDY ................................................................................................................................1
Main functions of business operations .......................................................................................1
Overview of Aston Martin..........................................................................................................2
Company's operations management decision .............................................................................3
CONCLUSION ...............................................................................................................................5
REFERENCES ...............................................................................................................................6
.........................................................................................................................................................6
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INTRODUCTION
Business operations introduces to effective activities that an enterprise engage in on a
regular basis to enhance the value of company and earn a profit. For this, employees support to
attain business goals and objectives by performing several functions such as accounting,
marketing etc. Business management is managing the better coordination and organisation of
certain business activities (Ben-Daya, Hassini and Bahroun, 2019). Therefore, business
operations and management are an effective area within an organisation because it support an
enterprise in designing and controlling of production process and redesigning of business
operations in the production of products or services. This report is based on case study of Aston
Martin. It is a independent manufacture of grand tourers and luxury sports cars. This case study
will be covers different points such as main functions of business operations, overview of
company and company's operations management decision.
CASE STUDY
Main functions of business operations
Business operations refers to the activities involved in the day to day functions of an
organisations that are conducted for the aim of generating more profits. In addition, it is the
repeatable components of an enterprise that can be extremely optimised via process
improvements i.e. automation. There are mainly six functions of business operations such as
accounting, finance, marketing, sales, management, and production and operations. These are
main functions of business operations that are beneficial for the growth and success of an
organisation. These functions will be explained as under in detailed manner:
Finance: This is an important function of business operations because it give resources
and planning for effective resources. As it support an enterprise in operations and expansion of
its business at international level (Kwilinski and et. al., 2019). There are different practices
involved in finance functions such as budgeting, tax compliance, raising financial capital,
safeguarding company assets etc.
Marketing: This is a main function of business operation because it support an
organisation in identification of customer's needs towards business products and services. With
the help of this function, company can easily promote their goods and services to the end of
customers. There are several practices involved in marketing function such as creating a
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marketing plan, advertising, customer service, public relation etc. These are main tasks that
support an organisation in promotion of its products and services and also achievement of long
term goals and objectives within a given time period.
Sales: This is an effective and important function of business operations as it helps an
organisation in identification of customers and potential customers. With the support of this
function, an organisation can easily sale their products and gain better results (Meredith and
Shafer, 2019).
Management: Main role of this function is to seeks to reach goals of an organisation
through better planning, organising, leading, controlling and monitoring. In this function,
business manager of company assures that the all workers have the accurate tools and techniques
to attain the roles that they are allotted.
Production and operations: This functions of an organisation has one overarching goal
or objective is to use company's resource for producing goods and services to customers in
effective manner. This function within an organisation plays an important role by satisfying
needs and wants of customers and increasing sales.
Accounting: There are certain role of accounting within an organisation. These are
measuring and summarizing business activities, interpreting financial information,
communicating the outputs to management and other decision makers etc. These are main roles
that helps an organisation in development of its business growth and success effectively.
Therefore, all these are key function of business operations and support an enterprise in
accomplishment of its long term goals and objectives easily. This functions will also assist an
enterprise to attract large number of customers by providing them better quality in products and
services (Myers, 2019).
Overview of Aston Martin
Aston Martin is a British manufacture of luxury sports cars and grand tourers. This
company was founded in 1913 by Lionel Martin, Robert Bamford. It is an exclusive and modern
sports car brand with an unique heritage directly recognized in all over the globe. Approximately
85% of all Aston martins always produced are silent on the road and the organisation has built
approximately 57000 cars in its own history (ASTON MARTIN: THE STORY SO FAR, 2020).
Aston Martin is one of the most acknowledged and modern sports can company which is
established for its unique heritage and exceptional designs. Company gives its clients with
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extreme performance, comfort, luxury and style. Within the firm, number of departments are
operating across its organisations worldwide. Operation department within an organisation plays
an important and significant role in increasing sales and improving growth of Aston Martin.
Operations manager and operations department contributes their full efforts in effective and
different ways in the organisation that supports the business in smooth running of its operations
and accomplishment of objectives. Role of operations department includes optimum utilisation
of resources, quality assurance and timely delivery. Along with this, there are certain roles
played by operations manager in Aston Martin such as setting up goals, financial management,
internal communication etc. These are consider major roles that support an enterprise in
improvement of its growth and success at international level.
Aston Martin sells its luxury cars in all over the globe, and there are number of clients
that purchase their products. These clients are quite allegiant or loyal to the company and entire
operations in the business are dedicated to fulfil their needs and satisfy expectations. Company
target loyal clients and high-end customers which are allegiant to purchase sports cars. Business
persons are another segment of target customers in the company. This is because it gives luxury
and comfort which are their primary demands and needs alongside speed. There are several
expectations of customers from the Aston Martin is the design it offers them in its cars.
Company's products are designed in the manner that they could complete within the environment
and fulfil needs of speed in their products. Quality is another expectation of customers that
involves reliability safety, speed and ease in functions. Along with this, these are main
expectations of customers from the Aston Martin.
Company's operations management decision
Aston Martin take different decisions regarding the production, supply chain, logistics,
quality control, HR and location strategies. These are main criteria of taking effective decision
that helps an enterprise in improvement of its operations and expansion of its business.
Production: Aston Martin is a luxury and well-established manufacturers of luxury cars
which is well known for its performance and styling (Ruan and et. al., 2019). Company's cars are
externally customizable, allowing the clients to purchase something that is more exclusive within
the automobile industry. Currently, different range of cars offered by Aston Martin which are
Aston Martin Vulcan, Aston Martin V8 & V12 Vantage, Aston Martin Vanquish & Vanquish
Volante, Aston Martin Rapide S, Aston Martin DB11 etc. For producing and selling these
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models of car company have been used premium pricing strategies. Because of higher upper
class and business person are main target customers of company.
Supply chain: It is network between an organisation and its suppliers to produce as well
as distributes a particular product or service to the end of customers. This network includes
various activities, entities, people, resources and information. With the help of supply chain an
organisation become more able to decrease their cost and also remain competitive within the
business landscape. Along with this, it is an effective process for an organisation because it
lower the costs and faster production cycle of business. Aston Martin is considering to transport
more car elements by air as well as changing the seaports. As it will support them by increasing
number of suppliers for producing more cars in new locations (Urbach and Röglinger, 2019).
For this role of supply chain manager is to make better relationship with the old suppliers as it
will support them in expansion of their business successfully in Gaydon, Warwickshire. In order
to communicate information about the new location to the suppliers, company have been used
different medium of communication such as social media, face-to-face communication etc.
These will support an enterprise in development and success of business.
Logistics: It is the term that specifically means the administration of transportation of
data, from single location to another. It involves number of things such as inventory,
transformation, social security, packaging, suppliers, warehousing and many other. Aston
Martin is today informing the opening of a brand-new logistics hub and warehouse. Created to
help the future enlargement of the business operations, the new facility is placed at
Wellesbourne, close to the organisation's headquarters in Gaydon, Warwickshire. Around 23,000
sq.m logistics centre is the biggest storage and also distribution base within the carmaker’s
history.
Quality control: It is a systematic process by which an organisation review the quality of
entire factors of products involved within the production. The structure of Aston Martin DB9 GT
sports car, set up in 2003 at the Frankfurt Motor Show, has an aluminium-bonded framework
that is around 25 % lighter than that of the DB7 which is being situated, yet has dual the torsional
rigidity. In order to check the quality of such structure before the sports car is hand made-up
around it, a brand-new metrology facility that has been accepted at the organisation's newly
opened factory in Gaydon, Warwickshire (Zheng, Zheng and Li, 2019).
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HR: Human resource within an organisation plays an important role in recruiting and
selecting best candidates at right position. For this, they use marketing channels for hiring
knowledgeable and experienced candidates who have appropriate knowledge about the business
operations and functions. Human resource of Aston Martin have to used different ways of
recruitment and selection that turn to impact on business operations and activities in positive
manner.
Location strategies: Aston Martin is a multinational automobile company which has its
existence spread internationally. In order to maintain brand image, showrooms of Aston Martin
are placed at rich places where only the target customers come to buy cars. Furthermore,
Showrooms are located in a manner that the audiences has to make several types of efforts to
reach one, devising an expression that an organisation require to earn this ride. Store managers of
an organisation wish to ignore audiences that are on a window purchasing spree (Zheng, Zheng
and Li, 2019). Main reason behind locating their showrooms in rich locations is Aston Martin is
a multinational organisation and have rich target customers i.e. business person etc.
CONCLUSION
From the above mentioned information, it has been concluded that business operations
and management is important for growth and development of an organisation. Different
functions of business operations were discussed that are beneficial for an organisation. These
functions are finance, marketing, management etc. All these are played important role for
increasing business sales and improving growth of an organisation. Management of business
operations are essential for an enterprise as it will support them in attraction of more customers
and also enhancement of their performance level. Along with this, there are number of criteria in
which business taken effective decision such as location strategies, HR, supply chain, logistics
and quality control. These are main decisions taken by an organisation for its future growth and
development.
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REFERENCES
Books and Journals
Ben-Daya, M., Hassini, E. and Bahroun, Z., 2019. Internet of things and supply chain
management: a literature review. International Journal of Production Research, 57(15-
16), pp.4719-4742.
Kwilinski, A. and et. al., 2019. Formation of the entrepreneurship model of e-business in the
context of the introduction of information and communication technologies. Journal of
Entrepreneurship Education.
Meredith, J. R. and Shafer, S. M., 2019. Operations and supply chain management for MBAs.
Wiley.
Myers, M. D., 2019. Qualitative research in business and management. Sage Publications
Limited.
Ruan, J. and et. al., 2019. An IoT-based E-business model of intelligent vegetable greenhouses
and its key operations management issues. Neural Computing and Applications, pp.1-
16.
Urbach, N. and Röglinger, M., 2019. Introduction to Digitalization Cases: How Organizations
Rethink Their Business for the Digital Age. In Digitalization Cases (pp. 1-12). Springer,
Cham.
Zheng, G., Zheng, C. and Li, L., 2019. Bringing business intelligence to health information
technology curriculum. Journal of Information Systems Education. 25(4). p.6.
Online
ASTON MARTIN: THE STORY SO FAR. 2020. [Online] Available Through:
<http://www2.astonmartin.com/en/archived-content/media-centre/press-releases/
2012/04/23/aston-martin-the-story-so-far>.
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