BM563: Operations and Service Management Report on Unilever

This report provides a comprehensive analysis of Unilever's operations and service management practices. It begins with an introduction to operations management and its importance in delivering quality goods and services, focusing on Unilever as a case study. The main body of the report identifies and analyzes Unilever's operational management practices, specifically highlighting stock control, delivery, and supply chain management. It critically examines the impact of these practices on organizational efficiency, emphasizing the benefits of improved product flow, quality control, and higher efficiency rates. The report further explores how technology, such as IoT, automation, and blockchain, can be embedded in supply chain management to enhance effectiveness. Finally, it discusses the supporting functions, including purchasing and operations, that contribute to the success of Unilever's supply chain management, emphasizing their role in ensuring organizational goals and objectives are met. The report concludes by summarizing the key findings and emphasizing the importance of effective operations management for organizational success.

Operations and
Service Management

Table of Contents
INTRODUCTION ..........................................................................................................................3
MAIN BODY...................................................................................................................................3
1.Identify one operation management practice ..........................................................................3
2. Critically analyse how this operation management practice impacts the organisation in
regards to efficiency....................................................................................................................4
3. How technology could be embedded in supply chain management.......................................6
4. Supporting functions are linked to this operation management practice and how they help in
ensuring organisational success..................................................................................................7
CONCLUSION ...............................................................................................................................9
REFERNCES:................................................................................................................................10
Books and Journals:..................................................................................................................10

INTRODUCTION
Operations management is a process that helps in producing the goods and services with
optimum utilisation of resources. The focus is to provide quality product to the customers
(Ozcan, 2017). The report is based of manufacturing firm Unilever that is a British Multinational
consumer goods company that has its headquarters in England. There is discussion related to
operation management practice and its impact of the efficiency of the company. Along with that
role of technology in the process. In the end there is discussion related to the functions that
support operations management.
MAIN BODY
1.Identify one operation management practice
Operations management is a process of management that focus of providing quality
goods and services to the customers. It is the process that starts from procuring raw material to
converting it to finished goods and providing it to the end user. This process aims to enhance the
productivity of the organisation along with it efficiency that helps the company to enhance the
profitability position (Ferdows, 2018). In relation to Unilever, the company takes care of
operations management and always uses updated technology to provide quality service to its
customers. This is the reason that the company has strong image in the market. There are various
practices that are being used by different companies to mange their operations. In regard with
Unilever the best practice used by company is stock control, delivery and supply chain
management. As it is important for an organisation to maintain proper stock and to provide the
same to end users at right time. All this can be done through proper supply chain management.
Stock Control: It is a measure that is used by company to maintain the level of stock and
check the requirement of stock by a company. It is used by Unilever as it helps to keep track on
the inventory used and required by the company. This helps the company to manage the stock in
warehouse and there are less chances of problems if the stock is properly managed. Along with
that by having proper control on the stock Unilever is able to enhance the customer service and
reduce the wastage of resources.
Delivery: It is another important part of operational management. The timely delivery of
goods help to keep the customers satisfied. It is vital for an organisation to ensure that the goods
offered by the company are provided to the customers on time. As the company has to sell its

products at various stores delivery is a challenge faced by them. It is seen that Unilever is
making efforts to provide the goods and services at stores on time so that they are able to satisfy
the needs and wants of customers.
Supply chain management: It is a process of flow of services and goods. It includes all
the processes from raw material to the finished goods. The better the supply chain management
the more is company able to gain advantage over the competitors. It helps to server the
customers effectively. Supply chain management includes various facilities as well as functions
that help to produce and deliver the product on time to satisfy the needs and wants of the
customers (Wilson,2018). It has two networks that are upstream and downstream. The network
of upstream includes supplier end to supply chain and in regard to downstream it includes
customer end to supply chain. It is vital to manage all the individuals that are included in the
process of supply chain management. Supply chain management creates a link between supplier
manufacturer wholesaler retailer and the end user for whom the product is manufactured. The
supply chain manager coordinated with the logistics so that all the goods are delivered to the
customers on time. In relation to Unilever the company also take care of supply chain
management. It is seen that success of company depends on the channel that is used by the
company to manage its supply. It is crucial to select the right channel that will help to serve the
customers and all the parties are comfortable with it. The company focus on the sustainable
supply chain so that the customers are satisfied and get the product on time.
It is important to know that this practice will benefit the internal analysis of the company.
It is important to understand that by taking care of the supply chain, timely delivery and stock
control, Unilever is able to analyse all the internal factors and monitor them effectively. It will
help the company to serve the customers and take care of all the factors that are internal to the
organisation.
2. Critically analyse how this operation management practice impacts the organisation in regards
to efficiency
Supply chain management is a process that helps to provide the goods to customers on
time. It plays an important role in operations management (Kovács, Kuula, 2020). It plays a vital
role in success of an organisation. It is not easy for an organisation to achieve its goals and
objectives without managing operations. Proper supply chain helps the company to achieve the

goals and objectives effectively. It helps to enhance the satisfaction level of customers. The
benefits of supply chain management are mentioned below:
Improved product and material flow: For success of a company it is important that the
products are delivered on time. With the help of supply chain management the company is able
to provide the products and services to the customers on time. In relation to Unilever company
focus on supply chain management and that is one of the reason for success of the organisation.
As they are able to improve the flow of product and the customers are able to get the product on
time. It helps the company to gain loyal customers that are satisfied by the services on the
company.
Improved quality control: It helps the company to enhance the quality op product. The
customers are attracted towards the company due to the quality of products and services offered
by the company. Due to effective supply chain the company is able to provide quality goods as
all the products are delivered on time. The company that has good control over the suppliers are
able to get quality products. In respect to Unilever the company is able to provide quality goods
and services to its customers and this is the reason the company has established image in the
market.
Higher efficiency rate: If there will be proper monitoring of the raw material then it will
enhance the efficiency rate of the organisation. It is important for a company to to manage the
supply chain (Gale, Ahmed, and Gracias, 2017). The company is able to prepare backup plans
so that there is no problem in future. In respect to Unilever the company has high efficiency rate
so that the products are produced with quality and delivered on time.
Keeping up with demand: If a company takes care of supply chain management then
they are able to cater the needs and wants of customers. It is helpful for the company as they are
able to fulfil the demands of the customers. In relation top Unilever the company gets benefit of
effective supply chain management as they are able to provide the goods as per the demand of
the customers.
All these are the benefits associated with proper supply chain management of the
company. If the company will not have proper supply chain then the customers will not get the
goods on time and that may impact the performance of the company. Along with the goods that
are perishable in nature may get impact and damaged if the supply chain management is not
proper.

3. How technology could be embedded in supply chain management
Day to day competition get rises and that's why companies need to use more innovative
and technical products which helps them to take a competitive advantage. Supply chain is one of
the important part of the organisation in which it covers a journey that starts from purchasing raw
material to sell potential consumers. Supply chain should be improved so that no obstacles are
occurred in the process of sending finished goods to the right person (Nair and Reed‐Tsochas,
2019). In supply chain, timing plays a major role that means if Unilever send their finished goods
to the consumers at wrong time then there is no need of their products. So that's why it is
necessary for Unilever that their supply chain's time should be properly managed. It is also
identifying that Unilever supply chain management shows that importance of sustainability.
They should always make sure that their supply chain will not affect adversely to the nature or
environment. In the below figure it shows that how many suppliers they have.
It is identified that supply chain plays a crucial role in perishable products in which if
they are not supplied properly then it may be get obsolete. Unilever is in the first place for
adopting latest technology as they are the one which adopt a technology of RFID. It is the
tracking app which assist in harnessing data earlier. There are many more technologies are used
in the process of supply chain management:
IoT
It is the devices that provides real time visibility of operations. It is very crucial for an
organisation as it assist in giving the accurate and real information about the process of products.
Manufacturers of Unilever should embed IoT sensors in their products so that they can gain

unprecedented visibility of their others parts of the products. It ensures their quality of products
through tracking their location through sensors.
Automation
Automation is the effective technology that is used in supply chain management for
reducing the time of operations (Babbar, Koufteros, and Huo, 2017). It provides real time data
with no delays in the updating of data. Automation provides solutions to organisation as it
eliminate the slow or time consuming efforts of manual update. This technology is known as
Robotics and Radio-Frequency Identification (RFID).
Blockchain
This is the technology which assist in Blockchain is a decentralized, shared, immutable
distributed database of transactions, and it has the potential to be very disruptive. Smart
contracts, traceability and authentication, and other highly decentralized supply chain
management functions are considered key candidates for blockchain, although most supply chain
blockchain projects are still pilot projects. Blockchain assist in driving supply chain
transparency.
From the above discussion, it is identified that supply chain management is very
necessary for an organisation as it assist in transferring the raw material with the conversion into
finished products to their end users. Supply chain can be improved with the use of digital
technologies. They can use technologies such as automation, IoT, and blockchain, etc. With the
use of these technologies, it can be become more effective.
4. Supporting functions are linked to this operation management practice and how they help in
ensuring organisational success.
There are various functions that support the supply chain management of a company. It is
seen that the company is able to accomplish the goals and objectives of the organisation. All
these functions helps the company to work effectively. All this helps the company to ensure its
success. The supporting functions are mentioned below:
Purchasing: The first function is purchasing. As it is important to procure the raw
material. It is first and important for an organisation to have quality raw material and on time
(Hill and Hill, 2017). As it will help the company to deliver the product on time.
Operations: It is important to forecast about the demand. It is helpful for the organisation
as the company is able to operate effectively. It is seen that the if there is less inventory then the

company may face loss. So it is important function that supports the supply chain management of
an organisation.
Logistics: It is coordination between important aspects such as purchasing, planning,
production, transportation and warehousing. It is helpful in providing them to the end users
without any obstacle (Haksever, and Render, 2017). It is importance to have proper
communication as it helps the company to provide the goods and services on time.
Resource Management: It is vital that all the resources that are available are managed
properly. The optimum utilisation of resources will help the company to maximise its operations
and also attract more customers. The capabilities of the resources should be known as and when
they are used.
Information Workflow: Another supporting activity is information flow. As it is
important that the goods and services are delivered on time (Santibanez Gonzalez, Koh and
Leung, 2019). There is requirement of proper communication as there are various parties that
are involved so that the company is able success. The miscommunications will lead to
inefficiency in the organisation. So it is important that the information is communicated to
supply chain.
All these activities are important for an organisation. In relation to Unilever the company
is able to achieve success. This helps the company to provide the goods and services on time. It
is beneficial for organisation to serve the customers with quality goods and services. If proper
resources are used then the company will achieve efficiency. It is vital for a company to manage
its operations as it contributes to success of the organisation.

CONCLUSION
From the above report it can be concluded that operation management is important part of
an organisation. The company has to take care of the quality of goods and services provided to
the customers. Supply chain management and its impact on the business is also mentioned in this
report. The use of technology and its benefits are mentioned in the report. In the end there is
discussion related to supporting functions of supply chain management.

REFERNCES:
Books and Journals:
Babbar, S., Behara, R.S., Koufteros, X.A. and Huo, B., 2017. Emergence of Asia and Australasia
in operations management research and leadership. International Journal of Production
Economics, 184, pp.80-94.
Ferdows, K., 2018. Keeping up with growing complexity of managing global
operations. International Journal of Operations & Production Management.
Gale, S.C., Donovan, C.M., Tinti, M., Ahmed, H. and Gracias, V.H., 2017. Organization and
operations management at the health care facility. Annals of emergency
medicine, 69(1), pp.S29-S35.
Haksever, C. and Render, B., 2017. Service and Operations Management. World Scientific
Publishing Company.
Hill, A. and Hill, T., 2017. Essential operations management. Macmillan International Higher
Education.
Kovács, G., Kuula, M., Seuring, S. and Blome, C., 2020. Operations adding value to society.
Nair, A. and Reed‐Tsochas, F., 2019. Revisiting the complex adaptive systems paradigm:
Leading perspectives for researching operations and supply chain management issues.
Ozcan, Y.A., 2017. Analytics and decision support in health care operations management. John
Wiley & Sons.
Santibanez Gonzalez, E.D., Koh, L. and Leung, J., 2019. Towards a circular economy production
system: trends and challenges for operations management.
Wilson, S., 2018. Understanding bottlenecks: An operations management experiential learning
exercise. Decision Sciences Journal of Innovative Education, 16(3), pp.166-184.