BSBSTR502 - Continuous Improvement Strategies at Australian Hardware

This report provides an analysis of continuous improvement methodologies and their potential impact on Australian Hardware, a company established in 1921 and listed on the Australian Stock Exchange in 1982. The report reviews the organization's strategic and operational plans, along with its mission and vision, before delving into continuous improvement methodologies such as Total Quality Management (TQM), Six Sigma, and Root Cause Analysis. It explores strategies for encouraging employee participation and fostering a work culture conducive to quality improvement and waste reduction. Furthermore, the report analyzes the impact of these measures on stakeholder communication, knowledge management, performance management (including goal setting and KPI monitoring), training, and legislative compliance, concluding that continuous improvement is crucial for enhancing productivity and performance.

BSBSTR502 Facilitate Continuous
Improvement Assessment

Table of content
• INTRODUCTION
• MAINBODY
• Review of Australian Hardware.
• Reviewing continuous improvement methodologies and tools and identifying
strategies for improving quality and performance in targeted areas.
• Analysing the impact of proposed introduction of continuous improvement
measure on the organization as an integrated whole.
• CONCLUSION
• REFERENCES

INTRODUCTION
The concept of continuous improvement is a lean improvement
techniques that allows an organization to establish a streamline
workflows. In addition to this, it allows an organization to work
in an efficient manner and establish a workflow that is
structured and will save time and money. Furthermore, the
concept of continuous improvement also enables the business to
reduce the production of waste relative to time and efforts.
The following presentation is based on Australian Hardware
which was established in the year of 1921. In the year of 1982
the organization was listed on the Australian Stock Exchange
and was offered to the public in a share float. In addition to this,
the business has continuously expanded with over 130 stores
and approximate 10,0000 staff across the country.

Review of Australian Hardware.
Strategic plan of the organization:
The overall strategic plan of the organization is based
on enhancing its sale revenue along with gross profits. In
addition to this, the organization is focused on maintaining as
well as increasing its overall market share in the marketplace.
The strategic plan of the business further includes controlling
direct and indirect cost of its operations.
Operational plan of the organization:
The operational plan of the business is focused on
keeping its process optimal in order to attain high level of
performance as well as productivity. In addition to this, the
business has reliable suppliers that allow the organisation to
ensure it is able to provide its customers with high quality
product and services in an efficient manner.

Mission and vision of the organization:
The mission statement of the organization is oriented towards the direction of
providing high quality products and service to its target customers which consist of home
improves, DIYs and trade-persons. In addition to this, the organization is committed to
providing its customers and trade-persons with value through everyday low prices, products that
have high level of quality and providing them expert opinion. Moreover, the organization
included developing a positive engagement with the community and being environmentally
responsible in its mission statement. For its vision statement, the organization wants to be a
leading hardware and home improvement organization in the market of Australia within the next
five years.

Reviewing continuous improvement methodologies and tools and identifying strategies for improving quality
and performance in targeted areas.
Continuous improvement methodology:
The continuous improvement methodology consist of
tools and methods that are on going as well have a long-term
approach in order to improve the overall process of an
organization. In addition to this, it allows business to enhance
its process, products along with services. The primary objective
of continuous tools is to reduce the cost of operations, increase
the quality of products and service along with enhancing the
efficiency within an organization.
TQM:
The Total Quality management is refereed as a
continuous effort by the management of an organisation as well
as employees in order to ensure long term, customer loyalty and
customer satisfaction. In context to Australian Hardware, the
utilization of this continuous improvement tool will allow the
organisation to enhance its customer service operations and
attain high level of efficiency. Given below are the four
categories of the TQM in context to Australian Hardware:

Six Sigma:
The term Six Sigma refers to a set of quality- control
aspects that allow a business to eliminate defects and improve
process in order to enhance the productivity as well as
performance of the business. In context to Australian Hardware,
the organization this this tool will be able to reduce errors as
well as increase its efficiency. Given below are the steps of Six
Sigma in context to Australian Hardware:

Root cause analysis:
A root cause analysis allows a business to identify
various factors that cause non-conformance and should be
permanently eliminated through the process in order to improve
it. In context to Australian Hardware, it will help the business to
identify core issues and highlight their cause. Given below are
the three questions root cause analysis provides in order to
attain continuous improvement in context to Australian
Hardware:

Brainstorming:
Brainstorming is a quick and easy way through which
an organisation is able to generate a large amount of ideas and
possibility that can help in the improvement of the organization.
In context to Australian Hardware, it will allow the business to
gain situational creativity as well as unconstrained think in
order to identify problems and develop innovative solution. This
will allow the organisation to improve its productivity as well as
efficiency.

Strategies for including and encouraging participants by the
right individuals an teams:
There are various strategies that can be utilized by a
business in order to encourage participants by the right
individuals and teams. This allows the business to keep its
employees motived and ensure improvement in their
performance. In context to Australian Hardware, the
organization can uses these strategies to improve the motivation
of its employees and encourage their participation in continuous
improvement. Given below are some of these strategies:

Strategies for building ownership and a work culture that
conductive to improving quality and reduce waste while
providing high performance.
There are various strategies that can be utilized by an
organisation is order to establish ownership and work culture
which will improve quality and reduce waste wile providing
high performance. In context to Australian Hardware, the
organisation through these strategies will be able to improve its
overall performance and reduce waste related tom time and
efforts. Given below are fee such strategies:

Analysing the impact of proposed introduction of continuous improvement measure on
the organization as an integrated whole.
Communicators to various stakeholders:
Through the implementation of continuous
improvement strategies and tools the organization will be able
to prove a better communication channel to its stakeholders. In
addition to this, it will be able to develop an enhance framework
which is optimal in its operations and reduces waste. This will
help the business to provide greater satisfaction to its
stakeholders such as customers and suppliers as it will maintain
a high level of performance and provide better customer
service. Moreover, it will be able to reduce cost of its produce
will be appreciated by its customers.