Report on Improving Business Performance for Johnsons Cleaners

This report focuses on improving the business performance of Johnsons Cleaners, a dry-cleaning and alteration service. It begins by identifying current performance issues, such as long service durations, poor online payment systems, and ineffective delivery systems. The report then explores investment appraisal techniques like Payback Period, Net Present Value (NPV), Return on Investment (ROI), SAFe and Importance-Performance matrix to assess the viability of proposed changes, recommending the installation of new machines as the most viable option based on NPV and SAFe criteria. The report also discusses radical change and continuous improvements, outlining the implementation of the selected project, including risk management strategies. The final sections present a draft project plan, risk evaluation, and a comprehensive conclusion, providing a detailed plan for Johnsons Cleaners to enhance its business performance.

IMPROVING BUSINESS
PERFORMANCE

Table of Contents
INTRODUCTION...........................................................................................................................1
TASK 1............................................................................................................................................1
TASK 2............................................................................................................................................1
Current performance and required changes.................................................................................1
TASK 3............................................................................................................................................3
Investment appraisal techniques..................................................................................................3
Selection of project appraisal technique......................................................................................5
TASK 4............................................................................................................................................6
Radical change and continuous improvements............................................................................6
Implementation of project............................................................................................................8
TASK 5............................................................................................................................................9
Draft of planned project...............................................................................................................9
TASK 6..........................................................................................................................................11
Risk management.......................................................................................................................11
Risk evaluation at Johnsons cleaners.........................................................................................12
Risk appraisal summary.............................................................................................................12
TASK 7..........................................................................................................................................12
Final draft of plan......................................................................................................................12
CONCLUSION..............................................................................................................................17
REFERENCES..............................................................................................................................18
APPENDICES...............................................................................................................................19

INTRODUCTION
TASK 1
The business performance is affected by a number of factors which are necessary to
address in a correct way so that their viability can be measured. For well being and smooth
running of a company, it is crucial to identify those factors and make required changes in it so
that a rational way of performance can be found out. The present report has focussed on ways
that improve the business performance. For this purpose, operational management strategy has
been followed which will guide to lead the firm by making changes that will be helpful in
making progress of organisation. Selected business firm for this purpose is Johnsons The
Cleaners which is a private firm for dry cleaning of clothes and alteration services (Hoerl and
Snee, 2012).. The company is run by Johnson brothers where they have employed full time
contract employees along with tailors which are employed for special stitching services. The
major job of this organisation is to provide dry cleaning services of different clothes, alterations
and tailoring of clothes by their personal tailors and also professional dry cleaning of apparels.
Apart from this, mentioned enterprise also offers the facility of preserving various clothes,
wedding gowns, leather dresses etc. The company gives a facility of Green earth dry cleaning as
well to assure safe preservation of clothes without damaging environment through avoiding toxic
chemicals.
TASK 2
Current performance and required changes
It is evident the Johnsons cleaners has only many branches which are operating in
London (Markos and Sridevi, 2010). Besides this, they have plans to expand their business but
due to some weaknesses they are not able to make good profits and inflows since recent years.
They have the advantage of large number of brand loyal customers and more number of satisfied
clients because of which they can utilise a good strategy that has the potential to bring
innovations and improvements in performance. For this purpose, it is vital to identify those areas
which are needed to be improved which may be in the form of improved delivery and servicing
facility, installation of new equipments etc.
Identification of problems
1

There are some factors which are acting as a barrier for said company in earning better
revenues and giving better services to its customers (Mellat Parast, Adams and Jones,2011). The
major problems for said organisation due to which they are facing financial and operational
problems are:
Johnson Cleaners Problem Proposed solution Responsibility area
Project 1 Long durations taken in
servicing the customers
for dry cleaning and
alterations.
 Installation of new
machines.
 Recruiting more
professional tailors.
HR Department
Technological area
Project 2 Poor online service for
with many payment
issues.
 Establishing more
secure and easier
way for making
payments.
Capacity
Technology
Project 3 Less effective delivery
system of clothes.
 Establishing
various centres with
better pick up and
delivery systems.
Technology
Development
 Long durations: The first project is related with the problem of long time taken by
company in serving the customers (Colquitt, Lepine and Wesson, 2011). It is evident that
cited entity receives large number of orders and clothes in a single day with different
needs of customers. Therefore, many times, the process takes a long time from two to
three days for organisation. Thus, the level of satisfaction among customers are also
affected. For solving this problem, company can install some advanced machines which
can help in minimising this duration and can help in delivering service within 24 hours.
 Online service: The firm has a great advantage of making customers through its online
service. But, due to poor system of making a secure payment, this facility is not proving
to be of great advantages. Hence, it is essential for cited enterprise to install a proper
technique which can help in bringing more transparency and security in the payment
system (Agus and Shukri Hajinoor, 2012).
2

 Delivery system of clothes: The mentioned organisation provides the facility of
delivering and picking up of clothes from offices and home of customers. But many
times, this facility is not delivered in right way which create troubles for customers as
well as for firm. Thus, cited venture can establish different pick up and delivery centres
in different locations where customers can easily access this facility.
TASK 3
Investment appraisal techniques
The changes that a company wants to make cannot be applied without measuring its
viability. For this purpose, it is vital to select an appropriate method through which changes can
be made (de Leeuw and van den Berg, J2011). Similarly, it is also advisable to measure the
suitability and practicability of the method. To check its suitability, there are various techniques
that can be implemented. Along with this, it should be kept in mind that manager must consider
different techniques of financial and non financial tools as relying on a single method may not
produce a reliable result. Thus, by applying more than one technique, the company can assure
suitable technique for implementing proposed change. As per this, it is feasible to apply some of
the below mentioned techniques for appraisal which are generally used to measure the viability
of projects. These methods involve Payback period, Net present value, Return on investment
(ROI) SAFE and Importance-Performance matrix.
The payback period method is a simple and suitable method which helps in measuring the
feasibility of a specific project on the basis of investment done on it. Trkman and et.al., (2010)
states that this method involves a simple procedure under which the time taken by a project for
returning the initial investments is calculated. This is considered as one of the simplest method to
apply and interpret as well by analyst in which they have to just look upon the number of years
within which investment will be returned to company. This method can often mislead as well as
it does not take into account the depreciating value of money. Thus, relying on this single
method for measuring viability can lead management to wrong decisions.
Net present value is a method which calculated the practicability of a project on the basis
of discounted cash flows. According to Teece, (2010) Net present value demonstrate the
variations between present value of cash inflows and outflows. This method is considered
suitable by many companies as it clearly depicts the alterations in discount rates coming in
3

various projects. Apart from this, it also takes into consideration the changing values of money
because of which it is considered a better method than Payback method. On other hand,
Eckerson, (2010) states that this method is not much suitable for comparing two projects as
various projects may have assorted values of cash outflows which may result into varied results.
Another widely used techniques for measuring the suitability of a projects is through
suitability Importance-Performance matrix. This method takes into consideration two major
factors for analysis purpose. In the views of Flynn, Huo and Zhao, (2010) the said method of
evaluating a project considers two main factors in it. The primary element is the presentation of
company in front of its rival firm and second one is significance of consumers. As per these
factors varied scores are given to each element so that priority can be decided with regard to
most required change. This matrix is very useful for analysts as it shows the position of
organisation clearly against its competitors. Thus, it facilitates the strong as well as weak points
of firm. It helps the management in identifying weaker areas so that strategies can be put forward
for making corrective actions.
Illustration 1: Importance-performance matrix
4

Apart from above mentioned techniques of project appraisals, there is one more method
which can be applied for measuring the suitability of project. This includes SAFe method of
evaluation. As per Elragal and Al-Serafi,(2011) the SAFe tool of measuring project's viability
include different factors which considers various components like suitability, acceptability and
feasibility of proposed project which helps in having a vision of overall task and its different
elements. For measuring the suitability of a project, it is analysed as per the proposed change so
that it can be checked that whether projected change has any link with strategies of business. On
other hand, it also attempts to check the acceptability by making its analysis based on
stakeholder assessment. This takes into account various risks, returns etc. for the shareholders so
that a right acceptability can be determined. The lase factor of feasibility involves different
aspects like financial resource, potential of organisation to incorporate projected change at
present stage and humans and their skills(Chabowski, Mena and Gonzalez-Padron, 2011). Thus,
this criteria makes it clear for the management to decide upon required funds and human
resource that will be required to apply the proposed modifications.
Selection of project appraisal technique
As per the above discussed different methods for evaluation of project, two methods can
be selected which can help in examining the project on the basis of financial and non financial
footings. Thus, the chosen alternatives for this purpose are NPV method and SAFe criteria. Thus,
by using these two methods for appraising the project will be analysed in better way as NPV is
more preferred technique than Payback period (Chan, W.H. and Cho, 2010). Similarly, SAFe
criteria also help in considering the overall aspects on wider level.
Project appraisal summary
Johnsons, The cleaners Net present value
method
SAFe criteria Result
Improvement 1
(Establishment of
machines)
Yes Yes Approved
Improvement 2
(Secure payment
No No Not approved
5

system)
Improvement 3
(Establishing pick up
and delivery centres)
No No Not approved
Analysis
From the above table, it is clear that first project is viable from both the methods of
project appraisal technique. The proposed change of installing new machineries or equipments
that can help in cutting down the duration taken by organisation for availing the service to
customers can be applied by mentioned company.
As per the net present value method, it is clear that only first method is viable while other
two improvements are not advisable according to this technique. Thus, the Johnsons cleaners,
should adopt the first project and move further for installation of a new equipment (Cronin Jr,
and et.al., 2011). The other two projects like making payment system secure and establishment
of centres availing the facility of pick up and drop cannot be considered as viable because
according to NPV method, they have shown negative NPVs which makes both the proposed
changes impracticable for organisation.
Similarly, on the basis of SAFe criteria, the first change of setting up a new machine with
improved facility can be applied easily as it fulfils all essential criteria of suitability,
acceptability as well as feasibility.
TASK 4
Radical change and continuous improvements
The radical change is a traditional way of bringing changes which includes greater risks
on adoption. Hoerl and Snee, (2012) states that radical changes are suitable if a company is
intending to implement a urgent modifications related to a project. The radical changes help in
bringing improvements at the time of complex situations. For moving further, by adopting this
approach with the the purpose of making changes, it is vital to assure the availability of monetary
and non monetary resources in the form of human resource, machine and equipments, talent etc.
The impact of this approach may be laid in opposite way if not implemented in proper way or
without making advance preparations along with heavy losses. In addition to this, it is also
6

evident that these changes are much complex and employees may also feel difficult to perform as
per this approach (Marko and Sridevi, 2010).
Another concept is continuous improvement which is clear by his name only which
reflects an current process which is made to attempt for bringing improvements in operational
activities. According to Mellat Parast Adams and Jones, (2011)this approach has wider
applicability as it includes less risk as compared to radical change in making modifications. One
of the commonly used method under this model is Kaizen approach which attempts to make a
continuous improvement in business processes. As per Colquitt, Lepine and Wesson, (2011) the
concept of Kaizen improvement technique is much helpful in the case of making smaller level
improvements which can be based on bringing improvements in quality of service. However,
Agus and Shukri Hajinoor, (2012) argued that this process is much more slower in its process
that results in taking long durations to complete the entire procedure. As a result sometimes, this
may result into application of outdated process where till the time entire procedure is completed,
the trend may have become obsolete.
Application of Quality model on Johnsons, the cleaners
The said firm can apply a four step quality model according to which they can lay
emphasis on PDCA cycle. This cycle is an abbreviation of four steps which gives the opportunity
to make systematic attempts for improvements. These steps can be described in following
manner:
Plan: The primary step of cited venture will be towards formulation of plans and strategies that
can aid in setting up of a new machine. This plan will be helpful in resolving the problem of
longer durations taken by company in fulfilling the service demanded by customers.
Do: Here, the organisation must implement the idea so that they can confirm success of their
proposed plan as per the strategy (de Leeuw and van den Berg, 2011.). The managers can make
an analysis to know that customers have relieved of longer waiting times which was taken by
organisation previously.
Check: On the basis of analysis made by managers to confirm the success of implemented plan,
it is again checked and reviewed so that any variation in results can be found out. If management
found positive changes through this, they make implementation at wider level.
Act: The checking process may lead to two different result which may be either positive or
negative. If the management found the changes in positive way, they can develop the proposed
7

plan at broader level. If the results are in negative way, then some corrective actions can be
implemented (Trkman and et.al., 2010).
5S method for continuous improvements
The said technique under continuous improvement technology is helpful in making
different changes in easier way. Apart from this, mentioned method is very useful in bringing
systematic process and orderly implementation of various works. Cited technique is used widely
because it helps organisation to put a check on wastage and attain minimum cost of operations.
These 5S can be described in following way:
Sort: This step is executed so that all available resources can be sorted out as per their need and
relevance so that unnecessary items can be eliminated from work are to avoid confusions.
Simplify: This step attempts to make procedure of all the works simple by making the order of
work systematic.
Shine: The present stage makes an effort to have the working area clean and arranged in order so
that only necessary things can be included at the place by removing any confusions (Teece,
2010).
Standardise: A proper standard is fixed so that all work can be compared with this to match the
criteria of achievement.
Sustain: At this stage, major focus is laid on new changes and standardisation so that any earlier
method cannot affect it adversely.
Implementation of project
As per the above discussion it can be said that radical change must be applied by
Johnsom cleaners as it is in need of urgent changes as soon as possible. The problem of longer
time taken by organisation in serving customer may result into loss of consumers if not solved
early. This may also lead to heavy loss in terms of financial and non financial grounds
(Eckerson, 2010). Thus, it is advisable for mentioned firm to apply radical change as compared
to continuous improvement which is much slower in its process of bringing intended changes.
Thus, the enterprise must establish new machines as early as possible to bring effectiveness as
speed in delivering service to customers.
8

TASK 5
Draft of planned project
The Johnsons cleaners need to make a draft of their plan so that they can implement
strategy of making changes at workplace. This is evident that foremost purpose of this
implementation process is to solve the current issue of longer durations that are taken in servibg
customers. Hence, said entity has decided to install an advanced machine which can help in
giving faster service by resolving mentioned issue. Apart from this, it is necessary to draft a plan
for right implementation of the project which is as follows:
 Arrangement of funds: For implementation of proposed plan related to purchase of new
machinery will require funds which must be arranged by the company from suitable
sources. This can be done through retained earnings, borrowing loans etc.
 Overall approval: In this task, it is essential to have an overall approval so that plan can
be implemented in right way (Flynn, Huo and Zhao,2010). This will require approval
from all top level management and employees as well because they are the persons who
will be performing their work on these machines.
 Planning: The planning is essential to make the changes in proper way so that no
confusions can be there or no essential step can be missed out. Thus, the planning will act
as roadmap for company to perform in a certain way.
Activities of the Proposed project
ID Task
Mode
Task Name Duration Start Fi nish
1 enquiry about advanced
automated machine/market
research
9 days Fri 3/3/17 Wed
3/15/17
2 Gaining data from secondary
sources
5 days Fri 3/3/17 Thu 3/9/17
3 Analysis of data 4 days Fri 3/10/17 Wed 3/15/17
4 Competitors onside visit 5 days Thu 3/16/17 Wed 3/22/17
5 Determination of competitors 5 days Thu 3/16/17 Wed 3/22/17
6 Taking expert advices from dry
cleaning specialists
2 days Thu 3/23/17 Fri 3/24/17
7 having discussion with experts2 days Thu 3/23/17 Fri 3/24/17
8 Designing front shop look 25 days Tue 3/28/17 Mon 5/1/17
9 Making contact with layout
developers
2 days Tue 3/28/17 Wed 3/29/17
10 Ascertaining measurements 2 days Mon 4/17/17 Tue 4/18/17
11 Developing layout 4 days Wed 4/19/17Mon 4/24/17
12 Determination of weak areas 2 days Tue 4/25/17 Wed 4/26/17
13 Finanlisation of design 3 days Thu 4/27/17 Mon 5/1/17
14 Resources identification 28 days Mon 3/27/17Wed 5/3/17
15 ascertaining equipements to
be purchased
2 days Tue 5/2/17 Wed 5/3/17
16 assessment of manpower
requirement
1 day Mon 3/27/17 Mon 3/27/17
17 Project cost estimation 2 days Thu 5/4/17 Fri 5/5/17
18 Project cost estimation 2 days Thu 5/4/17 Fri 5/5/17
19 Finance examination 26 days Mon 5/8/17 Mon 6/12/17
20 arranging different source of
capital
6 days Mon 5/8/17 Mon 5/15/17
21 Funding the project 20 days Tue 5/16/17 Mon 6/12/17
Robby £20.00
John,Denny £60.00
£10.00
Denny £10.00
George £50.00
Robby £50.00
£565.00
John £80.00
Robby,Denny £70.00
John,George £300.00
Robby,Denny £65.00
Robby,George £50.00
£15.00
John £10.00
Denny £5.00
Mehmet £1.00
£0.00
£32.00
Denny,John £12.00
John £20.00
20 27 4 11 18 25 1 8 15 22 29 5 12 19 26 5 12 19 26 2 9 16 23 30 7 14 21 28 4 11 18 25 2 9 16 23 30 6 13 20 27 3 10 17 24 1
Nov '16 Dec '16 Jan '17 Feb '17 Mar '17 Apr '17 May '17 Jun '17 Jul '17 Aug '17 Sep '17 Oct '17
9

ID Task
Mode
Task Name Duration Start Fi nish
22 Wandsworth Borough council
notification
79 days Mon
3/27/17
Thu 7/13/17
23 Booking the appointment
with Wandsworth Borough
council
2 days Tue 7/4/17 Wed 7/5/17
24 Preparation of documents 15 days Mon 3/27/17 Fri 4/14/17
25 Council officer meeting 5 days Thu 7/6/17 Wed 7/12/17
26 Council permission 1 day Thu 7/13/17 Thu 7/13/17
27 Construction team research 5 days Mon 8/21/17Mon 8/28/17
28 Search for constructors 3 days Mon 8/21/17 Thu 8/24/17
29 Selecting builder 2 days Thu 8/24/17 Mon 8/28/17
30 Builders consultation 2 days Mon 8/28/17Wed 8/30/17
31 Breifing about project 2 days Mon 8/28/17 Wed 8/30/17
32 Price negotiation 3.5 days Wed 8/30/17Mon 9/4/17
33 Negotiation on material 1 day Wed 8/30/17Thu 8/31/17
34 Finalisation of price 2 days Fri 9/1/17 Mon 9/4/17
35 Finance arrangement 1 day Tue 9/5/17 Tue 9/5/17
36 Finance arrangement 1 day Tue 9/5/17 Tue 9/5/17
37 Refurbishment team selection 7 days Wed 9/6/17 Thu 9/14/17
38 Identifying team 3 days Wed 9/6/17 Fri 9/8/17
39 Negotiate on price and time 2 days Mon 9/11/17 Tue 9/12/17
40 Contract signing 2 days Wed 9/13/17Thu 9/14/17
41 Electrician consultation 6 days Mon 10/2/17Mon 10/9/17
42 Identifying electrician 2 days Mon 10/2/17 Tue 10/3/17
43 Contract signing with electrician1 day Mon 10/9/17 Mon 10/9/17
£65.00
George £5.00
Denny,Robby £15.00
George £25.00
Robby,John £20.00
£18.00
Robby £10.00
John,Robby £8.00
£60.00
George £60.00
£10.00
John £5.00
George £5.00
£20.00
Robby £10.00
£37.00
George,John £25.00
John,Denny £2.00
Kenny £10.00
£62.00
Denny £10.00
George £52.00
19 26 5 12 19 26 2 9 16 23 30 7 14 21 28 4 11 18 25 2 9 16 23 30 6 13 20 27 3 10 17 24 1 8 15 22 29 5 12 19 26 3 10 17 24 31
Feb '17 Mar '17 Apr '17 May '17 Jun '17 Jul '17 Aug '17 Sep '17 Oct '17 Nov '17 Dec '17 Jan '18
ID Task
Mode
Task Name Duration Start Finish
44 Self drop off machine purchase 1 day Tue 10/10/17Tue 10/10/17
45 Machine purchase 1 day Tue 10/10/17Tue 10/10/17
46 Customer notification 89.5 days Fri 7/14/17 Thu 11/16/17
47 Marketing through newspaper30 days Tue 7/25/17 Mon 9/4/17
48 Marketing through digital
platform
26.5 days Wed
10/11/17
Thu
11/16/17
49 Front Shop refurbishment 10 days Tue 10/10/17Mon 10/23/17
50 Shop refurbished 10 days Tue 10/10/17Mon 10/23/17
51 Wiring the place 2.5 days Tue 10/24/17Thu 10/26/17
52 CCTV installation 0.5 days Tue 10/24/17Tue 10/24/17
53 Video manual 2 days Tue 10/24/17Thu 10/26/17
54 Machine installation 18.5 days Thu 10/26/17Tue 11/21/17
55 setting up the machine 2 days Thu 10/26/17Mon 10/30/17
56 Ensuring proper set up of
machine
3 days Mon
10/30/17
Thu 11/2/17
57 Monitoring proper
functioning of machine
4 days Thu 11/2/17 Wed 11/8/17
58 Extra Filter installation 2 days Mon 11/20/17Tue 11/21/17
59 IT firm consultation 19 days Wed 11/22/17Mon 12/18/17
60 Software selection 3 days Wed 11/22/17Fri 11/24/17
61 Price bargaining of Software 2 days Mon 11/27/17Tue 11/28/17
62 Software installation 4 days Wed 11/29/17Mon 12/4/17
63 IT and software system
correction
10 days Tue 12/5/17 Mon
12/18/17
£7,800.00
Denny,John £25.00
£230.00
George,Robby £150.00
John,George £80.00
£2,210.00
George £10.00
£300.00
Robby £250.00
Denny £350.00
£1,575.00
Denny £350.00
Robby £425.00
George £200.00
John £600.00
£82.00
George £10.00
Denny £5.00
Robby £52.00
Denny £15.00
2 9 16 23 30 6 13 20 27 3 10 17 24 1 8 15 22 29 5 12 19 26 3 10 17 24 31 7 14 21 28 4 11 18 25 4 11 18 25 1 8 15 22 29 6 13
Jul '17 Aug '17 Sep '17 Oct '17 Nov '17 Dec '17 Jan '18 Feb '18 Mar '18 Apr '18 May '18
ID Task
Mode
Task Name Duration Start Finish
64 Data transfer/integration 24.5 days Tue 12/19/17Mon 1/22/18
65 Developing path for data
integration
4 days Fri 12/29/17 Wed 1/3/18
66 Connecting servers 5 days Thu 1/4/18 Wed 1/10/18
67 Assuring Data Transfer 2 days Thu 1/11/18 Fri 1/12/18
68 buying virus protection software1 day Mon 1/15/18 Mon 1/15/18
69 Extra Backup system installation4.5 days Tue 1/16/18 Mon 1/22/18
70 Staff training 42.5 days Thu 1/18/18 Mon 3/19/18
71 Developing training agenda 3 days Thu 1/18/18 Mon 1/22/18
72 Selection of right mode of
training
2 days Thu 2/22/18 Mon 2/26/18
73 Finalising module 5 days Mon 2/26/18 Mon 3/5/18
74 Imparting training 10 days Mon 3/5/18 Mon 3/19/18
75 Shop floor rearrangement 56 days Wed 11/8/17Thu 1/25/18
76 Re-arranging machines for
physial layout
3 days Mon 1/22/18 Thu 1/25/18
77 Ensuring one way flow of
functions
5 days Wed 11/8/17Wed
11/15/17
78 Employees working hours
policy change
12 days Mon 3/5/18 Wed
3/21/18
79 Developing new policies 5 days Mon 3/5/18 Mon 3/12/18
80 Communicating new policies
to all employees
2 days Mon 3/19/18 Wed 3/21/18
81 Assigning staff to new
roles/responsibilities
9 days Wed
3/21/18
Tue 4/3/18
82 Developing new
organisational structure
6 days Wed 3/21/18Thu 3/29/18
83 Assigning of new roles and
responsibilities among
workers
3 days Thu 3/29/18 Tue 4/3/18
£350.00
John £50.00
Robby £60.00
Denny £70.00
John £90.00
Mehmet,Robby £80.00
£36.00
George £2.00
George,John £20.00
John £2.00
Denny,Robby £12.00
£1,300.00
George £600.00
John £700.00
£10.00
Denny,John £5.00
George £5.00
£4.00
Denny,John £2.00
John £2.00
8 15 22 29 5 12 19 26 3 10 17 24 31 7 14 21 28 4 11 18 25 4 11 18 25 1 8 15 22 29 6 13 20 27 3 10 17 24 1 8 15 22 29 5 12 19
Oct '17 Nov '17 Dec '17 Jan '18 Feb '18 Mar '18 Apr '18 May '18 Jun '18 Jul '18 Aug '18
ID Task
Mode
Task Name Duration Start Finish
84 Pilot test 1 day Tue 4/3/18 Wed 4/4/18
85 Conducting pilot test 1 day Tue 4/3/18 Wed 4/4/18
86 Analysing errors in new system 15 days Wed 4/4/18 Wed 4/25/18
87 assessing error 15 days Wed 4/4/18 Wed 4/25/18
88 Drop off system correction 8 days Wed 4/25/18Mon 5/7/18
89 correction in system 8 days Wed 4/25/18Mon 5/7/18
90 Front shop painting 5 days Mon 5/7/18 Mon 5/14/18
91 Front shop painting 5 days Mon 5/7/18 Mon 5/14/18
92 trial of one week for testing 7 days Mon 5/14/18Wed 5/23/18
93 Checking functionality 4 days Mon 5/14/18 Fri 5/18/18
94 Finding loopholes 2 days Fri 5/18/18 Tue 5/22/18
95 Taking corrective actions 1 day Tue 5/22/18 Wed 5/23/18
96 Project review/customers
feedback
20 days Wed
5/23/18
Wed
6/20/18
97 collecting feedback from
customers
20 days Wed 5/23/18Wed 6/20/18
£110.00
Robby £10.00
£5.00
Denny £0.00
£25.00
John,Robby £0.00
£870.00
George £10.00
£47.00
George £10.00
Robby £25.00
Robby,Denny £12.00
£20.00
John £10.00
8 15 22 29 5 12 19 26 3 10 17 24 31 7 14 21 28 4 11 18 25 4 11 18 25 1 8 15 22 29 6 13 20 27 3 10 17 24 1 8 15 22 29 5 12 19
Oct '17 Nov '17 Dec '17 Jan '18 Feb '18 Mar '18 Apr '18 May '18 Jun '18 Jul '18 Aug '18
10

Critical path
TASK 6
Risk management
According to Elragal and Al-Serafi, (2011) the risk is an inevitable factor which must be
addressed by the company at its initial levels so that chances of greater losses can be avoided. If
risks are identified at early stages, it will help in making better plans to overcome them. To
11

overcome the risks, there are various qualitative and quantitative techniques which include
PERT, FMEA and other similar tools which is based on using numerical data for assessment
purpose. In the views of Chan, W.H. and Cho,(2010) these techniques give more accurate results.
Risk evaluation at Johnsons cleaners
As per the above mentioned techniques, FMEA or Failure mode effect analysis is a
suitable method which helps in assessment of risks and also their solutions. As per Cronin Jr, and
et.al., (2011), FMEA is useful in identifying the risk factors at early stages and give is solutions
with the help of qualitative data. Thus, it will aid in making an analysis of areas that contain
major threats for business that can have an adverse impact on business operations.
Risk appraisal summary
There are some factors which can pose various threats for company in its new plan. For
overcoming these issues, a risk appraisal techniques has been proposed according to which the
organisation is in need of making a close watch on installation of new technologies and making
back up plans as well for protection purpose. Advices can be taken from a specialist or expert of
project management so that right development plan can be implemented. Employees must be
trained for use of new machines and technologies so that they can use in right manner by
avoiding any risk of its breaking down (Teece, 2010).
TASK 7
Final draft of plan
Task Name Duration Start Finish Predecessors Resource Names
enquiry about advanced
automated
machine/market research
9 days Fri 3/3/17 Wed
3/15/17 George
Gaining data from
secondary sources 5 days Fri 3/3/17 Thu 3/9/17 Robby
Analysis of data 4 days Fri 3/10/17 Wed
3/15/17 2 John,Denny
Competitors onside visit 5 days Thu
3/16/17
Wed
3/22/17
Determination of
competitors 5 days Thu
3/16/17
Wed
3/22/17 3,2 Denny
Taking expert advices from
dry cleaning specialists 2 days Thu
3/23/17 Fri 3/24/17 George
12

having discussion with
experts 2 days Thu
3/23/17 Fri 3/24/17 5 Robby
Designing front shop look 25 days Tue
3/28/17
Mon
5/1/17
Making contact with
layout developers 2 days Tue
3/28/17
Wed
3/29/17 7 John
Ascertaining
measurements 2 days Mon
4/17/17
Tue
4/18/17 9 Robby,Denny
Developing layout 4 days Wed
4/19/17
Mon
4/24/17 7,10 John,George
Determination of weak
areas 2 days Tue
4/25/17
Wed
4/26/17 11 Robby,Denny
Finanlisation of design 3 days Thu
4/27/17
Mon
5/1/17 12 Robby,George
Resources identification 28 days Mon
3/27/17
Wed
5/3/17
ascertaining equipements
to be purchased 2 days Tue 5/2/17 Wed
5/3/17 7,13 John
assessment of manpower
requirement 1 day Mon
3/27/17
Mon
3/27/17 7 Denny
Project cost estimation 2 days Thu 5/4/17 Fri 5/5/17 George
Project cost estimation 2 days Thu 5/4/17 Fri 5/5/17 7,13,15,16
Finance examination 26 days Mon
5/8/17
Mon
6/12/17
arranging different source
of capital 6 days Mon
5/8/17
Mon
5/15/17 17,18 Denny,John
Funding the project 20 days Tue
5/16/17
Mon
6/12/17 20 John
Wandsworth Borough
council notification 79 days Mon
3/27/17
Thu
7/13/17
Booking the appointment
with Wandsworth Borough
council
2 days Tue 7/4/17 Wed
7/5/17 7,21 George
Preparation of documents 15 days Mon
3/27/17 Fri 4/14/17 7 Denny,Robby
Council officer meeting 5 days Thu 7/6/17 Wed
7/12/17 23 George
Council permission 1 day Thu
7/13/17
Thu
7/13/17 24,25 Robby,John
Construction team 5 days Mon Mon
13

research 8/21/17 8/28/17
Search for constructors 3 days Mon
8/21/17
Thu
8/24/17 26 Robby
Selecting builder 2 days Thu
8/24/17
Mon
8/28/17 28 John,Robby
Builders consultation 2 days Mon
8/28/17
Wed
8/30/17
Breifing about project 2 days Mon
8/28/17
Wed
8/30/17 29 George
Price negotiation 3.5 days Wed
8/30/17
Mon
9/4/17
Negotiation on material 1 day Wed
8/30/17
Thu
8/31/17 31 John
Finalisation of price 2 days Fri 9/1/17 Mon
9/4/17 33 George
Finance arrangement 1 day Tue 9/5/17 Tue 9/5/17
Finance arrangement 1 day Tue 9/5/17 Tue 9/5/17 21,34 Robby
Refurbishment team
selection 7 days Wed
9/6/17
Thu
9/14/17
Identifying team 3 days Wed
9/6/17 Fri 9/8/17 35,36 George,John
Negotiate on price and
time 2 days Mon
9/11/17
Tue
9/12/17 34,35,38 John,Denny
Contract signing 2 days Wed
9/13/17
Thu
9/14/17 39 Kenny
Electrician consultation 6 days Mon
10/2/17
Mon
10/9/17
Identifying electrician 2 days Mon
10/2/17
Tue
10/3/17 39,40 Denny
Contract signing with
electrician 1 day Mon
10/9/17
Mon
10/9/17 42 George
Self drop off machine
purchase 1 day Tue
10/10/17
Tue
10/10/17
Machine purchase 1 day Tue
10/10/17
Tue
10/10/17 43 Denny,John
Customer notification 89.5
days Fri 7/14/17 Thu
11/16/17
Marketing through
newspaper 30 days Tue
7/25/17
Mon
9/4/17 26 George,Robby
Marketing through digital
platform
26.5
days
Wed
10/11/17
Thu
11/16/17 47,44,45 John,George
14

Front Shop refurbishment 10 days Tue
10/10/17
Mon
10/23/17
Shop refurbished 10 days Tue
10/10/17
Mon
10/23/17 43 George
Wiring the place 2.5 days Tue
10/24/17
Thu
10/26/17
CCTV installation 0.5 days Tue
10/24/17
Tue
10/24/17 49,50 Robby
Video manual 2 days Tue
10/24/17
Thu
10/26/17 52 Denny
Machine installation 18.5
days
Thu
10/26/17
Tue
11/21/17
setting up the machine 2 days Thu
10/26/17
Mon
10/30/17 51 Denny
Ensuring proper set up of
machine 3 days Mon
10/30/17
Thu
11/2/17 55,53 Robby
Monitoring proper
functioning of machine 4 days Thu
11/2/17
Wed
11/8/17 56 George
Extra Filter installation 2 days Mon
11/20/17
Tue
11/21/17 57 John
IT firm consultation 19 days Wed
11/22/17
Mon
12/18/17
Software selection 3 days Wed
11/22/17
Fri
11/24/17 57,49,58 George
Price bargaining of
Software 2 days Mon
11/27/17
Tue
11/28/17 60 Denny
Software installation 4 days Wed
11/29/17
Mon
12/4/17 61 Robby
IT and software system
correction 10 days Tue
12/5/17
Mon
12/18/17 62 Denny
Data transfer/integration 24.5
days
Tue
12/19/17
Mon
1/22/18
Developing path for data
integration 4 days Fri
12/29/17
Wed
1/3/18 62,63 John
Connecting servers 5 days Thu 1/4/18 Wed
1/10/18 65 Robby
Assuring Data Transfer 2 days Thu
1/11/18 Fri 1/12/18 66 Denny
buying virus protection
software 1 day Mon
1/15/18
Mon
1/15/18 67 John
Extra Backup system 4.5 days Tue Mon 68 Robby
15

installation 1/16/18 1/22/18
Staff training 42.5
days
Thu
1/18/18
Mon
3/19/18
Developing training
agenda 3 days Thu
1/18/18
Mon
1/22/18 67 George
Selection of right mode of
training 2 days Thu
2/22/18
Mon
2/26/18 71 George,John
Finalising module 5 days Mon
2/26/18
Mon
3/5/18 72 John
Imparting training 10 days Mon
3/5/18
Mon
3/19/18 73 Denny,Robby
Shop floor rearrangement 56 days Wed
11/8/17
Thu
1/25/18
Re-arranging machines
for physial layout 3 days Mon
1/22/18
Thu
1/25/18 54,69 George
Ensuring one way flow of
functions 5 days Wed
11/8/17
Wed
11/15/17 57 John
Employees working hours
policy change 12 days Mon
3/5/18
Wed
3/21/18
Developing new policies 5 days Mon
3/5/18
Mon
3/12/18 73 Denny,John
Communicating new
policies to all employees 2 days Mon
3/19/18
Wed
3/21/18 73,74 George
Assigning staff to new
roles/responsibilities 9 days Wed
3/21/18 Tue 4/3/18
Developing new
organisational structure 6 days Wed
3/21/18
Thu
3/29/18 80,79 Denny,John
Assigning of new roles
and responsibilities among
workers
3 days Thu
3/29/18 Tue 4/3/18 82 John
Pilot test 1 day Tue 4/3/18 Wed
4/4/18
Conducting pilot test 1 day Tue 4/3/18 Wed
4/4/18 48,77,80,83,76,75 Robby
Analysing errors in new
system 15 days Wed
4/4/18
Wed
4/25/18
assessing error 15 days Wed
4/4/18
Wed
4/25/18 84,85 Denny
Drop off system correction 8 days Wed
4/25/18
Mon
5/7/18
correction in system 8 days Wed Mon 86,87 John,Robby
16

4/25/18 5/7/18
Front shop painting 5 days Mon
5/7/18
Mon
5/14/18
Front shop painting 5 days Mon
5/7/18
Mon
5/14/18 88,89 George
trial of one week for
testing 7 days Mon
5/14/18
Wed
5/23/18
Checking functionality 4 days Mon
5/14/18 Fri 5/18/18 90,91 George
Finding loopholes 2 days Fri 5/18/18 Tue
5/22/18 84,93 Robby
Taking corrective actions 1 day Tue
5/22/18
Wed
5/23/18 94 Robby,Denny
Project review/customers
feedback 20 days Wed
5/23/18
Wed
6/20/18
collecting feedback from
customers 20 days Wed
5/23/18
Wed
6/20/18 95 John
CONCLUSION
The above report concludes that Johnsons, the Cleaners which is laundry service
company of UK, is passing from some issues which are making an impact on their performance
as well as on their goodwill. Hence to overcome the issue of longer durations taken in serving
customers is solved through installation of a new equipment for which entire project has been
implemented.
17

REFERENCES
Journals and Books
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towards enhancing product quality and business performance: Case study of manufacturing
companies in Malaysia.International Journal of Quality & Reliability Management. 29(1),
pp.92-121.
Chabowski, B.R., Mena, J.A. and Gonzalez-Padron, T.L., 2011. The structure of sustainability
research in marketing, 1958–2008: a basis for future research opportunities. Journal of the
Academy of Marketing Science. 39(1). Page 55-70.
Chan, S.L., Ip, W.H. and Cho, V., 2010. A model for predicting customer value from
perspectives of product attractiveness and marketing strategy, Expert Systems with
Applications, Vol. 37(2). Page 1207-1215.
Colquitt, J., Lepine, J.A. and Wesson, M.J., 2011. Organizational behavior: Improving
performance and commitment in the workplace. McGraw-Hill Irwin.
Cronin Jr, J.J. and et.al., 2011. Green marketing strategies: an examination of stakeholders and
the opportunities they present. Journal of the Academy of Marketing Science. Vol. 39 (1).
Page 158-174.
de Leeuw, S. and van den Berg, J.P., 2011. Improving operational performance by influencing
shopfloor behavior via performance management practices. Journal of Operations
Management. 29(3). pp. 224-235.
Eckerson, W.W., 2010. Performance dashboards: measuring, monitoring, and managing your
business. John Wiley & Sons.
Elragal, A.A. and Al-Serafi, A.M., 2011. The effect of ERP system implementation on business
performance: An exploratory case-study.Communications of the IBIMA. 670212, pp. 1-19.
Flynn, B.B., Huo, B. and Zhao, X., 2010. The impact of supply chain integration on
performance: A contingency and configuration approach.Journal of operations
management. 28(1). pp. 58-71.
Hoerl, R. and Snee, R.D., 2012. Statistical thinking: Improving business performance (Vol. 48).
John Wiley & Sons.
Markos, S. and Sridevi, M.S., 2010. Employee engagement: The key to improving
performance. International Journal of Business and Management. 5(12), pp.89-96.
Mellat Parast, M., Adams, S.G. and Jones, E.C., 2011. Improving operational and business
performance in the petroleum industry through quality management. International journal of
quality & reliability management. 28(4), pp.426-450.
Teece, D.J., 2010. Business models, business strategy and innovation. Long range planning.
43(2). pp. 172-194.
Trkman, P. and et.al., 2010. The impact of business analytics on supply chain performance.
Decision Support Systems. 49(3). pp. 318-327.

APPENDICES
Project 1
Installation of new machine
Year Cash Inflow PV Factor Inflow by considering
PV
1 40 000 0.909 36360
2 45 000 0.826 37 170
3 50 000 0.751 37550
4 55 000 0.683 37565
Total Inflow 190 000 148645
Less: initial invest 125 000
NPV 23645
Project 2
Making secure way of payment
Year Cash Inflow PV Factor Inflow by considering
PV
1 30 000 0.909 27270
2 35 000 0.826 28910
3 40 000 0.751 30040
4 45 000 0.683 30735
Total Inflow 150000 116955
Less: initial invest 120 000
NPV -3045
Project 3
Setting up various pick up and delivery centres
Year Cash Inflow PV Factor Inflow by considering
PV
1 25000 0.909 22725
19

2 35 000 0.826 28910
3 45 000 0.751 33795
4 55 000 0.683 37565
Total Inflow 160 000 122995
Less: initial invest 160 000
NPV -37005
SAFe Criteria for all projects
Johnsons The
cleaners
Suitability Acceptability Feasibility Approval
Project 1
(Installation of
new equipment)
   Yes
Project 2
(Installing new
system to make
payment system
secure)
X  X No
Project 3
(Establishing
various centres for
pickup and
delivery)
 X X No
20