Operations and Project Management: XYZ Company Report Analysis

This report provides a comprehensive analysis of operations and project management principles within the context of XYZ Company, a domestic appliance manufacturer planning to launch a new large-screen TV. The report delves into the implementation of operations management principles, specifically focusing on Six Sigma and Lean methodologies, and critiques their effectiveness. It details a continuous improvement plan, analyzing its effectiveness using relevant theories and models. Furthermore, the report examines the project life cycle (PLC), including the design of a business case, project plan, and work breakdown structure. It analyzes the rationale for project methodologies and leadership within the PLC, and critically evaluates the PLC's effectiveness, differentiating between large and small-scale projects. The report concludes with an overview of the key findings and recommendations for improving operational efficiency and project success at XYZ Company.

Operations
and
Project Management

Table of Contents
INTRODUCTION...........................................................................................................................3
TASK 1............................................................................................................................................3
P1 Review and critique of the implementation of operations management principles..........3
M1 Review and critique implementation of operations management in relation to Six Sigma
methodology and Lean principles..........................................................................................6
TASK 2............................................................................................................................................6
P2 Prepare a continuous improvement plan based.................................................................6
M2 Analyse the effectiveness of a continuous improvement plan using appropriate theories,
concepts and/or models........................................................................................................11
D1 Apply appropriate theories, concepts and/or models to justify strategies of a continuous
improvement plan for achieving improved efficiency.........................................................12
TASK 3..........................................................................................................................................12
P3 Design Product Life Cycle, business case, project plan and work breakdown structure.12
M3 Analyse the rationale for the project methodologies, tools and leadership within the PLC
for the given project..............................................................................................................19
TASK 4..........................................................................................................................................19
P4 Review and critique the effectiveness of the PLC with help of appropriate to operation and
project management theory or model...................................................................................19
M4 Critically analyse how the use of appropriate theories, concepts and models in the PLC
will differentiate between large and small-scale projects.....................................................21
D2 Critically evaluate the PLC through a practical and theoretical exploration of its
effectiveness.........................................................................................................................21
CONCLUSION..............................................................................................................................22
REFRENCES.................................................................................................................................22

INTRODUCTION
Operational and project management are the two main ongoing processes in which
activities to produce and supply products are performed (Fleming and Koppelman, 2016). There
are various features of operational management such as planning, organizing, staffing, leading,
control, time management, motivation and many more. Organization taken for this assignment is
XYZ which is an American and European brand of domestic appliances. It was founded in year
1911 by Earl Richardson. The company is planning to launch a new large screen TV in the
market with a minimum size of 58 inches. It has also planned to include stadium screens in the
production. Topics covered in this assignment are principles of operations management
principles, continuous improvement plan. Along with this, it includes project life cycle and
analysis of PLC by using various methods and approaches.
TASK 1
P1 Review and critique of the implementation of operations management principles
Operations managements is considered as combination of various concept of leadership
within an organisation. By this, a company is able to use their resources in effective and
appropriate manner along with this they also insure that their operations and functions are
conduct in proper ways. There are several type of activities included in operation management
such as planning, organising, motivating, controlling, supervising and many more (Gunasekaran
and Ngai, 2012). For this an organisation can use various approaches and methods so that they
conduct work in an appropriate manner. XYZ use two principles to conduct effective and
efficient operation management that is six sigma and lean principles. Which help them in
launching new large screen Television in marketplace whose minimum size is 58 inches.
Six Sigma
An approach which helps in finding or eliminating defects or issues in offering product,
process or any service by collecting data and framing it on statistical basis. To solve any defects
or issue, a manager should focus on five phases or sub principles that is known as DMAIC.
Define (Finding a problem), Measure (Measurement of existing system), Analyse (Finding root
cause of issue), Improve (Corrective action) and Control (finding support and maintain gains).
By using six sigma XYZ able to collect appropriate information and data which help them in
conducting production process in effective manner. This will also help them in launching 58

inches Television in proper manner at their target market place. Explanation of six sigma in
respect of respective company is given below:
Define- At this stage, manager of XYZ company able to identify problems, issues or
objective which they are currently going through and they need to address it (Harrison and Lock,
2017). By this manager and leader of respective company able to make strategies and plans to
launch large screen TV range in effective manner. If problems are not appropriately recognised,
then it may result in rigidity and bureaucracy that can create delays and stifle creativity.
Measure- In this, company measure issues and problems which they are facing and
identify its root cause. In this manager and leader of XYZ measure different issues and identify
which is more prior to be solve so that they able to conduct their operations and functions in
appropriate manner. In measuring process trained staff is required to monitor the issues and for
small businesses it is not possible to spend money on training.
Analysis- At this manager and leader of XYZ company analysis and identify that on
issues or strategies which they are working is worth full or not. If they find that idea or strategies
is not relevant they will drop out particular idea and design new one which is relevant and
effective. According to this principle the company is not technically allow for the introduction of
new tools or methods whether they are beneficial or not.
Improve- At this stage, manager and leader of respective company conduct analysis and
identify whether any improvement is required or not in respective strategy which they design. If
there is any need of improvement and modification manager and leader make strategies
accordingly. That will help them in attaining goal and objective in effective manner. Six sigma
approach requires long period to respond positively so the higher authority is required to invest
more time and they cannot expect overnight improvements.
Control- In this stage XYZ company apply solution which they design to get over issues
and grab opportunities (Jacobs, Chase and Lummus,2014). In this manager and leader control
and monitor work of their staff and guide them how to accomplish work in effective manner. If
the proposed solutions or improvements are not followed up properly then it may result
negatively and also create worst situation than ever before.
Six Sigma approach helps in identifying or eliminating defects in product, process or any
kind of service by assembling data and analysing it on statistical basis. Five principles are
included in six sigma which are known as DMAIC. Implementation of these principles in TV

manufacturing project helps manager of XYZ in eliminating defects from the product. This
assists company in offering high quality product to customers and satisfy them. Lean principles
gives a framework for developing effective and efficient organisation. Application of these
principles helps manager in finding out inefficiencies within firm and deliver better value to
customers. In operations management, lean principles creates better work process flow and
develop a culture of continuous improvement. This helps XYZ in terms of decreasing cost,
increase profitability, enhance value for customers and gaining competitive advantage in market.
Lean Principles
Lean works for the business to promote or to flow the perceived value to their customers
by giving the perfect guidance in respect of the continuous improvement in management and for
the respect of people (Larson and Gray, 2015). To explain or illustrate in further ways, it is
divided into five stages or its sub principles which works accordingly. Explanation of lean
principles in context of XYZ company is given below:
Determine value- Manager of Hot Point company decide appropriate value for their
products and services which attract and encourage customers in appropriate manner. Along with
this they able to enhance their profitability ratio and numbers of customers. If value is not
properly determined, then it can decrease the market share which was retained by the
organisation sine a long period.
Mapping of value stream- At this stage, manager and leader of XYZ company will
design framework and guideline which help them in conducting work and process in effective
and efficient manner. In this manager able to identify steps which is not appropriate and then
they remove it from process. Mapping is a time taking process and when quick solutions are
required then it cannot help to resolve issues.
Create flow- In this step work or task is able to conduct in appropriate manner because all
hurdles and barriers get remove from process. By which company able to complete work in
appropriate time and in effective manner (Morris, 2013). When there is no delay in work or
production company able to fulfil need and demand of customers in more effective manner.
There is a great challenge involved in this principle as it may require breaking down silo thinking
sometimes. If manager is not able to do the same at the right time, then it is not possible to create
appropriate flow to operate all the activities smoothly.

Establish pull- At this step manager and leader of respective company evaluate and
analysis stock that is required to conduct production and manufacturing process. They will
ensure availability of stock that it must be not too less and not too high, it must be in appropriate
amount. Which help XYZ in accomplishing work and task in appropriate and effective manner.
Just in time approach is used in this principle in which products are manufactured according to
the demand of customers. If products are built in advance and the demand is very low, then
organisation may have to face losses.
Pursue perfection- At this stage is related to production and manufacturing process of a
company. It is not essential for respective company to use same process or procedures they can
do modification and update according to need and requirement. So that they able to attain goal
and objective in appropriate manner. If all the above mentioned steps are not followed properly
then it will become difficult to pursue perfection.
The respective organisation has to adopt six sigma operation methods for running their
business in an effective and efficient manner. As this method follows proper sequence in order to
identify problems and provide solution for elimination of wastes. It helps in maximization of
profits and gains for business. On the other hand, implementation of such technique is costly to
business as small firms cannot afford it that leads to decline their productivity.
M1 Review and critique implementation of operations management in relation to Six Sigma
methodology and Lean principles
For implementation of operation management in organisation, it is very important to use
different tools and techniques in an effective and efficient manner so that better results can be
achieved. Six sigma is an approach which is used for eliminating waste in organisation. This
technique is formulated by Toyota company for reducing waste in business. Similarly, lean
principles is an approach where continuous improvement is done for goods and services. They
helps in creating value for organisation which assist in increasing brand value and goodwill in
market.
TASK 2
P2 Prepare a continuous improvement plan based
A process which works for the improvement in continuous manner. Efforts which put for
the improvement of three important perspectives that is product, process and services by fully

utilization of scarce resources. It works on improving the waste percentage and maximise the
profit of an organization (Nicholas and Steyn, 2017). For conducting process in effective manner
manager of XYZ company conduct evaluation and then develop continuous improvement plan
which help them in doing improvement according to requirement. By that they able to attain goal
and objective in effective and appropriate manner. By developing continuous improvement plan
respective company able to launch their new range of television in appropriate manner.
Continuous improvement plan in order to develop and launch 58 inches TV is mentioned below:
Plan Do Check Act
Quality Company will analyse
quality of products by using
Total quality management.
If change is required in
quality, then it will be made
under change principle of
continuous improvement.
When changes are not made
properly then organisation
may have to face issues
such as poor quality and
unsatisfied customers.
By using total quality
management approach
XYZ manager able to
focus on quality of
products and services in
appropriate manner.
Along with this they
able to monitor their
production and
manufacturing process
in appropriate manner
and also able to maintain
quality of products
which they are
manufacturing.
In this step manager of
respective company will
compare standard quality
of products and services
to actual quality. By this
they able to know
whether they are lacking
and then accordingly
manager of XYZ will
develop plans and
strategies.
Delivery Six Sigma method will be
used to monitor delivering
process of respective
company.
By using six sigma
respective company able
to conduct their whole
process in appropriate
and effective manner
(Olson, 2014). By which
they able to satisfy
While using six sigma
method for analysing
delivering process
respective company able
to fulfil need and demand
of customers in
appropriate manner.

customer in effective
ways. By this manager
of XYZ can analyse
whole process from
manufacturing of
television to delivering it
to customers in proper
condition and manner.
For the purpose of
analysis accountability
principle of continuous
improvement can be
used by the organisation
in order to assess that
products will be
delivered to the
customers properly or
not. Proper training is
required for
accountability and while
launching a new product
a company doesn't focus
on trainings which may
result in inappropriate
accountability.
Along with this,
customers will also get
standard quality products
which make them brand
loyal and enhance
goodwill and market
value of company.
Cost Company will decide cost
of products and services
which make them valuable.
If the decided price is
higher than market price,
then it will result in lower
At this stage of
continuous improvement
plan respective company
able to decide price of
product and services
which make value for
By using this method
respective company able
to set valuable price for
58 inches’ television
which they are going to

profits. To ignore this
situation variance principle
of continuous improvement
can be used by the
organisation so that
appropriate price can be
analysed. If it is not used
properly then managers will
not be able to analyse the
right price for products.
respective things
(Pemsel and Wiewiora,
2013). So for this XYZ
company use premium
pricing method which
make value for 58
inches’ television which
respective company
going to launch.
launch.
Promotional
activities
XYZ company will decide
promotional and advertising
activities which will attract
more and more customers.
At this stage manager of
respective company use
attractive and effective
techniques for
promoting their products
or 58 inches’ television
which they are
launching. Such as they
can use promotional and
advertising technique
like use digital media,
provide advertisement in
newspaper, distributes
pamphlets and many
more.
By this manager of XYZ
company able to attract
more and more customer
and encourage them for
purchase (Ramasesh and
Browning, 2014). When
more customers will be
attracted the profitability
ratio of company will
enhance automatically.
Proper organisation is
required for promotional
activities which can be
done with the help of
organisation principle of
continuous improvement.
It helps to organise
activities properly and
attract large number of
customers. If the
managers are not able to

arrange the activities
appropriately then it will
create problem of
mismanagement.
Performance measurement model- This model is mainly used to measure the
effectiveness of continuous improvement plan in which performance of a business project is
measured. With the help of this model the managers of XYZ analyse that the PDCA plan is
effective or not and it will help to achieve business objectives or not. Five why’s is one of the
main strategy that works as a performance measurement model and helps to analyse that the
proposed plan is effective for the organisation or not. The plan is highly effective for XYZ
because it guides the top management to take control over business and then implement the best
suitable option for betterment of the company.
Continuous improvement plan depicts the constant efforts of firm to improve products,
processes and systems. This plan is developed by project manager for making constant
improvements where required. Different principles of operations management are applied like
accountability, variance, organisation for addressing issues and making improvements. The
principle of accountability is used by manager in order to evaluate that products will be delivered
to customers properly or not. Gemba walks strategy is also a way to observe that all the
processes are conducted appropriately or not so that effectiveness of continuous improvement
plan can be measured. Application of Six Sigma approach helps in eliminating defects from
manufacturing process. Implementation of all these approaches and strategies helps XYZ in
attaining improved efficiency.
Kaizen Model
This is Japanese word where there should be continuous improvement in different
activities of business and functions. There are 5'S in respective model which assist organisation
to conduct business activities and operations in effective manner. They are described below:
SEIRI- It is defined as sort out. As per this factor, it is important for staffs to be sort out
in order to perform work within given time period. XYZ has to use promote their products in
order to make understand to their staffs.

SEITION- It is defined as organise. There are many staffs who spend their half time in
doing research for documentation or items that is important for management of organisation. The
respective organisation has to manage and keep their file and documents in proper order so that
staff can get whenever required to them. It assist in saving time and energy of staff for
conducting activities and work.
SEISO- It is defined as workplace where both employee and employer has to keep
workplace clean and safe. The respective organisation has to keep their office to be clean, proper
documentation of files and so on. The employee has responsibility to keep their things in proper
manner before leaving office.
SEIKETSU- SEIKETSU- It is defined as standardization and management
responsibility for developing rules and regulations for quality work at business. They have to
create and implement rules, policies and regulations for conducting work effectively and
efficiently. It also assist worker to conduct activities and work by following proper guidelines.
SHITSUKE- This is called self discipline where rules and regulation should be
developed to maintain self discipline within organisation and employees. The respective
organisation has to develop rules and regulations which has to be followed by each and every
working forces for equality.
This model helps in conducting business and their activities and operations in an effective
and efficient manner for achievement of goal and objectives.
M2 Analyse the effectiveness of a continuous improvement plan using appropriate theories,
concepts and/or models
It is very important for organisation to do continuous improvement in their business with
helps of theories and model. The continuous improvement provide effectiveness in terms of
engaging more employees, lowering of employee turnover, competitive products and services,
better services to consumers and creating proactive learning culture. The theory used for
continuous improvement is plan do check action. In stage of planning all activities should be
planned in effective manner after they should be performed in business. After performance,
evaluation or checking is performed for improving it. In last stage, action should be taken for
improvement. Therefore, in this way, model is used for continuous improvement and
achievement of goal and objectives.