Executive Holloware: Analyzing Challenges in Sustainability and Growth

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This report analyzes the Executive Holloware case study, a manufacturer of high-end silver-plated tea sets, facing challenges in growth and sustainability. The report identifies issues such as poor quality control, lack of communication between departments, and a reactive workforce culture, leading to customer complaints and increased costs. It introduces operations improvement strategies, including continuous product development and the PDCA cycle, to address these issues and enhance quality management. The report also suggests implementing Total Quality Management to improve product quality and reduce defects, ultimately aiming to improve the company's sustainability and achieve its growth objectives by focusing on operational excellence and employee engagement. The report details how these strategies can improve the quality of the product and reduce re-work costs.
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Managing Sustainability and
Operational Excellence
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TABLE OF CONTENTS
INTRODUCTION...........................................................................................................................3
MAINBODY...................................................................................................................................3
Identifies the challenge that Executive Holloware observed in term of growth & sustainability
.....................................................................................................................................................3
Introduce an operations improvement strategy............................................................................5
Attempt to convince board of director for commitment to sustainability and growth................7
CONCLUSION..............................................................................................................................11
REFERENCES..............................................................................................................................13
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INTRODUCTION
Operational Excellence is a philosophy of the workplace wherein problem-solving,
leadership, teamwork results in the constant improvement in the company. It is a type of
framework for the companies that focuses on growth and conduct their strategies effectively as
compared competitors. It enables company to put more efforts with the staff through better
employee engagement as well as streamline processes. It is important for the company because it
is considered management philosophy as well that is completely based on conducting business
strategy on leading more revenue and declines risk and cost. On the other hand, sustainable
management is the intersection of the company and sustainability. They support in managing a
firm’s impact on three bottom lines i.e. planet, profit and people so that all three can proposer in
the future in effective manner (Yu, 2019). Sustainability management plays significant role in
leading operational excellence. In this report will highlight Executive Holloware case study. It is
a company that manufactures products which has goal to become top end of the market along
with a commanded hike price. The major special product of the company is the handmade
silver-plated tea sets. This case study will focus over the challenges that are identified by
Executive Holloware in respect of sustainability and growth. Furthermore, it will discuss about
significance of quality in the stage of manufacturing process and in last will recommend of steps
for following quality improvement.
MAINBODY
Identifies the challenge that Executive Holloware observed in term of growth & sustainability
Quality is essential for the Executive Holloware because it is considered one of the UK’s leading
supplier of top quality of holloware. So, it sells it’s product on hike price. Executive Holloware
observe in it’s company that there are most of customers who are complaining over the teapots
quality that’s why most of the time become disagree. Company posses’ wide product line i.e.
handmade, silver-plated Georgian tea sets, small items of giftware, tea sets made from the
stainless steel and pewter (Shuai, 2020). But Mr Paul observe various causes in the EH case
study such as first number of products are manufactured by the company are high valuable tea
set items. So, it is important to maintain standards performance to develop a product without any
type of defect. Another cause of the problem is that there is no particular definition of defect in
whole process. It is described that the senior shop foreman does not have any idea of the
definition of defect which affects overall performance of the whole process because it
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represents in the form of re-working cost. Other cause of the problem is that each department of
the Holloware company do not keep any close communication about the relevance of the quality
in the process. Executive Holloware also observed that each department were blaming to each
other regrading scratches and bruises of the product. Even finance management did not have any
particular vision for the situation (Makinde, Munyai and Ramatsetse, 2017). Thus, EH observed
that there has very poor communication among teams and overall process are internal control. In
the company did not have any clear specification over the defined quality as well as metrics of
the quality of acceptance during the process i.e. clear definition of scratches and bruises in
teapots and acceptable range like specification in production. Executive Holloware also
identified that the big issue was in the process due to this most of teapot sets are rejected and
sends them for removing defect that arises re-working cost. Apart from this there were several
other issues that also observed at EH such as there was no defect inspection carried out till the
product is ready for the shipment. Various issues are arising while manufacturing process but all
are ignored by team member and product is getting passed down the line with the defect. Due to
this, company have to face negative publicity from the customers because most of the customer
is getting highly scratches, bruises in silver teapot items. It indicates that there is no quality
control data collected until the end production line. Due to the problem with defects, company
have to pay twice time for the rework which is actually unnecessary (Practices for continuous
improvement of the Product Development Process: a comparative analysis of multiple cases,
2017). In addition, culture of the workforce is wrong because production managers constantly
pressurize them to speed up the production. Such work makes their quality worst. At Executive
Holloware, reactive culture follows in the company with staff due to this they react to problem
with the finished product. Company’s growth was not good at that level on which it must have
because in this company employees are not treated in good manner by the production manager.
The main issue at Executive Holloware is to quality of product s, due to this customer’s
returns, low profits and risen costs. Apart from this, they face more difficulties with the new
process system as well as with the employee’s concerning communication, motivation and
incentives which has brough wide challenges for the company in the form of sustainability and
growth. No quality control over the production process is that major reason of arising problem of
defect in the items. Due to this, company have to pay extra for the rework in respect of removing
defect in items. Executive Holloware company is famous for the quality of it’s product but less
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attention of production manager decline sustainability of the company. The major reason of the
issue is that there is no good communication between departments so they unable to calculate
loss of the company over the re-manufacturing process of defect items. These challenges are
identified in the Executive Holloware.
Introduce an operations improvement strategy
Operation improvement is a fundamental requirement and continuous effort for the
company that always desires to succeeded in current environment of change asc well as
challenges. This factor plays vital role in the organization’s success because it helps in increasing
productivity and efficiency. Ongoing improvement in the processes can support to remove
inefficiencies that ultimately improves productivity of team members. Paul stone observes
various loopholes in the company while analysing overall case study of Executive Holloware. He
observed that problem is majorly finding in manufacturing unit which is faced by the overall
company at all levels which are the backlog in work and problem in the quality of the product.
However, Paul Stone was in charge of quality assurance who handles two approaches or methods
to find solution to the issue as it has very big impact on the financial aspect as well while
communicating with the people atr different level in the company. During quality survey he also
checks the maximum control point that concentrate over quality improvement in respect to find a
smooth run with high level of productivity. Paul also noticed that company is suffering from
poor quality management. Inspection is not taking place effectively during the production
process and defects are picked after the end of the process wherein costs are already twice. Due
to this company have to pay unnecessary finance to the employees (Pambreni and et.al., 2019).
It indicates that significance of quality seems to be lacking in the production team. Quality is one
of the factors that influences people to buy product ad ready to pay extra but when they do not
get value of their money then they find alternatives. Quality performance can be improved in the
company by offering bonus scheme that ultimately influence them to work harder and perform
their best to develop good quality work. Poor communication between departments is another
reason due to these products are passing through different stages without being at the correct
standards which are required to give to the consumer. Workforce culture can be a reason of
decreasing growth of the company that’s why nobody is interested to support with the root cause
of the problem, they just blaming to somebody else. It could be cause that workforce do not feel
empowered themselves to do anything over the quality issue. Secondly they cannot stop the
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production either they find problem because they could be blamed for the loss of production
time.
On the basis of above discussion, it can analyse that company could introduce continuous
development of products that is one of the most common and highly popular operations
improvement strategy. It could implement in the Executive Holloware. Continuous improvement
product development process is a strategy that enables company to develop an effective
communication and collaboration between teams at the global scale. Continuous improvement
always initiates by observing previous results because these are considered baseline for
improvement purpose. This strategy would use in the Executive Holloware. With the support of
the strategy, Paul stone could outline the issues of item due to this customers were complaining.
Quality was the major issue for the Executive Holloware. Initially prepare a standard work as
sample item for the employees so that they could prepare similar item. Standard work has three
items such as Takt time, WIP and the sequence of operations. Takt time means the time interval
in which company has to deliver an item in respect of meeting customer’s objectives (Abbas,
2020). In the production department of Holloware did not have any standard work so there was
no idea for the improvement. To improve product quality there is not requirement of spending
extra costs, it could improve by reducing costs of raw material as well as improves quality. Thus,
in this section Paul could prepare a standard work based on the issues. Apart from this, Paul
could collect market feedback as baseline for the improvement purpose. For example, company
was facing more financial loss because most of the customers were complaining about item
defects like scratches over teapots, bruises etc. due to this, they return the item and get back
money over them or returns sold items. Thus, Paul could use market feedbacks as baseline for
the improvement purpose. This Another stage of the continuous improvement of the product
development is the plan, Do, Check and Act (PDCA) cycle. It is one of the best techniques to
improve quality of product. It is also known as output system of ongoing improvement. In the
plan stage, Paul could easily determine the issue the problem with the quality technique like
Pareto charts, employee inputs, brainstorming through which could examine the problem and
sets objectives and explores alternative solutions. In the ‘Do’ step, Paul could plan and conduct
the solutions. The action plan is needed with people who involved in implementation and
responsibilities of each one. So, the internal commitment and communication in the company is
crucial. In the ‘Check’ stage, Paul would be able to evaluate the performance with different tools
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i.e. control charts histograms, Pareto charts etc.). In the ‘Act’ step, it encompasses improvement
and standardized solutions in the company. It would implement in the production department by
the Paul to improve quality of items during manufacturing process so that company do not have
to pay re-cost to remove the defect. Thus, this strategy could practice in the Executive
Holloware.
PDCA is the best tool that can be applied for the shorten period of product development cycle in
respect of getting improvement outcomes (Androniceanu, 2017). Total Quality Management is
another approach of operational improvement strategy that would introduce in the Executive
Holloware company. It would bring more benefits such as they emphasize on keeping higher
quality product manufactured which could be sold for the top end price. The organization would
begin focus on developing the highest-level products without losing money. Quality
management testing over the product assures that right quality product is achieved. It also
supports to minimize the defects as staff become more aware for their work. This it could be a
way of making sure that employees work harder to gain better product. TQM could support
company to develop quality policy. This offers to everyone in the company for following and a
type plan which they would themselves follow to ensure quality. Executive Holloware should
have focused on TQM and adapt several methods of constant development the organization.
Thus, TQM philosophy could integrate company’s wide perspective involving everyone in the
company. The main focus of the TQM is to lead total satisfaction for both external and internal
customers a management which seeks ongoing improvement of all system as well as processes.
Thus, company would enable to maintain quality standards (Bolatan and et.al., 2016).
Attempt to convince board of director for commitment to sustainability and growth
Sustainability encompasses various aspects of business operations in terms of
environment, corporate governance and social concerns and are primary board agendas. It is also
central to the ability of Executive Holloware to operate in alignment with the dynamic needs of
stakeholders such as customers, community, media, government and employees and the ability to
deal with the intense competition in the manufacturing of silver-plated teapots. In order to
showcase commitment towards the sustainability of the operations improvement strategy to
various stakeholders and the board of directors, various approaches can be undertaken:
Creation of a sustainability plan, publishing it and measuring it effectively: Various goals
in terms of enhancing the sustainability in the operational and production process of the
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silver-plated teapots can be set. All the established goals should also be embedded in the
vision, mission and business operations of Executive Holloware. The in-depth
understanding of the needs of sources of energy, usage of water and waste management
in the manufacturing of silver-plated tea will be evaluated and organisation-wide energy
audit will be conducted for analysis of usage and cost structure (Piyathanavong and et.al.,
2019).
The benefits of incorporating sustainability should include usage of cleaner and greener
renewable strategies such as biomass, wind turbines, solar energy etc. The audit will also
evaluate the local codes of requirements in the production site. All the renewable energy
plans would be made, designing of implementation of tariff rules will be done for
increasing informed-decision by the board of directors (Modgil and Sharma, 2016).
The HVAC system in the production site will be evaluated through the energy audit and
it may showcase problems with heating and cooling spaces which tend to increase the
expenses for the energy. Various modification in the entire system can be done to reduce
the costs of Executive Holloware and also its impact on the sustainability of environment.
Assessment will reveal if any upgradation is necessary, switching to thermostats that are
programmable, prevention of energy losses in the ducts through sealing techniques and
changing the filters every 5 months (Wu, Zhang and Luo, 2019).
Implementing changes in the lightning of the manufacturing house by switching the
outdates incandescent lightning equipment with CFLs and other modern energy saving
models.
Improving the use of resources in the warehousing, logistics and supply chain process
through reduction of fuels that cause harm to the environment and switching on to
alternative fuels like hybrid transporters and all electric vehicles. There are various
rebates from certain companies in the installation of electrical charging equipment. Apart
from that a zero-carbon footprint policy has to be initiated with high innovation in the
transportation and warehouse system via automation etc (Lilley and Wilson, 2017).
Reduction in the use of water through careful assessment of all pipes, faucets and toilets,
leaky materials valves, that may be causing water wastage. Techniques like sensor
operated faucets cab be fixed in all areas.
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Sustainable landscaping can be practiced through reduction of turfs around building,
installing green infrastructure, efficient irrigation methods etc.
Waste management policies have to be robust and an effective reduce, re-use and recycle
program has to be practiced at all times from silver-plated teapots leaving the press
shops, where waste material could be reduced prior to the assembly of the teapots.
Materials used for polishing and buffing will be re used and wastage will be reduced. The
green packaging of teapots can be introduced to reduce plastic usage. Appropriate
sustainability standards will be set by Executive Holloware at all the stages of production,
supply chain, product sale, and delivery (Sze, 2018).
In order to enhance the growth of the company following are the approaches that can be
entertained by the organisation.
Improve communication
Improved communication is among the key aspect in the corporate sector. In case of
Executive Holloware Ltd the communication is weak in the organisation. The bad
communication also negatively affects the work efficiencies and productivity of the company.
The lack of communication became one of the reasons for the organisation to fail in the business
(Sullivan and et.al., 2018). It directly hampers the quality of functional activities in company. If
the company focuses more over improving the communication of organisation than it can
achieve the best level of work efficiencies in context to achieve the best level of functional
quality in organisation. Company can install better tools in information technology to improve
the communication and overcome barrier of communication. This is a key approach to improve
the coordination in between all employees and human resources associated with the organisation.
Fast service
Fast services can help company to satisfy the needs and amount of the customers.
Nowadays fast service is as important will cost customers like to go with the forms who are
providing a fast services nowadays. It can be helpful for Executive Holloware Ltd to create good
imagine customers mind by providing them a fast services and they were able to gain loyalty of
their customers. Leaders and managers of the company have to provide training and
development to make their employees more faster. it will not only satisfy the needs and demand
of the customers but company can also improve their performance within a market.
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Implementation of technology
Executive Holloware Ltd can use trending technology at their workplace. It will help too
attract the customers and also provide best possible services to them. Nowadays every firm is
doing their work by using the information technology which is creating a good experience for the
customers and satisfying their needs. Leaders and managers of the Executive Holloware Ltd
should identify the new trends within the market, and they should implement within their
workplace. This will also make easy for employees To provide them a fast services and They
will gain loyalty of the customers as well.
Improve quality of products
Executive Holloware Ltd can focus over improving the overall quality of company’s
products. This is a key approach to improve the growth of the organisation. By improving the
quality in all the existing products of company it can achieve the best level of growth
opportunities with the support of existing loyal customer base of organisation. Improving quality
of products of company would significantly improve the level of customer satisfaction company
can entertain against the functional activities. Improving product quality is the best way to
achieve the growth chances (Gutiérrez and Philippon, 2016). This would allow the organisation
to improve its existing amount of loyal customers to cater the products offer by company. This is
a crucial approach that would support the company in enhancing the growth in the existing
dealing market. In recent time company could compromise in the existing quality of the products
which also resulted into company had to lose the customers in the market as it could sacrifice its
quality. This would allow the company to achieve the best level of customer’s satisfaction rate in
the existing dealing market.
Deal customers issue
In recent time company did not take the issues of customers so seriously. This is become
the key reason why the organisation needed to lose the existing customer. Due to unsolved issues
of the customers of organisation company needed to lose the majority of the customers in the
market (Dong, Zhang and Ding, 2019). If the company establish a proper structure where
customers can fetch all their issues and problems it would improve the trust of customers in the
operations of organisation. This is a key strategic aspect that will allow the organisation to
achieve the best level of growth opportunities in the market. Company can also motivate its
customers to fetch the feedbacks about the approaches and techniques company can use to
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achieve the best level of customer satisfaction. Dealing issues of customers would support the
organisation in sustaining the existing customers for long period of time.
The above-mentioned approaches would support the Executive Holloware Ltd in
achieving the best level of growth opportunities in the target market.
CONCLUSION
It can be concluded from the above report that there are various problems in the
Executive holloware in its production process and quality management which has led to extreme
customer dissatisfaction and disruption of quality in business operations. The major challenges
that Executive Holloware observed in the business processes were evaluated and in context of
sustainability & growth such as issues in batch processing, quality survey, mismanagement
within assembly, buffing and polishing and existence of bruises and scratches in the teapots. An
effective operations improvement strategy implemented companywide in Executive Holloware
was described. In order to show commitment to sustainability and growth to board of Executive
Holloware, various approaches like creation of sustainability plan, reduction in energy
consumption, waste management etc, can be used for sustainable business operations. For
improvement in growth, approaches of better communication, faster services, implementation of
technology, quality improvement and better dealing with customer issues has to be done.
Recommendation
Paul Stone must use the measurement techniques of quality at each stage like assembly,
polishing that will help company keep an eye on overall process of product development
till ready to ship. Meanwhile stages Paul Stone can easily measure quality of product by
analysing Statistics Process Control Chart which supervises and predicts the performance
of the manufacturing process. This chart also illustrates a graphic flow diagram of the
actual process through which mistakes can be identified and eliminate them within
timeframe. As Paul reported in his investigation that polishing and buffing department
got the major number of complaints due to the bruises and scratches. So, quality tools and
techniques can be applied in this stage for the measurement purpose. Thus, these
measurement techniques must adopt by Paul Stone in the Executive Holloware.
Random Spot Checking is another best strategy because it supports to determine problem
and that can be eliminated quickly. It can also correct employees to highlight that where
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they went wrong. Executive Holloware must practice this strategy because it will help in
long run minimize defects (Li and et.al., 2017).
Total Quality management is one of the best approaches because it undertakes by most of
the companies to maintain quality standards of the business as well as workforce. TQM
describes the culture, organization of the company and attitude which leads satisfaction in
the customer in respect of service and products that always expects by them. It also gives
a integrated system of principles, best practices and methods that provides a model for
company to attempt for excellence in all over the field (Saffar and Obeidat, 2020). So,
Executive Holloware must undertake this approach in the company because it supports to
improve quality of services and goods which delivers through the participation of all the
function within company. So, company should implement this approach.
Paul noticed that in company does not have good working culture as well as poor
communication between department. So, in this context, company require to follow good
organization culture instead reactive culture that will bring dedication in individuals for
the work and encourages them to offer better quality product (Putri and et.al., 2017).
While management of the Executive Holloware should follows open communication
culture in the workplace so that all departments can communicate with each other in
effective manner which ultimately improves quality of functions which perform by
different functional units.
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