Operation Management Challenges and Strategies at Google LLC

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This report provides an overview of operation management at Google LLC, focusing on key challenges such as changing technologies, globalization, evolving customer expectations, changing job designs, quality management, and global manufacturing. It examines how these challenges impact Google's business operations and explores the company's strategies for designing goods and services through effective operation management practices. The report also delves into Google's inventory management techniques, including raw material, work in progress, finished goods, transit, and MRO goods inventories, as well as its resource management approaches, highlighting the company's efforts to optimize operational capacity, reduce costs, and maintain a competitive edge in the global market. This student-contributed assignment is available for review and study on Desklib, a platform offering a wide array of academic resources.
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Operation management
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Operation management
Introduction
The main aim of this task is to provide brief information about the operation management of
Google LLC. It is one of the biggest multinational companies in the world that provides internet
services to the clients. The report describes that how various issues such as change in
technology, jobs design, globalization and global manufacturing affect the growth of the firm.
The paper explains that how the organization uses effective and unique operation management to
design the products and services effectively. Along with this, inventory management and
resource management of Google LLC have been explained in the task. More detail of the paper
has been detailed below.
Google LLC is an American multinational technology company that provides internet related
services and products to the customers across the world. The various types of Google LLC
services include search engine, cloud computing, software, hardware and online advertising
technologies. The company was incorporated in 1998 by Serhey Brin and Page. The firm is
having a workforce around 85050 who provides unique and effective services to the customers
across the world (Google, 2018).
Part 1
Key challenges and their impact on the businesses
In today’s modern world, ample of key challenges are faced by Google LLC while initiating the business
actions globally. Some of the key challenges are discussed below.
Changes technologies: It is noted that Google LLC is changing its technology constantly in order
to increase profitability and revenue. Although these technologies provide various benefits to the
company but also it creates various challenges in the workplace for the employees. Changes in
technology are done by the firm to deliver the best services to the customers across the world. On
the other hand, changes in technology can also distract the employees at work. The use of social
network in the work can cause thus it affects the outcomes and productivity of the workers.
Besides this, It is costly to buy technology but it is very costly to maintain it. Hence, it may
influence the success and growth of the firm adversely in near future. It is very risky for the
company to change in the technology as it also affects the relationship of the employees and
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Operation management
employers. Constantly changing in technologies is done by the Google LLC. thus, it increases
resistance to change among the workers. It has been noted that most tasks are automated by the
technology therefore many employees become lazy at the workplace (D'Ambra, Wilson and
Akter, 2013).
Globalization: After the various researchers, it has been found that globalization of market is
best reflected in the internationalization of business transaction. It is noted that globalization
raises many practices concerns and issues for Google LLC in near future. Due to globalization,
the firm is increasing its interaction with other companies. Thus, it also creates various issues
and challenges in the international market. Due to globalization, employees at Google LLC are
losing their jobs. This is because the company is outsourced to countries where the cost of
products is lower than in their countries. It is revealed that globalization has led to exploitation of
workers. Safety standards and rules are avoided to produce cheap products. Thus, it is affecting
the progress and targets of the company in the international market. Globalization has also led to
fluctuation in prices of the internet products. It means various challenges related to the prices of
the products can be faced by the firm in the future (Losonc, 2016).
Changes customer expectations: It has been found that a successful business may influence the
behavior of consumer promote them to buy its products. If the consumers change their tastes,
preferences and choices then it affects the profitability of the firm adversely. It also affects the
sale and outcomes of the firm. Google LLC is failed to know and analyze the desires and
expectations of the consumers due to change in the nature and behavior of the customers. Due to
change in customer expectation, Google LLC has failed to produce internet products as per the
choices and expectations of the consumers. In this way, it affects the selling process of the
company negatively. It is noted that customer service is a major part of the each and every
business. It needs to be focused and kept consistent. It also increases competition in the
competitive market (Jones, Burke and Westman, 2013).
Changing job designs: One of the significant issues that dealt by the firm is changing job
designs. New and innovative technologies could also affect the job design of the workers. It is
analyzed that information technology revolution has had dramatic impact on the labor market
and jobs adversely. It has been measured that if the constantly changes in done job design that
means Google LLC will have to waste ample of money to train the workers. Along with this, the
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Operation management
organization will have to hire talented and skilled workers for providing training to the workers.
It will consider the time consuming process and risk is involved in this process. The company
needs to focus on the job design while appointing the candidates for performing tasks and duties.
Changing job design will also affect the sustainability of Google LLC negatively in the near
future (Jones, Burke and Westman, 2013).
Quality management: It is one of the biggest challenges for Google LLC. It is complex for the
firm to maintain the high quality of internet products due to poor leaders and employees. The
employees are unable to use new technology and resources therefore it affects the quality of the
products. It also increases the cost of the internet products in upcoming years. Due to poor
quality shortage of stock is faced by the firm. Along with this, it also increases internal cost of
the firm. Poor quality management leads to lost goodwill and damaged the reputation of the firm.
To improve and enhance the quality of the products, the firm needs to focus on the international
organization for standardization (ISO). It will help to run the business activities and operations
successfully and carefully.
Global manufacturing: It is also an effective issues in Google LLC that is handled by the team
of the company. It has been noted that the company has been able to focus on the manufacturing
process due to competition. Cost is not set by the company while manufacturing the products
hence it could have direct impact on the outputs of the organization. Potential slow down and
shut down of the production line also influence the manufacturing process of Google LLC in the
near future. Along with this, it also reduces the production of the internet products. The firm
needs to focus on the manufacturing process to complete the long term targets and goals (Jones,
Burke and Westman, 2013).
How Google designs goods and services
It has been noted that the company uses effective operation management to design the goods and
services effectively and efficiently. Google operation management team includes various
management teams and goals. For example, Google’s product design process directly relates to
the design of goods and services decision area as well as other decision of areas of the operation
management like quality management, human resources and job design. The company’s product
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designs include different team for selling the products and services effectively. The firm uses
forecasts in designing of the goods and services. The forecasting develops and builds cutting
edge app for the mobile and desktop users. Operation management plays an empirical role to
design the goods and services at the workplace. Quality management is also used by the firm for
testing of the products and services. Iterative testing and debugging are initiated or used in the
organization to ensure that products and services have minimal errors when released to the global
market. The organization constantly invites users to send errors reports and feedback that the
company can use to improve and enhance the product quality and feature (Panmore, 2018).
Process and capacity design decision is taken by the organization to make attractive the design
process of goods and services within the organization. The capacity design has a direct impact on
the products of Google such as Nexus and chromecast. The company applies capacity design and
processes with the help of contract manufacturing. Besides this, the company uses location
strategy to design products and services effectively and successfully. The company distributes
the products and services through internet. Along with this, the organization also uses unique and
attractive location strategy to beat the competitors in the international market (Parry, Newnes and
Huang, 2011). The decision area of the operation management is useful at Google through the
networking with suppliers. The company uses layout designing strategy to produce the products
and services effectively and efficiently. This strategy also helps the company to design its
products and facilities. Scheduling is also an important part of the operation management which
is performed by the operation managers. It has been noted that Google automates certain
processes such as monitoring and analyzing of productivity and performance level. Furthermore,
the organization also uses information systems to design and create the goods and services
(Jones, 2010).
Inventory management
Google inventory management includes diverse activities and operations. The organization’s
varied businesses require different type of supply chains. In inventory management, the main
aim of the company is to utilize its operational capacity and efficiency within the organization.
The company is trying to reduce the cost of the inventory by using various types of unique and
effective strategies. Google LLC inventory management is a reflection of effective and unique
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Operation management
inventory design and strategies choices. Google LLC inventory management includes the
different roles and types as well as tools and performance measures that are suitable for the
business and its strategic direction. There are various types of inventory types and roles in
Google to inventory management that have been detailed below.
Raw material inventory: It has been noted that Google raw material inventory includes the
input material that is used to produce and manufacture of its products. In managing inventory,
the role and significant of this type of inventory is provided support to the production processes
at Google.
Work in progress: The Company uses this type of inventory in the production process to
produce some products in the global market. For example, manufacturing chromecast digital
media players, the work in progress inventory includes intermediary products that are stored by
the company before the execution of the work. This type of inventory helps the company to gain
competitive advantages in the global market.
Finished goods inventory: It has been noted that Google LLC inventory management also the
finished goods inventory of products which are not shipped to the sellers. For example,
Chromecast and Google Nexus units are stores before they are shipped for the sale. This type of
inventory addresses the needs and demands of the sellers for these products and services (Voss
and Hsuan, 2011).
Transit inventory method: The transit inventory is also used by the company to manage the
sufficient inventory level in the organization. This type of inventory plays a significant role to
constantly address the demands and requirements of the sellers for these products.
MRO goods inventory: This type of inventory is used by Google for managing and operating
the business activities successfully and efficiently. The company’s inventory management uses
maintenance, repair and operating (MRO) goods inventory in all the areas of its operations and
activities. The MRO goods include paper, pens, coffee and other important material. This type of
inventory provides support for managing the operations of the company in direct and indirect
ways (Panmore, 2018).
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It has been stated that the company ample of methods and techniques to maintain enough level of
inventory at the workplace. The methods that used by Google LLC include serialized inventory
and FIFO methods. Under serialized inventory, the firm uses an effective and unique serial
number to each item in the inventory. Along with this, the organization uses serial numbers in
online advertising for promoting the products and services. On the other hand, the firm uses
FIFO method to minimize the accumulation of old and damage items in the store (Hill, Jones and
Schilling, 2014).
It is stated that Google LLC uses ABC analysis to manage the inventory level in the workplace.
The class A category includes Chromecast units, Nexus units and computer and other items.
These items help to increase and enhance the profitability of the firm. Class B items
encompasses similar items and computers that are sued by the company in offices. These items
provide moderate value to the customers and business as well. Class C category includes paper,
food, and beverages. Along with this, Google LLC uses advanced information systems for
managing and controlling its inventory. The company uses various types of inventory
information systems for attaining success and growth in the global market (Battelle, 2011).
Resource management
It has been noted that the company maintains sustainable and effective human resource
management within the organization to run the business activities and operations successfully
and effectively. Google LLC uses appropriate needs analysis to design and maintain training
program at the workplace (Paillé et al, 2014). The company conducts training and development
programs and sessions regularly to increase and improve the performance and efficiency of the
workers. Along with this, the firm also resolves and handles the grievances and issues of the
employees that are occurred at the workplace. The company also experiences performance issues
in its human resources (Stadtler, 2015). To handle and resolve this issue, the company’s human
resource management uses information about the performance problems as basis for enhancing
and improving the performance management practices within the organization. Various types of
need analysis are done by the company to provide training to the workers at the workplace. The
ample of need analysis include cost benefit analysis, work analysis and organizational analysis.
The organizational analysis measures the needs and requirements of the employees on the basis
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of the company’s current situation (Wild, 2017). The organizational analysis is conducted by the
firm to analyze and identify the corresponding human resources needs and requirements. On the
other hand, work analysis is done by the organization to determine and analyze the special
requirements of the customers to perform tasks and duties effectively. Cost benefit analysis is
also used by Google LLC to determine and analyze the training program and activities. It has
been stated that Google’s HRM uses this type of analysis to maximize the profitability and
revenue (Panmore, 2018).
Evaluation of the training program and performance can be done by the human resource
management at Google t o attain desired goals and objectives. The main purpose behind the
evaluation is to determine and analyze the effectiveness and efficiency of the programs to
develop and build human resources (Laudon and Laudon, 2016). Along with this, effective and
unique performance management system is initiated by the firm to analyze and evaluate the
working capacity of the workers (Kehoe and Wright, 2013). It will also help to enhance the
productivity and performance of the workers. By using performance management system, the
company has been able to know and analyze the skills, talents and capabilities of the employees.
Moreover, it is stated that Google LLC also uses different sets of standards and measurements
for its performance management practices in various areas of the human resources. Human
resource management is considered the backbone of the company (Demeter and Matyusz, 2011).
No company can survive and grow its business without maintaining human resource
management within the organization. It is noted that the HRM at Google LLC conducts
performance interviews that address and resolve the issues and obstacles of the individual
performance and team performance as well. The individual performance encompasses skills,
abilities, and other aspects of the workers. On the other hand, team performance interviews cover
whether how employees perform tasks and duties effectively and efficiently within the
organization. In this way, human resources are managed by the company Google’s human
resource management effectively and successfully (Tempelmeier, 2011).
How proper management would lead to future success of Google
It has been found that management of Google LLC is unique and effective to conduct the
business activities and operations in a hassle free manner. It is true that effective and good
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management would lead to growth and success in the global market. If the company hires unique
and effective workforce then it can achieve long term goals and objectives in an effective
manner. The unique and potential leaders help to resolve and handle the issues and challenges of
the employees within the organization (Stadtler, 2015). If the management of the company
protects the rights and interests of the employees then it will lead to success and growth in the
competitive market. The dynamic leaders empower their team and provide confidence and
morale to them. The leaders should be result oriented and productive to manage the activities and
operations of Google.
It has been analyzed that if the company uses leadership styles within the organization then it
will help to determine the success and growth of Google in the international market. It is
analyzed that the company develops skills and talents among the existing and new employees to
determine the future success and growth of Google. Scheduling is done by the management to
build unique relationship with employees and customers as well. Along with this, proper
management also helps to manage the dynamic communication at the workplace therefore, it
helps to grow and survive the business in the rivalries market (Schermerhorn et al, 2014). The
effective and unique management also sets the goals and objectives for the employees in order to
accomplish the long term mission and vision. The management needs to work together with
employees to attain common goals and objectives (Giannakis and Louis, 2011). The dynamic
management needs to provide reward and incentives to the capable employees within the
organization. It will help to motivate the workers for performing tasks and duties effectively.
Effective management is considered flexible to fulfill the needs, requirements and desires of the
employees. It will help to make a strong financial image in the near future. Having a proper
management facilitates the workers by resolving their issues and challenges related to the work
and tasks. They should listen and ask question with employees in order to make effective
decisions within the organization. In this way, the company can determine its success and growth
in the futureAlong with this, having a proper and unique management also helps in identifying
and evaluating the plans, policies and strategies of the competitors (Albrech, 2011).
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Operation management
Conclusion
On the above mentioned analysis, it has been concluded that Google is well known company that
provide internet products to the customers worldwide. In today‘s era, the company is increasing
and enhancing its revenue and profitability by using unique and effective strategies at the
workplace. The analysis indicates that various key issues are faced by the company while
implementing the business activities globally. The above mentioned analysis shows that how
Google LLC uses various strategies in order to make effective image in the minds of the
customers. In today’s modern world, the company uses effective operation management to
design the products and services within the organization. It is noted that Google LLC maintains
sustainable human resource management to run the business actions in a hassle free manner. By
using effective workforce, the company has been able to maintain sufficient level of inventory at
the workplace.
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References
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Demeter, K. and Matyusz, Z., 2011. The impact of lean practices on inventory
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