Healthy Food: Operations Management Strategy Report Analysis

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Added on  2022/08/17

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This report examines the application of operations management strategies within the context of Healthy Food, focusing on the selection and justification of a 'leading strategy' to ensure consumer satisfaction. It details the benefits of this approach, including increased product quality, sales, and profit margins. The report further explores methods for managing resources during peak and off-peak demand periods, such as scheduling techniques and the implementation of capital projects like peak shaving to optimize energy consumption. Additionally, it addresses strategies for stimulating demand during off-peak times, including price reductions and promotional offers. The analysis incorporates relevant academic references to support the chosen strategies and recommendations.
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Running head: PRODUCTIONS & OPERATIONS MANAGEMENT
PRODUCTIONS & OPERATIONS MANAGEMENT
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1PRODUCTIONS & OPERATIONS MANAGEMENT
Choosing of strategy
In this case, the operational manager can use the leading strategy for ensuring consumer
satisfaction (Atasu et al., 2020). Leading or overcapacity strategy is planned to produce more
than the present level of demand. It helps the company to produce more quality products so that
customers are getting satisfied. It helps to increase the sales of the company and thus helps to
enhance the profit of the company (De Vries & Van Wassenhove, 2020). It helps Healthy foods
to balance the supply and demand. It helps Healthy food to purchase the products at lower prices
until the market stabilizes. So, several products can be sold by Healthy Food. It will increase the
demand for the products.
Reasons for choosing this strategy
The leading strategy helps to increase the production of the company so that they can
increase their profit in their business (De Vries & Van Wassenhove, 2020). It also helps the
company to increase the quality of the consumers so that they can enhance consumer
satisfaction.
Scheduling peak and off-peak demand
There are various strategies by which the operation manager of Healthy Food can manage
the resources at the time of peak season. These are as follows:
Scheduling
The most common contributor due to high peak demand is more than one
intensive procedure at the same time. The effective solution to this problem is to provide
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2PRODUCTIONS & OPERATIONS MANAGEMENT
the scheduling of the systems that are running at peak hours (Roth & Rosenzweig, 2020).
They can cycle the food making equipment so that all the equipment is not used at the
same time. This can be performed with the help of some automation system or some
onboarding system. These control systems can able to manage cooling units of the
company so that the air temperature inside the food production room can be controlled
efficiently. It helps to spread the energy over a large period.
Capital Projects – Peak Shaving
There is another way to manage the peak demand of Healthy Food. The procedure
is to install a gadget that uses a lesser amount of energy (Roth & Rosenzweig, 2020). The
use of the most efficient gadgets removes the basic load of the energy that can be used
every time and it can shrink the entire demand in the downward direction.
Various strategies can be applied to manage the resources at off-peak demand. These are
as follows:
Reducing the price of food products
The operation manager of Healthy Food should reduce the price of food products (De
Vries & Van Wassenhove, 2020). It is the only way to attract consumers at the time of
off-peak demand. It helps the company to make profit at the time of off-peak demand.
Making advertisement of new offers
It is another way that can be adopted by the operational manager of the healthy
food at the time off-peak demand (Atasu et al., 2020). He should publish some discount
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3PRODUCTIONS & OPERATIONS MANAGEMENT
offers for purchasing the food products. It will definitely attract the potential consumers
of the company.
References
Atasu, A., Corbett, C. J., Huang, X., & Toktay, L. B. (2020). Sustainable Operations
Management Through the Perspective of Manufacturing & Service Operations
Management. Manufacturing & Service Operations Management, 22(1), 146-157.
De Vries, H., & Van Wassenhove, L. N. (2020). Do Optimization Models for Humanitarian
Operations Need a Paradigm Shift?. Production and Operations Management, 29(1), 55-
61.
Jafari Songhori, M., & Nasiry, J. (2020). Organizational Structure, Subsystem Interaction
Pattern, and Misalignments in Complex NPD Projects. Production and operations
management, 29(1), 214-231.
Roth, A., & Rosenzweig, E. (2020). Advancing Empirical Science in Operations Management
Research: A Clarion Call to Action. Manufacturing & Service Operations Management.
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