Operations and Project Management Analysis: Hotpoint Case Study Report

This report provides a comprehensive analysis of Hotpoint's operations and project management practices, focusing on the launch of a new 58-inch TV. It begins with an introduction to operations and project management, emphasizing their roles in manufacturing and service industries. Task 1 reviews and critiques the implementation of operations management principles within Hotpoint, including the principles of reality, organization, fundamentals, accountability, and causality, alongside methodologies like Six Sigma and Lean production. Task 2 focuses on preparing a continuous improvement plan based on the review, while Task 3 applies the Project Life Cycle (PLC) to the TV launch, generating supporting documentation like a business case and work breakdown structure. Finally, Task 4 critically evaluates the PLC's effectiveness in the context of the project, using relevant theories and models. The report highlights the importance of these management concepts in achieving organizational goals, improving product quality, and streamlining processes within Hotpoint.

Operations and Project
Management

Table of Contents
INTRODUCTION...........................................................................................................................3
TASK 1............................................................................................................................................4
P1 Conduct a review and critique of the implementation of operations management principles
within an organisational context.................................................................................................4
P2 Prepare a continuous improvement plan based on the review and critique of operations
management principles within an organisational context...........................................................7
Effectiveness of continuous improvement plan:..............................................................................8
TASK 3.......................................................................................................................................8
P3 Apply each stage of the PLC to a given project, producing necessary supporting
documentation for completing the project e.g. a business case, project plan, work breakdown
structure.......................................................................................................................................8
TASK 4.....................................................................................................................................11
P4 Review and critique the effectiveness of the PLC in application to the chosen project using
appropriate theories, concepts and models................................................................................11
CONCLUSION..............................................................................................................................12
REFERENCES..............................................................................................................................13

INTRODUCTION
Operation management is related to planning and execution of operations and its various
activities in services and manufacturing, includes demand forecasting, production planning and
inventory management, quality and supply management. Project management related with
planning and execution of projects in which monitoring, planning and initiation with controlling
of projects and its various activities. This report is based on Hot point that is electric heating
company which is an American and European brand in domestic appliances. Its ownership
bifurcated into American company whirlpool and Chinese company Haier. This report focus on
effectiveness of operation management principles and their contribution. Further it elaborates
continuous improvement plan in context of Hot point and importance of project life cycle and its
effectiveness in context of Hot point. Organisation aimed to launch a new product that is 58
inches TV to complete its product line and satisfy their consumer base.
TASK 1
P1 Conduct a review and critique of the implementation of operations management principles
within an organisational context.
Operation management is an administration that helps in bring highest level of
effectiveness in organisation. It is mainly concerned with converting raw materials into finished
goods and services (Binder, 2016). Project management is an multidisciplinary concept that
focus on planning, monitoring and controlling of activities in better manner. There are some
principles of project management that gives guidelines in effective operation in organisational
activities that are as follows:
Principles of Operation management:
Principles of Reality:

This principle of operation management states that not any theory of constraints or lean
principle or total quality management or any techniques solve the problem. There is not universal
solution of any problem, for that organisation have to focus on tool rather than problem
(Galloway, Rowbotham and Azhashemi, 2012). In case of Hot point it by identify consumers
requirement and expand its market share launch a new product in new segment. In its current
appliances includes Refrigerators and Freezers, cooking products and Dishwashers, Disposers,
washers, Dryers and Air conditioners.
With help of principle of reality organisation can able to find out possible solutions that
faced by them in better way. In context of Hot point by applying principle of reality they launch
a new 58 inches TV in market. But on other hand sometimes it not be able to give accurate
solutions of their problems that harms self interest of an organisation.
Principle of Organisation:
Principle of organisation state that important aspects of firm should be coordinated in
coherent way. Any organisation can attach parts together of products and get shipments but not
get situation of profit. Hence while product is in manufacturing phrase they have to correctly
interconnect processes with each other (Harrison and Lock, 2017). If one thing wrongly attach,
it change another things in an unexpected way. In case of Hot point when it planned to launch a
new product that is 58 inches TV set, they have to focus on connection of software with
hardware devices in proper way so that desirable results should be achieve.
With help of principle of operation management organisation can be reach at desirable
outcome by assigning and attaching various activities in coherent way. In context of Hot point
while launching new TV that are 58 inches they combine all potential resource to get desirable
outcomes in proper way so that fruitful results should be accomplished in an organisation. But on
other hand sometimes due to mismanagement organisation fail to deliver right kind of
information to others in proper way.
Principles of fundamentals:
POF states that strict adherence of fundamentals is an cornerstone of effective production
and distribution. In fundamentals consist of maintaining correct records of inventory, general
disciplines 80% of success depends on it. Remaining 20% success depends on effective
application of various strategies for enhancement in production process such as Lean
manufacturing, Total quality management etc.. In case of Hot point, it has to pay attention of

both above mention aspects for survival of long term. It can survive by maintaining records of all
information in better manner (Jacobs, Chase and Lummus, 2014).
In that application of theories and practices are very much important for an organisation
to deliver right kind of knowledge and information to right base. For an organisation while
implement some changes they have to implement results in practical way is very much
important. But sometimes due to ignorance people find unable in effective implementation of
results in proper way.
Principle of accountability:
Principles of accountability states that People not put efforts for which they are not
accountable. To increase accountability organisation have to provide rewards and consequences
that helps in putting great effort. To enhance accountability managers have to by establish
metrics and standards for evaluating it, compare outcomes against goals. In case of Hot point
managers have to assign responsibilities and for that rewards should be given to them.
As per the principle people majorly accountable for their roles and responsibilities in
proper way in context of Hot point they are not able to give their best and not able to achieve
desirable objectives. So organisation have to in coordinated way deliver right kind of knowledge
and information so that desirable results should be accomplished.
Principles of causality:
Principle of causality states that issues and problems that face by managers in which
urgent shipments, late in quotes and expediting that are occasionally symptoms. Until and unless
these issues are solved, managers found themselves facing with same problem repeatedly.
Symptoms are residual in nature and necessary to get rid from them by find out root cause. In
case of Hot point while launch a new product that is 58 inches TV managers face many types of
issues so in that scenario they have to find out root cause and eliminate it permanently.
For an organisation principle of causality are very much important to deliver right kind of
knowledge and information to right people. In context of Hot point with help of causality
organisation can be able to get right kind of symptoms in proper way and able to reap out
important benefits out of it. But sometimes fail to get right message out of it that harms self
interest of an organisation.
In context of Hot point principles of operation management plays very much crucial role
as they aimed to launch 58 inches TV into the marketplace. In order to by using principle of

reality that helps to access needs and wants of consumers in positive manner. After accessing the
needs and wants of consumers they by using principle of organisation which states to organise
the each and every step of manufacturing to deliver one of best products to ultimate consumer in
positive manner. After producing products as per the desire of consumers organisation have to
evaluate or examine the supply chain, inventory and other important deliverables for smooth
working of every event. In order to gain success organisation have to provide accountability or
responsibility to staff members so that they can give one of best efforts. So all principles of
operation management is very much relevant in the context of organisation.
Six sigma:
Six sigma is an tool and technique for improvement in production and its process. It is
developed by Motorola in 1986 and Sir bill smith is the father of six sigma. It enables to improve
in quality of products by identifying mistakes and defects (Kerzner and Kerzner, 2017). It is a
managerial and statical approach focus on variation in processes and eradication in deficiencies
at maximum level. It consider products free from defects 3.4 defects per million. Six sigma
follow two types of methodologies in which DMAIC and DMADV. DMADV stands for
improving in new products or process designs in business and in scenario of Hot point it aimed
to launch a new product that is 58 inches TV so it avail that approach of Six sigma.
DMADV stands for:
Define:
In that Hot point have to design its products that are consistent with consumers choice
and preferences and their own strategy.
Measure:
In that next phrase Hot point have to measure and identify characteristics that are
important to bring quality in TV, capabilities of product and steps to complete production
process and risk that are associated with launching a new product.
Analyse:
To remain long term in market Hot point have to develop designs and keep their
alternatives so that they can evaluate best out of them.
Design:
In that phrase Hot point have to improved in alternatives, that are best suited according to
the previous step. So that they can select best design in comparison to their competitor.

Verify:
In that step after evaluating all designs of TV by set up pilot runs and processes of
production and checking viability of project, hand over it to owners.
Lean production/ manufacturing:
Lean production is a set of tool and technique that focus on continuous improvement with
elimination of mistakes and errors in production process (Morris, 2013). It is useful for
organisation because it enables in lower the production cost, increase in output and reduction in
lead time.
In principles of Lean includes following aspects, that are as follows:
Value:
value refers to build products according to consumer needs and preferences, in which
important aspects should be observed such as price, timeline of manufacturing and delivery. In
case of Hot point, aimed to launch a new product by accessing requirement of consumers.
Value stream:
In that phrase when value should be created then map or measure value that have deliver
to consumers so that they become satisfied with services of organisation. In case of Hot point by
giving new product to market after that they have to map that consumers get satisfaction in
desirable manner.
Flow:
In that phrase waste in production process should be eliminate at maximum level by
ensuring that no interruptions, delays and hurdles not appear in process (Nicholas and Steyn,
2017.). In scenario of Hot point uses breaking down structure and levelling workload so that it
improves in production process and desirable results should be achieve.
Establish Pull:
Inventory should be consider one of largest wastage in production process by focusing on
reduction in inventory by getting effective results (Sears and et. al ., 2015). In case of Hot point
it uses strategies to reduce wastage by evaluating distribution in supply of products.
Pursue perfection:
To get desirable results need to evaluate that above mentions steps give proper results by
identifying value and other factors. It focus on improvement by adopting lean and continuous

improvement to get better results. In context of Hot point they adopt various measures and tactics
to bring perfection in works and procedures to get desirable objectives and goals.
In context of Hot point to bring best products and services in marketplace they adopt
various principles and tactics to bring harmony to get desirable goals and objectives in proper
way.
While aimed to launch a new product into the marketplace, the major areas to improvement is
quality, price, system of delivery and various kinds of safety measures that are very much
important for an organisation to remain always competitive. While launch 58 inches TV into
market they have to focus on major areas by using various principles and continuous
improvement plan.
P2 Prepare a continuous improvement plan based on the review and critique of operations
management principles within an organisational context.
source Principles Outcomes
Quality Lean Production/
manufacturing
Main focus of Hot point is to increase in quality
of their products by increase in their product
line so they have to adopt lean manufacturing
to get better results in organisational success
and profitability.
Cost Six sigma To reduce cost and get effective results
organisation have to use six sigma approach.
With the help of it they produce goods at
cheaper cost and deliver to their customer in
better manner.
Delivery Organisation To deliver right type of products and services to
consumer base organisation have to adopt
organisational strategy which state that all
resources and steps should be merge so that
coordination should be bring in work and

activities and effective results should be
accomplish.
Safety Fundamentals To get effective results in case of Hot point
they have to align and to remove safety issues
from their production process they have to
apply the concept of fundamental in which all
processes and inventory should be kept in
record for future safety purpose. Hence safe
record of data is an important issue that have to
Effectiveness of continuous improvement plan:
Continuous improvement plan plays crucial role in organisational development and
enhancement by find out root cause of the problem and loop falls that exist in business.
Continuous improvement plan focus on Quality, cost and delivery of products in proper time
frame with proper safety at right consumer base (Subramanian and Ramanathan, 2012.). By
using different theories of improvement in production process with help of lean production and
six sigma approach Hot point can improve in its business plan. Further by using operation and
management principles an organisation can improve in its product quality and in each factor in
production process. Hence continuous improvement is an crucial factor in organisational growth
and enhancement (Swink and et.al ., 2017).
Kaizen:
Kaizen is an one of most important approach used to bring continuous improvement on
the basis of idea which is initially small but important to bring positive changes on continuous
basis. In context of Hotpoint they use Kaizen which is very much important to bring new ideas
and views that helps to remain always competitive in marketplace. In respect they aimed to
launch 58 inches TV into the market to achieve competitive advantages in positive manner.
With help of various frameworks and theories organisation can be able to get right kind
of information in right way. With help of Kaizen which is an approach to bring continuous
improvement that based on an idea that are small, positive to bring some important changes that
are very much important for an organisation. It is an part of core manufacturing activity that
helps in elimination of wastage while producing products and services in best way. It based on

various principles that are very much important for Hot point while manufacture 58 inches TV
for consumers to give best quality products and services to them. It can be only possible after
using project life cycle so that desirable outcomes should be achieve. Here are the “s” that helps
to reduce wastage.
Seiri (Sorting):
Respective stage states about keep coordinated work area by disposing the unnecessary
used items which directly contributes towards waste management so that best results should be
delivered to ultimate consumer. In context of Hot point they by arranging each step aimed to
reduce waste.
Seiton:
In context of Hot point by obliged respective step organisation keep things or attributes at
right place by keep labelling on every attribute. With help of it organisation can promotes
effective workflow to achieve goals and objectives.
Seiso (Shining):
By using respective stage organisation clean all the workplace and its equipments to keep
them organized and clean. It enables to organisation to sustain for long time, in order to Hot
point aimed to launch in proper manner.
Seiketsu (Standardizing):
Respective step states that work practices should be in consistent manner and
standardized in format so that all employees devote one of their best efforts in harmonious
business environment.
Shitsuke (Sustaining):
It is the better way to sustain in the marketplace, it helps to evaluate the new ways by
which organisation can be able to draw out attention of people. By using continuous
improvement that helps to reduce wastage to bring better quality products. In context of Hot
point they to draw attention of consumers aimed to launch 58 inches TV in market.
Process Re engineering:
Business process re engineering is an important tools aims to cutting down cost and
redundancies related to the process management techniques and tools. It also known as process
innovation and core process redesign aims towards restructuring unproductive management
layers. In context of Hot point they aimed to launch 58 inches TV into marketplace, for that they

have to focus on cost cutting so that large no. of people can afford them easily so by using
process re engineering they attain desirable goal.
TASK 3
P3 Apply each stage of the PLC to a given project, producing necessary supporting
documentation for completing the project e.g. a business case, project plan, work
breakdown structure.
PLC plays very important role in organisational growth by giving knowledge about each and
every stage and appropriate actions that taken to get effective results out of them. To judge
effectiveness of PLC there are some steps that are as follows:
Initiation:
In initiation stage of project needs and wants, problems, opportunities and brainstorm
should be identified in proper way. In case of Hot point they access relevant data and figure out
proper objectives of project about project should be feasible enough and deliverables of project.
In hot point they by accessing consumer needs plan to launch an new product that is 58 inches
TV to complete their product line in proper way (Swink and et.al ., 2018). In that stage feasibility
of the project should be tested and proper solution of problem should be identified. Further depth
and breadth of project should be evaluated, major stake-holders are important factors that use in
initiation stage of project. In initiation stage Hot point find out the consumer needs and wants
and after that planned to launch 58 inches TV to complete their product line. Research gives
information that it should be complete in approximately 2 to 3 months in market place. Also in
initiation stage of project they use autocratic style of leadership which also known as
authoritarian in which individual have control over decisions that taken by Hot point and efforts
from group members. These leaders work on their own choices and occasionally take advice
from their followers. In case of Hot point it focus on introducing new product so that leadership
style best suited in that scenario.
Planning:
In planning phrase of project after approving former stage next stage should be judge on
basis of business case, work statement and initiation form of document. In that phrase hot point
distribute work and tasks into smaller parts by distribute in proper manner (Turner, 2014). In
that phrase organisation build team, prepare schedule of completion of project. In that phrase
organisation frame small goals and objectives and assure that it finish in fixed time frame. In

case of Hot point it plan for new TV and prepare goals accordingly. In that phrase of project they
use situational leadership style in which leader or manager of organisation adjust or change own
pattern of work that fit according to development level of their followers for influence their
activities. It takes approximately 4 months.
Execution:
In that phrase of project, it get approval, develop a team and build a team and it is time to
start work. That phrase helps in turn plan into action. The role of project manager is to keep work
on track, give role and responsibilities to subordinates and schedule work. In case of hot point
they work on proper implementation of plan by assigning work and activities to their
subordinates and it takes approximately 3 months. In that phrase of project leaders or managers
select Servant leadership style which is different from traditional leadership style in which leader
focus on thriving for organisation but in that they work to serve individuals, build better
organisations (Turner, 2016).
Closure:
In that phrase of project, project work is in closing stage. Team members provides
important documents in which deliverables, release resources of project and factors that
represent success of project and it takes 2 months. In case of Hot point their team members give
important documents regarding that TV should successful in market. In that phrase of project
leaders or managers use Team leadership involves create wide picture of future by evaluating
where organisation at present and future opportunities for them so that they can expand their
market share.
Gantt chart:
Gantt chart is an bar chart that illustrates schedule of a project and it shows dependency
on various activities and schedule to accomplish at proper time. In Hot point work and activities
should be distributed with help of Gantt chart so that proper results should be accomplish.
Business case:
Business case illustrates about initiating project or task, framed in well structured written
format. In business case following important aspects should be includes:
Executive summary:
Hot point aimed to launch a new product by accessing needs and wants of consumers and
launch a new product that is 58 inches TV in market that presently deals in electronics (Harrison

and Lock, 2017). To deal in effective manner organisation have to collect relevant information
and data so that important insights should be collected.
Goal:
The goal behind launching a new product in market is to complete product line by
satisfying consumers needs and wants in proper manner (Verzuh, 2015.).
Solution:
Hot point when access consumers needs and wants after that aimed to launch a new
product. For successful completion of project they need various tools and techniques to get
desirable results.
Cost:
cost is an important factor before launching a new product organisation have to estimate
cost in proper way. Cost of project approximately 250 pond.
Benefits:
Hot point by launching a new product into market successfully reap may benefits in
which expand its product-line and consumer become loyal that enhance goodwill of organisation.
Execution time:
Planning and then launching take lot of time, in case of Hot point that is a big project for
them. It takes almost 1 year in completion of project.
Project plan:
In project plan consist of major steps that are as follows:
Cost:
Cost is and important factor in effective implementation of project, it takes approximately
2,00,000 ponds in completion of project.
Scope:
Scope behind launching a new project in market that helps in expand its market share and
complete their product line.
Risk:
Risk associated in every sphere, Hot point can face risk of failure but by proper strategic
implementation they reduce at maximum level.
Resources:

Hot point have to deliver right products and services need different tools and techniques
to deliver best products to customer’s.
Work break down structure:
WBS is an part of project management related to systems and engineering. It gives clear
description about work and divides it into small parts in definite time frame. Hot point adopt
WBS to distribute work and get best results out of them.

TASK 4
P4 Review and critique the effectiveness of the PLC in application to the chosen project using
appropriate theories, concepts and models.
There are different types of theories and concepts that shows effectiveness of PLC in
context of both large and small scale projects.
To measure effectiveness of project different leadership style play major role, in case of
Hot point its project is large and it uses autocratic leadership style in which individual have
control over decision making and less inputs from side of group members. They take decisions
on own choice rather then their subordinates (Weglarz, 2012). So in case of small project they
not choose autocratic style because less no. of subordinates are their and owner or leader takes
all decisions.
Hot point uses situational leadership style in which leaders change their style according to
situation and influence to their subordinates. In small project it choose situational leadership
style because their planning is not as strong as large projects so they have to change according to
situation.
Hot point uses servant leadership style in execution stage they focus on enrich and
develop individual and group members so that overall development can be occur (Swink and
et.al ., 2018).. In case of small project they have not so much developed that they invest lot of
money on individual development.
Hot point uses Team leadership style to find out future opportunities after completion of
that project. In case of small projects they have also choose same leadership style because they
also have to grab opportunities for survival and growth.
Theory or practices:
Water fall model:

Water fall model is very much potential for an organisation to improve the overall
performance by develop products and services in proper manner that are as follows:
Requirement:
The first phrase of water fall model states that organisation firstly understand the
requirement of consumers and then accordingly needs to design products and their purpose in
proper manner.
System design:
In order to after first phrase organisation accordingly design system such as hardware and
software that builds overall system architecture. In context of Hot point they specifically design
hardware while designing TV set for consumers.
Implementation
they primarily design systems at small level so that any kind of hindrances not arise while
launch into marketplace. After testing each and every unit organisation implement into
marketplace.
Integration and testing:
All the crucial units developed at time of implementation phrase integrate after
development of it. Organisation while aimed to launch new series of TV they verify and
implement it in proper manner.
Deployment of system:
In respective stage organisation verify the functional and non functional testing to gain
important insights and results to achieve optimum outputs.
Maintenance:
In respective stage Hot point install the whole system and bring important modifications
in the whole system to improve the performance to gain desirable objectives.
CONCLUSION
From the above report it has been concluded that operation management is an important
attribute in organising, planning, measuring and controlling work and activities resulting

elimination in mistakes and enhance in productivity. The main focus of operation management is
to add up features in products and services so that they always satisfy consumer needs in proper
way. In operation management there are some principles and theories that how can an
organisation get effective results and satisfy by finding out solutions of problems. Continuous
improvement helps in remain always up to date with changes and provides accuracy.
REFERENCES
Books and journals:
Binder, J., 2016. Global project management: communication, collaboration and management
across borders. Routledge.

Galloway, L., Rowbotham, F. and Azhashemi, M., 2012. Operations management in context.
Routledge.
Harrison, F. and Lock, D., 2017. Advanced project management: a structured approach.
Routledge.
Jacobs, F.R., Chase, R.B. and Lummus, R.R., 2014. Operations and supply chain management
(pp. 533-535). New York, NY: McGraw-Hill/Irwin.
Kerzner, H. and Kerzner, H.R., 2017. Project management: a systems approach to planning,
scheduling, and controlling. John Wiley & Sons.
Morris, P.W., 2013. Reconstructing project management. John Wiley & Sons.
Nicholas, J.M. and Steyn, H., 2017. Project management for engineering, business and
technology. Routledge.
Sears, S.K., and et. al ., 2015. Construction project management. John Wiley & Sons.
Subramanian, N. and Ramanathan, R., 2012. A review of applications of Analytic Hierarchy
Process in operations management. International Journal of Production Economics.
138(2). pp.215-241.
Swink, M., and et.al ., 2017. Managing operations across the supply chain. New York, NY:
McGraw-Hill Education.
Swink, M., and et.al ., 2018. Managing operations across the supply chain. New York, NY:
McGraw-Hill Education.
Turner, J.R., 2014. Handbook of project-based management(Vol. 92). New York, NY: McGraw-
hill.
Turner, R., 2016. Gower handbook of project management. Routledge.
Verzuh, E., 2015. The fast forward MBA in project management. John Wiley & Sons.
Weglarz, J. ed., 2012. Project scheduling: recent models, algorithms and applications (Vol. 14).
Springer Science & Business Media.

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