LVMH: Analysis of Sport Shoe Development and Performance Objectives

This report examines LVMH's strategy to develop and launch sport shoes for both male and female customers. It begins with an overview of the company, its existing product lines, and the rationale behind the new product, including the aim to increase market share and profitability by catering to a wider customer base. The report details the importance of process design in product development, emphasizing the need for effective operation management and techniques such as Six Sigma to minimize waste and enhance product quality. It outlines the stages of product development, including idea generation, screening, concept development, business analysis, product development, test marketing, and commercialization. Finally, the report analyzes the impact of performance objectives on the proposed product, highlighting how the new sport shoe will enhance customer satisfaction and brand image. The report underscores the importance of adapting to market competition through product customization and effective operation management.

Operation and Project
Management

Table of Contents
INTRODUCTION...........................................................................................................................3
MAIN BODY...................................................................................................................................3
Overview of the company and proposed product and services...................................................3
Discussion about the aim and objective of the product and services and how it will affect the
performance of corporation.........................................................................................................3
Assessment of the relationship between and important of process design that s selected to
create the proposed product and services....................................................................................4
Description about the proposed stages of product and services development............................4
Analysis of the impact and significance of performance objective on proposed product and
services........................................................................................................................................4

INTRODUCTION
Project and operation management is a significant aspect in an organization by which
each activity and function can effectively be managed for accomplishing the target of business.
In order to achieve effective success of business in the competitive business environment, it is
very important for entity to carry out all functions and activities of operation management. The
present report is based on LVMH and its new product development. It is a French multinational
luxury goods company which deals with various products such as clothing, cosmetics, fashion,
accessories, jewelry perfumes, Sprits, etc. Venture is going to launch the sport shoes for male
and female in order to develop a strong position and enhance profitability of business in the
market.
MAIN BODY
Overview of the company and proposed product and services
LVMH Moet Hennessy Luis Vuitton is a luxury good corporation which serves several
products such as wines, Spritis, fashion and leather god, perfumes, cosmetics, watches, jewelry
etc. The company have more than 70 brands and over 3950 stores around the world. The cited
venture produce high quality of commodity for its customer and desires to become one of the
most famous retail in the competitive market (Ghosh, 2015). It has aim is to meet actual
expectation and requirements of customer regarding the product and services and earn maximum
market share. The company effectively manage the human resource and provide effective
training to them so as they can carry out their functions and activities in more effective and
efficient manner. In the present time, company is facing the issue related to the high competition
in the market. In order to compete with rival company is going to increase product customization
so as it is going to launch the new Sport shoe for male and female. This new Sport shoe will
available in the reasonable price so every income group pf customer can easily afford this
product. Company will focus on the demographic segmentation while it will develop the new
product in the market. In this demographic segmentation company will focus on the requirement
of male and female customer and deliver them high quality of Sport shoes. This new product will
help to the company in developing its effective and impressive brand image in the market and its
will meet the satisfaction level of customer in effective and efficient manner.

Discussion about the aim and objectives of products and services and the way it will affect
performance of corporation
LVMH Moet Hennessy Luis Vuitton is a luxury good corporation which serve several
products such as wines, spritis, fashion and leather god, perfumes, cosmetics, watches, jewelry,
etc. Company has more than 70 brands and over 3950 stores around the world. The major
objective of this company is to produce high quality of products and services with satisfying its
customers for achieving effective outcomes in the competitive business environment (Randeree
and Chaudhry, 2012). Recently, company is focusing on developing something innovative and
creative for its customers through which it can achieve effective strong position in the
competitive environment. Hence, company is going to launch the new sport shoes for male and
female customers. Main aim of this new product development is to keep satisfying the customers
who require high quality and luxury sport shoes which will useful in running, gym, games etc.
This new sport shoe will very comfortable and affordable or every customers as it will launch for
all level income customers. This new product that is sport shoes that will be useful for all kinds
of customers so it will buy by maximum customers in the market.
This new product and service of LVMH company will help to business unit in improve
existing performance in the market. With assistance of this new product, cited venture can easily
gain customer attraction toward the brand. Following are some importance of the new product
development in the LVMH company-
 The new product that is Sport shoe for male and female have importance within the
LVMH company is related to the higher profitability and productivity. With help of this
product development, company can bale to develop impressive position in the market.
 This new product development can increase product customization through which
product portfolio can increase in the market. This will help in increasing the value of
brand in the market.
 The new product development also elp to the company in provide the varieties of product
and services. While customer purchase something from the store of the cited venture then
I they have lots of option to purchase.

Assessment of the relationship between and important of process design that is selected to create
the proposed product and services
Process design is the activity of determining the work flow, equipment needs and
implementation requirement for a particular process. In this activity of process design, various
numbers of techniques such as flowchart, process simulation, software and scale model can
included (Mahembe and Engelbrecht, 2014). Process design is generally used for design the new
facilities or it can be modification or expansion of existing facilities.
In the context of new product that is Sport shoes for the male and female, company is
required to focus on the process design method. With help of process design method, company
can easily look toward the effective strategies and practices developing the new product. In order
to produce the new product, process design plays a very crucial role by which each and every
activities of the product development can effectively organize in the market. An effective design
process ensures the value of our communities.
With assistance of process design, company can easily carry out all function and
activities of new product development and create effective commodity for customers. Process
design provide the new looks to the new product development through which company can
understand the actual objective of the new product. Each stage can carry out in effective manner
while process design method is effectively performed within the company.
At the time of new product development, cited venture have to focus on the operation
management and its associated approaches. With help of effective operation and management
company can achieve its target within specific time period and accomplish all activities in
effective and efficient manner. The real advantage of task administration approach is identified
with beaten the wastage. By utilizing different systems of administration and activities like six
sigma, lining hypothesis, line generation, add up to quality administration, firm can without
much of a stretch take out wastage and extra costs from assembling and creation. These
methodologies of administration and task help in enhancing nature of brand adequacy of item
and administrations which conveys most astounding fulfillment to the customers. With help of
the different methodologies of activity and administration, organization can improve nature of
the item and administrations. These methodologies can be connected in the generation and
assembling process in the organization so by utilizing these strategies firm can undoubtedly

conquer wastage and extra costs from the assembling and creation process and upgrade adequacy
of the item and administrations.
Description about the proposed stages of product and services development
As per the above discussion it has been assessed that LVMH company is going to
produce new product that is Sport Shoe for male and female customers (Khan, Asghar and
Zaheer, 2014). The major objective of this new product development is to gain maximum
profitability and market share. The operation manager of LVMH is to focus on several stages of
new product development in order to produce the new product that is Sport Shoe for male and
female customers. The various stages of new product development are discussed below-
Idea generation- This is the first stages of the new product development under which manager
generates the idea about new product development. In this stage, new idea can generate in the
mind of customers. The new idea should always base on the company objective, existing
performance of business, requirement of customers and future growth. LVMH is going to launch
the new product that is Sport shoe for male and female candidate. This thought has been made
because of the appeal of client (Bonanni and Cafazzo, 2014). With a specific end goal to satisfy
the wants of client and enhance item customization, creation administrator is concentrating on
this new thought. The new thought regarding the new item advancement can be created by
statistical surveying, input of clients, client prerequisite, operator's audits etc. In this stage,
company operation manager focus son the idea about the Sport shoes for male and female. This
shoe will helpful for customers who go to gym, running etc.
Idea Screening- Once the thoughts have been produced in the brain of client, at that point in the
following stage, administrator needs to screen these thoughts and select some fitting
contemplations for new item improvement. Activity chief of LVMH will choose some most
fitting and helpful musings for building up the new item that is Sport shoes for male and female
clients. In this phase, company will select some important idea about the Sport shoe and use
those ideas in the further product development.
Concept development and testing- In this stage company will consider on the idea advancement
and testing of the thought regarding the new product development (Blanchard, 2010). In this
stage, operation manager gives the information about the new product development for gather
data about of client input, studies and comment about the new thing, changes can be made by the
thing executive in the item development.

Business analysis- While operation manager effectively tests the new item, at that point in the
following stage organization needs to dissect the circumstance of business. In the stage, director
needs to center around the financial plan of new item, appropriation, showcasing and so on.
LVMH creation supervisor centers around the financial plan of Sport shoes for male and female.
Product development- It is the stage under which product is finally produced within the
corporation (Arnulf and et.al., 2014). Operation manager uses idea and creative thoughts for
produce the new item for the customers in the market. LVMH company finally produce the new
product that is Sport shoes for male and female customers.
Test marketing- This is very important stage under the new product development in which
company test the new produced commodity in the small segment of market (aur and Haase,
2015). By help of this testing activity, company can easily analyze the feedback and review of
customers regarding new product and also test effectiveness of new product.
Commercialization- In this stage, LVMH company will introduce the new product that is Sport
shoe for male and female customers. Operation manager invest large amount of capital in this
new product development stage and promote this new product in the mass market.
Analysis of impact and significance of performance objective on the proposed products and
services
As per the above discussion, it has been analyzed that LVMH can earn maximum
profitability and market share by delivering high quality of luxury sport shoes for male and
female. This new sport shoe will help to those customers who regular going for running, Gym etc
(Agarwal and et.al., 2012). This shoe will be very comfortable and affordable for every income
group of customers. In order to produce high quality and luxury products and services in the
market, operation manager has to consider several methods and approaches of effective
operation management through which it can maintain quality of services and carry out all
activities in an excellent manner. Following are some approaches of the operation management
that can be used by the operation manager of LVMH: Six Sigma- With assistance of this method, company can improve effectiveness and
quality of products and services. This approach is identified with the action of assembling
and creation process (Iqbal and Sharma, 2012). By the help of this six sigma strategy,
organization can bundle to enhance the quality and probability of item and

administrations. In this procedure, wastage are disposes of from the generation and
assembling so as quality is upgraded (Ghosh, 2015). In this approach, there are
significant five phases incorporated that is investigation, measures, characterize, control
and make strides. With the help of this approach of operation and management, LVMH
can enhance the procedure of generation and assembling. In helps in expanding the
consumer’s loyalty by meeting the genuine prerequisite of clients identified with items
and administration. Lean production- This is another major significant technique in the operation
management that helps company in improving quality and performance of business by
eliminating additional wastage and unused material (Park and el.at., 2014). In this
approach, additional wastage and unused material can easily be eliminated from the
manufacturing and production activities.
 Total quality management- It is a crucial method of operation management by which
company can be able to enhance the potentiality of working about business. It is a best
approach of the operation and management under which organization can undoubtedly
upgrade quality and possibility of working about the business. In this approach of
operation and management, all individuals from association are successfully taken part in
the enhancing the quality and adequacy of business activities and function (Harwiki,
2013 ). It incorporates the whole change like culture, structure and business framework. It
is an effective process in which all parts similarly contribute with a specific end goal to
improve the quality and services of products and services.
CONCLUSION
From this report it has been summarized that in order to produce the high quality and
luxury product and services in the market, operation manager have to consider several methods
and approaches of effective operation management. It has been also concluded from this report
that Process design is the activity of determining the work flow, equipment needs and
implementation requirement for a particular process. Process design is generally used for design
the new facilities or it can be modification or expansion of existing facilities.

REFERENCES
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