Operation and Management: LO3 & LO4 Report - Analysis

This report delves into operation management, focusing on the key approaches and the roles of leaders and managers within organizations. It examines the importance and value of operation management, highlighting functions such as control and distribution, transformation of raw materials, process design, and capacity management. The report analyzes various approaches like Kaizen, Six Sigma, and TQM, illustrating their application within organizations like Boots. Furthermore, it identifies the factors in the business environment, including social ventures, corporate social responsibility, culture, ethics, and sustainability, that impact operational management and decision-making. The report concludes by emphasizing the effectiveness of operation management as a tool for enhancing business functions and profitability, supported by relevant references.

Operation and management
LO3 & LO4

Table Of Content
 Introduction
 Key approach to operation management and role that leader
and managers plays
 Importance and value of operation management
 Factors in business environment that impact upon operational
management and decision making
 Conclusion
 Reference

INTRODUCTION
Management and operation is considered as administration of
business practices which is used to create the highest level of
efficiency and increase organizational profitability.

Critical analyses of threats and opportunities faced
by SMEs
The SMEs faces various threats and opportunities while initiating
their activities. In context to the threats, SMEs faces fierce
competition threat, inadequate market access, lack of technological
threat and many more. With these threats, these enterprises faces
huge challenges for achieving success. In context to the
opportunities, SMEs can leverage e-commerce trends, innovative
technological adoption, government schemes and many more.

Key approach to operation management and role
that leader and managers plays
Operation management is the process or practices which is used by
management in order to perform all functions and maintain good
performance. To managing the operation organization uses different
approaches where leader and manager are playing their role and
function such as:

Cont..
Kaizen approach:
This approach is used to create the continuous improvement based on
idea that ongoing positive changes can reap major improvements.
This helps to use radical changes or top down edicts in order to
achieve transformation.

Cont..
Six Sigma approach:
This approach is disciplined, statically based, continuous
improvement and data driven which is used for eliminating defects in
product, process and services.

Cont..
TQM:
This describes as approach which uses to long term success through
customer satisfaction and improve the process. It involves customer
focuses, total employee involvement, process centered, integrated
system, fact based decision making, communication and continual
improvement which drives as organizational success.

Cont..
Therefore, all three approach is used by Boots organisation where
leader are playing different roles and manager are performing their
functions effectively. They can improve the production, quality and
delivering process which helps to gain the high efficiency and
profitability.

Importance and value of operation management
Operation management is the managing process which involves
planning, organizing, coordinating and controlling the functions and
make efforts to complete the goals and increase organizational
profitability. This is management function by involving management
function, managing people, information, equipment and technology
which is required in production and distribution process. In context to
Boots, management are using operation management in order to control
the distribution process and increase the business performance.
Identification of different operational function in context to Boots
corporation is defined as:

Cont..
Control and distribution system: This is important function of operation
management which helps to control the business activities and distributing
process in order to achieve business goals and make profits.
Transformation of raw material in to finished goods: Operation
management also performing function by transforming the raw material in
to finished goods and increase the revenues.

Cont..
Process design: This function states that organisation should have
clearly process design which helps to increase the attention and
maintain the goof performance.
Capacity management: This means organisation uses operation
management to ensure that business and its essential activities are
running in good way at all time and all conditions.