Operational Management Report: Approaches, Objectives, and Factors

This report provides an overview of operational management, exploring its key approaches and their significance in achieving business objectives. It delves into strategies like Six Sigma and Lean Production, and discusses their application within companies, such as Amazon. The report also examines the importance of operational management in streamlining processes and achieving business goals. Furthermore, it analyzes external factors, using the PESTEL framework, to understand their influence on business decisions and the operational environment. The conclusion summarizes the crucial role of operational management in mitigating risks and enhancing overall efficiency, emphasizing the interplay between internal strategies and external influences.

Management and operation

Covered content
 Introduction
 Key approaches to operational management and role of leader and manager.
 Importance and value of operational management in attaining objectives
 Factors within business environment that can impact upon operational
management
 Conclusion
 References

Introduction
Management and operations is the process of planning,
controlling, directing and managing the company's daily
activity. This process used by the various organisation for the
purpose of achieving their targets. This report is about the key
approaches of operational management, it's importance in the
organisation to achieve business objective and external factors
which influence the decision of manager or leader.

Key approaches to operational management
and role of leader and manager
Amazon follow the key approaches in the organisation such as
six sigma and lean production approach. These are as follow:
Six sigma approach: - It is an business strategy develop by
the Motorola in 1980, this approach follow by the various
organisation and Amazon is one of them.
Lean production approach: - This approach help the
organisation to reduced it's waste and it will directly reduce the

Importance and value of operational
management in attaining objectives
Operational management include the process of planning,
organizing, controlling and managing the manufacturing
process. It's main objective to deliver the product on time to
their customers. It will help the organisation to achieve the
business objective of Amazon company.

Continue….
Operational management help the Amazon company to handle their
daily activity and use their resources in effective way. It will
increase the productivity which help the organisation to achieve
their business objectives. Operational management help the
company to identify the performance of manager as well as workers.
Use of resources in the organisation provide the efficiency because
better use of resources provide the high productivity to the Amazon
company.

Factors within business environment that can
impact upon operational management
PESTEL analyse help the organisation to identify the factors
which influence the business and it's profit making process. It is a
well known framework that used by the Amazon company to
identify the macro factor which influence the most.

Political factor: - Political stability is the benefit for the
Amazon company because, developed country can sustain in
the market for long time and it is an opportunity for the
company.
Economic factor: - Economic stability is the plus point for the
organisation in the developed market.

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 Social factor: - Wealth disparity is thread for the Amazon
company because it will create the gap between the rich and
poor people in the context of disposable income.
 Technological factor: - Amazon company contentiously
change the technology it can be opportunity as well as
thread for the organisation.

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 Environmental factor: - Amazon company show the
interest in the social responsibility work that is opportunity
for the company.
 Legal factor: - Product regulation the opportunity for the
Amazon and it will reduce the counterfeits sale through
online retailer.

Conclusion
It has been concluded that key operational approaches help the
organisation to reduce the risk as well as cost of product by using
six sigma and lean production approach. Operational management
play very important role in the organisation to achieve their business
goals and objectives. External factors influence the business
environment and the decision of manager or leader of the
organisation.

References
Rose, L., and et.al., 2013. Genericity for model management
operations. Software & Systems Modeling. 12(1). pp.201-219.
Swink, M., and et.al., 2017. Managing operations across the supply
chain. New York, NY: McGraw-Hill Education.