A Report on Operational Management Issues at TWG Tea, Singapore

This report provides an analysis of the operational management issues at TWG Tea, a luxury tea brand based in Singapore. The study identifies two key operational challenges: uphill communication and the unavailability of skilled talent. The report details specific examples for each issue, such as the inability to compete in the market due to poor communication and decreasing product quality caused by a lack of skilled workers. It also recommends strategies to address these issues, drawing on the operational management framework. The report concludes by emphasizing the need for improved internal communication and investment in talent development to ensure TWG Tea's continued success in the competitive market. The report also discusses the importance of the company's stable supplier network, research and development, and quality control measures.

Running head: OPERATION MANAGEMENT
Operation Management
Name of the Student
Name of the University
Author’s Note

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Executive Summary
The following discourse of the study has identified and selected two operational management
issues which have reduced the overall operations at TWG Tea, Singapore. The discussions of the
study have been segregated into two sections. The first section has introduced possible measures
which it can take to improve the present condition. In the second section in order to recommend
the strategies, each issue has been addressed with two examples which may arise in the future for
the organization. The main findings of the report have been able to state that TWG was able to
maintain a stable network after consultation with renounced suppliers. In terms of research and
development the centre has added unique floors with rich texture considered for fine supervision.
In addition to this, the issue with the management are found with uphill communication.
Therefore, the company needs to focus more on improving the young team and making the it
more knowledgeable about the internal working. The findings as per the various elements of OM
Framework with respect to TWG has been able to show that the company is consistent with, high
productivity, high capacity utilization, and economies of scale can cause lower cost. Being the
first luxury tea brand in the world, TWG Tea has managed to create a perception of being a
connoisseur in consumers eyes by harvesting the highest quality teas. The key milestones set by
the company can be considered with connection of tea and fashion together. In addition to this,
the fashionable encounter in teacup in their packaging mixture is identified with touches of gold
and silver, as well as whimsical illustrations. The value chain is further seen with distribution of
quality products which includes quality products both inside and outside the design of the store.

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Table of Contents
Introduction..........................................................................................................................4
Organization........................................................................................................................4
Conclusion...........................................................................................................................6

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Introduction
TWG Tea is considered as a premium luxury brand of the core is the world which was
established in Singapore and is celebrated in the year 1857. The brand became popular during the
time the island became a trading post for teas, finest epicurean products and spices. In addition to
this, TWG maintains a long reputation of incorporating the luxury concept of original retail
outlet by offering exquisite tea rooms along with internal distribution network for the
professionals. The company’s further passionate about sharing their expertise and becoming a
point of reference for the lovers who are enthusiasts of gaining more knowledge. In order to
experience TWG tea which is often seen that travelers travel thousands of miles every year for
tasting the right from the direct harvests from the source gardens. Companies for the scene to
offer 1000 single estate finest harvest of tea thereby by including to see friends and other tea
infused delicacies. The brand is further depicted to be internationally recognized as a true
innovator for creating more varieties of tea in every season and also collaborating with the most
renowned estates in the world (Twgtea.com, 2018).
The study aims to identify and select two operational management issues which have
weakened the overall operations of the company. In addition to this, in this report it is also
recommended possible measures which it can take to improve the present condition. In order to
recommend the strategies, each issue has been addressed with two examples which is possible in
practical application. The main reporting considerations have identified with operational issue as
communication issue and secondly, it is considered with the issues in recruitment division based
on improving the present team of workers.

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Organization
As per the findings of the operational management evaluation, the following two issues
for TWG tea are enumerated below as follows:
I. Uphill communication- This is identified as the fundamental operational challenge of
the organization. The problems pertaining to such an issue are supported with the
following two examples:
i. Inability to compete in the market- It needs to be seen that the increasing
problems of communication may lead to problems in the flow of vital information
pertaining to operational change and may not be delivered to higher authority on
time. This will considerably increase the time taken for upward communication
within the organization and allow the competitors to gain advantage of the
situation (Mzembe et al., 2016).
ii. Increasing the scope of internal problems in the organization- There may be
other internal problems related to infrastructure or internal working environment
which if not communicated on time may lead to severe problems such as
employee discontentment and even increased rate of turnover (Dierberger et al.,
2016).
II. Unavailability of skilled talent- It needs to be further depicted that at present the
organization faces several challenges which are associated to the availability of young
team which can enhance the performance over the years. The emerging problems related
to this issue has been suggested with the following two examples:
i. Decreasing quality of the produce- It is noteworthy to mention that due to the
unavailability of skilled young team, the company is on the verge of facing
several internal problems which are related to producing quality of its product.

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This may have an adverse impact on the sales revenue generated for the company
future (Broeer, 2015).
ii. Increasing cost of the products- The lack of skilled workers will lead to
increasing labour cost as a greater number of staffs needs to be outsourced from
other countries. In addition to this, it may be also difficult for the organization to
maintain the price commitments which it had promised to the consumers
(Chauton et al., 2015).
Conclusion
Based on the previous finding’s problems related to operations are evident with such as
uphill communication and unavailability of skilled talent. The two examples for uphill
communication have been suggested with inability to compete in the market and increasing
scope of internal problems and organization. Moreover, the two examples of unavailability of
skilled talent included with decreasing quality of produce and increased cost of the products.

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