Operations Management Plan and Analysis for Amcor PLC

This report provides a comprehensive analysis of operation management principles as applied to Amcor PLC. It begins with an introduction to operation management and its significance in achieving organizational goals, followed by a discussion of scheduling techniques, specifically the critical path method, used by Amcor PLC. The report then details Amcor's operations management plan, including location and facility management, day-to-day operations, inventory management, and the role of the management team. It further explores the business process redesign approach, highlighting its strengths such as improved resource management and customer satisfaction, and its weaknesses, including potential financial investments and the lack of quick solutions. The report also emphasizes the importance of inventory management policies for controlling production costs and concludes with a review of layout planning and work system processes within the company. The report provides valuable insights into how Amcor PLC utilizes these strategies to enhance productivity, meet customer demands, and achieve its business objectives. It also examines the strengths and weaknesses of such approaches in relation to their proposed context.

OPERATION MANAGEMENT

Table of Contents
INTRODUCTION.................................................................................................................................3
OPERATION MANAGEMENT..................................................................................................................3
Scheduling techniques to formulate a plan........................................................................................4
OPERATIONS MANAGEMENT PLAN.......................................................................................................4
Business process redesign approach..................................................................................................6
Strengths of business redesign process..............................................................................................6
Weakness of business redesign process.............................................................................................7
Inventory management policy...............................................................................................................8
Importance of inventory policy..........................................................................................................8
Scheduling Process................................................................................................................................8
Layout Planning....................................................................................................................................9
Work system........................................................................................................................................10
CONCLUSION...................................................................................................................................11
REFERENCES....................................................................................................................................12

INTRODUCTION
In the report operation management is described as it helps in achieving targets of the
company. Layout planning is also discussed and how it helps the company in making good
plans and strategies. Operation management plan is also discussed in which location,
operations, inventory and management team. Strengths and weakness of business redesign
process is discussed.
OPERATION MANAGEMENT
Operation management refers to the direction that helps in achieving organizational goals and
objectives. It helps in providing goods and services to the organization and also
provides functional areas, because, processes are found in all the business activities
(Dhoul, 2021). Operation management is the area of management that is concerned
with making designs and controlling all the activities of production. It also helps in
redesigning products and services and business operations in the production of
goods and services. It also helps in ensuring that business operations help in
efficiently using resources when required and also provide effective service to the
customers and attract customers to buy goods and services. It involves all the
responsibility of goods and services and it is the process of planning, organising,
directing and supervising in the context of production, manufacturing or the
provision of services (Zhang and et.al., 2019)
.
It is concerned with managing the entire production or service system which involves inputs
(in form of raw materials, labour, consumers and energy into outputs (in form of
goods or services for consumers ). Operation management produce products,
manage quality of services and and provide services. Operation management covers
various sectors like, banking systems, hospitals, companies, working with suppliers,
customers and using technology. Operations is one of the major functions in an
organisation along with finance ,marketing area, human resources area, and
operations area. The operation function requires management of strategic services
and day to day production of goods. In operations there are many types of decision
that are made includes a king strategies ,product design, process design, quality
management , capacity, facilities planning, production planning and inventory

control. Each of these requires ability to analyse the current situation and find good
solutions to improve the quality of products and services and increase efficiency of
manufacturing or service operations (Zhai and et.al., 2020)
.
Scheduling techniques to formulate a plan
There are various techniques that can be used to formulate a plan . Amcor PLC is using
critical path method to formulate a plan when organizing work . This technique helps
organization in scheduling set of project activities that are essential for achieving goals and
objectives of the company.
OPERATIONS MANAGEMENT PLAN
The operations and management plan can be defined as how business activities are taken
place or business operates on a continuing basis. It also helps in describing various
responsibilities and tasks of team. This is the platform where team are acknowledged
and advice is given to them and they contribute to your business and success. An
operational plan is a strategic document that defines how different teams or
departments like recruitment, marketing and finance and they contribute to achieve
goals and objectives of company (Yangyun, Yue and Yongqin, 2020)
.
Amcor is an UK company which was founded in 1860 which provides goods and
services to customers with good packaging and flexible packing, rigid containers, closures
and services for food, beverages and pharmaceutical. The company focuses on providing
food services so that more customers are attracted . It helps in determining what are the
trends in markets and customers needs and preferences and they make products according to
the requirements of consumers so that they are satisfied and it helps in increasing sales of the
company. There are two types of operational plan that is single use plans and standing plans
that can be used by companies multiple times.
Some elements that are important before making operation management plan. Every
organisation should identify these factors for successful business (Yang and et.al.,
2017)
.

Location and facility management - It helps organisations in deciding location for setting
up business or industry. Managers should decide proper location that does not create any
harm to the people living in surrounding and should try to have safe and healthy environment
around the company as well as in the organization.
Operations - This will help company in identifying day to day activities that are performed
in the organisation. Daily there are many work that is performed in the company, so
Amcor PLC is also taking steps for managing day to day work like, production,
checking that all the workers are doing their work properly or not. They also manage
all the activities and staff also so that goals can be achieved by the employees (Xia,
H and Ge, 2018)
. Every organisation should make plans or strategies for making business plan. Operation
management helps company in satisfying customers and make daily planning so that
problems canbe faces and quick decisions can be taken by the managers.
Inventory- It is also important aspect of operation management plan, company can take
necessary steps for managing inventory so that proper production can be done and there will
be no disturbance in delivery of products. Store manager should manage all the activities of
arranging raw material and they are responsible for providing material on time and they
should arrange in advance material so that production can be stopped.
Management team or employees - It is also important element of operation management
plan to manage team or employees. If employees are not trained and experienced
then it is responsibility of company to provide them good training so that they can
work effectively and efficiently. It is necessary to recruit and select talented and
fresh candidates in the organization so that more profit can be generated. Proper
management of teams is essential to reduce conflicts among workers and keep the
environment safe and healthy (Wankhade and Shahare, 2017)
.
Amcor PLC is following these steps to make good plans for future growth of the company
and earn more profit. They follow properly the steps for operation management plan
for effective productivity and helps in achieving goals and objectives of the
company. They first decide the location which is comfortable for all and in far area
so that people or society in surrounding does not get disturbed. They finalize

location after searching all the points such as, transportation like for labour it is easy
to come to office and it should not be in the outer. For employees make some
residential place to stay as workers from outside will be recruited and they need
place to stay. After that they manage day to day activities of the company and make
policies ,procedures, rules and regulations that is to be followed by all the members
of company (Wang and et.al., 2019)
.
Amcor PLC is making sure that daily all the operations of a firm is taking place
regularly. Managers of the company are making estimation regarding how much inventory is
required to make products according to the demand of customers. They make budgets and
arrange stock in advance so that there will be no shortage and proper production will be done.
They select a person who is responsible for managing stock and give order for new raw
material in advance for smooth running of company and profit can be generated. Last step is
managing team and employees, Amcor PLC makes organizational structure which helps in
organising employees and provide direction to workers to accomplish goals and objectives of
the company. It is important for company to manage employees so they make teams or
groups and divide work according to specialization and key area of employees.
Business process redesign approach
Business process redesign management approach or business process re engineering refers to
making changes or improvements in quality, cost, output, service and speed. It helps
in reducing the cost of production and increase sales by delivering good quality
products. It means that making changes in the existing products and make it new
product. There are four steps in designing process i.e., identify the problem, design
exploration, design optimization and design how to make communication effective.
It helps in making modification in procedures that are used by organization. Amcor
PLC is also using this business redesign approach to improve customer loyalty and
make good quality product at low price. This helps in reducing the cost and
increasing the profit of the company (Liu and et.al., 2020)
Strengths of business redesign process
 It helps in proper arrangements of raw material and make employees motivate to
focus on their work and achieve organisational target.

 It also helps the organization in controlling all the activities that are beneficial for
company and employees. In Amcor PLC managers are taking necessary steps to
control and properly manage all the activities.
 It focuses more on business working to satisfy customer needs and make them happy
by providing them good quality products at low price.
 It helps in building strategic view for how to make improvements in process and take
better decisions for growth of business.
 It helps in eliminating unnecessary activities and thus leads to reduce organizational
complexity.
 It helps in coordinating and integrating various and help in organizing all the activities
properly so that company can complete their work on time.
 It provides viability to an organization by reducing cost and eliminating unnecessary
work and complete work with efficiency .
 It provides adequacy to company by eliminating unnecessary phases that lead to delay
in work of operation and management.
 It helps in reducing number of control and reconciliation process which helps in
reducing cost of production.
 It helps in overcoming short term approaches that emerge from concentration on
functional boundaries.
 It is useful for large organizations as they can make changes to earn more profit .
Weakness of business redesign process
 It doesn't useful for every organization because there are different types of
organization and all are having their own policies and procedures.
 For improving efficiency of one department expenses are incurred for overall process.
So it is wastage of money , company should make improvements for the development
of all the department so overall productivity can be increased.
 It does not provide quick solutions for the problems as it concentrate on long term
business goals and this lead to loss for the company sometimes.
 It may requires huge investment in information technology sector for proper planning,
good teamwork and proper implementation of plans or strategies to get good
outcomes.

Inventory management policy
Inventory management policy helps the organization in achieving its goals and
objectives. They also help in satisfying customer by providing them good quality products
and services to satisfy their needs. It helps in maximizing the customer satisfaction and try to
reduce the cost of production. The main elements that are included in inventory management
policy are, carrying cost and ordering cost. It is the responsibility of managers to make proper
policies and procedures that will help in reducing cost that is related to inventory. When less
cost is incurred then it will increase the profit of the company.
Importance of inventory policy
Inventory policy is made so that financial and operational needs of the company can
be achieved. When workers will give their best then it will help organization in earning more
profit and efficiency of company will be increased. The components of inventory
management helps in identifying how much cost is incurred and how to manage all the
activities. There are some parameters which help in controlling the inventory that are,
inventory management is important, how much to order, cost that is associated with
managing inventory and what are the strategies that can be used by the organisation in
managing inventory.
In Amcor PLC managers are taking necessary steps and making plans to improve
inventory management policy so that workers can do their work better and this will help the
company in generating more profit and increase productivity. Managers of the company are
working hard to reduce the cost and also giving training to employees so that they can give
their best by working efficiently. One person is responsible for handling the inventory and
gives all the details that whether inventory is required or not and how much material is
needed to complete the given task or order. It helps in achieving goals and objectives of the
company and employees can work effectively. They should work on making policies that are
best for the organization and will help in future growth of the Amcor PLC. There are two
methods of inventory control i.e., order quantity and ordering frequency.
Scheduling Process
The scheduling process is a group of activities that include arranging, controlling, and
optimizing work and workloads in a production process or manufacturing process.

Amcor PLC is grouping activities so that maximum workload efficiency can be
achieved. Scheduling is considered to be a important tool for manufacturing and
engineering, as it widely effect productivity of a process. Amcor PLC tried to
minimize the production time and costs, by telling a production facility when to
make, with which staff, and on which equipment. According to Amcor PLC point of
view, they first prioritize meeting customer’s due date. Amcor PLC always consider
scheduling as an important factor for smooth flow of production, level the
production, keeping safety stock, keeping cycle time, or keeping assign jobs to auto-
machines or lines as the next priority (Isaac Murat and Ohida, 2019).
Amcor PLC include random attributes in scheduling process like, random processing
times, random weighs, random due dates. Amcor PLC uses backward and forward scheduling
to arrange and control plant and machinery resources, human resources, production process,
inventory management and purchase materials. Basically, in forward scheduling they plan
task from the date of resources available to their last shipping date. And in backward
scheduling main is focus is on changes in capacity required. Amcor PLC tries to incorporate
all activities to optimize work and workloads in a production process.
Layout Planning
Layout Planning is a tool that is required to arrange the workplace according to
requirements. It helps organization in making plans regarding workplace by deciding
location and other essential facilities that helps in getting better productivity and
increase profit of the company by delivering more goods and services to the
customers. It hlelps in minimising transportation cost, production cost and managing
all the activities on time. Go get better results from them (Benjaoran and Peansupap,
2020).
It is a tool that helps managers in arranging all the material on time and make plans
for accomplishing goals of the company. It also helpa managers in making good strategies for
better future growth and they decide all the things earlier so that there is no disturbance while
doing work. In Amcor PLC layout planning helps in deciding the best physical arrangement

of resources and companies think for expansion. Amcor PLC is making strategies for proper
production and provide good services to consumers so that more profit can be earnwd.
There are some steps that are used by companies to design a layout or making plans for
layout. The steps are :
Collection of required data - it helps companies in making decisions related to where to set
their business, how much cost or investment is required, employees to be recruited, raw
material for making products, market analysis to identify competitors in the market and
strategies that are used by them. These all information are essential for increasing
productivity because of managers will make proper plans then there will be smooth working
in industry and there will be no confusion among employees.
Preparation of blueprint - it helps managers in making a blueprint in which they describe
about rules and regulations that are to be followed by every employee working in the
company. They make policies for the effective working of the company and helps in
boosting morale of employees to perform well. It includes mission, vision, aim and
objective of the industry (Kumrai and et.al., 2018).
Preparation of organizational structure and process- it is important for companies to
make proper organizational structure so that employees may know Their roles and duties ,
they will work according to the instructions given by the manager . If there will be no
structure then employees will not work properly and hence organizational goals can not be
achieved.
Preparation of drafting layout - In this a rough structure of plan and strategies are made to
ensure that in future company will not face any problem. This cover all the relevant
information regarding organization and their working process for the smooth
running of the company (Liu and et.al., 2018)
.
.
Work system
Work system refers to a system in which human resources use information technology for
making products and provide services for internal and external customers. It helps in

making good quality products that can satisfy need and demand of consumers. It is
important to fulfil the requirements of consumers to increase the profit of company
and build good image in the market (Li, J., 2018).
Business organization contains work system that helps in procuring material from
suppliers, deliver products to customers on time , find customers, coordinate with different
departments and perform many other functions. It helps in identifying customers need and
requirement to accomplish goals and targets of the company. Work system process helps in
making use of new technology and it completed work fast. Work system approach helps in
making good plans and strategies for customer satisfaction. Work system process helps in
hiring new and talented employees from across the world.
There are different types of systems that operate within the organization that are, information
system, service system, project, supply chain and e - commerce. Information system
helps company in completing their work with the help of computers or online sites.
In this employees do not have to work on machines or make products by doing hard
work, they have to work on computers and work on them (Zhen and et.al., 2019)
.
CONCLUSION
From the report it can be concluded that, operation management are important for
every company to achieve goals and objectives and motivate employees to give their best so
that organizational goals. Scheduling process helps in arranging raw material and controlling
all the activities of daily working in company for effective production.

REFERENCES
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