Operations and Project Management Report: Haier Company Analysis

This report provides a detailed analysis of Haier, an electronic company, focusing on its operations and project management strategies. The report begins with an introduction to operations management and its principles, emphasizing their application within an organization. It then delves into the Six Sigma and Lean principles, crucial for improving business processes. The report also examines a continuous improvement plan, outlining strategies for enhancing products and services. Furthermore, it explores the stages of the Product Lifecycle (PLC), including a business case, project plan, and work breakdown structure, and assesses the effectiveness of PLC in project implementation. The report highlights the importance of various management models and theories, such as democratic approaches, for efficient operations. It underscores the significance of employee relations, incentives, and effective communication in achieving organizational goals. Overall, the report offers valuable insights into how Haier manages its operations, implements improvement plans, and manages projects to achieve its business objectives.

Operations and
project management

Table of Contents
INTRODUCTION...........................................................................................................................1
TASK 1............................................................................................................................................1
P1 Application of operations management principles within organisation................................1
TASK2.............................................................................................................................................5
P2 Continuous improvement plan based on the review..............................................................5
TASK3.............................................................................................................................................7
P3. Stages of PLC with business case, project plan and work breakdown structure..................7
TASK4...........................................................................................................................................11
P4. Effectiveness of PLC in application of project ..................................................................11
CONCLUSION..............................................................................................................................12
REFRENCES.................................................................................................................................13

INTRODUCTION
Business is the place where operations are take place to achieve business objectives i.e. to
earn profits. There are possibilities that due to alterations in policies managers may have to
change their strategies too. This can be done only when managers give more attention towards
what has to be achieved. It is essential that company has to make policies through which they can
change their business activities. There are many activities which ha re performed to know what
has to be done through which goals are achievable. It is essential that keys must be kept on
actions which are effective in performing business dealings (Burke, 2013). Manger must select
source through which they can This report is based on Haier which is electronic company whose
headquarter is in China. This company deals in home appliances, electronics, etc. In this report
there is discussion about implementation of operations management principles, Continuous
improvement plan, PLC approach and its implementation in organisation.
TASK 1
P1 Application of operations management principles within organisation
Meaning of Operations Management
Operations management means to frame policies which are effective for business
planning and it is effective for knowing what has to be done which help them in performing
business targets. There are various activities which has to be done through which company can
achieve targets but there must be synchronization in actions, this helps to make changes in
actions. These all factors are considered in operations management. These days it is essential that
manger has to make policies and communicate it to workers through which they can perform
their activities in efficient way (Chen and et. al., 2011). While running business, there are some
component which affects business operations, so it is essential to use policies which assist in
business operations. There must be regular check in actions which help to achieve goals and
objectives. While making policies managers has to analyse market and then adopt sources which
are effective for performing business operations (Management Theories & Concepts at the
Workplace, 2018). There is requirement to check operations performed by workers through
which goals can be achieved. In initial days scope of operations management is not so huge but
now this is much trend and requirement of operations manager. In Haier, they want to launch
large screen television, so there is requirement of operations managers.
Principles of Operations management
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Organisation- Organisation means a place which works to achieve targets. There are
many people to work to achieve those targets.
Fundamental- There are some basic requirements which talks about measure used to
achieve targets. These are mandatory aspects of company.
Reality- Reality means actual aspects which work to achieve business in effective way.
These points can not be ignored by managers. Haier also have some points which can be
performed in efficient way.
Accountability- There are some aspects which talks about answerable prospect of
workers. It is effective with use of proper channel of communication.
Variance- Variance means difference between actual and standards. It is effective for
knowing what has to be done.
Causality- Any miss-happening in organisation can be performed and this affects
business operations (Clarke, 4Sight Tech Inc, 2012). Hence managers of Haier take care of
actions and its outcomes.
Managed passion- Passion is the thought for which association works,. There are factors
which has to be considered by managers and motivate workers to achieve it.
Humility- Humility means to perform actions in effective and efficient way. Training and
learning program for workers of Haier has to be considered.
Success- This is the aspect of operations management which says that company that
actions must be taken to work in appropriate way.
Change- Change is important these days. As there are factors which has to be considered
and this affects business operations, so in this case managers has to keeps eyes on operations.
From the above discussed points of principles of operations management has to be
considered. While performing business operations, manager has to select approaches which are
efficient for company (Cook and et. al., 2011). Do to use of factors company should not consider
wrong path and this affects growth of association. Above discussed principles are helpful in
achieving business operations.
SIX SIGMA
Six sigma is the technique which talks about actions which are important to know what
can be done through which they can perform business policies. This technique was introduced by
engineer Bill Smith in Motorola in 1986. in six sigma there are two technique. They are-
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DMAIC, DMADV. DMAIC is used to launch new product in market. while DMADV is used to
make improvement in existence product (Corder, McLellan and Green, 2010). In case of Haier,
as managers are thinking to launch large screen television, so DMADV is used.
Define- This is the first step in which actions are analysed in the basis of problem faced
by society. Further actions must be taken as per accordingly.
Measure- After defining problem, measure is taken to know what has to be done through
which company can make achieve targets.
Analyse- Analysis of options must be done and this affects business operations of
association. It is effective with use of policies through which they can perform business dealings.
Design- Designing of operations is done after analysing resources. It is effective with use
of policies which are effective for performing business (Cruz and Marques, 2011).
Verify- There is verifications of actions which helps association to know wrong which
must be corrected and this product can be launched effectively.
LEAN PRINCIPLES
Illustration 1: Lean Principle
(Source: Lean Principle, 2018)
Lean principles are the approach which has to be done by managers of Haier to perform business
operations effective and this helps to make changes in efficient way. In lean principles, there are
five factors, which are beneficial for organisation. Five factors of lean production are as under-
Define value- There are some values which has to be considered by managers before
making any changes in plans and policies. This is the basic points which makes investment
effective.
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Map value stream- After analysing values, it is essential to have some ideas about how to
perform actions (Fleming and Koppelman, 2016). This helps to get ideas and this is effective for
making changes in business policies.
Create flow- In this step manger has to perform actions which are frequent and significant
in achieving targets. While performing business operations manger has to work as per business
environment.
Establish pull- There is some benchmarks which are setted by managers to get a point
above which performance has to be done.
Pursuit Perfection- This is the last step which talks about use of techniques through
which perfection can be generated. It is essential that company has to apply actions in efficient
and effective way.
Importance of Principles
There is requirement of these principles, through which Haier can achieve targets. It is
essential to apply policies through which policies can be achieved in effective and efficient way.
As Haier is thinking to launch large screen television, so they must have policies of consider
factors through lean principles and six sigma. This helps to give positive results out of
production (Garel, 2013). These principles are important as they provide base to perform
business operations and get positive results. In case of negative outcomes, through these
principles areas of flaws can be identified.
TASK2
P2 Continuous improvement plan based on the review
Continuous improvement plan:- This term can be describe as process under different
methods and mechanism has been used in order to remove all types of shortcoming and
deficiency in respect of products and services so that it become more efficient and productive.
After that whatever the feedback has been coming there is need for modification and alteration in
respect of products and services which help in enhancing sales that will assist in revitalising the
brand value of product which help in satisfying the need desire of customers (Kerzner and
Kerzner, 2017).
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Date
Provider
Source Anticipated Outcome Current level of
performance
Improvement
Strategies
Promotional events Under this point it is
an utmost
responsibility of
marketing manager
not concentrating on
all the marketing tools
and mechanism
through which they
promote and advertise
all types of goods and
services and customer
are not aware
regarding all the
products and services.
Haier company
generally deals in
fridges and electronic
therefore it is complex
procedure to create the
trust among customers
at the time when they
dealing in quality
standard of television.
It is essential for
business especially the
strategic level to spend
more amount in the
marketing promotional
tools techniques like
roadshows, social
networking and
advertising.
After sales services Haier organisation is
not providing such
type of after sale
services which satisfy
the customer demands.
Warranty period
offered by Haier
company is for 10
months which is not
sufficient in respect of
large machinery.
Under this step more
efforts is given on
improving the sale
services provided to
customers which also
increase their brand
value and goodwill.
Designing In this competitive
market conditions
demand for TV is huge
among target
audiences due to
Company need to
select such designing
method through which
distinguish their
product line from their
Use of various
mechanism tools
through which
company make further
improvement in the
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upcoming digitalise
techniques which
attract children and
other group of people
for entertainment
purposes.
competitors and it can
be executed through
research and
investigation.
strategies they used in
designing of products
and services.
Usability of continuous improvement and its effectiveness from organisation context
The plan that were discuss tell about different things which is consider as beneficial for
organisation point of view. Under this company is planning to launch big sized television by
using different innovative and creative design in respect of products and services that help in
attracting large audiences (Lenfle and Loch, 2010). Further, digitalisation is way through which
electronic products provide more satisfaction to their desires and improving the profitability of
business. Therefore, it is important for them to use such type of mechanism through which they
make continuous improvement in respect of goods and services.
Strategies utilised for efficient implementation of continuous improvement plan
 Maintaining employee relation:- It is very important for organisation to maintain the
relation among superior and subordinates which leads to effective communication
among them at the time of interacting with customers. Satisfy employee needs:- For the purpose of accomplishing the needs and wants of
employees proper incentives must be given to them.
Organizational theories, concept and models
In every organisation strategies must be implemented properly when operational manager uses
different types of models and theories for effective result and proper decision making. Further,
different types style like autocratic, democratic, bureaucratic and classical approach must be by
organisation in order to set good code of conduct and ethical practices in working operations of
business (Lindström and et. al., 2012). Management of Haier must establish democratic model or
approach in order to carry out task and activities in appropriate manner.
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TASK3
P3. Stages of PLC with business case, project plan and work breakdown structure
It is important for Haier company to launch the large sized television with the minimum
size of 58 inches and it will require manager to incur lot of money, efforts and expenditure in
order to execute all the action plans properly. Further there are various type of sources which are
available in organisation in which best one must be chosen and in such external environment it is
very important for organisation to add some creative and new innovative ideas in respect of
goods and services which is very important for the success of business in the market. Apart from
it research must be evaluated in which different data and information has been collected for the
growth development of business. On the basis of market analysis there is need to make changes
in respect of cost, durability, features and quality standard of products and services which leads
to implementation of plan in better manner (Ogunlana, 2010). Haier s now planning to launch
such big sized television that help in strengthen the overall product line of business. The
planning to launch something new in particular department require huge investment which can
be possible through research and investigation.
The term PLC means product life cycle that will calculate overall success of business.
Further, at the time of launching new product and services in market there is need for company
to investigate all type of changes that coming in external environment in which different policies
and strategies are establish for the purpose of analysing all improvement they made in products
and services.
Product life cycle stages
The stages of product life cycle is divided into following manner which describe below:- Introduction stages:- This is an stage under which company is planning to introduce new
ideas and creative discovery in the form of products and services and different tools
techniques used in order to maintain standard quality of goods and services. This project
take 3-5 weeks. Growth stage:- Under this stage product of company establish market place and brand
value in the eye of customers and after that they focuses on marketing of their products
and services they are going to launch in first stage (Pade-Khene, Mallinson and Sewry,
2011). This stage is basically such that in which company earn huge profit and stuck at
particular position.
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 Maturity stage:- Under this stage the sale of product goes down and in order to sustain in
market place company need to include such tools and mechanism through which they add
the value of their products and services and facilitate more sales.
 Decline stage: It is identify as a negative phase of company in which demands and needs
for the commodity and services provided to the end user. It is needed to take an effective
and proper process for the improvement of services and goods.
This idea can effectively and accurately formulated only with the try of administrator and
duty of leader is to encourage their workers for better execution so that quality of goods must be
kept. The main motive of product life cycle is to enhance the product position in the entire
industrial market (Robichaud and Anantatmula, 2010). Thence, administrator utilized various
management and leadership quality in order to accomplish long term goals and objectives of
business.
Work down structure for new product:-
It is essentially related to system engineering and project management. In this structure
of entire work of enterprise is classified into various division in which activity is assigned to
single person as per their specialisation (Ru and et. al., 2013). It is systematic hierarchy of
activity or work which is analysed by manager.
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Gantt chart:-
It is consider as a kind of bar chart that specify the entire project schedule. In this chart
the activity or task which are executed in time intervals and vertical axis on horizontal axis as
well as it become the better task and activity at the period of analysing any type project in
impressive manner (Burke, 2013).
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TASK4
P4. Effectiveness of PLC in application of project
As Haier is planning to enter into new target market, it needs to maintain a good
company portfolio to enhance its profitability and market share. The role of manager of Haier
here is to develop knowledge, skills and capabilities of its workforce to make them proficient in
order to fulfil their present and future job responsibilities. As employees forms the cornerstone of
a firm, the representatives of company who interacts with customers and on the basis of services
they provide consumers built up perception about a company (Chen and et. al., 2011). Thus, it is
of vital importance for Haier to formulate appropriate training and developing programme for its
employees so that they can become proficient and their interpersonal, communication and other
skills could be developed. This will benefit company as its employees will be more efficient in
handling customers queries and doubts and can provide them with viable solutions.
Haier needs to prepare a proper framework in order to systematically design each phase
of its PLC by being proactive in its planning. It can be done by properly conducting market
research about the present market scenario, customers demands, prevailing market trends ,
competitors strategies and other internal and external environmental factors that are possible to
have an impact on the success of the new product to be launched. It also assist Haier to evaluate
how innovative and creative their product is that company is willing to introduce in market in
reference to customers needs and current product line that other business rivals are offering to
consumers and to make necessary modification then and there so as to ensure its success as it get
launched.
Haier in order to successfully launch its new product TV needs to pay immense
attention in each stage of its new product development process. PCL will be help Haier to follow
a structural approach in which all operations related to project are analysed and clearly
delegated (Clarke, 4Sight Tech Inc, 2012). Project life cycle will assist project managers to
analyse key functional areas that requiring special attention. Given below are some salient
features of using PLC:
Effectiveness of the PLC: This technique assists company to attract large target
audience by improving performance of its product and process within specific time. It also
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