Unit 16: Operations and Project Management Report - Railway Case Study

This report delves into the operational and project management practices of Southern Railway, a British railway organization. It begins by critiquing the implementation of operational management principles within the organizational context, including the principles of reality, organization, accountability, lean production, value, pursue perfection, and Six Sigma. The report then prepares a continuous improvement plan based on the review, outlining objectives, resources, and timelines. Furthermore, the report applies the project life cycle (PLC) to a given project, producing supporting documentation for each stage. Finally, it reviews and critiques the effectiveness of the PLC in the chosen project using relevant theories, concepts, and models, offering a comprehensive analysis of the railway's management strategies.

Unit 16- Operations
and Project
Management

Table of Contents
INTRODUCTION.......................................................................................................................................3
TASK 1.......................................................................................................................................................3
P1 Critique and review of the implementation of principles of operation management within
organizational context..............................................................................................................................3
TASK 2.......................................................................................................................................................6
P2 Prepare a continuous improvement plan on the basis of review and critique of principles of
operations management within an organization.......................................................................................6
TASK 3.......................................................................................................................................................9
P3 Apply each stage of the PLC to a given project, producing necessary supporting documentation for
completing the project.............................................................................................................................9
TASK 4.....................................................................................................................................................14
P4 Review and critique the effectiveness of the PLC in application to the chosen project using
appropriate theories, concepts and models.............................................................................................14
CONCLUSION.........................................................................................................................................16
REFRENCES............................................................................................................................................17

INTRODUCTION
Operational Management is conducting of business application for creation of high level of
efficiency and productivity possible in a company. It is concerned with conversation raw
material with help of labour into finished goods and services in the most efficient manner. It tries
to balance cost with the associated revenues and aims at maximising net operational profits. It
involves optimum utilization of resources and helps in handling different strategies that includes
determination of size of manufacturing unit, implementation of information technology network,
inventory management level, quality control, material handling and maintenance policies. Project
Management comprises planning, commencing, executing, observing and completion of project.
There are variety of technologies and methods included in project management, such as waterfall
technique, agile method and lean technique (Klassen, R. and Hajmohammad, S., 2017). Every
project has its budget associated with it along with the time frame allotted. It aims at defining
goals and objectives of a project and determination of various component are completed and who
is responsible to do so. This report is based on Southern Railway, a British railway organization
that was established in the year 1923. This report is divided in two parts, that is, operational or
project management. Various techniques used in project management like Lean production, six
sigma and other similar tools are explained in this report. Also, product life cycle and its phrases
are included in this assignment.
TASK 1
P1 Critique and review of the implementation of principles of operation management within
organizational context.
Overview of the Organization
Southern Railway, is a British railway organization established in 1923, and is a
combination of various different network of railways in UK. It was established as London &
Southampton Railways later named as London & Southern Western Railway. It is known for
public dealing also, logical and social strategies. Thus, there are ample amount of people
travelling with the railway (Romano, L. ed., 2017). The two major mechanical engineers of
railway named Richard Maunsell and Oliver Bullied, they have contributed for growth and

development in the most effective manner. They have designed a new engine and rolling stocks
that had replaced which was taken over in the year 1923. Southern Railways plays an important
role in the tenure of second world war, and commenced with British Expeditionary Force. It has
achieved a remarkable success as railway was the primary source for people network travelling
at that time. It was nationalized in the year 1948, and has became the Southern Region of British
Railway. It is a network that operates few renowned trains such as Brighton Belle, Golden Arrow
and many more.
Operational Management is the branch that is concerned with administration of
organizational practices for maximizing efficiency within a company. It involves planning,
managing and controlling operational processes of balancing cost with revenues earned. It is one
of the most popular tools that ensures high operational profits for an enterprise and leads to
successful conversion of raw material by use of labor and technology into finished goods in
highly efficient way (DeWinter-Schmitt, R., 2017). It aims at providing quality products and
services to its customers and satisfy their needs and wants and increase their satisfaction. In case
of Southern Railways, there are few principles followed as listed below:
 Principle of Reality- It is related with mind’s ability in assessing reality of an external
environment, plan and act accordingly to such situations. It helps organization’s in
focusing on problems that are faced by an organization instead of thinking about methods
or techniques for solving them. In context of Southern railways, it is vital to gather and
administer information relating to needs and wants of targeted customers. Stakeholders
will get affected by different activities of this organization in context of managing
optimum accomplishment of goals.
 Principle of Organization- This is the most basic fundamental principle or true statement
which helps in understanding, increasing efficiency in business operations and provide
guidance to think and practice. According to this principle it is required to organize all
activities that are necessary in business operations in an effective way foe attaining
predetermined goals and objectives. In context to Southern Railways, having various
department, it is monitored for maintaining effective coordination and relationship among
them.

 Accountability- It refers to the situation in which people faces consequence for their
action plans and performance. It is essential for an organization for preserving faint and
integrity within the organization (Bhutto, S.Z.A., 2016). Every person in an organization
is accountable for his task performed and decisions made in course of business functions.
Appropriate policies and strategies are framed and communicated among the people
working in Southern Railways. For purpose of management committee of Southern
Railways, they are accountable for their tasks and decisions that ensures betterment of
organization.
 Lean Production and Manufacturing- It is a tool of operational management, that is
used for making effective use of available scarce resources for producing high quality
products in the minimum time possible. Main purpose of this technique is for maintaining
high level of efficiency in production process that plays a vital role for maximizing
profits by effectively satisfying customers needs and wants, keeping in mind for
minimizing wastage and providing quality products (Sabbag, P.Y., 2018). It is evaluated
that, managing committee of Southern Railways is undertaking lean production with the
purpose of earning potential revenues by reducing cost and wastage and improving
efficiency of its operations.
 Value- it is used to refer product or service that is provided to customer by ensuring them
greater value for such products and services. It plays a vital role for charging apt prices
from customers for offered goods or services. It aims for maintaining a positive brand
value of Southern Railway in a competitive environment and helps management in
building a strong and trustful relationship with customers, as it is very important for
sustaining company’s position in long run.
 Pursue Perfection- This principle relates with providing quality product or service by an
organization undertaking improvement and efficiency in the operational practices. It is an
important principle for the management committee of Southern Railways for ensuring
use of creative and innovative approaches within the organization for attaining high level
of customer satisfaction. The management of Southern Railway primarily analyse
customer requirements by an extensive market research and undergo necessary
modification in product or service as needed.

 Six Sigma- It is a management tool or technique that focuses on improving operational
processes of an organization by minimizing probability of occurrence of errors and
defects in production process (Gardiner, D. and Reefke, H., 2019). It focuses on
increasing efficiency in overall process of production of a company by ensuring effective
and efficient use of available scarce resources. It aims at improving product or service
quality and therefore ensuring good results and increased profitability of an organization.
There are two methods used under six sigma’s namely: DMADV, under this technique
the major focus is on new approach and tools that are not presently adopted by an
organization. Whereas DMAIC, focuses on improving business processes for satisfying
customer requirements. It includes five process as measuring, examining, modifying,
evaluating and controlling (Wang, X., 2019). There are required for improving existing
products or services. In case of Southern Railways, DMADV is a suitable approach used
by it for promoting its product and service to a wide level of targeted travelers. Critique –
There is provision of quality transport services for creating an efficient organization that
is able to meet requirements and expectations of customers. Southern railway is paying
attention to the increased demand of customers within railway transport. There is need to
apply individual tools as per DMAIC cycle for attaining need for applying In context of
Southern railway, it is analyzed that there is need of promoting all products and services
offered properly. There are several techniques used by the managers for effectively. Six
Sigma emphasizes upon speeding up the process and using best tool for analyzing flow of
processes.
TASK 2
P2 Prepare a continuous improvement plan on the basis of review and critique of principles of
operations management within an organization.
Plan of Continuous Improvement
It is a constant practice done by organization for re-evaluating and boosting its processes
of producing and delivering goods and services to its customers. It is a method that focuses on
streaming work and eliminating wastage, also, identifying opportunities that aims at increasing
profitability. It is important for every organization to adopt new advanced and innovative

technology and to improve it on a regular basis for sustaining its position in the competitive
market and maintain its brand value. In context of Southern Railways, it is necessary to monitor
and administrate the technology used in performing its operations in most effective and
appropriate style. The transformation plan and procedure adopted by the Southern Railways for
providing efficient product and service are listed below:
Objectives Resources Source Continuous improvement
plan time line
Time
line
accounta
ble
Accounta
ble
person
Minimizing
overcrowded
Staff and
employees
Cost Redesigning of exit/entry
gates for the Southern
railway for easing the
Customers.
Management of Southern
Railways has adopted six
sigma principle for making
their present structure more
efficient and to smoothen
its operational process. In
addition to this, it is also
facilitating company in
providing quality product
and service to its targeted
travelers that will help it in
earning high profit margins.
Also, using this tool helps
the organization in
minimizing its operational
cost and enhance them in
most efficient way.
28/2/21 Railway
engineer
Encouraging Marketing Quality Motivating people for 5/3/21 Technical

service users team getting service of Southern
Railways
In case of Southern
Railways, it is analyzed that
for adopting innovative
tools of production that
helps in making appropriate
use of scarce resource
(Blanding, S.F. ed., 2020).
Also, it facilitates in
providing high level of
customer satisfaction by
providing standardizes
service to its customers.
Managers of the
organization uses Lean
production that helps in
enhancing its profitability
and getting positive
outcomes.
manager
Reduce cost
of
production
Research
and
development
Safety Continuous research for
advancing services With
respect to Southern
Railways, the
administration evaluates
essential features that
relates to security in process
of manufacturing and
assembling. In addition to
this, required data and info.
are also collected that
15/3/21 Research
Manager

facilitates in maintaining
sufficient amount of stock
in an organization at a
particular point of time.
Quality Quality
control
department
Delivery Monitoring and controlling
service
There are pre-specified
policies and procedures that
assists management
committee of Southern
Railways in performing
various tasks in an efficient
and effective way. It helps
in delivering significant
service to its customers by
minimizing defects and
removing waste during
production processes.
30/3/21 Quality
manager
TASK 3
P3 Apply each stage of the PLC to a given project, producing necessary supporting
documentation for completing the project.
Project lifecycle is time taken by a product from its introduction and till it is taken off from the
market. It is important concept in relation to management and marketing of an organization. The
six stages of project life cycle are development, growth, maturity, introduction, saturation and
decline. It is important concept that helps business to take effective decisions and to make the
product successful (McNamara, M.L., 2017). There are different challenges and opportunities
associated with every stage. All the stages of project life cycle are discussed below:

Project definition - Crossrail is a railway construction project under way mainly in Central
London. The main objective of this is to provide high frequency suburban passenger service
crossing London from opposite direction.
Scope of the project - The scope of this project is wide and associated with the development of
cross rail connections in London. This project will help to understand when the cost of
production and marketing expenses comes down for the company and how it will be managed
for attaining good position in the market. The company has attained efficiency in manufacturing
and the company earns a lot of profit and sales are at their best. But it can be seen that the
product has already being used by the society and the sales of the product start moving down
(Shaikh, S., 2018). The company reduces the expenditure in production and marketing. The
competitors and products offered by them have captured the market. In respect to Southern
railways, company is at its maturity stage is earning huge profits. This is the next stage under
which competitors have taken a large share in the market.
Phase 1, Analysis of stakeholder
The business case is regarding Crossrail and it is considered that there is proper procedure of
managing the project. This is the very 1st stage in product life cycle. In this stage the task to
conduct research for the purpose of product development. The company focuses on testing the
prototype, developing strategies for launching the product. Also, there is no revenue generated in
this stage indeed company has to bear huge expenses. All the expenses incurred will help the
company to earn revenue in near future. The time period of this stage depends on how new the
product is competition in the market, complexity of the product. In relation to Southern
Railways, they conducted proper research of market and identified needs and wants of customers
that help the organization to served them successfully.
In Phase 2 project objectives, scope
The product developed is launched in the market. In this stage the task is to enhance awareness
about the product and develop market. There is investment in advertisement and marketing that
is important to reach the target customers. The company has to work hard in this stage as this is
the time make the customers aware about the product. Channels of distribution are tested in this

stage to attract more customers. In case of Southern Railways, they provided faster
communication to all its customers and the organization focused on reducing environmental
deterioration.
Phase 3 - Construction
After introducing next step is growth stage. In this stage customers start accepting the product offered by
company. The product starts gaining trust among people. The company formulate strategies to gain
competitive edge (Ferdows, K., 2018). As the product is innovative and in growth stage there is less fear
of customers and the Organization can charge high price from customers. The company earns in this stage
as this is the growing period in the product life cycled. In context to Southern railways the company
attained growth by providing quality services at lower cost to the target customers.
Phase 4 execution -. Operational and maintenance
In this step, the product offered does not go down in terms of growth and sales either.
The product is used by consumers, but there is intensified competition in the market. The
company focuses on making its brand preferable so that it does not reach a decline stage.
Competition at this point reaches its height so company has to take care. Based on its features,
price, customer satisfaction and after-sales services, marketers are expected to distinguish their
product and try to compete in the market.
Phase 5 controlling and monitoring project
This is the final stage of the life cycle of a project where sales of the company begin to
decrease. Also, this stage shows declining revenues. A high degree of rivalry and changing tastes
and desires of consumers can be seen in declining stage. Companies have various alternatives in
their hands, such as the discontinuation of the product, the incorporation of additional
components of the same product, the sale to another corporation of manufacturing rights, the
targeting of potential customers or the entrance into a new market (Schönsleben, P., 2016).
Furthermore, at this stage, the company is offering new and updated packaging to its existing
products. Southern Railway will introduce a new or revolutionary function to draw more
customers to its railway services after coming to a declining level.
Customers – It is an business and individual who buy goods and services which is produced by
an organisation. Their is wide difference between customers and consumers because customers

are those who purchase the goods and services it is not compulsory that they are consuming it.
Whereas, the person who are consuming it is consumer. There are two type of customers external
and internal. Description of these is mention below :-
Internal Customers : These are internal parts of the company because they are colleagues and
employees of own department. In this situations, people within company play both side role
sometimes they are services provider and sometimes purchase of the offerings. Company is the
confectionery industry company they also have their internal customers because employees of
the organisation also purchase chocolate for their family, friends also.
External Customers : These are mainly users of products and services, buyers and stakeholders.
External customers are those who exchange their money in term of the product with Company.
They play major role in generating revenue and profit maximisation because without them there
is no such enterprise which can survive in market.
Above mentioned are the various stages of project life cycle. Each stage is different and
needs various strategies to be implemented. It is important for company to work effectively at
every stage.