Operations Management Business Report

This report analyzes the operations management of RAC Motoring Services, a vehicle breakdown and recovery company. It examines their current operational strategy, including the roles of patrols, contractors, and management in delivering services. A process map illustrates the steps involved in handling customer requests, from initial contact to on-site assistance. The report identifies factors contributing to poor customer service, such as delays in call response and inefficient dispatch systems. A risk analysis section outlines steps for identifying and mitigating potential risks. Recommendations include improving staff training and implementing effective risk assessment practices to enhance customer satisfaction and overall operational efficiency. The conclusion summarizes the findings and emphasizes the importance of quality standards and risk management in achieving business objectives.

Operations Management
Business Report

Executive Summary
From the below study it could be reflected that RAC Motoring Services results in
carrying out effective management and operations so that desired task could be accomplished in
an effective way. Also, proper monitoring and controlling aims to execute the operations of firm
in market and thus, solve the issues faced by them. Providing effective services to customers
who are facing issues regarding vehicle breakdown results in delivering quality services and
attain customer satisfaction.

Table of Contents
INTRODUCTION...........................................................................................................................1
CURRENT OPERATIONAL STRATEGY OF RAC MOTORING..............................................1
PROCESS MAP FOR RAC MOTORING......................................................................................2
FACTORS INVOLVES IN POOR CUSTOMER SERVICE.........................................................3
RISK ANALYSIS............................................................................................................................4
RECOMMENDATION AND JUSTIFICATIONS.........................................................................5
CONCLUSION................................................................................................................................5
REFERENCES ...............................................................................................................................6

INTRODUCTION
One of the crucial department within business is management and operations and thus it
helps in carrying out desired operations so that consumers could attain desired satisfaction.
Management of business identifies the need for monitoring and controlling so that business
functions could be carried out in a smooth manner. For instance, manager of firm possess certain
roles and responsibilities assigned to them in relation to improve their business functioning.
Here, present report is based upon RAC Motoring Services and thus identifies the issues faced by
customers regarding vehicle breakdown and recovery industry that results in providing quality
services to clients (Kesharwani and Singh Bisht, 2012). Company is operating from around 100
years and thus identify the needs and wants of customers so that quality services could be
rendered to them. When any customer faces issues related to vehicle breakdown at roadside, then
RAC provides its services to them. Thus, using innovative technology helps firm to improve the
efficiency of firm in market and attain customer satisfaction. Management of cited organization
supports its staff in providing quality services in regard to enhance customer satisfaction.
CURRENT OPERATIONAL STRATEGY OF RAC MOTORING
RAC Motoring Services undertakes effective operational strategy that results firm in
enhancing its operations in market by adopting innovative tools and equipments so that machine
could function in an appropriate manner. Also, adopting innovative machine and equipment
helps in enhancing the efficiency of firm and deliver quality services to customers. Cited
organization is established 100 years ago and still operating in vehicle breakdown and recovery
industry (Khanna, 2015). RAC Motoring Services obtains branded patrol forces which owns the
responsibility to rescue vehicles of customers that have faced breakdown at roadside. Thus,
providing such services helps in satisfying the needs and overcome their fear of driving late at
night. Such services are responsible and thus RAC trains its staff in such a manner that they
deliver quality services to its customers so that they perform in an efficient manner. Following
are different operational characteristics involved in RAC Motoring Services which are discussed
underneath- The Patrols- They are the main strength of RAC and thus business employs skilled
people and provide them training so that they can deliver quality services to customers.
There were around 1350 patrols recruited by RAC in the year 1999 which involves
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mechanic, undertaking garage servicing of vehicles etc. Also, providing them specific
training results in assisting clients regarding their issues of vehicle breakdown so that
satisfaction could be attained (Louise Manning and Soon, 2013). Use of contractors- It is another crucial operational characteristic possess by RAC
Motoring services so that it helps organization to meet the unexpected demand of
contractors and hence satisfy the needs of customers. Cited organization uses calculated
average cost of contractors employed within firm which was around £36 per job which
was considered as too high and therefore it increases the amount of work over the
contract which also rises simultaneously. However, it decreases the productivity of patrol
staff employed in RAC (Mahadevan, 2012). Managing the patrols- It helps in managing the patrols by providing them appropriate
responsibility of rescuing the customers who are facing vehicle breakdown at roadside.
Thus, recruiting skilled workers helps in providing better quality services to clients so
that RAC could enhance its operations in market. Further, business employs around 50
managers and then were looking to 28 patrols within 2-3 locations so that customer
satisfaction could be attained (Ramanathan, 2011).
 Overtime and standby- RAC provides opportunity to its patrols to earn extra income by
offering them overtime and standby duty. However, standard working time for patrols is
40 hours per week, but if they give extra time to manage the workload results in earning
extra money that encourages them to give their best (Rogers, 2011).
PROCESS MAP FOR RAC MOTORING
Management of RAC design effective process map which results in preparing the flow of
activities so that appropriate process is being carried out that results in improving the business
performance. It is essential for firm to identify the action so that needs and wants of customers
could be assessed and then prepare the plan so that customer satisfaction could be attained. RAC
carries out the services of rescuing customers facing issues related to vehicle breakdown at
roadside and thus employ skilled patrols so that they can render best services to clients (Tang and
Musa, 2011). Thus, designing appropriate process map which involves effective steps so that it
starts from customers calling the RAC representatives and then they are sending patrols to the
location to solve the vehicle breakdown issue of customers.
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Illustration 1: RAC Process Map
(Source: Wright, 2011)
Hence, from the above prepared process map it could be reflected that RAC Motoring
services results in identifying the systematic process which start from customer calling the RAC
representatives for service and then authority is informing the assigned patrol to accomplish their
duty by visiting the particular location (Gómez-Expósito, Conejo and Cañizares, 2016). Thus, it
is essential to be followed in proper steps so that better quality services could be rendered to
clients. RAC representatives sends skilled patrols at the vehicle breakdown location so that
customer facing issues could be solved. It helps in improving customer satisfaction and improve
the performance of firm in market.
FACTORS INVOLVES IN POOR CUSTOMER SERVICE
Through carrying out recent survey by the management of RAC it identifies that business
stands at second position after AA Company in terms of delivering quality services to clients.
Therefore, they identify the reason behind that and thus assess that poor customer service is the
factor which results in dissatisfying the needs of clients. It can be evaluated from the survey that
there are two major factors which results in contributing towards poor customer satisfaction i.e.
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customer representatives are unable to take call on time and also inefficient in timely dispatched
system (Gurman and Kniskern, 2014). Thus, both these factors are considered as poor customer
satisfaction which results in affecting the performance and brand image of firm in market.
Customer representatives appointed by RAC lacks in receiving the call on time and thus it
impacts upon the image of company. Thus, it results in delivering inappropriate and timely
services to customers which results in impacting upon the services delivered to clients.
Further, another factor that contributed to poor customer satisfaction is regarded to
inefficiency in dispatched system. Thus, RAC employees are not able to timely dispatch the
patrols to the location which results in affecting the set goals of firm regarding fast and quick
services. At several times, patrolling services are not able to find the correct location and thus it
results in impacting upon the business performance and lack of poor customer service impacts
the performance of firm in market (Hallinger, 2013). Thus, all such factors impacts upon the
poor customer services and decreases the brand image of firm in market.
RISK ANALYSIS
It is essential for RAC to undertake effective risk management so that firm could identify
the risk and thus focus upon overcoming the same so that desired results could be attained.
Following are the steps involved in risk assessment process which are described underneath-
 Here, analysing the risk assessment helps in identifying the hazardous risk factors and
monitor them appropriately in regard to overcome the negative impact so that operations
of firm could be carried out effectively (Haslam, van Knippenberg, Platow and Ellemers,
2014).
 It is essential for RAC to determine the risk assessment techniques so that actual velocity
or risk could be assessed and thus it helps in supporting the same in regard to overcome
the risk and hazard (Hassan, Mahsud and Prussia, 2013).
 Further, formulating and devising risk assessment process results in overcoming the
unhealthy situation so that RAC could carry out vertical integration and thus support the
firm in regard to carry out customer satisfaction (Gilmour, 2013).
 At the end, management tends to evaluate the risk assessment process so that evaluation
and implementation plan could be carried out in an effective way.
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Thus, all such step results in improving the risk management process through controlling
and designing the services and thus overcome the inefficiency faced by firm and attain customer
satisfaction.
RECOMMENDATION AND JUSTIFICATIONS
It could be recommended to management of RAC Motoring that they need to train its
staff so that they can be more quick in rendering quality services. Hence, it would result in
attaining customer satisfaction. Also, firm should analyse the risk and thus overcome such
situation buy implementing effective risk assessment practices so that quality services could be
rendered to clients. Further, reaching on time at the location where customers are stuck due to
vehicle breakdown requires firm to raise its quality standards and thus enhance its performance.
CONCLUSION
From the above report it could be summed up that RAC Motoring Services aims to
manage its operations and render better quality services to clients. Further, adopting effective
quality standards results in identifying the performance of firm and thus satisfy customer needs.
Also, risk assessment process helps in minimizing the risk faced by firm and thus achieve desired
targets.
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REFERENCES
Books and Journals
Gilmour, P., 2013. Benchmarking supply chain operations. International Journal of Physical
Distribution & Logistics Management.
Gómez-Expósito, A., Conejo, A.J. and Cañizares, C., 2016. Electric energy systems: analysis
and operation. CRC Press.
Gurman, A.S. and Kniskern, D.P., 2014. Handbook of family therapy. Routledge.
Hallinger, P., 2013. A conceptual framework for systematic reviews of research in educational
leadership and management. Journal of Educational Administration. 51(2). pp.126-149.
Haslam, S.A., van Knippenberg, D., Platow, M.J. and Ellemers, N. eds., 2014. Social identity at
work: Developing theory for organizational practice. Psychology Press.
Hassan, S., Mahsud, R. and Prussia, G.E., 2013. Ethical and empowering leadership and leader
effectiveness. Journal of Managerial Psychology. 28(2). pp.133-146.
Kesharwani, A. and Singh Bisht, S., 2012. The impact of trust and perceived risk on internet
banking adoption in India: An extension of technology acceptance model. International
Journal of Bank Marketing. 30(4). pp.303-322.
Khanna, R.B., 2015. Production and operations management. PHI Learning Pvt. Ltd..
Louise Manning, L. and Soon, J., 2013. GAP framework for fresh produce supply. British Food
Journal. 115(6). pp.796 – 820.
Mahadevan, B., 2012. Operations Management: Theory and Practice. Pearson Education India.
Ramanathan, R., 2011. An empirical analysis on the influence of risk on relationships between
handling of product returns and customer loyalty in E-commerce. International Journal of
Production Economics. 130(2). pp.255-261.
Rogers, B., 2011. The value of work‐based projects in management education. Industrial and
Commercial Training. 43(6). pp. 335–342.
Tang, O. and Musa, S. N., 2011. Identifying risk issues and research advancements in supply
chain risk management. International journal of production economics, 133(1), pp.25-34.
Wright, N., 2011. A journey towards organisation development. Industrial and Commercial
Training. 43(7). pp. 422–430.
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