Operations Management: Case Study Marks and Spencer

Table of contents

Introduction

This case is about the key three clothing ranges tat are currently being presented at M&S. the company itself felt a decline in sales for its core area, i.e. women clothing. For the need to get in touch with their top customers and to offer better range to them, M&S designed these three ranges. For this report we have studied the three ranges with respect to the different customer needs fulfilled by each range, the core order winners and order qualifiers of each range and the comparison of the operations performance for each range in the form of a polar diagram. We have also presented a table that outline the basic characteristics for each clothing range.

Customer Needs for the 3 Different Clothing Ranges at M&S

There are three broad categories of clothing articles and accessories as defined by the store management itself at M&S. these three categories are different in the sense that they have different levels of various features attached to them. For this reason, these ranges cater to different needs of the customers. The need profile of the customer according to each range of clothing at M&S is given as follows:

The Perfect and Classic Range

This range includes classical and stylish clothing articles for mature customers. The products in this category are such that they focus on being oriented towards comfort, long lasting style, easy to wash, high in quality and versatile. These products are also designed and priced at very affordable rates.

The customer needs that are satisfied by or catered to by these kinds of clothes are that the customer is mostly middle aged man or woman looking for mature clothing line. The customer wants to purchase a decent, smart clothing article that gives high quality at reasonable prices. The customer has little use of fashion, but likes the merchandise to be stylish in a mature and classical manner. Also as the merchandise includes clothes that are of the general use by the customers, so the customer requires easy availability of these articles in any size he/she desires. Lastly, the customer is looking for such merchandise that is suitable for his/her busy life style, so it should be machine washable, non-iron and tumble-dry friendly.

The Autograph Range

The autograph range includes clothing articles that are highly fashioned and are of top design. These articles belong to the latest fashion and the styles and likewise the clothing articles change continuously with the fashion. These products are unique in the sense that they are not mass produced and are highly customized on the preferences of the customer. These products are in low availability are very few items of particular design are developed. Also these products are prices at the highest levels and are only available at selected stores.

The customer needs that are being identified by this clothing range are firstly the need of having the latest fashion products. These customers come to this range not to look at affordable items, but to look at the top fashion of the season. Thus they are willing to pay top price if the product suits their criteria. Also the customer doesn’t want a product that has too much availability in the market, as this destroys its uniqueness. The customers also derive individual uniqueness in these articles, and an ease in the shopping and quick availability of articles with the latest design. The customers also identify themselves with the boutique environment of the stores as to a place where top fashion is maintained. Hence the customer needs of top fashion, limited editions, top pricing and high prioritization given to the smallest of the details.

The Per Una Range

The per una range is designed to be in the category of fashionable, yet will be also provided at a very competitive prices. The articles are generally designed in limited editions, have individual cuts that cater to all body sizes, proper attention given to all details and short processing time from the designer table to the hands of the customer.

The customer needs to which this clothing range caters to are initially the need for high fashion at the most affordable rates. The customers are young women that belong to the fashion-conscious part of the society, yet are those that believe in paying reasonable prices. Also this customer base caters to a mush broader market segment than the Autograph Range as that range caters only to a high income segment. The customer also needed unique product, and not those that are developed on a large scale. Also the customers require speed in the availability of products with the latest design, as well as the availability of product with all sizes of the same product.

Order Winners and Qualifiers of the 3 Clothing Ranges at M&S Stores

 Order winners and qualifiers are two popular management terms. Order winners are described as he factors whose increased presence in a product increases the demand among the customers for that product, while a product qualifier can be described as a factor whose presence to a certain level is required in the product to be attractive for the customer, but any addition in the factors will net lead to an increase in demand. The order winners and order qualifiers for the three ranges of clothing are as follows:

The Perfect and Classic Range

For the perfect and classis ranges the very first order winner is their availability in all sizes and in large quantities. As these ranges include clothes that are of general wear by the customers, so there has to be high availability for customers of various body sizes. Also as these products target the mature society of the customers, most of them include the office going people, hence these clothes also need to have a decent quality at an affordable price as their next order winner. People should be able to buy these clothes at a very reasonable rate, so that they can do so again and again. Easy to use and easily washable are the other order winners for such a range, as for the office going people, which is the target audience for this range, it is very difficult for them to take out too much time for these chores.

The order qualifiers for these clothes include design; these clothing articles have to be reasonably designed so as to appear trendy to the customers, but too much design is not required. Quality is also a order qualifier as the customers of this range expect a decent quality but not a too high one, as they are basically going for a low priced product. Read Marks & Spencer market structure

The Autograph Range

The order winners of this range include firstly use of latest fashion; the customers for this range are above all looking for the latest fashion designs and nothing else. The second order winner will be the uniqueness of the products; for the customer this is essential as it signifies its individuality through its low availability of too many same clothes. To quality and top design are the following order winners for these clothes as the customers expect only the best and the latest designs in this range, and are willing to pay top price for them.

The order qualifiers for this range include availability of different sizes; since there is not a huge customer base looking for this range, so the customers can be targeted to cater to a segment of specific sizes. Another order qualifier is the price; it should be higher than the industry rates to signify the premium perspective of the clothes but should not be too much bothered with.

The Per Una Range

The order winners for this range include firstly top design; the customers expect the range to include clothes of unique and trendy designs as well as those on which effort have been placed on every detail. The second order winner for this range is its competitive prices, as these products should not be too expensive and should cater to a wider customer base than the Autograph range. Uniqueness is another order winner for this range as the customers expect the products of this range to be different in trends from on another and also not too many common trends should be present. Lastly, availability of different SKU’s is crucial as they should provide wide variety to the customers

The order qualifiers for this range include inclusion of latest fashion; clothes should be fashion conscious but not too much. The quality of the products is also not as important a measure and just needs to be at a certain level for customers’ approval.

Comparison of the different Operations Performance Objectives (Polar Diagram)

The comparison of different operations performance as given in the table above for the three different clothing ranges at M&S is given through the polar diagram as follows:

As it is clear from the polar diagram, if we compare the operations performance of the three clothing ranges with respect to cost, the moist influence this factor has is on the perfect and classical range, as it is one range that has to give very affordable prices to the consumers. This means that the prime strategy for this range will be cost-cutting so as to remain profitable at such low prices. The next range in the cost criteria is the per una range, with its competitive prices, and lastly the Autograph range, with its no regard for pricing.

The second criterion is speed of respond to new clothing trends and fashions. Here the Autograph range has the most consideration as it is highly fashion oriented. This is followed by the Per Una range, and lastly the Perfect and Classical range with its little regard for fashion trends.

The third criterion of the polar diagram is quality, i.e. providing error free products. In this regard the Autograph range has the most concerns, as it provides products that are of top quality at premium pricing. The Per una range has the next highest consideration of quality, while the Perfect and Classical ranges, even though it also concerns over quality, yet the significance is lowest of this lot.

The fourth criterion is the consideration of flexibility, i.e. the availability of customization and uniqueness in the clothes. In his regard, the Autograph range and the Per Una range have high concerns as they both need to produce highly unique products. Also there can not be too many similar clothes in this range, thus they need to be more flexible than the Perfect and Classical ranges, which has more of standardized products.

 Last is the criterion of dependability, i.e. how long can the customer use this product and how much can he/she depend on it. The Perfect and Classical ranges have the highest dependability as they are designed for the mature, office going customer. Also these are not bothered by the changes in fashion and are also wash easy dry ease and non-iron. This is followed by the Per Una range, which has lesser consideration in the sense that their products can be used for an average time as they are not entirely fashion oriented. Last is the Autograph range, which has very small use and that is only when the fashion is in line with the clothes.

Bibliography

  1. Collins M. (2008). Job Quality Over Quantity. Available: http://www.maintenanceworld.com/Articles/im/Job-Quality-Over-Quantity.html. Last accessed 9 May 2010.
  2. Gallaher, R. (2009). Can maintenance and operations coexist? A radical process change story. Available: http://www.maintenanceworld.com/Articles/reliabilityplant/maintenance-operations-coexist.html. Last accessed 11 May 2010.
  3. Monks J (1996). Schaum’s Outline Of Operations Management. 2nd ed. United States: McGraw-Hill Companies. 50-195.
  4. Morris A. (2006). The New Edge in Manufacturing. Available: http://www.managerwise.com/article.phtml?id=509. Last accessed 12 May 2010.
  5. Vonderembse, M A (2003). Core Concepts Of Operations Management. United States: John Wiley ; Sons. 57-205.

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Apple’s Global Operations management Strategy

Apple Inc’s. operations management (OM) includes the utilization of the 10 choices of OM to guarantee that all parts of the business are running easily. In operations management, the 10 choices identify with so much perspectives as item plan, quality administration, procedure and limit structure, and location strategy, just as stock administration, among other operational zones.

Apple Inc. is the multinational company which has worldwide distribution network for its products. It is pursuing a truly globalization strategy because the design and features of its products are standardized across borders. Moreover its advertisements are also similar across cultures. Although it is based in California, USA but its products are available in many countries from Atlantic to Pacific. Recently it opened its stores in Los Gatos, Sydney, Glasgow and Beijing. Apple Inc considers the world as a single market and it supplies products which has similar brand positioning.

Take for example its most popular product, iPod, which is a symbol of portable music device and is famous for its sleek and stylish design. (Levy, 2008) Apple Inc. from the start is following differentiation marketing strategy. Therefore it has made products which are very high tech but they also have a touch of humanity. Apple has a complete different branding strategy from its competitors such as Microsoft, Dell and HP. Apple positions its products in customer’s mind as unique and stylish. Customers feel pride and honor in using Apple’s products.

The price of the products also reflects the promise of quality and associated esteem. Apple has worldwide sale although it charges premium prices and never offer discounts. It has established a loyal customer base. Whereas Microsoft charges $ 1000 for its laptop, Apple’s laptop is worth $ 1600. In 2008, Apple’s iPod was awarded gadget of the year in British Technology Awards. (Levy, 2008) Apart from giving its product some new features, Apple is also concerned with continuously adding some new functionality which will excite the customers.

Read about “Apple differentiation strategy”

Apple has collaborated with different organizations such as Google Earth, TV channels (ABS, CBS, FOX, and NBC) and Oxford and Cambridge University to offer some of their programs on iTunes. (Penenberg, 2008) Apple has a very sophisticated R;D department in USA and distribution network worldwide. Its year 2008 expenditure on R;D was $ 1109 million and on selling and distribution was $ 3761 million. Apple has focused on opening new retail stores in every city as possible. At the end of year 2008, Apple had at least 246 stores selling its various products.

The high rate of opening new stores has led to a record capital expenditure of $ 250 million during the last four years. (Penenberg, 2008) Apple is also affected by the recent global financial crisis as its sale has plunged since consumer spending has dropped. The sales of many retail outlets of Apple have decreased. However Apple has found a way to secure its position in this distress condition. Because of this crisis many construction work has been stopped as no capital was available for investment. The constructors who had already made big shopping complexes found that they are unable to sell off the shops. Read about 

The cost of leasing has now decreased considerably and many retail outlets of Apple have recently seen a decrease in lease expense. Hence Apple has secured its position even in this condition of global crisis. (Shenkar ; Luo, 2007) Also Apple’s retail operation is much diversified and it has its stores in all the five continents. When Europe and America were hard hit by financial crisis, Asia as an emerging market gave a very good cushion for its plunging sales. Apple has used the globalization strategy to its advantage. Also read Apple corporate governance issues

Globalize operations always prove to be an opportunity if they are well diversified and Apple has made right choices in formulating its strategy of global operations. (Penenberg, 2008)

Bibliography

Levy, S (2008). The Perfect Thing: How the iPod Shuffles Commerce, Culture, and Coolness.

Simon ; Schuster. Penenberg, A. L (2008). All Eyes on Apple, Fast Company, Retrieved July 31, 2009, from Fast Company Web site: http://www. fastcompany. com/magazine/121/all-eyes-on-apple. html? page=0%2C4

Shenkar, O. ; Luo, Y. (2007) . New York: Sage Publications

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CDS Case Study – Operations Management

Table of contents

An understanding f these strategies Is Important In ensuring that organizations are well aware of the requirements needed to meet the corporate objectives set about by management. The report looks at a case study of Concept design services (CDC); a product based manufacturing company looking to break into service operations. It seeks to identify current strategy types evidenced in the organization and the role operations play in the Implementation of this strategies. Also considered is the relationship between the core functions highlighting possible conflicts, current practices and perceived strengths and weaknesses.

Issues such as serialization and growth strategies are considered in relation to the companies push for development in line with its desire to become a service provider. An analysis of the impact it will have on the company’s manufacturing and service departments is also considered. Finally, recommendations that will ensure operations develop with the new growth plan Is presented to management.

Strategies in Concept Design

Within CDC, there Is evidence of an amalgamation of strategies. With a diversification of the compass portfolio, the corporate strategy of the organization had to be fleeting the changing scenario of the business environment. To identify the different strategy types within CDC, there is first a need to understand what strategy is. Strategy can be defined has “the total pattern of decisions and actions that position the organization in its environment and that are intended to achieve its long-term goals” (Slack et al. 2010 POP). Strategy has also been described as the long term direction an organization intends to go Monsoons et al. 2011).

In achieving an over arching strategy, three levels of strategies have to be considered; corporate level, business level and operational level. The formulation of these strategies will determine how the different organizational strategies will Interact with one another scope of an organization such as where to locate the business, what type of business to engage in; business level strategy is more concerned with the various ways the business can compete successfully against other competitors in its segment. Functional strategy looks at ways in which individual functions can contribute to the overall objective of the organization.

Operations strategy is concerned with the strategic decision and actions that set roles, objectives and activities of the operations (Slack et al. 010). It focuses more on how the different parts of the organization can deliver on set strategies through the management of resources, processes and people. Operations strategy’s primary role is to implement strategy, but with continuous business growth, operations is expected to support and drive the organizations strategy. This will see it contributing to the competitive advantage of the firm (Slack et al. 2010).

This is aptly captured in Hayes and wheelwrights four stage model of operations contribution. Figure 1 . Hayes and Wheelwrights four-stage model of operations contribution. Adapted from Slack et al. 010 Slack et al. (2010), identified four different perspective to operations strategy; Top- down, bottom up, market requirement perspective and resource based perspective. He noted though that all four perspectives are required for proper understanding of operations strategy. Although the strategies employed by organizations may differ, it remains important to reconcile the needs of the market with operational resources (Slack and Lewis 2008).

Hence, it is important to analyses the process through which market needs are aligned with operational realities, thereby ensuring that operation can deliver what it s being asked of them and that this alignment will endure over time (Canon et al. 2013). Evidenced in CDC operations is the implementation of two of the identified perspectives; Market requirement and Operations resource perspective.

Market Requirement Perspective Analysis

A market requirement perspective focuses on what market position requires of operations (Slack et al. 2010). Its focus is not Just on the industry, but it considers where the organization intends to compete as well as the nature of competition (Lawson 2002). Hill (1985), suggested that to win orders in the market place, organizations operations strategy and the marketing strategy need to be in sync. CDC Marketing function identified a trend that seems to have worked for retailers in the decorative product industry. They realized the importance of fashion trends and its appeal to people. This market requirement led to the creation of a whole new the many different color range became a market qualifying criteria that drove marketing strategy.

This strategy was in line with the overall organizations strategy that saw a shift in the focus of its production of industrial injection-mould plastics to popular household items. In a bid to meet markets demand, supply services had to upscale its machineries by procuring additional large injection molding machines to cater for the rapidly growing volume of products. Also, the design team had to be one step ahead of the competition by ensuring that they had a range of products that will keep customers engaged. Hence, the case study has shown that CDC have been able to develop its operations strategy by allowing operations meet the performance criteria required by the market (Slack et al. 2004).

Perations Resource Perspective Analysis

In the case of operation resource perspective or resource based view (RIB), focus is on the organizations operation resources, competencies and capabilities (Lawson 2002). It focuses on the key strengths of the organization, looking at internal resources that cannot be purchased externally, thus providing the firm with competitive advantage through superior performance (Callow et al. 007; Fay and Smithies 1999; Barney 1991). With operations-led, strategy is developed through sound understanding of current operational capabilities and an analysis of how it can be developed in the future (Slack et al. 004). An understanding of the organizations strength will then influence the decision as to which markets should be considered for the deployment of current or future capabilities, and which competitors can pose a threat or can be taken advantage of (Hayes et al. 2005). CDC have clearly shown the strength of their operations over the years.

Early experience gained from the manufacturing of industrial products have set them miles ahead of competition. This is evidenced in the quality of their product which drove sales to record highs and resulted in retail outlets signing up for the organizations product. The company prides itself on its technical abilities which has been achieved not Just from years of experience but by investing in machineries. CDC have acquired latest precision equipment’s with the best quality moulds available.

The technical knowledge of the employees also provides the company a unique advantage. Another area of operations that provides competitive advantage for the organization is its design expertise. CDC have in its employ professionally respected designers with the know-how of translating difficult technical designs into manufacture sellable products. This has provided the organization leverage when dealing with design houses. The company is clearly leveraging on its operations resources, competencies and capabilities to obtain competitive advantage.

An Analysis of the Relationship Between the Core Functions

Within the context of any organization, there are 3 functions that must exist for the organization to realize its goals of meeting customers need. They are; The product/service development function. The operations function. The marketing function which also comprises of the sales unit is primarily expansible for communicating what product/services the organization has to offer to consumers in a bid to generate customers’ requests for the service.

The product development functions’ responsibility is to create new and modified products and services in order to generate future customer request for services. And lastly, the operations function is responsible for fulfilling customers request for service through the production and delivery of products and services (Slack et al. 2010). The ability to effectively work with other functions in the organization is a key responsibility for the operation function (Slack et al. 010; Canon et al. 2013).

Research as shown that in most organizations, different functions within the organization usually employ their own strategies to assist them in realizing their functional objectives. This unfortunately is a basis for corporate misunderstanding, inter-functional differences and rivalry (Hill 2005). While the objective of the operations function remains the production of goods and services whilst managing resources, it has to also manage its relationship with other functions of the organization. Due to the nature of its strategic importance, the operations function usually has conflicts with other functions.

Marketing

In determining an organizations strategic objective, operations and marketing usually adopt different approaches. While marketing tends to emphasis improved service features that appeal to customers, operations focus more on efficiency and cost control (Nine and Young 1997). Erickson (2010), stated that the main reason operations and marketing functions in an organization have conflict is due to their perceived differing objectives.

Largely, trade-offs are responsible for the conflicts between these functions as they attempt to balance competing priorities (Tang 2010). It is therefore important that organizations manage trade-offs in a manner that will ensure that they don’t compromise the over-arching organizational strategy for gaining competitive advantage. Canon et al. (2013) in their research identified certain paradigm that organizations needed to implement for the successful collaboration of the two functions. They argued that there is a need for alignment between market needs and operational realities.

The objective here is to satisfy market needs while using appropriate operational resources and Jointly developing those resources so hat the operations department can acquire new capabilities and provide the firm with sustainable competitive advantage. The marketing function at CDC have been able to effectively market/communicate the value of their products to the market, this is evidenced in the phenomenal growth of the company. Through innovation, extensive advertisement – both on TV and in illustrated magazines, they have been able to drive sales of CDC products.

The portrayal of its products has been “classy’ and for the upwardly mobile individual. Product differentiation, design partnership and extensive research, combined with a racketing manager with lots of experience and autonomy working with an experienced, technically astute manufacturing department has resulted in the success of the CDC products. The function has also been able to market itself and the value it can give to design houses in Europe. Through its marketing activities, CDC is moving from being Just a manufacturer of commodities to a provider of services.

Despite the progress that have been recorded by CDC, there still seems to be a misalignment between the marketing and operation functions. With the success of CDC products and the continuous innovation drive of the organization, it would seem hat the marketing function is failing to acknowledge the limitations of the company’s capacity. CDC have a problem with the storage of finished goods and this has impacted on the delivery of product availability from supply services. They are currently struggling to ensure that they meet SKU stocking levels.

Another problem has been the issue of proper planning and effective forecasting by the marketing team. The seasonal nature of CDC products requires that the marketing function carries out comprehensive forecasting to try and anticipate demand. Currently, poor forecasting by the function is costing the organization. Supply services have to deal constantly with issues of utilization, efficiency and growing scarp rates; this is as a result of ad-hoc requests for urgent production to meet with UN-planned demand.

To minimize wastage and ensure proper alignment, marketing and operations will have to network and collaborate better Enhances and Iris 2005) to ensure that the over corporate objectives are met.

New Product Development (NYPD)

“NYPD is defined as the transformation of a market opportunity into a product available for sale, through a set of activities executed in a logical way, sequentially ND concurrently’ (Alameda and Miguel 2007). It allows organizations to gain competitive advantage, attract new customers, retain existing customers, and strengthen their ties with the distribution networks (Kettle and Keller 2006).

Organizations that successfully introduce new products do so through a well- developed process that leads from creative designs to a successful launch of the product by focusing on satisfying specific customer needs (Chancre and Inalienable 2008). The attainment of this task will require NYPD to collaborate closely with both operations and marketing. NYPD, in comparison to other functions is usually characterized by a high degree of uncertainty, risk and high cost to make changes to initial decisions made (Slack et al. 2010).

For CDC, NYPD is responsible for transforming designs from marketing into workable design moulds. Operations then ensure that the products from the mould are standardized and tested appropriately and efficiently. The moulds then have to be tested on the production machines. A great deal of inter-functional collaboration is required to ensure that proper scheduling is in place to enable AND carry out testing without disrupting production. Getting this from the suppliers in South Korea. This will then result in a need for an urgent test of the moulds. That said, Cads’ NYPD function are technically sound.

They have managed to build for themselves a reputation of being able to overcome problems with designs regardless of its nature. The NYPD function contributes to the organizations unique operations resource.

An Evaluation of the Impact of Development on the Operation of the Manufacturing and Service Departments

CDC like most manufacturing organizations are starting to appreciate the intrinsic alee of adopting serialization as a practice. Serialization have been described as the process of transforming manufacturers to compete through product-service systems rather than products alone (Beanies et al. 007). The rationale for this transition from ‘purely product’ to ‘product- service’ or ‘purely service’ can be viewed from three perspectives (Olivia and Goldenberg 2003). They identified the reasons as; First, economic. Research has shown that substantial revenue can be generated from products with a long life cycle; also services in general have higher margins than reduces and services also provides a more stable source of revenue as they are resistant to the economic cycles that drive investment and equipment purchases. Secondly, there is pressure on organizations from customers demanding more services.

This has led to firms adopting a narrow definition of core competencies while increasing their dependence on technology to help in their bid to specialize. Lastly, it is viewed as providing competitive advantage. The less visible a service is, and the more labor dependent it gets, the more the probability of imitation reduces (Olivia and Goldenberg 2003). Manufacturing has long moved beyond production alone and a combination of both products and service business model are now generally accepted as playing a key role in the success of any modern business (Beanies et al. 014). Companies that have adopted the concept of serialization will probably not follow the product-service classification, but will instead seek to distinguish on the basis of the value proposition with their customers (Beanies and Lightproof 2013). This is the case in CDC, where the company have had to adopt differing service model while dealing with the design houses and retailer service arrest. While the design houses have adopted a proposition that sees both companies working together – that is the customer wants the company to work with them (Beanies et al. 014), the retailers on the other hand, are happy to leave the management of the entire operation to CDC. Beanies et al. (2014) have identified this differing forms of proposition has been ‘base’, ‘intermediate’ and ‘advanced services’. Advanced. This categorization of product-service offering is centered on the idea that due to the competencies of the company, maintenance and workability of the operations should be managed by the provider of the service. A feature of this type of offering includes customer support agreements, risk and reward sharing contract, and revenue through use contact (Beanies and Lightproof 2013).

To meet with demand, and ensure that customer’s needs are met in terms of product availability, CDC will have to increase its production lines and increase holding capacity. Storage facilities will have to be located closer to the location of their customers. Localized facilities will ensure that store replenishment lead times are reduced. CDC will also have to invest in ‘CT. Setting up an enterprise resource planning (ERP) system will help connect the stores database with that of CDC. That way, they can easily track inventory levels and are able to respond in a proactive manner.

Also, Olivia and Goldenberg (2003) argued that a good practice will be to set up a new service department whose focus will be to drive and improve performance objectives. The consolidation of the service offered is usually accompanied by a strong initiative to improve the efficiency, quality and delivery time of the services provided, and the creation of additional services to supplement the service offering. The consolidation of services also comes with the development of a monitoring system to assess the effectiveness and efficiency of the service delivery.

This monitoring system allows managers realize the size of the service market and account for services’ contribution to the firm’s operations (Olivia and Goldenberg 2003). Internally, these changes create the transparency of numbers needed to get a clear sense of direction and to monitor the success or failure of executed changes (Olivia and Goldenberg 2003). Externally, the improvement of quality will establish CDC as a reputable service provider among TTS clients.

CDC has seen steady and continuous growth over the years, albeit its focus had been centered on a single product type. With the recent direction of the organization, there are real concerns surrounding it rapid growth and its diversification into services. Southward and Swankest (2003) identified certain issues that evolving organizations encounter due to rapid growth, they include bottle-necks, back-orders, and decreased profits despite increased sales. Some of these issues are evidenced in CDC. The rapid growth of the organization has resulted in capacity related issues.

There is one in every twelve chances of a product not being available, continuous scheduling disruption due to demand surpassing supply and the popularity of its product and wide acceptance usually leads to stock outs. The manufacturing function seems to be stretched to the limit with support services equally struggling. It would seem that the organization is currently unprepared for the changes. In line with the company’s objective for growth, it has become imperative to address the operational issues that can hinder the organizations growth strategy.

Using the reduce/service lifestyle to analyses the organizations current operations, it is obvious that the transition from being a purely product based manufacturing company to a product-service based organization is still in the infancy state. This is characterized by uncertainty as customer’s needs are not well understood. Hence, operations management will be required to develop flexibility to cope with any changes and be able to give the product/service performance that will ensure quality is maintained (Slack et al. 2010). Other issues to be considered by management includes; the issue of capacity management.

To meet with the demand of the market and its growth strategy, CDC will be required to get more warehouses and hold more inventories. The plastic business is clearly one of volume; hence CDC has to ensure that it maintains its status of been a reliable supplier. It also has to effectively operational it marketing strategy. The company is currently plagued by poor forecasting and planning. There is a need to upscale the competencies of the sales representatives. This will enable them gather appropriate data that can then be fed into the organizations planning to help reduce scheduling related issues, stock outs ND disruptions.

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Mba in Operation Management

NOTE 1: A candidate with a MBA in Operation Management would be able to look after a factory or other operations of the factory in a  better manner as compared to others due to their competency and knowledge regarding handling the operations of an  organization. Depending on the type of organization, one might be responsible for a few activities / regions in the initial  stages and consequently growing up to handling broader areas.

This career involves handling a few plants/ vendors initially,  followed by the responsibility for an entire factory and eventually undertake a more strategic view like global sourcing /  alternate materials / imports etc. Operations managers pursue careers in service organizations involved in activities such as banking, transportation, insurance, and government, as well as manufacturing firms involved in producing industrial and consumer products.

Typical careers in operations management involve activities such as forecasting, supervision, purchasing, inventory planning and control, operations scheduling and control, process methods and planning, quality management, warehouse management, and production planning in diverse industries such as banking, manufacturing, and retailing. Career opportunities in operations management can also involve work in management consulting firms or the development of computer systems for planning and scheduling. NOTE 2:

Operations Management is a comprehensive production-related responsibility that includes Inventory Management, Vendor Development, and Purchase Management. It also includes areas that demand multi-disciplinary skills like SCM (Supply Chain Management) and ERP (Enterprise Resource Planning). An MBA in Operations Management teaches students to manage the processes that lead to successful production and distribution of product(s) in any business organization. Students will learn to oversee manufacturing – product creation, development, production – and its distribution to sales outlets.

An MBA Programme in Operations & Supply Chain Management is designed to expand your knowledge of operational efficiencies and effectiveness, while satisfying customer requirements as skillfully as possible from the point-of-origin to the point-of-consumption. A candidate with an MBA in Operations Management would be able to look after a factory or other operations of the factory in a better manner as compared to others due to their competency and knowledge regarding handling the operations of an organization.

Manufacturing is one of the most important areas for any product-based business. Management of large as well as small manufacturing companies involves various production and operational techniques and theories. These skills are especially useful for engineering graduates. The career options in the field of Operations Management are: – * Quality Control * Material Management * Productivity Improvement * Inventory Control * Production Planning Supply Chain Management * Logistics The focus of Operations Specialists is not engineering problems, but managerial implications of engineering problems. The specific skills required are behavioural, technical, and statistical. These techniques are largely applied to manufacturing organizations. There are a few consultancies that work with such organizations in this functional area, thereby offering attractive career opportunities to MBAs.

In Pharma, you can have the following career options: – * Pharmaceutical Inventory Management * Pharmaceutical Manufacturing Management * Pharmaceutical Quality Control * Total Quality Control * Inventory Management * Statistical Process Control * ISO 9000 Series Quality System Standard Note 3: http://sawaal. ibibo. com/jobs-and-careers/after-doing-mba-operations-what-type-jobs-one-find-manufacturing-industries-518541. html Note 4:

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Wendy’s and Burger King Fast Food Restaurants Compare

Wendy’s and Burger King fast food restaurants with nationwide presence are the two restaurants that I have reviewed for case 1. Considered to be number two restaurant after McDonald’s, Burger King was founded way back in 1954 by James McLamore and Devid Edgerton. On the other hand, Wendy’s, Burger King’s closest competitor after McDonalds, was founded by Dave Thomas. Wendy’s and Burger King fast food restaurants are evidently pursuing unique operations management styles in bids to edge their close competitors within the fast food industry. Wendy’s Fast Food Restaurants

1. How are the in-store orders taken? Orders are taken at the registry 2. Are the hamburgers prepared to order, or are they prepared ahead of time and delivered from a storage bin? Wendy’s hamburgers are prepared are made-to-order. The restaurant’s made to order hamburgers are prepared through innovative methods to the delight of customers, as demonstrated by the fast food restaurant’s trademark old fashioned square ground beef hamburgers hung over the bun and bearing different toppings according to customers’ choices. 3. How are special orders handled?

Wendy’s fast food restaurant cherishes in delivering special orders modeled along specific customer preferences. Customers place advance orders detailing their preferred tastes and ingredients that they would prefer included or excluded from the orders. These details are channels to the chefs via the ordering system who in turn prepare the special orders, taking account of the customer preferences on each and every step of the preparation. As such, customers can request the exclusion of toppings such as ketchup, mayonnaise or bacon from their special orders. 4.

How are hamburgers cooked? Wendy’s fast food restaurants’ high quality and fresh made-to-order hamburgers are cooked on stoves in the kitchen through a unique method was developed by Dave Thomas (1932-2002) founder and owner. 5. How are hamburgers assembled? Wendy’s hamburgers are assembled according to the restaurant’s nutritional standards and customer order preferences.

Hamburger patty consisting of ground beef seasoned with salt form the basic ingredients and are combined in varying proportions with other ingredients that include: American cheese slice, Jr.,  oz cheese sauce, two strips of bacon, mayonnaise, ketchup, mustard, honey mustard sauce, two dill pickles, one slice of tomato, lettuce, sandwich bun and ? oz jalapenos. Standard made to order hamburgers consist of all these ingredients hang over the bun with delicious toppings whereas special orders may exclude some of the toppings according to customer preferences. 6. Is a microwave used in the process? No. Wendy’s fast food restaurants do not use microwave in the process because they strictly prepare made-to-order fresh burgers. 7.

How are other items such as French fries and drinks handled? French fries remain the most appropriate accompaniment for hamburgers or delicious chicken fillet at Wendy’s. The fast food restaurant serves hot and fresh fries deep-fried to perfect golden-brown. Different assortments of soft drinks such as hot tea, iced tea, brewed coffee, fruit juices and different soda varieties are also served before, during or after meals according to customer preferences. Burger King Fast Food Restaurants 1. How are the orders taken? Orders are taken both at the counter and at the registry.

2. Are the hamburgers prepared to order, or are they prepared ahead of time and delivered from a storage bin? Burger King’s hamburgers are strictly made-to-order and customer preferences for special orders are always taken into account. 3. How are special orders handled? Orders with special requirements from customers are channeled through the register with instructions concerning items that should be excluded from particular customer orders. It is usually incumbent for the chefs to customize each and every special order to standards spelt out by the customers.

How are the hamburgers cooked? Burger King frozen hamburgers are prepared in micro-wave cookers. 5. How are the Hamburgers assembled? The burgers are assembled in a similar fashion as McDonalds. A cook receives the meat and has all the condiments, buns and appropriate items to prepare the burger in front of them. 6. Is a microwave used in the process? Yes. Microwaves are used because the burgers are stored frozen. 7. How are the other common items such as French fries and drinks, handled? French fries and soft drinks constitute important components of Burger King’s wider menu.

The fast food restaurant serves hot and fresh fries as well as different assortments of soft drinks such as hot tea, iced tea, brewed coffee, fruit juices and different soda varieties are also served before, during or after meals according to customer preferences.

References

Joe Bramhall, Burger King Company Desription. Hoovers Coverage. Retrived on November 24 2008 from http://www. hoovers. com/burger-king/–ID__54531–/free-co-profile. xhtml Wendy’s Company Profile. Retrived on November 24 2008 from http://www. wendys. com/about_us/

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How Not To Manage a Project /Technology and Operations Management

Table of contents

Rapid advancements in telecommunication technology have led to increased projects in the area of information systems as businesses seek to embrace latest technologies (Irani et al 2002, pp. 199-211). Today, many organizations are spending a lot of resources in projects pertaining to new technology as way of attaining competitive advantages. Therefore, if such projects fail, it would imply that the organizations would incur serious losses. It is in line with these potential sources of failure of projects that we examine the various issues which Gary Allison faced as the program manager of The Orion Shield Project.

The Technical Issues That Faced Program Manager Gary Allison

One of the issues which faced Gary Allison was technical issues. The program manager did not have any difficulty in obtaining functional support required in coming up with a technical proposal although the manager noted a technical problem (The Orion Shield Project, 2003, p. 1). The manager discovered that the specifications had indicated that the entire components had to function in a normal and in a successful manner within temperatures varying from -65° F to 145° F.

Yet, according to the prevailing tests, it was not possible for the design by the Scientific Engineering Corporation to operate in temperatures above 130° F (The Orion Shield Project, 2003, p. 1). Even after an extensive R& D process, Gary still strongly believed that it was not possible to meet the original specifications without changing the materials which presented a technical challenge.

The other technical issue which faced Gary was to develop raw materials which would finally be accepted by the client (The Orion Shield Project, 2003, p. 6). Similarly, the production manager was faced with the technicality of preparing and test running the raw materials as to provide evidence that no variations would exists between the lab and large-scale productions.

Ethical Issues That Faced Program Manager Gary Allison

The first ethical issue which faced Gary concerned the acceptance to play the role of spearheading the project. The ethical concern in this case was Gary’s awareness that it would not be possible to achieve the project specifications based on the initial design specifications (The Orion Shield Project, 2003, p. 1). In spite of this knowledge, the opportunity which had arisen of being promoted to a higher position so interested Gary to the point to accepting to take up the role of a program manager.

The other ethical issue arises from the verification plan which had been intended to assure the clients that no alterations had been made to the production materials from the research and development laboratories to the manufacturing factories (The Orion Shield Project, 2003, p. 8). Gary acted unethically by claiming that wrong raw materials which had been used had resulted from the fact that employees worked overtime yet the mistake had resulted from changing the original materials.

 Legal Issues That Faced Program Manager Gary Allison

One legal concern which faced Gary was the fact that it would not be possible to achieve the expected results from the test matrix which the technical proposal contained (The Orion Shield Project, 2003, p. 6). It is in this regard that Gary sought to establish the raw material which could comply with the specifications by developing a new strategy in conjunction with the chief engineer in charge of the project.

The fact that Gary lied that discrepancies in material usage resulted from overworking employees yet the materials had earlier been changed also represents a legal issue (The Orion Shield Project, 2003, p. 8). The rationale in this case is that clients can sue Gary for dishonesty. Contrary to the claim that working staff past the usual time was the reason for the mistake, the test results clearly demonstrated that wrong raw materials had been used in the production test runs.

Contractual Issues That Faced Program Manager Gary Allison

The first contractual issue which faced Gary as the program manager was staffing (The Orion Shield Project, 2003, p. 5). This was because Gary had been tasked with the job of biding the program but which did not incorporate the element of staffing. For the SEC to succeed, it had to depend on production operations (The Orion Shield Project, 2003, p. 5). Guided by this rationale, it was quite unfortunate for Gary to learn that the engineering executives were not willing to release their key personnel to the Orion Shield venture.

Other Project Management Issues That Faced Program Manager Gary AllisonResearch has shown that about 31% of projects in the area of ICT are cancelled before they can be accomplished (Henderson & Beaumont, 2003, p. 2). Studies also show that another 53% of the ICT projects exceed the original budgets which had been allocated for them (Henderson & Beaumont, 2003, p. 2). Similarly, more that 70% of the ICT projects fail because the project managers are unable to accomplish the projects within the expected time, within the budget constraints as well as the expected quality (Henderson & Beaumont, 2003, p. 2).

In this case, the manufacturing activities could not be accomplished within the budgeted time. The manufacturing activities delayed for the simple reason that Gary had decided to personally develop the bill for the materials rather than delegating the task as way of cost reduction (The Orion Shield Project, 2003, p. 8). Similarly, Gary had to work within the budget constraint and could not afford to employ more employees since this would have additional cost implications.

The Instances Where Gary Did and Did Not Do Well

The first instance where Gary did well was to inform Larsen that it would not be possible to meet the original design specifications. Gary’s decision was based on the fact that even after a thorough research and development process, Gary was convinced that it would not be feasible to operate the original design material at temperatures beyond 130° F (The Orion Shield Project, 2003, p. 1). It means that to the best of Gary’s knowledge and being honest with the boss, Gary was right to inform Larsen of the real situation on the ground.

The other instance where Gary did well was trying to arrange a meeting with Henry Larsen even though Larsen was always unavailable (The Orion Shield Project, 2003, p. 6). Gary was also clearly committed to the success of the project and literally overworked himself to ensure that the project succeeded. However, Garry should be criticized for delegating all the administrative duties to the office staff.

Although it can be argued that delegation is a good gesture in empowering and motivating staff performance, Gary made a mistake by delegating entirely everything (The Orion Shield Project, 2003, p. 6). As the overall project manager, Garry still needed to exercise some level of control in the administrative duties.  The other area where Gary did not do well was in the area of minutes. It was wrong for Gary to concentrate on presenting all the data without making considerations into the issue of minutes which the clients were justified to request for (The Orion Shield Project, 2003, p. 6).

Conclusion

It is important to note that there are various reasons why a project can fail, the most common being lack of proper planning and unclear responsibilities (Schwalbe, 2000). Gary most probably made a mistake by being so much engrossed in administrative work to an extent of forgetting to visit the research laboratories (The Orion Shield Project, 2003, p. 7). The other wrongdoing for Gary can be seen in the way the project manager attempts to cover up the unexpected results during the verification of production materials.

References

  1. Henderson, S., & Beaumont, N. (2003). Literature Review – Managing Information and Communication Technology Project Risk. Working Paper Series 43/03 pp.1- 7.
  2. Irani, Z., Sharaif, A., Love, P. E., Kahraman, C. (2002). Applying Concepts of
  3. Fuzzy Cognitive Mapping to Models: The IT/IS Investment Evaluation Process, International Journal of Production Economics, vol. 75, pp. 199-211.
  4. Schwalbe, K. (2000). Information Technology Project Management. Cambridge, USA.
  5. The Orion Shield Project. (2003) The Orion Shield Project – Project Proposal p. 1. Retrieved June 3, 2009 from http://polaris.umuc.edu/cvu/orion/home.html

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Specific target group

It is advertising Sure sensitive anti-perspirant. This is new on the market so there are a few lines of text underlining the fundamentals of the product. Sure emphasise greatly on the fact that their anti-perspirent is just as powerful as competitor’s offerings but is kinder to skin. They see this as the main selling point of the product. The figure, of a boxer in typical stance, doesn’t look out of place in such a magazine but the fact that surrealism has been used, by substituting boxing gloves for cushions, creates a strong visual contrast that attracts attention and interest. The image draws the reader to the text which highlights the selling points succinctly and effectively, as discussed before.

By creating the potent image, it is drawing a link between the powerful boxer, suggesting the strength of the product, and the delicate softness of the cushions, implying the product is gentle. I feel this has been used to good effect in the promotion as not only does it invite you to read on, it incorporates a pun- this perhaps prompting many people to wish to re-read the advertisment. This advert is effective. Sure get their point across extremely well and threw in humour and wit into the finished product. The first television advert I will analyse is promoting the Toyota Avensis saloon car.

This advertisment is characterised by three succesful-looking business men, and situated in a gymnasium style building. This suggests a private club as the men appear to be affluent, professional people. This creates a feeling of exclusivity and selectivness. The men are having a game of squash, the typical winding down game for middle aged men. The group, having showered and changed, are taking part in classic one upmanship. They are all competing with each other, boasting about their successes in their chosen work field. One brags that he has tripled his turnover and looks to the others, as though challenging them to respond.

By return, his friend, not to be outdone, tells them of his being headhunted again, suggesting that he is so succesful that everyone would like him to be contracted to their firm. The other, more quiet character, seems bemused by their competativness and flashes a wry smile. This implies that he doesn’t need to be told he is succesful and that he is happy within himself. He doesn’t need other people to recognise his achievments. He seems to be the most secure of all the three characters, as a result of this. Later, the scene shifts and the trio are shown to be leaving the changing rooms and, upon reaching the street, the third, more self- confident character, inquires into whether the other characters would like a ride, interrupting their banter.

The friends accept, after seeing his car- A brand new Toyota. They get in, and look around, mentally inspecting their surroundings. Obviously approving, one inquires into his profession, by saying, “What did you say you did again?” The driver looks into his rear view mirror and replies: “I didn’t” Text then appears on screen, using the now what we know to be the Toyota slogan, ‘Quality speaks for itself.’ All in all, the Toyota Avensis advertisment fullfills its brief as the story line ensures the viewer stays interested.

The use of the differing characters adds to the idea that a Toyota Avensis appeals to the individual. It evokes a feeling of satisfaction, of luxury and a feeling of “I’ve arrived” The text is brief and to the point, emphasising the fact that the car does not need glamourising as ‘Quality speaks for itself.’ The next advert to be analysed is the new and hugely controversial mini-epic from Chanel. The story follows a famous actress who escapes from the pressures of stardom in the company of a man of whom nothing is known. The famous actress is, naturally, played by a famous actress. Nicole Kidman represents the elegence normally associated with Chanel and by casting her as the actress an aspect of realism is added to the advert.

The term ‘advert’ is used very loosely with this new offering from Chanel. Lasting four minutes with a full minute of credits and a �20million budget, Chanel deservedly call their promotion a ‘film.’ All the body language of the Chanel campaign stresses that selling a scent can be as artistically significant as shooting a movie. It may seem strange that a merket leader as Chanel no 5 surely is should have such a huge budget thrust on it but the fims brief was not neccessarily to sell more perfume. The aim was to continue to reinforce no 5 as a global brand leader, keeping the product in the forefront of customers imagination.

For this reason, their will be no immediate sales increase by which the advert can be judged. The plot of the advert is hugely clichd and has such supinely globalised imagery and in the sense of keeping the Chanel brand in the imagination of the public, the 20million advertisment suceeds hugely. To conclude, advertising is not always about selling a specific product, it is selling a way of life, a style of living that we crave. The Chanel promotions are elegant and sophisticated and preserve its classic image. Toyota is also selling a way of life and recommends the car as the choice of the succesful individual who is more inclined to buy a product for what it is and not the brand name that is attached. Sure’s advert is just about selling their deoderant and is aimed at one specific target group.

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