Operations Management Assignment: Strategic Tools for Quality Improvement
Task: Write an academic report on operations management assignment which addresses the following:
Part 1: Briefly explain how strategic tools such as Lean and Six Sigma have evolved from their roots in the Quality Movement.
Part 2: Critically evaluate the relevance of these approaches to the delivery of strategic improvements in service sector operations and supply chains, using at least one recent example from that sector.
Part 3: Critically analyse the changing relevance of these techniques in the manufacturing sector, in light of the high degree of servitisation that appears to be occurring in many operations and supply chains there, using at least one other recent example from this sector.
The concept of operational management strategy researched in this operations management assignment is a pattern that focuses on shaping up the organisation for the longer period capabilities that are needed for managing the operations as well as their contributions to focus on the overall strategy. The technologies, as well as business models, have been changing rapidly hence, business needs to change their strategy for managing the quality as per time. The strategic tools such as lean, six sigma involved in the quality movement have been discussed. The strategic improvement in the retail industry such as Morrison has been highlighted on the study and its impact on the supply chain has also been highlighted. The change relevance to lean and six-sigma in motor production company such as Toyota with the degree of sovietisation has been focused on the study.
Part 1:Strategic tools such as Lean and Six Sigma have altered from their origins in the Quality Movement
The strategic tool management has been highlighted which eventually helps to focus on analysing the various changing factors which eventually helps in managing the total quality management. As stated by Pambreniet al. (2019), the lean quality management is a set of management practices that helps to improvise the efficiency as well as effectiveness by eliminating waste. The basic principles of lean are focus on reducing and eliminating the non-value adding activities as well as wastes. The lean management helps in making decisions areas in the capacity strategy that focuses on sacrificing the high utilisation for fasting as well as dependable throughout the process. In accordance to Imranet al. (2018), the supply networks have been eventually helping in increasing the supplier's developments for ensuring the quality as well as delivering the conformance. It also helps in integrating the supply chain networks by synchronising the flow. It also helps in managing the process technology which eventually helps in reducing wastes. The development, as well as organisation, focuses on the continuous improvement by eliminating wastes as well as smoothening the flow of exposed wastes.
Six Sigma is a kind of quality management methodology that is used for improving the present business processes, the product as well as services by introducing and minimising defects. As stated by Psomasand Antony(2017), the goals are to streamline quality control focuses on manufacturing or business processes that help in managing a little with no variance throughout. The Six sigma can be used by managers for reducing the waste as well as improving the product consistency, solve equipment issues as well as creating capacity. It also helps in reducing the cycle time for hiring employees. In according to Mitrevaet al. (2016), Six sigma basically focuses on the customer services centre and tailor their services offerings accordingly. The quality of the process can be increased y implementing six sigma which helps including the CEO and other leaders that are needed to be charged with developing the vision for Six sigma. The leader needs to be responsible for encouraging new concept as well as supplying the resources to act on innovation. Six sigma helps in reducing the operational costs, improvising the efficiency, improving the accuracy, policy compliances, improving the customer services, improving the cash flow as well as regulatory compliances.
Part 2: Critically evaluate approaches to the delivery of strategic improvements in service sector operations and supply chains
Lean production focuses on reducing the waste by using fewer materials, space, time and staffs. Morrison has been applied lean produced for managing the cost down that would also be beneficial for the customers. The production strategy helps to strive for improving a business return basically on carrying costs. A time which has been created by Toyota through a method called Toyota production systems (Toyotauk, 2020). Morrison uses time productions tragedy to manage the stock that would help in avoiding wastes. On the contrary holding of fewer stocks increases working capitals (Groceries, 2020). It also helps in providing freshness involvements for consumers. Morrison has also developed its own agricultural feild to manage the supply chain. In current years, new IT amenities have been capitalized in all franchise for providing better services, self-service checkouts towards their work efficiency. Hence, this helps in saving the time of customers and simplified the instruction which is convenient for each user. One of the staff that would help in operating6 to 8 self-checkouts that is necessary for reducing the cost of labours as well.
The main approach of strategic improvement is to reduce the time waste of business. Hence, the organisation is focusing on reducing labour costs by separating the various sections. Morrison had stretched the inaugural time from 10 pm to 11 pm as would benefit customers who shop late. Subsequently, it would help the organisation to make it more profitable in a better manner. As stated by Madanatand Khasawneh(2017), the total quality management focuses on assuring the products or service quality. The quality has been involved by everyone as it is needed for managing the business strategy. Morrison has been looking for to influence strongly with the consumer's communications and continue in the core. In accordance to Neyestaniand Juanzonet al. (2016), the strong relationship with the suppliers can be built up which eventually helps in controlling the quality and keeping the price down. It also helps to carry fresh food on tables. It has its own dispensation plants where the phase of the production procedure has been examining or ensuring the high quality. The company is concerns about customer’s health, fresh food such as chicken, meat, pork, bread and pies.
The customers always focusing on quality hence, the organisation is focusing on increasing the overall production which eventually helps in managing the inappropriate services as well as lower the quality products which can disappoint customers hence, this leads for lowering the sales levels. As stated by Honarpouret al. (2018), the uses six sigma also helps in increasing customer satisfaction to commit for their works and success for ensuring their demands. Morrison has committed that their work helps to achieve success. Six sigma has been highly focusing on the commitment that is needed to intricate products information which is acquired by staffs while delivering the services. To manage the supply chain the organisation has been using its raw materials as well as getting outputs. In form of raw materials, Morrison has seeds, fertilisers as well as compost which is needed for managing the codes which eventually helps in managing the entire system in better ways (Ramlawatiand Kusuma, 2018). To manage the supply chain company has focused on developing its own farm which eventually helps to supply the proper materials at customers end. Morrison has focused on measuring the effectiveness of the supply chain through service goals and cost goal. The additional changes are needed for measuring supplier performance. It is crucial for identifying the basic needs which subsequently focuses on the on-shelf availability. In accordance to Jyotiet al. (2017), the inventory as well as forecast management system has been improved for the replenishment of Morrison warehouse. The better management system helps in improving in managing the system which identifies the functioning of the organisation appropriately.
The performance level of the customer has been focusing on demand as well as business which are needed for organising ad managing them to deal with the axis of processes. It is also considered for providing a business that eventually helps in managing the most creative process as well as chaotic aspects of their operations. As stated by Keinanand Karuguet al. (2018), the idea of demand chain has been distinctlyobject from the supply chain. It has been focusing on demand management that helps in understanding the customers’ expectations to meet by developing the operational process. The production of goods is done by using the latest technology that helps in reducing labour cost that adversely helps in managing the lean management of the organisation.
Part 3: Critically analyse the changing relevance of these techniques in the manufacturing sector
The production system of Toyota has been focused on improvising its production system by implementing two concepts such as just in time and jidoka. In Japan, Jidoka means that automation with the human touch that is a method that helps in identifying as well as correcting any kind of issues during production. Just in time refers to coordinating each of the production processes that are needed during conducting the producing vehicles quickly and efficiently (Toyotauk, 2020). The high-quality standard as well as customer’s requirements has been focused in a better manner. The lean management of Toyota Company has been different from retail sectors. Jidoka has been focusing on the issue that eventually helps in spotting any kind of issue. As stated by Imranet al. (2018), the machinery will be automatically detecting a problem as well as safely stop as it helps to inspect and if any kind of necessary changes is required can be made. The information has been communal with others while ‘andon’ in show panel, as well as collaborates, can be incessantly employed on other machinery. In this way, the system would help in preventing the problems for maintaining quality as well as high productivity.
Just in time actually refers to means by making it worth when it is needed at what stage it is required during the time of production. It refers that there will be no waste, reliable excellence as well as similar production. If it is needed that the production line has been shocked with all parts is the right sequence at the time of production that begins. Hence, the new stock can be delivered at the scheduled time in order to full the requirement of the individual (Mitrevaet al. 2016). Kaban system has been central which is needed during the time of process as well as providing an automatic to replenish parts at the line side as well as keeping the stock minimal.
The six sigma of Toyota production system (TPS) strategies are followed them are as follows:
- Minimising the time: the procedures setups have been done in such a way that would help in minimising the wasteful hence, no value-added and tie up labours and equipment. The handling procedures have been using carts as well as training staffs to carry out their setups in a better manner. Toyota has focused on managing slash setup time from months to hours (Honarpouret al. 2018).
- Least production: the manufacturing is done in the bulk batch that needs a huge amount of capital, larger inventories as well as ultimate lead times. Toyota has focused on the ideal method for the smallest production for making setup cheap as well as short that can be possible by manufacturing numerous matters in smaller amounts.
- Workers authorization and participation has been ordered with their employees who are needed to form teams as well as offered by providing them training for carrying out the task in a better manner. The organisation is also looking for managing the entire system that functionally identifies in managing the team in order to take care of internal factory works.
- The partners of Toyota are the internal part of the organisation. The integral parts have been handling the scheme for lessening arrangements times, flaws, lists as well a mechanical failure which helps to take errands to reduce their best conceivable outcomes (Ramlawati and Kusuma, 2018).
In the manufacturing sector, the use of lean management and six-sigma has been different. The servitisation has been referred by industries while using their products for selling outcome as services which is rather than as a one-off sale. As stated by Jyotiet al. (2017), the industrial business proposes extra services to additions their old-style products such as upkeep, keeping convoy of cars on street as a facility. Based on service capabilities such as downloading of software through their products has been a basic approach of manufacturing sectors. The manufacturers can tap their new products that eventually help in managing the new products, subscription, as well as streaming revenue. Toyota has been offering its customers new mapping systems as well as other applications that could be downloaded through the software.
It could be concluded that lean quality management helps n providing better guideline in reducing waste. It has been analysed that reducing labour helps in minimising the labour costs that subsequently focuses on managing the entire system in better ways. It has been identified that six sigma helps in managing the production system that adversely helps in managing supply chain management. Morrison is a retail company that uses lean management for reducing labour cost and Toyota Company uses lean management in managing the time. It has been emphasised that the servitisation helps in managing the entire system which subsequently focuses on properly identifying the needs.
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