In this report, describe about entire process of advanced operational management. In addition, discuss about limitation, selection criteria and every types operation management in manufacturing company.
Role and responsibilities of functions and strategies advanced operational management that evaluated objectives of manufacturing industry are explained. Frameworks and process are measurement processes are explained briefly.
In today’s complex structure of the global economy, advanced operation management is crucial for business success. All engineering and manufacturing business has advanced functions of operation management that assist them to drive productivity efficiently.
All aspects of business enterprises are aiming at bridging a gap between practice and theory that analyse applications of real situations. The ways of operation management are usually managed by key factors that evaluate success of enterprises. Companies can frequently address their problems through falter operations. The key to effective operation management is considered as ingredients of success.
Numatic International follows advanced operation management to produce good quality of maintenance and cleaning equipment for customers. To meet objectives of the enterprise, operation management must convert resources such as materials, information, money and labour into products as effectively as possible.
The jobs of operation management consist of all tasks involved in transform idea of products into a finished product, as well as those involved in controlling, designing and planning the process that produces quality products. On another hand, advanced operation management transforms input into outcomes of business.
1. Discuss type of operation system, selection criteria and limitation of operating system of chosen manufacturing company
Types of operation systemProduction planning
During the planning process, members of advanced operations management determine how products will be produced, where production will take place and how facilities of the manufacturing process will be laid out.
Once the process of production is under the path, members must monitor and schedule activities that help in makeup procedure. Stadtler (2015, p.4) mentioned that they must respond to feedback and make adjustment where needed.
Finally, advanced operation management is involved in efforts to make sure that products are produced as per specification and stand quality are managed.
Figure 1: Types of operational system
(Source: Hemmer and Labour, 2016, p.42)
Selection criteria (Refer to Appendices)
The advanced operation management of Numatic International is required to establish criteria for selection that are based on key selection drivers such as a value of products, manufacturing volume required material, part geometry and required tolerances. Hemmer and Labour (2016, p.42) mentioned that the choice of raw material will be effective for operation management.
Several selection criteria involved in this process are:
Quantity and quality of the product
At first advanced operation, management concentrates on quality of products that attract customers towards their goods. For implementing more advanced element in this cleaning equipment, they use advanced tools, machines which evaluates the process of manufacturing.
Labour can take less time to produces one quality products. In this way, they maintain a quality of products. If customers are convinced by this maintenance equipment, they are recommended others to apply the products. The company has to increase delivery of their materials.
Smith et al. (204, p.246) mentioned that several time, Company distributes frees samples among customers for promotion. Thus, strategies of operation management is selected this criteria and implement various strategies to improve it.
Level of skilled labours
Management gives advice to HRM teams to hire skilled labours because it has influenced the productivity of Numatic International. One hand, these labours are enhanced production. Other hands, new labours have learned numerous things from them. They can play a major role in supervision also. Experience of them has applied in energy consumption as well as time consumption in a manufacturing process.
Capabilities required for processes materials
The advanced management team has applied various strategies for processes materials. Numatic International has arranged training program for their labour. Hitt et al. (2016, p.80) mentioned that however, It is essential to meet objectives of Enterprises.
From training session, labours have gained numerous techniques such as how they develop their flexibilities towards jobs to executing their tasks that increase capabilities of them towards their jobs. If they have applied those techniques in process material into finished products, then the company can be increased their profits through satisfying customers.
Advanced operation management has followed towards resource. If they have got success in maintaining their resource of materials, then they have balance cost of manufacturing. Pilkington and Meredith (2017, p.24) argued that the profits are dependent on manufacturing costs. It also support supply chain of a manufacturing process. Advanced operation management has engaged in developing those processes with different strategies to enhance goals of Numatic International.
Figure 2: Selection criteria
(Source: Kjellsdotter and Jonsson, 2014, p.1340)
LimitationsCreating own competitors
If Numatic International outsources parts of their products to suppliers, then another company may be able to put all parts into their products and create competitive goods. In this process, Enterprise creates their competitors on own.
Disconnect with customers
This is more a critical issue with services. The suppliers of enterprises are dealing with all customers. They are unable to give their best effort to represent company towards customers.
Kjellsdotter and Jonsson (2014, p.1340) mentioned that that person may not have similar investment for the success of enterprises. Another issue is that suppliers may try to steal customer of the company and directly deal with own business.
2. critically evaluate various aspects of business, functions, strategies and corporate with the chosen organisation
Aspects of businessTraining of employees
To get the success it will come down to managing the proper type of manufacturing process, hiring skilled people to work for Numatic International and have the right type of level of promotion to make a company a success.
Spring et al. (2017, p.12) mentioned that however, Company should touch with a market to identify demands of the market and trained people as per requirement. If a company does not focus on demands of making products, then enterprises can frequently lose its edge over time and take more time to fulfil it.
Purchasing machinery and equipment for developing manufacturing process
A manufacturing company like Numatic International to succeed must create a strong bond with suppliers as well as retailers that will help to get products out on time and bring raw materials when company need them.
In addition, manufacturing process does have numerous different areas that come up with challenges which are not easy to overcome. Galindo and Batta (2013, p.210) mentioned that in this situation advanced equipment and machinery can serve help to overcome issues to improve productivity and enhance business.
Maintain inventory level
Numatic International makes mistakes during the production of too many products at one time. For recovering this, a company is tying up funds in their inventory. Tao et al. (2017, p.1080) mentioned that company have to care about inventory, because there is the chance of an amount of money go in Bankrupt. It is important to keep inventory level of organisation low.
This is one of strategy for operational management to make cash flow loss. Making products as per orders of customers is easier for time building and build a suitable relation along with improving profits of a company.
Aspects of functionsPlanning
The planning of manufacturing company describes as how to utilize available resources to overcome and get opportunities for various situations. The planning is assisted Numatic International to cope scopes from changing environment situation, for changing instance may be in demands with decreased as well as increased.
Teamwork is essential for successful operation in a Manufacturing industry. Taj and Mousavidin (2015, p.50) argued that the members of advanced operational management are managing the entire system through associates encouragement that is effective in better performance and improvement of the company. The function has including culture, leadership and training.
This is an effective stage of operational management. However, the function has mentioned way that interesting things through various part of work. It has completed its jobs by maintaining coordination between different roles and responsibilities of associates or employees and operational team. Dave et al. (2015, p.46) argued that the function is worked in two different type integration for reporting to higher authority o enterprises. These are the horizontal and vertical form of reporting is within colleagues and team members.
Aspects of strategiesProvide better products
The goal of every enterprise is to provide quality products they possibly can. To improve quality of products, company has the survey as per location and address needs of customers. They have also examined market. They have tried to input techniques in products as per factors of a survey. In this way, a company has maintained products quality, so that customers can get proper outcomes of it and keep buying more of the same.
Improve supply chain
The supply chain has enhanced the success of Numatic International. There is the significant benefit to locating or moving several new facilities in a market of UK. Ho et al. (2015, p.42) commented that these facilities are close to unique resources such as materials, workforce, expertise and other also.
To implement new facility in cleaning equipment, Numatic International has to focus their resources and drive these to develop supply chain. As a result, Company has provided more advanced products to customers. In addition, consumer has satisfied with products, because they have easily cleaned any things by those products. They do not give extra effort to clean anything.
Figure 3: Aspects of strategies
(Source: Ho et al. 2015, p.42)
Aspects of corporateLong-term capacity
The capacity determines expected demand for products of a company. In addition, how associates gain capacity of meet business objectives.
In this corporate strategy, operational management will make different strategies for different products. They have engaged in determining several facilities among multiple facilities for making different types of products.
3. Critically review supply chain management of manufacturing company and how it’s linked to the strategies of practices that accommodate business needs
Supply chain management is active management for supply activities to achieve a sustainable competitive positive point and maximize the value of customers.
Ferratt et al. (2016, p.4) commented that the management represents a conscious effort to run and develop supply chain more efficient and effective ways. Supply chain management covers the entire thing from sourcing, product development logistics and production. It has provided information as per system need to coordinate activities.
Numatic International has made supply chain through two links. These are information flow and physical flow.
The information flow involved in coordinate long terms plans of Company. In addition, it has controlled day to day flow of material and products through a supply chain.
On another hand, physical flow allows movement, storage of materials and goods and transformation. It is most essential jobs of a supply chain.
Enterprises have got aware of the latest development of market through a supply chain. Yahaya et al. (2017, p.12) argued that as per development, operational teams have applied advanced strategies for increasing development of their cleaning equipment.
They have engaged in including highly advanced technology in a vacuum cleaner. Thus, customers have cleaned their products easily. The process of cleaning has taken less time for the products. In addition, Customers have grown interested to buy products and automatically increased profits of the company. In this process, Supply chain has kept the competitive situation in marketplace.
The supply chain has managed the price of products through maintain resources. The management is played a vital role in maintain resources. If resources are maintained, then it affects cost of production.
That’s operation teams can fix a reasonable price for every product that affordable for customers. The costs of products are dependent on the lifestyle of people of UK. In this process, the supply chain has avoided a risk of products prices.
Sometimes, several disputes are occurring in a supply chain which is called supply disruption risks. Advanced operational management teams have applied different strategies to avoid these risks.
Like, many policies are involved in this chain to maintain proper outcomes. Okuno et al. (2016, p.8) mentioned that employees are informed to five more care during execution of jobs. They also use advanced technology to manage entire work process of manufacture, production and other departments.
The supply chain has taken more care when select suppliers of products. However, suppliers are facing directly customers. In short, they are the representative of a company.
If they are unable to interact with the customer about products, then it will become an issue of decreased profits. Using supply chain, operational teams have get confident to select suppliers of their maintenance equipment.
Challenges of supply chain management Supplier relationship management
It is essential to understand and focus towards agree on standards to understand current opportunities and performance for improvement. There are two different procedure for communicating and measuring performance and reduce time as well as effort.
The system is suitable for consistent result and builds a strong relationship with suppliers.
Supply chain management has managed for give quality services or products on time without any complication. To maintain entire process, authority has to confidently handle process to get good feedback from customers.
In order to stay efficient and effective, supply chain has needed redesigns and periodic assessments. However, these specific adjustments have given response towards current change of market places such as global sourcing, product launches, necessary to give protection for intellectual property. These risks have quantified and determined to mitigate.
4. Critically apply framework and process to enhance and measure performance of company
KPI is a process of performance measurement that assists to understand how every departments of Numatic International is performing. The KPI indicators are acted as a compass, provide knowledge to understand and select path is evaluated success enterprise.
Asset utilization:Identify barriers
Before implement strategies to develop the long and short-term performance of employees are most crucial assets. The company needs to address potential barriers to success.
Reactive maintenance is identifying the performance of poor equipment, minor plan stoppages and unpredicted breakdowns. Elnahal et al. (2015, p.502) mentioned that as a result, quality of products defects which turn into unexpected production losses.
Always use advanced equipment to get high-quality products. Using reactive maintenance, Numatic International can measure performance of equipment.
Care and action are the terms which influence satisfaction of customers. Various services offer different challenges and characteristics for many customers. Machado et al. (2017, p.44) mentioned that the satisfaction is the help to build a relation between customers and enterprises.
The relation between satisfaction loyalty and needs and how these relate to each other that work for company’s probability. The design, software and manufacturing are helped in meeting customers’ needs. If the performance of the company are fulfilled demands of customers and products are used for customers.
Then company gets the success of customers’ satisfaction. Customers are looking forward to company that they create products which can solve their problems easily. Company tries to fulfil these aspects of customers.
For meeting aspects, the company introduces several technologies to implement in their products. In addition, they are trained their labour as per customers requirement to fulfil demands. Numatic International follows those perspectives and gives best effort towards customers’ satisfaction. In this way, measure performance of this company to satisfy customers of them.
The cycle is time is important for this company. The cycle is considered as total time from start to end of a process. Cycle time includes in the process time of every procedure such as manufacturing, production, planning etc.
At time cycle time is high, and then it makes much inefficiency services in operation process.
There are several mistakes occur in order entry. It has to accurate all the time. Qin et al. (2015, p.56) mentioned that labour is facing problems for unavailability of equipment which are essential for a manufacturing process of cleaning products.
Several complaints come from customers about products, because a product is not drive in perfect way. Labour also decreases their interest towards jobs, because a company does not maintain duties of them.
Numatic international always balance the cycle time, it also measures performance of every department as well as an entire company. However, it evaluates profits of the company as well as business objectives.
Labour usage direct cost
Direct labour cost is directly associated with the production in specific units of finish products. In case, labour is divided into the specific department as per their skills. In addition, the company also arrange training program to develop skills of their labour, so that they contribute a lot for company‘s profits as well as goals.
Understand the probability of products of individual, because it adds to company’s financial performance
Setting price, it refers to the approach of seller towards purchase price to products. The strategies describe how they reach objective of their business.
Numatic International considers all this aspect to drive their business and get a huge amount profits and reach the business goal.
This is one of the important key indicators of KPI. This indicator has analysed both net profit and gross margin to enhance how successful Company is generating the high return. Numatic International has measured its sell from net profits. As a result, they have arranged future goals.
This indicator is most effective for finding appropriate ways to manage and reduce costs of productivity of cleaning equipments, so that they have increased their profits. Sales department have selected new track for total revenue, capture new customers deal pipeline size and average size of deals to access progress toward revenue targets of corporate.
As per manufacturing company, operational management has applied advanced strategies to enhance their business of cleaning equipment. At time applying strategies, function, they have examined all aspects of these key elements. If they are identified all issues, then they can maintain perfectly entire manufacturing process of maintenance equipment.
Always, concentrate on the process of manufacturing such as hire skilled labours, use advanced machinery for manufacture products. Manage quality of products. They also focus on affordable prices of the products. Thus, every customer can use the products in daily use. They follow a framework to measure the performance of them towards feedback of products as well as customers satisfaction.
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AppendicesAppendix 1Selection criteria of products in operational management