Tuesday, May 5, 2020
Operations Management Manufacturing Industries
Question: Discuss about the Operations Management for Manufacturing Industries. Answer: Introduction: The modern world, with a high progressive environment, every industry needs to operate efficiently utilizing the scarce resources in order maximize the profit margin. With the advent of many competitors in the market, any firm not meeting the high quality standards will be eliminated from the market. Every firm has to maintain the competitive edge in the market by analyzing and improving the internal sources as well as maintaining a proper production process. As stated by Galindo and Batta (2013) operation Management is one of the essential tools in the hands of the industries which critically analyzes the controlling process of manufacturing and proper renovation of the business operations in production. Operations management is helpful in the efficient use of assets and meeting the demands of the customers. A good Operations management is required optimum utilization of raw materials to the final product. According to Haimes (2015) the primary objective of Operations Management is to find out the requirements to execute the plan and innovate the business process involved in the production of a good or services. The argumentative essay concerned here reveals the problems of Operations Management of Hawkesbury Cabinets Pvt Ltd, a renowned customized built kitchen cabinet manufacturer, with an increase in sales and production the firm has faced a serious problem of partial work completion and also of saturation in the work layout of the company due to increase in order in the market. The Essay gives an in-depth analysis of the problems in operations management along with growing business and provides technical analysis and critical viewpoints about the management principles, theories, and models to justify the current operational problems. As given in the case study, Hawkesbury Cabinet established by Fung and Mei Chen, brothers and sisters with the idea of providing customized kitchen cabinetries to the customers and also providing kitchen interior modifications. The USP of this company is their tailor made cabinets for the customers according to their demands. Being a Small-Medium Enterprise, the manufacturing unit of this endeavor is restricted to its place of origin, and no expansion is possible for this company. Hawkesburys quality product has increased the reputation to its customers and the market demand for its products is growing along with new orders coming in from the builders; the company is starting to produce standardized products. It increases sales and revenue but is also hampering the production process because of the lack of expansion space. The operational management faults leading to incomplete work, underutilization of resources and clogging up the factory space due to the excess burden of unfinishe d work in different departments of production. Fung and Mei Chen with problems in the manufacturing process has initiated a proper operational management process to rectify the problems. The problems of operational principles are: According to Roh, Krause and Swink (2016) the principle of Reality in Hawkesbury Cabinet being a start up for customized cabinet making new rules of standard cabinetry has begun producing these goods to neglecting the fact of work-space required to provide two types of commodities together. The tendency to concentrate on the mode of production rather than the actual problem is the main issue concerned here. According to Hofer, Cantor and Dai (2012) the principle of Organization is one of the central parts of operations, and all the facets must be properly organized into an understandable whole. All the departments are interconnected, and any changes in any one department will lead to changes all over the production system. In the case of Hawkesbury, changes in the production plan by reducing customized products and to introduce standard products is resulting in the underutilization of raw materials. Customized products giving more revenue is also forcing the company to concentrate on the production of these products clogging up the equipment and equipment of standard products resulting to an improper workspace. According to Kastalli and Van Looy (2013) the principle of Fundamentals needs to follow to run a business smoothly. Proper fidelity towards the foundations is an excellent process for efficient production. The more a company adheres to the fundamentals, the chances of survival in the market become higher. The concerned firm here needs to assign its fundamentals correctly to make it a base on which the company will operate. According to Peng and Lai (2012) principles of Accountability are the reason behind the success of an organization. The employees will need to put effort on doing the work, which is not accountable to them. The management requires to assign responsibilities and to evaluate the task given so that corrective measures to undertake to improve the operations master plan. Hawkesbury Cabinet requires proper planning of the resource as well to assess the services, which lead to changes in the clogging of the work. The principle of Variables requires variances to be present in every process of manufacture. Hawkesbury Cabinet has two varieties of production and requires both the units to be properly produced to maintain parity in the industry. Encouragement is Variance will help the industry to enhance its variety appropriately. The principle of Causality means the problems, which require swift and immediate attention to rectify them and maintain the smooth production process. The urgency of production blockage with an increase in sales and demand has resulted in the high cost of production and underutilization of inputs. The principle of success means understanding the right condition for success for every industry. Hawkesbury has high demand in the market, but that is not the success for them because of their lack of expansion space, which makes it a curse in disguise. According to Subramanian and Ramanathan (2012) principle of Change is something every company must follow to adapt according to the changing conditions in the market. The best possible way to change is by embracing the changes and adapting to them rather than forcefully engulfing them. Hawkesbury, being a small medium enterprise is a concentrates on providing quality goods to its customers through high quality machines and equipment thus avoiding the principles of lean production. The best way to analyze such companies is via a two-step process. The process of evaluating the reciprocity of the operations system is important. The second step involves examining the bonding between the importance of OM process and the performance of the industry. This approach restricts the evaluators from making mistakes in the respected condition. The focus of the investigation is to analyze the above to factors of the relationship. The current production system of Hawkesbury Cabinet is growing, and notice should be given to business improvements. The significant and methodological approach is needed towards planning, organizational analysis and assessment of the results. Technical indicators and expertise in management, communication and skill processes are necessary in order critically evaluate an efficient operational management. According to Slack (2015) strategically planning the industries needs and analyzing the policies and business approaches. The business process models use various parameters to interpret the business requirements for operational and technical systems. The operational management of Hawkesbury Cabinet needs to produce both customized and standardized products according to the sales and demand in the market. The production of standardized products has put pressure on the manufacturing units because of being a small medium enterprise having limited machinery is unable to produce both goods together. Customized products, offering higher revenue than standardized products leads to the production of them and stopping builders production. This leads to the blockage of workspace along with misuse of raw materials and incomplete work pressure. The company needs to understand its potential and ideally take work or improve operational management through management principles and models (Hofer, Cantor and Dai 2012). The above essay discuses about the principles and models of operations management. The principles and models are used to evaluate these operations properly. Hawkesbury, a cabinet company with high demand in the market, has lead to overproduction with a limited production facility and thus needs to analyze the problems through effective operational management techniques to enable smooth functioning of the business along with an increase in revenue. Reference Galindo, G. and Batta, R., 2013. Review of recent developments in OR/MS research in disaster operations management.European Journal of Operational Research,230(2), pp.201-211. Haimes, Y.Y., 2015.Risk modeling, assessment, and management. John Wiley Sons. Hofer, C., Cantor, D.E. and Dai, J., 2012. The competitive determinants of a firm's environmental management activities: Evidence from US manufacturing industries.Journal of Operations Management,30(1), pp.69-84. Kastalli, I.V. and Van Looy, B., 2013. Servitization: Disentangling the impact of service business model innovation on manufacturing firm performance.Journal of Operations Management,31(4), pp.169-180. Kim, D.Y., Kumar, V. and Kumar, U., 2012. Relationship between quality management practices and innovation.Journal of operations management,30(4), pp.295-315. Peng, D.X. and Lai, F., 2012. Using partial least squares in operations management research: A practical guideline and summary of past research.Journal of Operations Management,30(6), pp.467-480. Roh, J., Krause, R. and Swink, M., 2016. The appointment of chief supply chain officers to top management teams: A contingency model of firm-level antecedents and consequences.Journal of Operations Management. Slack, N., 2015.Operations strategy. John Wiley Sons, Ltd. Subramanian, N. and Ramanathan, R., 2012. A review of applications of Analytic Hierarchy Process in operations management.International Journal of Production Economics,138(2), pp.215-241. Zhang, D., Linderman, K. and Schroeder, R.G., 2012. The moderating role of contextual factors on quality management practices.Journal of Operations Management,30(1), pp.12-23.
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