Operations, Logistics and Supply Chain Management - Assignment Example

? Operations, Logistics and Supply Chain Management Table of Contents Table of Contents 2 Assignment 3 Assignment 2 6 Assignment 3 9 Assignment 4 11 Name of the Student: Name of Professor: Course: Date: Assignment 1 Question 1 Selecting a technology from 1850 to the present is probably one of the challenging questions one can ask for. Last 163 years was nothing less than a roller coaster ride and we have seen the evolution of electrification, start of computer era, Information Technology revolution etc in the last 163 years. Hence, it will not be justified to compare each of technology in terms of their contribution to productivity. Just due to personal choice, the researcher has selected evolution of Information Technology (IT) as the predictor for productivity. Horzella (37-53) pointed out that integration of IT has increased the productivity through four way mechanisms, 1- bring order to data management and streamlined the process flow, 2- increase the efficiency of communicating of information to stakeholders, 3- minimizing the possibility of committing human errors and human intervention and 4- due to exposure of technology, consumer surplus or perceived value of consumers has increased and companies have started giving importance in increasing production quality to satisfy the value perceptions of consumers. Horzella (37-53) pointed out that productivity of a system is dependent on three factors such as gathering the input, processing the input and producing the output. IT has integrated information of these three steps simultaneously and such integration is the key reason behind increase in productivity. Question 2 Sulek, Marucheck and Lind (711-27) stated that process flow in restaurant is directly related to steps in the operation process. The transformation model in restaurant can be depicted in the following fashion. In case of restaurants, inputs are the raw food materials, vegetables, meat, papers for creating menu card, lights, decoration materials etc. Restaurant itself is a product and architectures, ambience, decoration; seating arrangement is part of the service mix of restaurants. In case of transformation, three types of resources are being processed in restaurant such as, 1- material resources and physical raw material inputs, 2- information about the product quality or service delivery is being processed and 3- requirement of customers also gets processed through the service cycle. In case of restaurants, outputs include food service, catering, visual treatment and goods such as food and beverages. In restaurants, feedback information is being used to control quality of the operational system. For example, a customer might complain about the hardness of potato to waiter and the waiter sends the feedback to chef and based on the feedback, the chef might change the potato in order to offer better dining experience to patron. Question 3 Sulek, Marucheck and Lind (711-27) and other researchers pointed out that the service and manufacturing industry is going through the transition phase and companies are trying to integrate all the data points in cost effective manner. Converting the manual process into more efficient through system automation is not only becoming a trend but also giving options to companies to bank on it order to increase productivity. In such context, I believe that IT is reaching its maturity stage in terms of affecting global and national productivity. Careful consideration of the research works of Horzella (37-53) reveals the fact that conjoint implementation of IT and online transformation can influence the productivity up to a great extent. Hence, according to me, three verticals such as system automation, online transformation and data management & big data analytics are going to be the “next big thing” in the field of productivity management. Companies are developing complex production systems which run on information and data feeding and in many cases, data set for running the productivity system becomes so large and complex that normal computer program might not process them. In such cases, integration of three verticals such as system automation, online transformation and data management & big data analytics can not only decrease the complexity of production process but also streamline the productivity. Hence, I have selected these three Factors as the next most important issue in the field of production management. Question 4 Solanki (11-14) pointed out that World Trade Organization (WTO) works as the protective forces for free or less restricted trading of goods, services, capital and technology between countries. Cross country trade is confronted by issues like trade barriers, counterfeits, absence of reciprocity, intellectual property rights violation, tariff quota etc. In such context, WTO acts as regulatory body and gives an international platform to trading countries to negotiate with each others in terms of trade issues and ultimately settle down by accepting the standard trade norms. In other words, WTO can be classified as the vanguard for ensuring smooth trading activities between countries and enhancing the growth of free trade environment. According to Solanki (11-14), WTO offers tariff brokering (commission) system which can be used to remove trade barriers between countries. On the basis of such merits, presence of WTO is not only primarily good for USA also necessity for USA to save particular industries from redistribution effect of trade quota system. WTO can also assist USA in settling down counterfeits issue or infringement with other countries. Advocacy of WTO can also help USA for deciding the tax rate for import and export activities. Due to such reasons, presence of WTO is primarily good for USA. Question 5 Horzella (37-53) pointed out that in the next 15 years to 20 years, IT will be used as key contributor in the field of operation management and production engineering. Horzella (37-53) wrote the paper in 2005 and technological universe of the globe has changed significantly in last 8 years. I believe, not only IT but the integration of system automation, online transformation and data management & big data analytics will contribute to the future development of operation management. In the future world, operation managers will take the decision by analyzing the data and online simulation will be used the process the data in real time manner. Operational procedure or production process can be recalibrated on the basis on data feeding and the system can be controlled through online platform. Using the above mentioned models, operational managers can monitor the scalability global production sites in real time manner through online platform. Big data analytics can be used to integrate the total quality management (TQM) principles in order to reduce number of defects in the production system. Due to such opportunities, integration of system automation, online transformation and data management & big data analytics will be the greatest contributor in the field of operation management in future years. Assignment 2 Question 1 Sharma (536-544) pointed out that researchers can conduct qualitative forecasting with the help of different methods but the paper will select only three qualitative forecasting methods such as, 1- personal opinion, 2- panel consensus and 3- Delphi method. Personal opinion- personal opinion of the method is taken into consideration for predicting the future outcome, for example, personal opinion regarding the inventory level in the next month. Advantage of the method is that such kind of forecast does not need past holdings while high degree of subjectivity and biased opinion is the major disadvantage of the forecasting model (Sharma, 536-544). Panel consensus- opinion of different panel members are being taken in order to forecast the future outcome, for example, focus group interview of experienced professionals of different companies but from same industry in order to predict future outlook of the industry. Non-interruption of subjectivity is the major advantage of the method while extensive intervention of group dynamics is the undeniable disadvantage of the method (Sharma, 536-544). Delphi method- the method is repetition of panel consensus method and summary of panel consensus research are sent to participants in recitative manner until they reach to common conclusion. Accuracy of forecasting is the advantage of the procedure while time taking and cost incurring features of the process are its major disadvantage. Question 2 iPhone 4s This is a nice Smartphone with millions of application and I am using the phone for last few months. To use the applications of the phone you must first download applications from app store and you can also capture videos and photo through the phone. However, the size of the phone is pretty big and edge of the phones is not smooth enough to give you the comfort while holding the phone. The camera is pretty poor in low light conditions. What ends up happening is that you click a picture in low light and then you get a blurred signs in the clicked photo. Design suggestion Size of the screen should be reduced and the edges of the phone should be made sharp enough to give you the handling comforts. More color variants of the phone should be added in order to attract customers. A camera with better resolution, pixel depth and zoom should be installed in order to give you the opportunity to click photos in low light. Question 3 Research works of Temponi (17-36) and Galabawa (202-13) reveal the fact that providing education is the greatest output that can be produced by public school system. Hence, controlling the output means controlling the quality of education in case of public school system. Thakkar, Deshmukh and Shastree (54-74) stated that quality of output or education in public school system can be controlled through implementation of total quality management (TQM). Quality of education in public school system can be controlled by selective inclusion of inputs such as, recruiting qualified teachers, admitting students through stringent admission tests in order to test their learning ability, providing proper training to non-teaching staff in order to make them responsible for their activities, teachers should focus on providing continuous improvement of knowledge and learning capacity of students, students should be encouraged to go beyond classroom learning and learn from their own experience and teachers should also try to develop interpersonal skills of the students (Cheng 202-13). All the above mentioned issues are pertinent aspects improving quality of educational output or simply the outcome. Following, the above mentioned attributes will not only help the public school system to control quality of its output but also implement concepts of TQM in successful manner (Cheng 202-13). Question 4 Careful consideration of the research works of Galabawa (202-13) reveals the fact that standardization of process has multiple advantages such as, 1- reduction of the magnitude of uncertainty regarding the process and outcome of the process, 2- it becomes easier to follow a set rule of instruction to develop product or offer services, 3- following a standardized procedure decreases waste of financial and non-financial resources in new product development. Some disadvantages are also associated with standardization such as, 1- it decreases the enthusiasm to innovate new products or breaking the rule to achieve something new, 2- following the same procedure in repetitive manner might create the chance of committing the same mistakes in repetitive manner and 3- up gradation or inclusion of latest technology in standardized procedure is difficult. It is possible to encourage and accomplish innovation, especially in a new technology, while maintaining standardization. Standardizing the quality criteria without standardizing the process map will help the production team to achieve such feat. For example, research & development team in mobile manufacturing company might be asked to develop a new and innovative product which must pass the standard quality criteria of the company. Hence, standardizing the quality output would not hinder the scope of achieving innovation or creativity in product manufacturing. Question 5 Forslund (351-67) and Scott (121-4) defined Enterprise Resource Planning (ERP) as the common database which can be used to share information or identify the information regarding particular objects. As I am maintaining chain of ten retail ice cream stores in the Washington-Baltimore and planning to install ERP systems, I need to consider both advantages and disadvantages of installing the ERP system. Taking help of the research works of Maguire, Ojiako and Said (78-92), it can be said there will be some specific advantages of installing ERP system in retail chain of ice cream stores such as, 1- all the details of the supply chain information such as supplier information, product information, price information etc., will be integrated in the same platform and can be accessed very easily, 2- price fluctuation of the supply can be updated in real time manner, 3- integration of the process will not only simplify the information access but also eradicate error prone and resource hungry redundant manual activities like maintaining separate data base for information of suppliers, products, customers etc, 4- using ERP system will help me to establish cross attribute relationship between all the items which will help me predict the future success. Disadvantages of installing ERP system include issues like, 1- the installing process is cost intensive and I will need to invest significant amount of money in installing the system, 2- technical complexity of the ERP might create problem in handling the system and 3- the installing and monitoring process is time taking phenomenon. Despite such disadvantages, I will go for installing the ERP system in order to manage information more efficiently. Assignment 3 Question 1 According to me, business process outsourcing (BPO) jobs and construction working profile are some worst jobs that I know. Mourmant, Gallivan and Kalika (498-521) pointed out that people becomes open to switching jobs after 2-4 months of joining the BPO jobs. In case construction jobs, one has to face negative issues like bullying, biased mentality, lack of innovation, working in hazardous, uncertain job relationship with employers etc. In case of call centre job, employee faces discouraging issues like monotonous working practice, lack of scope for skill or knowledge development, lack of career opportunity etc. Presence of such negative factors makes both (BPO) jobs and construction working profile as the worst jobs. People want these jobs due to three reasons, 1- it is easier to get these jobs due to easy recruitment process, 2- a semi-skilled worker can do these jobs and earn lucrative amount of money and 3- it is quite easy to switch BPO or construction jobs. Question 2 Hackman and Oldham (250 – 279) defined five core characteristics of good job design as, 1- opportunity of skill development and variation in the job responsibility, 2- doing all the phases of the task from beginning to end or identifying visible outcome of the task, 3- significance of the task in context to organizational objectives, 4- having the autonomy to take decisions in the workplace or the empowerment to make decisions during contingent period and 5- having the feedback or getting recognition for performance in the task. .Research works of Hackman and Oldham (250 – 279) reveals the fact skill variety; task identity and task significance can provide experience of meaningfulness of the task to employee while autonomy can provide experience of responsibility and feedback can provide experience of recognition among employees. However, there are job responsibilities which might not possess all the above mentioned five elements but human resource departments should try to incorporate all the above mentioned five elements while designing the job. Question 3 Petison and Johri (76-96) defined keiretsu as cooperative subsystem, where companies form internal tie ups to work together to manufacture better products, improve quality, lowering the price etc. Keiretsu conjoins firms having one or many equal business objectives and key performance indicators but there is no restriction for owning equity percentage in each company. Petison and Johri (76-96) also pointed out that due to presence of interlocking ownership; member firms in the alliance do not need to deviate from their long term objectives. As I am director of a software development company, forming keiretsu will have certain advantages, 1- joining keiretsu will give opportunity for my small company to meet large customer base, 2- my product offering will get assured price structure, 3- clarity in understanding of desired quality or performance standards and 4- stable business environment will also boost the supplier morals to offer supply to my company. Some disadvantages of forming keiretsu are, 1- innovation drive among suppliers abruptly lacks due to shielded business environment inside community, 2- my firm will have to use transfer pricing while competitive pricing is needed in order to move ahead in the competition and 3- in some cases, the community just works as paid lip services. In my keiretsu, small IT companies, third party software vendors, small level independent software manufacturers and SMEs would belong. Question 4 I will use three basic approaches to negotiate with pilots such as, 1- Process- I will try to conduct meeting pilots showing agitation and try to justify the reasons for low wages, 2- Behavior- I will patiently hear all the objections of the pilot and behave in modest way in order to respect the relationship between me and my company pilots and 3- Substance- I will try to reach a conclusive agreement with the pilots over the agenda of raising the wage and assure them that the management is working upon the issue (Ilter 45-59). I take normative legislative positions by assuring the pilots showing agitation that the board is considering about their issues and within few 30 days, the board will reach a conclusive statement. I might, increase the performance incentives without raising their base pay in order to pacify their uproar. Question 5 In case of a chain of clothing stores, there will be three types of costs associated with ordering and maintaining inventory such as, 1- cost of replenishment, 2- holding cost and 3- cost of stocking capacity planning. Cost of replenishment/ordering- cost of maintaining the ERP system to feed the data of order, labor cost, cost related to handling, inspection cost for checking of clothes, supplier cost, salaries, transportation & shipping cost, accounting & auditing cost etc. Holding cost- rent of the floor space, cost of accumulating raw material, electric charges, infrastructural cost for holding the finished cloths or work in progress cloths for several days etc. Stock-out cost- opportunity cost of not selling the clothes to customers, loss of reputation among potential buyers, cost associated with loss of production and penalties for not delivering the order. Assignment 4 Question 1 Sharma (536-544) pointed out that there is no single mathematical model available which can predict the smoothing in the trend line or cyclical seasonal variation in long range aggregate planning. In case of aggregate planning, there is no certainty in getting the data in normalized form while distribution of data can be exponential, gamma or Poisson in nature. From statistical viewpoint, it is very difficult to develop aggregate planning adjusted with exact predictive model (Sharma 536-544). Another thing is that, using complex mathematical model might create problem for persons from non-mathematical background to conduct aggregate planning activities. Due to such reasons, mathematical models not more widely used in aggregate planning. Question 2 Material requirements planning (MRP) system is used for production planning in the organization and the system can also be used for controlling and managing the inventory for the organization. An MRP system can affect the production systems of the organization in the following manner; Ensuring availability of raw material in the production cycle. Maintaining optimal level of inventory and raw material in the production systems. Preparing production schedule and process map for manufacturing activities Question 3 Careful consideration of the research works of Markovic (86-95) clarifies the difficulties one may face while scheduling of services and reasons behind the difficulties can be depicted in the following manner; Services are perishable in nature and have to be consumed at the place of production. So, it is very difficult to schedule service offering by anticipating future circumstances or demand. Scheduling of demand for service is pretty unpredictable due to lack of reference points. Services are heterogeneous in nature and can be flexibly customized as per requirement of customers. Due to such reasons, it is quite difficult to identify capacity units for service offerings. Service quality cannot be standardized because quality of the service differs along with change in capacity, patience and fatigue level of service providers. Hence, it is difficult to follow standardized scheduling format for services (Markovic 86-95). Question 4 Lockamy and McCormackb (593-611) stated that PERT/CPM techniques are used for preparing the network diagram of the project. Bay using PERT/CPM techniques, project managers can prepare the scheduling of working activities by allocating exact time horizon for each activity. Questions regarding Critical path or measure of minimum possible time required to complete the project can also be answered through PERT/CPM method. Questions regarding float time or measure of amount of slack period at which a particular activity can be delayed without affecting the project duration, can be answered through CPM/ PERT method. Questions regarding project management variables like Earliest Start Time (EST), Latest Start Time (LST), Earliest Finish Time (EFT), Latest Finish Time (LFT) and Total Float (TF) can also be answered PERT/CPM techniques. Question 5 Expert system is defined as the computer application, which is paraphernalia of computing system, hardware, software integration, information database etc. The expert system can improve maintenance systems by using four principles, 1- Diagnosing- examining the maintenance system and diagnose existing problem with the system, 2- Interpreting- providing detailed interpretation of the problems to stakeholders so that they can make corrective measures, 3-Predicting- predicting the outcome of the error and desired quality state of the maintenance system and 4- Instructing- providing instructions to rectify the errors in maintenance systems. Works Cited Cheng, Yin C. Quality assurance in education: Internal, interface and future. Quality Assurance in Education 11.4 (2003): 202-13. Print. Forslund, Helena. ERP systems’ capabilities for supply chain performance management. Industrial Management & Data Systems 110.3 (2010): 351-67. Print. Hackman, J.Richard, and Greg R. Oldham. Motivation through the design of work: Test of a theory. Organizational Behavior and Human Performance 16 (1976): 250 – 279. Print. Horzella, Asa. Beyond IT and Productivity. Linkoping Studies 1184.16 (2005): 1-225. Print. Ilter, Deniz. Identification of the relations between dispute factors and dispute categories in construction projects. International Journal of Law in the Built Environment 41 (2012): 45-59. Print. Lockamy, Archie, and Kevin McCormackb. Analysing risks in supply networks to facilitate outsourcing decisions. International Journal of Production Research 48.2 (2010): 593-611. Print. Maguire, Stuart, Udechukwu Ojiako, and Al Said. ERP implementation in Omantel: A case study. Industrial Management & Data Systems 110.1 (2010): 78-92. Print. Markovic, Suzana. Expected service quality measurement in tourism higher education. Nase Gospodarstvo 52.1/2 (2006): 86-95. Print. Petison, Phallapa, and Lalit M Johri. Dynamics of the manufacturer-supplier relationships in emerging markets: A case of Thailand. Asia Pacific Journal of Marketing and Logistics 20.1 (2008): 76-96. Print. Scott, Judy E. Technology acceptance and ERP documentation usability. Communications of the ACM 51.11 (2008): 121-4. Print. Sharma, Jai Prakash K. Business statistics. New Delhi: Pearson Education, 2007. Print. Solanki, Goutam A. Globalization and Role of WTO in Promoting Free International Trade. Journal of Humanities and Social Science (JHSS) 3.1 (2012): 11-14. Print. Sulek, Joanne M, Ann Marucheck, and Mary R. Lind. Measuring performance in multi-stage service operations: An application of cause selecting control charts. Journal of Operations Management 41 (2006): 711-27. Print. Temponi, Cecilia. Continuous improvement Framework: Implications for academia. Quality Assurance in Education 13.1 (2005): 17-36. Print. Thakkar, Jitesh, Sunil G Deshmukh, and Anil Shastree. Total quality management (TQM) in self-financed technical institutions: A quality function deployment (QFD) and force field analysis approach. Quality Assurance in Education 14.1 (2006): 54-74. Print. Read More