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This paper 'Quality Management System' tells that Virgin Australia Airlines is an Australia-based carrier. The company was established in early 2000 to offer domestic freights in Australia. At around this time, a rival airliner, Virgin Australia moved in strategically to fill the gap left by Ansett…
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Quality Management System
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TASK ONE
Question 1.1
Virgin Australia Airlines is an Australia-based carrier. The company was established in early 2000 to offer domestic freights in Australia. At around this time, a rival airliner, Ansett went under and, therefore, Virgin Australia moved in strategically to fill the gap left by Ansett. The company operates a combination of Boeing, Emberer and Airbus jets and offers domestic frights connecting major cities in Australia (Virgin Atlantic, 2012). Through cost-cost approach, Virgin Australia has grown steadily to become the second largest carrier in Australia’s domestic air travel industry.
Virgin Australia is committee to developing a sustainable business that appeals to the interests of travelers while remaining responsive to contemporary issues in the industry (Carlsson & Löfgren, 2006). To achieve this goal, the airline:
i. Will strive to increase its market share in Australia. An increased market position will enable the company achieve strong revenue growth and build on key competencies to establish a remarkable presence in the international market.
ii. The company will offer the lowest prices among all domestic airlines in Australia. This will stimulate domestic demand for the company’s services.
iii. To provide the best customer service experience among all competitors. This objective will be achieved by developing products and relationships which will attract customers in long term strategic relationships.
iv. Virgin Australia will continue to offer a consistent and unique air travel experience through strategic relationships with stakeholders in the industry.
Question 1.2
The main stakeholders for Virgin Australia are:
i. Investors: These are the people who have committed their funds into the company. Primarily, they are the individuals and corporations that own shares in the company. Investors expect high returns for their investment. Investors also expect rapid growth of the company.
ii. Customers: these are the people who are served by the company or who consume the company’s services. Customers expect high quality services, flexible customer experience and a good return for their money.
iii. Employees: These are the human resources who run the company’s day to day operations. Employees expect good working conditions, fair salary, opportunities for career advancement and job security.
iv. The society: This refers to the community in which the company operates. It expects sustainable business practices and obedience to rules and regulations. The society also expects the company to create job opportunities for the people and to be responsive to other social issues.
v. Suppliers: these are the companies from which Virgin Australia procures services and products it needs to run its businesses. Suppliers expect long term relationships.
Some of the processes that the company can use to satisfy the needs of its stakeholders are:
i. Establish innovative solutions for its businesses to avoid wastage of resources.
ii. Invest in human capital since employees are a major source of strategic competencies.
iii. Develop business processes that are sustainable and business friendly to avoid harming the society.
iv. Sign long term contracts with suppliers to ensure steady supply of required deliverables.
v. Introduce fuel efficient carriers to reduce costs and ensure high returns for investors.
Question 1.3
Process: Invest in human capital
The main inputs for this process are: salary, equipments, benefits, training and development, opportunities for career growth, goals, responsibilities, rewards and recognition. The outputs of this process are: highly educated employees; motivated employees, increased employee loyalty; job satisfaction; improved corporate image; improved productivity and organizational growth; improved competitiveness and reduced employee turnover.
Question 1.4
Performance Parameters
Measurement methods
Efficiency of employee productivity
Compare with previous achievements
Using latest processes, equipments and techniques
Exams
Employee effort and commitment
Attendance register
Blind-test the employees (Fake guests)
Behavior and attitude change
Survey on job satisfaction and morale
Service performance
Guest feedback and comparing with other companies.
Question 1.5
i. Customer satisfaction: The most important objective for an airline is to offer services that satisfy customers. Customer satisfaction increases customer loyalty, which in turn impacts on the company’s bottom line. Customer satisfaction can be enhanced through consistent, reliable and timely services. Equally important is the need to offer low cost services.
ii. Employee commitment: Talented and committed employees are a source of competitive advantages and hence are essential to success. Virgin Australia can enhance the commitment of its employees by offering continuous training and development opportunities. The company can motivate its employees by offering them fair remunerations and benefits and also by creating a satisfying working environment.
iii. Ensuring sustainable business practices: environmental responsiveness and corporate social responsibility can help the company reduce the impact of its businesses. This can be achieved by working closely with other stakeholders in the industry and also by using materials and processes that are less harmful to the environment (Traverso, 2000).
iv. Communication and feedback delivery: prompt communication and feedback delivery between various stakeholders can significantly help Virgin Australia improve its service delivery. In particular, customers are more concerned with prompt feedback and it is therefore essential for the company to ensure that it creates a mechanism for ensuring that essential information is communicated to the concerned parties appropriately.
v. Set long term strategic goals: Long term goals help in predicting the company’s future position in the industry. It is imperative that Virgin Australia sets long term goals for its business in order to give direction to its employees and functional departments. It is important that these goals are revised continuously so as to account for changes in the business environment.
TASK TWO
Question 2.1
The main federal legislations for an Australian construction company are:
i. The Environmental Protection Act of 1986: this legislation was enacted to protect environment against adverse effects of construction processes and other activities. The legislation makes it illegal for companies in the construction industry to engage in activities that can potentially pollute or degrade the environment.
ii. The Occupational Health and Safety Act of 2000: This legislation was enacted to secure workers against health and safety problems related to work. It is an important legislation as afar as workers rights are concerned.
iii. Explosives Act 2003: This law was enacted to protect workers engaged in dangerous activities especially those that are related to the use of explosives in the construction industry.
iv. Mine Health and Safety Act 2002: This legislation protects workers welfare, safety and healthy in the mining industry. Although this piece of legislation relates to the mining industry, it can be generalized to apply in the construction industry because the two industries are related.
v. The Mining Act of 1978: This legislation was enacted to give direction on companies engaged in the mining business. The legislation compels construction companies to ensure that they abide by all laws pertaining to mining and construction activities.
Question 2.2
The main stakeholders for a construction company are:
i. Investors: These are the people who have committed their funds into the company. Primarily, they are the individuals or corporate organizations that own shares in the company. Investors expect high returns for their investment. They also expect rapid growth of the company.
ii. Owners: This category of stakeholders will always work hard to ensure that the company’s business is sustainable and that its public image is not ruined due to ineffective services. They not necessarily focus on income but are keen on gaining sustainable revenue.
iii. Customers: these are the people who are served by the company or who consume the company’s services. Customers expect high quality services, flexible customer experience and a good return for their money.
iv. Employees: These are the human resources who run the company’s day to day operations. Employees expect good working conditions, fair salary, opportunities for career advancement and job security.
v. The society: This refers to the community in which the company operates and the general public. It expects sustainable business practices and obedience to rules and regulations. Minimum environmental impact is another major expectation of society. The society also expects the company to create job opportunities for the people and to be responsive to other social issues.
vi. Suppliers: these are the companies from which the company procures the services and products it needs to run its businesses. Suppliers expect long term relationships and fair prices for their products.
vii. Government: the government is a major stakeholder in any business venture. The government sets rules which it expects to be adhered to by all companies. The government also expects companies to create employment opportunities in order to reduce unemployment. Similarly, the government expects companies to pay taxes.
Question 2.3
i. Finding a sustainable source of raw materials: as a construction company, it is necessary to look for a sustainable source of raw materials and equipments that are to be used in the production process. Some of the sub-processes related to finding include: testing to see if the desired deliverables are feasible and looking at adverts to select the most qualified suppliers and strategic partners (David, 2009).
ii. Procurement of raw materials: When a sustainable source if found, the company needs to develop a process for getting the required materials to the construction site. Sub-processes in this process include purchasing the materials and transporting them.
iii. Equipment maintenance: Equipments used in the construction industry are required to be fully operational at all times. This helps the company avoid costly implications incase the equipments break down unexpectedly. Some of the sub processes in this process include: washing equipments regularly; grease equipments with movable parts and doing minor repairs.
iv. Health and safety control measures: the construction industry presents the most hazardous working conditions. In order to reduce risks on employees and other stakeholders, it is imperative for the construction company to reduce risks. Sub-processes include provision of protective gears such as gumboots, pullovers and gloves and making employees aware of safety precautions.
v. Development of new construction processes: processes and techniques used in the constriction industry change continuously. It is therefore necessary for the company to keep pace with these changes in order to maintain strategic advantages. Sub-processes associated with process include information search to identify new processes and stakeholder engagement to gain insightful information.
Question 2.4
Equipment Maintenance
Aspect
Description
A lot of water is used
i. Washing requires a lot of water.
ii. The construction itself is water intensive
A lot of noise is produced
i. The machines used in the construction industry produce a lot of noise.
ii. The construction process is also noisy
Too much dust
i. Maintaining some equipment requires blasting off dust.
ii. Wind and machinery makes the dust go in to the air.
Adverse impact on land
i. The maintenance is done on land.
ii. Some of the equipment are left on land
Costly spare parts
i. Some of the spare parts used in maintenance are too expensive.
ii. Some of the spare parts have to be purchased from foreign companies.
Development of New Construction Processes
Aspect
Description
A lot of noise is produced
A lot of noise is produced when running new construction processes.
Inefficient know how in running some of these machines causes them to be noisy.
Water contamination
Some of the new processes may be harmful to water resources.
Also, waster products from these processes may be harmful to water resources.
Air pollution
Exhaust fumes from huge machines can cause massive air pollution.
Impact on the natural environment
New construction processes can impact adversely on the natural environment.
Transportation of raw materials can damage roads.
Waste storage
A lot of waste products are created during the construction process.
The waste may litter the construction site making it unsuitable for human beings.
Question 2.5
Equipment Maintenance
Aspect
Impact
A lot of water is used
Depletion of water resources
A lot of noise is produced
Noise pollution and noise related health conditions
Too much dust
Air pollution
Adverse impact on land
Destruction of ecosystems
Costly spare parts
Less resource allocation for environmental efforts
Development of New Construction Processes
Aspect
Environmental Impact
A lot of noise is produced
Noise pollution
Water contamination
Loss of marine life and destruction of the aquatic ecosystem
Air pollution
Contamination of quality of air
Adverse effect on the natural environment
Destruction of the ecosystem
Waste storage
Environmental littering
Question 2.6
Equipment Maintenance
Aspect
Objective
A lot of water is used
Reduce amount of water used
A lot of noise is produced
Reduce noise
Too much dust
Minimize dust arising from maintenance process
Adverse impact on land
Minimize littering of land surface
Costly spare parts
Reduce expenditure on spare parts
Development of New Construction Processes
Aspect
Objective
A lot of noise is produced
Minimize noise and its impact
Water contamination
Reduce contamination of water resources
Air pollution
Reduce air pollution
Adverse effect on the natural environment
Reduce unnecessary littering
Waste storage
Install waste disposal mechanisms
Question 2.7
Equipment Maintenance
Aspect
Objective
Target
A lot of water is used
Reduce amount of water used
Water usage will be reduced by 15% within 6 months.
A lot of noise is produced
Reduce noise
Noise will be reduced by 50% within a year.
Too much dust
Minimize dust arising from maintenance process
Dust will be reduced by 30% in the first year.
Adverse impact on land
Minimize littering of land surface
Reduce garbage by 35% in a year
Costly spare parts
Reduce expenditure on spare parts
30% reduction in 2 years
Development of New Construction Processes
Aspect
Objective
Target
A lot of noise is produced
Minimize noise and its impact
Reduce noise by 60% in one year
Water contamination
Reduce contamination of water resources
99% clean water in one year
Air pollution
Reduce air pollution
Reduce air pollution by 60% in a year
Adverse effect on the natural environment
Reduce unnecessary littering
Reduce environmental littering by 35% in one year.
Waste storage
Install waste disposal mechanisms
Reduce wastage by 25% in one year.
Question 2.8
Equipment Maintenance
Aspect
Target
Action
A lot of water is used
Water usage will be reduced by 15% within 6 months.
Dig boreholes to supplement water
Use processes that rely on less water
A lot of noise is produced
Noise will be reduced by 50% within a year.
Build noise reducing fences/dirt-walls
Buy noise reducing blasting protection mats
Too much dust
Dust will be reduced by 30% in the first year.
Water the site, so dust gets stuck to the ground
Plant trees around the site, to collect dust and reduce wind.
Adverse impact on land
Reduce garbage by 35% in a year
Decrease the waste area with new fences
Use the waste as filler for old mine-tunnels
Costly spare parts
30% reduction in 2 years
Buy genuine equipments
Reduce over usage
Development of New Construction Processes
Aspect
Target
Action
A lot of noise is produced
Reduce noise by 60% in one year
Build noise reducing fences/dirt-walls
Buy noise reducing blasting protection mats
Water contamination
99% clean water in one year
New rinsing equipment
Water recycle system
Air pollution
Reduce air pollution by 60% in a year
Build a conveyor belt
Reduce the amount of unnecessary driving
Adverse effect on the natural environment
Reduce environmental littering by 35% in one year.
Build a conveyor belt
Build fences, so animals can’t hurt themselves on the conveyor belt
Waste storage
Reduce wastage by 25% in one year.
Use the waste as filling in old mining tunnels.
Decrease the waste area with new fences
Question 2.9
Equipment Maintenance
Aspect
Action
Measuring Method
A lot of water is used
Dig boreholes to supplement water
Use processes that rely on less water
Percentage decrease in monthly water bills.
A lot of noise is produced
Build noise reducing fences/dirt-walls
Buy noise reducing blasting protection mats
Use a noise measurement device outside the working area before and after.
Too much dust
Water the site, so dust get stuck to the ground
Plant trees around the site, to collect dust and reduce wind.
Take air samples before and after to see the difference
Adverse impact on land
Decrease the waste area with new fences
Use the waste as filler for old mine-tunnels
Use old pictures to compare
Costly spare parts
Buy genuine equipments
Reduce over usage
Reduction in equipment expenditure
Development of New Construction Processes
Aspect
Action
Measuring Method
A lot of noise is produced
Build noise reducing fences/dirt-walls
Buy noise reducing blasting protection mats
Use a noise measurement device outside the working area before and after.
Water contamination
New rinsing equipment
Water recycle system
Test the water to see if there is any pollution to it
Measure how much water is released to the nature
Air pollution
Build a conveyor belt
Reduce the amount of unnecessary driving
Get an overview of total km driven by all the machines and compare it with total km driven before.
Adverse effect on the natural environment
Build a conveyor belt
Build fences, so animals can’t hurt themselves on the conveyor belt
Count number of road kills on the road from the Mine to the process area.
Waste storage
Use the waste as filling in old mining tunnels.
Decrease the waste area with new fences
Compare new and old pictures of the site
Measure the waste area and compare with old one
Task Three
Question 3.1
The company chosen in this question is called Palazzi Glass (Palazzi Glass Ltd). The applicable legislations for the company’s operations are the Occupation Health and Safety Act of 2000. This legislation includes the following provisions:
i. Corporate Occupation Health and Safety (OHS) managements system which defines the structures of OHS systems, resource requirements, policies and accountability issues.
ii. Project Occupation Health and Safety management plan: this provision shows how the company should plan to implement its OHS system with regard to specific projects.
iii. Site-specific management plans: this plan outlines the responsibilities of each person involved in a site task and also the risks associated.
iv. Safe work method requirements: this shows how employees should do their jobs to minimize health and safety risks.
Other important legislations include
Explosives Act 2003: This law was enacted to protect workers engaged in dangerous activities especially those that are related to the use of explosives in the construction industry.
Mine Health and Safety Act 2002: This legislation protects workers welfare, safety and healthy in the mining industry. Although this piece of legislation relates to the mining industry, it can be generalized to apply in the construction industry because the two industries are related.
The Construction Act of 2001: This legislation was enacted to give direction on companies operating in the construction industry. The legislation compels construction companies to ensure that they abide by all laws pertaining to mining and construction activities.
The Environmental Protection Act of 1986: This legislation was enacted to protect environment against adverse effects of construction processes and other activities. The legislation makes it illegal for companies in the construction industry to engage in activities that can potentially pollute or degrade the environment.
Question 3.2
There are many risks associated with a company operating in accordance with the AS/NZS 4801. These include:
i. Being hit by moving machines and parts: in the construction company, employees work in areas with numerous moving machines and parts such as lifts and ballast mixers.
ii. Being hit by a running vehicle: the trucks carrying building materials are a potential source of risk for the company’s employees. Running vehicles can be a risk especially when the driver is inattentive, is driving under the influence of drugs or is not relaxed. Death or severe injuries can arise as a result of this risk.
iii. Falling objects: falling objects are a common occurrence in the construction site. Bricks, boulders, bags and other objects can cause severe injuries to people. Sometimes, the entire or part of a building may collapse. These objects can be a risk if employees are not wearing the right protective gears.
iv. Noise: Noise is an inevitable by-product in the construction industry. It becomes a risk when the right protective gears are not used. Uncontrolled and loud noise can cause hearing loss or even deafness.
v. In appropriate lifting techniques: lifting of heavy materials by workers can be physically challenging. This can cause back injuries or even death.
vi. Attack by poisonous wild animals: snakes and other small biting animals are common in construction sites, especially when clearance has not been done. Risks involved here include serious physical injuries, allergic reactions and body rashes.
vii. Fire outbreaks: most of the consumables used in the construction site are highly combustible. These include oil, timbers and plastic bags. Fires can cause severe burns, death and destruction of entire building.
viii. Heavy rainfall and floods: These are common natural risks and can arise when proper precautions are not taken. Floods can result in costly losses as well as death.
ix. Dust: This arises from the construction process and can cause severe respiratory and sight problems. Unregulated use of cement and sand are a major cause of this risk.
x. Weak structures: if the building being constructed is very weak, it can cause severe injuries or loss of life.
Question 3.3
Risk
Probability
(1-10)
Severity
(1-10)
Risk Value
Probability * Severity
Rank
Hit by moving parts
6
9
54
1st
Hit by running vehicle
3
10
30
3rd
Falling objects
4
6
24
4th
Noise
1
2
2
10th
In appropriate lifting techniques
2
6
12
7th (draw)
Attack by poisonous wild animals
1
7
7
9th
Fire outbreaks
4
10
40
2nd
Heavy rainfall and floods
2
6
12
7th (draw)
Dust
6
3
18
5th
Weak structures
2
8
16
6th
Question 3.4
Risk
Appropriate action
Hit by moving parts
Trained personnel to run machines
Put a protective barriers across machines to reduce chances of human contact
Hit by running vehicle
Observe speed limits
Use protective gear such as reflective vests
Falling objects
Use protective gear such as helmet
Avoid using lose equipment when working above the surface
Noise
Use protective gear (earplugs)
Education and training on the effects of noise
In appropriate lifting techniques
Put up a signs to show correct lifting techniques
Educate workers with correct techniques and consequences
Attack by poisonous wild animals
Be familiar with the animals found in the site’s immediate ecosystem before the construction begins.
Use proper safety techniques.
Fire outbreaks
Install fire and smoke alarms for early detection
Provide safe exit routes
Heavy rainfall and floods
Work according to weather forecasts
Avoid working during heavy rains
Dust
Wear protective gears such as dust coats and inhalers
Sprinkle enough water on the construction site to absorb dust
Weak structures
Use strong building materials
Follow the construction plans to details
References
Carlsson, F. and Löfgren, A. 2006, Airline choice, switching costs and frequent flyer programmes’, Applied Economics, vol. 38, no. 13, pp. 1469-1475, Business Source Premier.
David, F., 2009. Strategic management: concepts and cases. Pearson Education, Upper Saddle, River, N.J.
NSW Government – Industry and investment, viewed 12 October 2012,
NSW Government – NSW Government Procurement, viewed 12 October 2012,
NSW Legislation, viewed 12 October 2012
Palazzi Glass Ltd. Available at http://www.palazziglass.com.au/
Traverso, D., 2000, Outsmarting Goliath, Bloomberg Press, Princeton, 2000.
Virgin Atlantic, 2012, Carbon Offsetting. Viewed 12 October 2012: < http://www.virgin-atlantic.com/en/gb/allaboutus/environment/carbonoffsetti ng.jsp>
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