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Unit 16 Operations and Project Management T/508/0528 Level 5 REGENT COLLEGE HIGHER EDUCATION

5474Downloads1 I Published: 20 Mar ,2020


Operation management is considered as management areas that assist manager in designing, controlling over the operational process so that entity can conduct its business in smooth manner (Kerzner and Kerzner, 2017). Project manager ensure that planning and designing impact positive on the operational process so that its efficiency can be improved. Present study is based on XYZ company which is recently working in the manufacturing industry. Firm has strong reputation in the market and consumers are satisfied with its products. Company aims to enter in large screen television market in order to expand its business and earn more profit. Current assignment will discuss principles of operation management. It will describe significance of sig sigma and lean production tools in the operational process. Furthermore, assignment will describe concept of continuous improvement and its effectiveness in order to accomplish goal of the firm.

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Task 1

Operations management principles

Operation management (OM) is the essential function of business units, it includes planning, organizing and supervising activities in effective manner so that operational errors can be minimized and entity can become able to earn more profit. Manager always work for utilizing resources well so that desired output can be generated (Martinelli and Milosevic, 2016). If individual does not use inputs properly then it may create difficulty in accomplishing objectives. Main principles of operation management in the business are as following:

  • Inventory management
  • Operational planning
  • Manufacturing management
  • Distribution and logistic
  • Managing operations

XYZ company has strong reputation in the home appliances market. It is able to offer satisfactory goods and services to its consumers as per their requirements (Cleden, 2017). As it is planning to enter in the large screen television market for that it is essential for the corporation that to manage its operational process well so that errors can be minimized and input can be converted in desired output. Project manager has to ensure requirements of inventory for manufacturing large screen televisions, sourcing strategies, aggregate operational planning, advance scheduling, TQM etc. All these phases will assist in identifying errors in the operational process thus, XYZ will be able to make effective strategies for improving operational process (Walker, 2015). Benefits of implementing operational management process in the XYZ company are described as below:

  • Current performance of XYZ is good but as it is planning to enter into the new market for expansion thus, it is essential to analysis existing operational performance of business unit. This can be done through operational management. This will help the company in making positive changes in the planning and designing so that entity can enhance its profitability and can reduce its cost as well (Hornstein, 2015).
  • OM is the tool that assist in managing inventory well so that best results can be generated and wastage can be minimized.
  • It is beneficial technique that aids in improving quality of new products. By this way entity will be able to offer high quality large screen televisions to its consumers. That is beneficial for the entity in order to enhance satisfaction level of the consumers to great extent.
  • It is the technique that encourages innovation and supports in making positive changes in business unit so that it can accomplish its objective successfully (Heldman, 2018).
  • This is the effective tool which aids in developing communication among all departments so that all employees can perform their duties well and can serve consumers well.

Sig sigma and lean principles

In order to improve operational process of business units, company takes support of various tools such as sig sigma, lean production etc. All these methods are helpful in minimizing errors and improving condition of business unit.

Sig sigma

It is considered as one of the most important element that seeks to raise overall quality of output by removing causes of defects. It is the data driven approach that focuses on continuous improvement of operational process. It assists in increasing level of tolerance so that entity can become able to face risk and manage it well (Igartua and Markuerkiaga, 2018). XYZ is recently operating in the home appliances market and planning to enter in the large screen television market. If it takes support of sig sigma approach then it may become able to raise quality of television products. By this way it will be able to provide high quality products to consumers that can satisfy consumers.

  • Sig sigma approach aids in generating more profit in the firm.
  • It assists in reducing cost of operations by managing inventory well
  • This helps in improving effectiveness of operational process.

Lean Production process

It is the systematic process of minimizing wastage (Rushdi and Alturki, 2017). It ensures that company manufactures products with required quality but minimize wastage to great extent. Sometimes XYZ company has to face issue in its operational process such as duplication of resources, unevenness of work etc. All these issues increase wastage due to which operational cost of the business get enhanced. By implementing lean production process entity can specify values and can strive for perfection. XYZ company is required to implement lean production process in order to performing well in the large screen television market. Benefits of implementing lean principles in business units are as following:

  • It can assist in reducing wastage and control over cost (Oswald, Köhler and Schmitt, 2018).
  • It helps in minimizing manufacturing timing and raising quality of products.
  • It is beneficial tool that helps in developing relationship between suppliers and XYZ.

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Task 2

Continuous improvement

Continuous improvement is the effort of manager that have been taken for improving quality of products and services. It is the tool that assists in streamline the work and minimizing wastage to great extent. There are various method of continuous improvement in the operational process such as Lean, Kaizen etc. It first identify the issues in the process, then plan for improvement, execute it and then review it (Yazdani and, 2015). By following these phases project manager can identify the improvement areas can make necessary changes in the existing operational process. That will help in aching the objective of the firm to great extent.

Preparation of continuous improvement plan (CIP)


Existing performance of XYZ

Action for improvement

Responsible persons


XYZ aims to reduce overall wastage and costing of manufacturing of large screen television products

Company recently is facing the problem of high production cost

Implementation of Keizen and sig sigma strategies for reducing the production cost

Production manager, Quality manager

3 Months

To raise quality of new products (Large screen televisons) for raising satisfaction level of consumers.

XYZ does not have adequate knowledge about the large screen television market thus, existing products have average quality

Implementing quality assurance plan. Proper monitoring and controlling

Project manager, quality manager, production team

2 Months


Effectiveness of CIP

As XYZ is planning to enter in the new large screen television market. Before entering into the new market it is very important to gather necessary detail about market condition, opportunities, market demand etc. This supports business units in offering satisfactory products and services to the consumers and enhancing their confidence on the firm. By implementing this continuous improvement plan cited firm will be able to identify errors in existing production process and will be able to implement effective strategies so that these issues can be minimized soon. As currently due to poor knowledge entity is unable to provide high quality television products but procurement strategy will be helpful for XYZ company in developing healthy relationship with the suppliers (Elzamly and Hussin, 2015). By this way it will be able to get high quality raw material which may support in raising quality of products to great extent.

Furthermore, cost of production is high in the XYZ company in order to resolve this issue project manager is planning to implement keizen and sig sigma strategies. Both these techniques will be effective for the business unit because by this way manager will be able to find out rout cause of defects and will be able to reduce wastage (Olabisi and Cox, 2016). Proper monitoring and controlling will assist in identifying the issues at the same time and take immediate action to resolve these problems. This will help the XYZ in providing high quality products to consumers and raising their satisfaction level.

Strategies for efficiently implementation of continuous improvement plan

There are various strategies through which project manager can effectively implement continuous improvement plan in XYZ company. Solicit feedback is the most efficient strategy that assist in identifying root cause of problems and gathering innovative ideas for the improvement. Furthermore, lean thinking is another way of implementing CIP in the workplace appropriately. Manager has to take into consideration the objective of business unit while designing the process (Lean Manufacturing Vs. Six Sigma,2018). This will help in generating positive results and accomplishing goal of the firm.

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Task 3

Project life cycle for developing new product

Project manager has to ensure that project can get completed in appropriate manner and can meet with its objective. In order to meet with the objective manager divide the entire project into sub activities. All these phases: initiation, planning, implementation and closing stages help the manager in addressing project objectives. XYZ is planning to produce large screen televisions in order to earn more profit (Project Management: Tools & Techniques,2002). For that it has to take care of supporting documents so that it can maintain quality of new products and can satisfy consumers as well.

A. Business case

XYZ is engaged in selling of home appliances such as freezers, gas, cookers etc. items. In order to raise its profitability entity is planning to enter into the new large screen television market. For that company is trying to produce high quality electrical products of television that can satisfy needs of consumers. This project or business will support XYZ in raising its profitability and sustaining in the market for longer duration. It will give growth opportunities to the business and it will be able to gain competitive advantage in this new market (Yazdani and, 2015).

Target market

Target market for large screen television products are corporate offices those which buy television for stadiums and parks. They like to buy large screen TVs that can be visible in the large ground. For that XYZ is planning to sell them 58 inches television products that can satisfy their needs. They are the potential buyers of cited firm (Igartua and Markuerkiaga, 2018).

Cost benefit Analysis

Company has to set its cost or budget before developing the new products. The new large screen TV products production cost has been decided £20000.



Cost per annum

Raw material purchase

Purchasing of raw material for producing large screen TVs


Staff salaries

XYZ will have to give wages to its staff members


Rent of two additional workstations

Rent pay for the production house


Utility and other expenses

Maintenance cost, electricity bills


Sum of all cost





Resource wastage reduction



Profit from selling TV products



Total benefits



Net profit




B. Project Plan

XYZ company will have to follow different stages of project life cycle in order to develop new products of large screen TV.

Initiation phase

In this phase cited firm will have to set aim and objective and have to conduct the operations according to these objectives (Hornstein, 2015). In this phase it is essential to do risk analysis of new products, set budget and schedule activities so that further activities can be done in efficient manner.

Planning phase

It is next stage in which project manager has to make planning in order to make the project successful and meeting with the organizational objectives. They have to look at the resources, procuring requirements, quality assurance etc. This will support in developing the products as per the requirements of consumers (Walker, 2015).

Initiation phase

It is next stage in which entire planning is being executed in real workplace environment. Project manager look at the time, money, human resources in order to convert input into desire output. Furthermore, it is essential to monitor the progress of the project in effective manner so that errors can be identified on time.

Closing phase

It is the last stage in which project manager communicate with all stakeholders and make them aware with the success of the new product development in XYZ company.

C. Gantt Chart

Task Name





Generation of ideas

17 days

Mon 4/9/18

Tue 5/1/18


Searching for identifying needs of target consumers

5 days

Mon 4/9/18

Fri 4/13/18


Quality evaluation

10 days

Mon 4/16/18

Fri 4/27/18


Framing objective for the new project

2 days

Mon 4/30/18

Tue 5/1/18


Concept designing

11 days

Wed 5/2/18

Wed 5/16/18


Creative and innovative idea generation

3 days

Wed 5/2/18

Fri 5/4/18


Refining concept

3 days

Mon 5/7/18

Wed 5/9/18


Retrieving past designing

5 days

Thu 5/10/18

Wed 5/16/18


Feasibility study

32 days

Thu 5/17/18

Fri 6/29/18


Checking of strategic feasibility

6 days

Thu 5/17/18

Thu 5/24/18


Checking market conditions

7 days

Fri 5/25/18

Mon 6/4/18


Checking technical capabilities

5 days

Tue 6/5/18

Mon 6/11/18


Checking financial efficiency of the business

4 days

Tue 6/12/18

Fri 6/15/18


Check availability of all resources

4 days

Mon 6/18/18

Thu 6/21/18


Decision making

6 days

Fri 6/22/18

Fri 6/29/18


Detail designing for new product

7 days

Mon 7/2/18

Tue 7/10/18


Setting of specification

3 days

Mon 7/2/18

Wed 7/4/18


Producing drawing

2 days

Thu 7/5/18

Fri 7/6/18


Produce prototype

2 days

Mon 7/9/18

Tue 7/10/18


Test Product

10 days

Wed 7/11/18

Tue 7/24/18


Testing of product in order to measure its quality against the demand

10 days

Wed 7/11/18

Tue 7/24/18



D. Justification for use of project methodologies

XYZ company wants to enter into the new market for increasing its profitability and enhancing brand image. Company takes support of various techniques for developing the large screen Televisions in the market (Olabisi and Cox, 2016). One of the main strategy of the business unit is lean production and sig sigma. These strategies are effective for minimizing wastage and reducing production cost of XYZ. By this way it will be able to utilize its resources well and will be able to produce high quality products that can satisfy needs of consumers to great extent. Project manager will have to use lean manufacturing principles. These principles are helpful in identifying the ways to produce high quality products.

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Task 4

A. Review effectiveness of Project Life Cycle (PLC)

Project life cycle is followed by project managers in each project. This helps in managing projects within business units. It is effective in order to scheduling the entire process and structuring the project. If project manager of XYZ company develop new television project without scheduling it then it may create problem and can raise it s cost as well. Proper scheduling supports the persons in identifying the time length of each activity and resources required in each phases. Lean production process is helpful in managing the new project appropriately (Elzamly and Hussin, 2015). It helps in identifying the availability of resources that can help in developing new products in the entity. Project life cycle helps the manager in identifying errors in the process that can hinder its success. By this way manager can make strategies that can supports in minimizing issues and raising quality of new products. By this way XYZ can become able to satisfy needs of consumers significantly.

Project life cycle is beneficial in order to identify interest of stakeholders in the new project. By this way manager can communicate the progress of the entire project with them and can raise their confidence. PLC supports in making appropriate decision for the growth of project (Olabisi and Cox, 2016).

B. Significance of designing and implementing PLC

Designing is beneficial aspect that supports manager in identifying root cause of mistakes and make strategies to resolve these errors. Designing and implementing PLC support the manager in testing the progress of the new product so that it can run in efficient manner and can met with its objectives.

C. Incorporation of cost saving techniques

Lean production is the technique through which cost saving technique can be incorporated. This helps in analysing existing production process and minimizing wastage. By using this technique manager can utilize financial resources efficiently and can minimize errors as well. This will help the project manager in producing TV set in large amount with quality. Procurement strategy supports in managing inventory well and control over logistic operations. By this way company can get high quality raw material at lower cost. This helps in reducing cost and enhancing saving of business unit (Igartua and Markuerkiaga, 2018).

D. Techniques to ensure quality, scope ad tenure in project implementation

XYZ company has to take support of various techniques in order to ensure quality and cost. PERT is the beneficial tool that is effective in order of control over project lie cycle phases. This assist in scheduling activities properly so that it can get completed within specified period of time and cost as well (Martinelli and Milosevic, 2016). Critical path method is another strategy that ensure quality, cost and tenure. By this way firm can produce high quality TV products within specified period of time.

E. Theories use between large and small scale projects

Large scale projects take support of stakeholder review, quality measurement models. They compare the performance of their project with other competitors. This helps in examining the success of entire project plan. On other hand small scale project take support of sig sigma, Keizen techniques so that they can raise quality of the projects and can meet with the consumers requirements.

F. Evaluation of PLC

The prepared project life cycle is effective enough in order to meet the objective of XYZ company (Lean Manufacturing Vs. Six Sigma,2018). By following this process project manager will be able to develop new product of large screen TVs successfully and will be able to satisfy needs of consumers. Project review is beneficial in order to measure the quality of the products.


From the above study it can be concluded that project manager has to ensure the objective of the firm and accordingly has to prepare planning. Project life cycle is beneficial in identifying issues and evaluating the improvement areas. By this way manager can make effective strategies that can help in producing high quality products. Use of sig sigma and Keizen techniques are able to reduce errors and ensuring quality. Effective implementation of these techniques can help the manager in completing the project on time and entering into the new market successful.


Books and Journals

  • Cleden, D., 2017. Managing project uncertainty. Routledge.
  • Elzamly, A. and Hussin, B., 2015. Classification and identification of risk management techniques for mitigating risks with factor analysis technique in software risk management. Rev. Comput. Eng. Res.2(1). pp.22-38.
  • Heldman, K., 2018. PMP: project management professional exam study guide. John Wiley & Sons.
  • Hornstein, H. A., 2015. The integration of project management and organizational change management is now a necessity. International Journal of Project Management.33(2). pp.291-298.
  • Igartua, J. I. and Markuerkiaga, L., 2018. Application of Innovation Management Techniques in SMEs: A Process Based Method. In Closing the Gap Between Practice and Research in Industrial Engineering(pp. 67-74). Springer, Cham.
  • Kerzner, H. and Kerzner, H. R., 2017. Project management: a systems approach to planning, scheduling, and controlling. John Wiley & Sons.
  • Martinelli, R. J. and Milosevic, D. Z., 2016. Project management toolbox: tools and techniques for the practicing project manager. John Wiley & Sons.
  • Olabisi, O. and Cox, S., 2016. Innovative voltage management techniques to derive active network services from existing assets.
  • Oswald, A., Köhler, J. and Schmitt, R., 2018. Project Management at the Edge of Chaos: Social Techniques for Complex Systems. Springer.
  • Rushdi, A. M. A. and Alturki, A. M., 2017. An application of reliability analysis techniques in project management. British Journal of Mathematics & Computer Science.21(6). pp.1-15.
  • Walker, A., 2015. Project management in construction. John Wiley & Sons.
  • Yazdani, A. and, 2015. Prevention of musculoskeletal disorders within management systems: A scoping review of practices, approaches, and techniques. Applied ergonomics.51.pp.255-262.
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