8004OMGT Final Assessment Notes for Operations Management Assignment Answers (Any Type)

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8004OMGT Final Assessment Notes

Number of Words- 2750

Citation/Referencing Style – Harvard

Operations Management Assignment Description and Purpose:

In the light of the new vision you have developed for the Interim assessment, it is now time to redesign operations processes and supply networks to deliver better value for the customers.


 Write a report that critically evaluates a process (or the operation, or the supply network) of your organisation or an organisation you are familiar with, and propose recommendations for improvement.

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Assessment brief your report should:

Describe the selected process (or operation/supply network) so that the reader can clearly understand it. If the process is large, you may focus on only a part of it i.e. delimits the scope.

Critically analyse the process (or operation/supply network) of the organisation using the operations management principles taught in any three of the following topics, and propose recommendations which would contribute to delivering better value for the customers.

Please ensure you select at least one topic from each column of the following table in your selection of the three topics.

  1. Operations Design Decisions
  2. Operation Delivery and Development Decisions
  3. Process Design – Positioning
  4. Resource Planning and Control
  5. Process Design – Flow Configuration
  6. Lean or Agile Supply Chains
  7. Supply Network Configuration
  8. Lean Synchronisation
  9. Long-Term Capacity Design
  10. Total Quality Management


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8004OMGT Final Assessment Notes for critically evaluates a process (or the operation, or the supply network) of your organisation or an organisation

Write a report that critically evaluates a process (or the operation, or the supply network) of your organisation or an organisation you are familiar with, and propose recommendations for improvement.

Your report should:

  • Describe the selected process (or operation/supply network)
  • Critically analyse the process (or operation/supply network) of the organisation using the operations management principles taught in any three of the following topics, and propose recommendations which would contribute to delivering better value for the customers

Please ensure you select at least one topic from each column of the following table in your selection of the three topics.

Operations Design Decisions Operation Delivery and Development Decisions
1. Process Design – Positioning 5. Resource Planning and Control
2. Process Design – Flow Configuration 6. Lean or Agile Supply Chains
3. Supply Network Configuration 7. Lean Synchronisation
4. Long-Term Capacity Design 8. Total Quality Management
  • Use the concept of ‘Operations Strategy Matrix’ taught in Topic 1 of your learning materials and the article by Bollard et al. (2017) provided below to demonstrate how the proposed recommendations can have a strategic impact for the business in a holistic and coherent way.
  • Read and incorporate the following article in to your report:

The following article discusses how digitisation, advanced analytics, lean process design, intelligent automation and business process outsourcing can help companies derive the next-generation operations model. You may use the insights from this article to demonstrate how the proposed recommendations could have a strategic impact on the business in a holistic and coherent way.

Read Article

Bollard, A, Larrea, E, Singla, A &Sood, R 2017, The next generation operating model for the digital world, McKinsey & Company, viewed 12 January 2019, https://www.mckinsey.com/business-functions/digital-mckinsey/our-insights/the-next-generation-operating-model-for-the-digital-world

Textbook Read

CH 1 p. 24 – 26 Are processes managed to reflect their operating circumstances?  4 v’s

The volume of the products and services produced.

The variety of the different products and services produced.

The variation in the demand for products and services.

The degree of visibility that customers have of the production of products and services.

CH 1 p. 27 – 29 Are operations and process decision-making appropriate? 4 d’s


Direct – Steering operations processes

Chapter 1 Operations and processes

Chapter 2 Operations and strategic impact

Chapter 3 Product and service innovation

Chapter 4 Operations structure and scope


Design – Shaping operations and processes

Chapter 5 Process design 1 – Positioning

Chapter 6 Process design 2 – Analysis

INPUT of Resources

Deliver – Planning and controlling ongoing operations

Chapter 7 Supply chain management

Chapter 8 Capacity management

Chapter 9Inventory management

Chapter 10Resource planning and control

Chapter 11 Lean

OUTPUT of products and services

Develop – Improving the operation’s capabilities

Chapter 12 Improvement

Chapter 13 Quality management

Chapter 14 Risk and resilience

Chapter 15 Project management

Operations Strategy Matrix Definition

The operations strategy matrix is a tool to assist organisations in making strategic operational decisions about capacity, the supply network, process technology, development and organisation. These decisions are dependent on five performance objectives: quality, speed, dependability, flexibility, and cost.

Operations Strategy Matrix Definition




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Article Notes

Companies need to increase revenues, lower costs, and delight customers. Doing that requires reinventing the operating model.

Companies know where they want to go. They want to be more agile, quicker to react, and more effective. They want to deliver great customer experiences, take advantage of new technologies to cut costs, improve quality and transparency, and build value.

We have found that for companies to build value and provide compelling customer experiences at lower cost, they need to commit to a next-generation operating model. This operating model is a new way of running the organization that combines digital technologies and operations capabilities in an integrated, well-sequenced way to achieve step-change improvements in revenue, customer experience, and cost.

A simple way to visualize this operating model is to think of it as having two parts, each requiring companies to adopt major changes in the way they work:

The first part involves a shift from running uncoordinated efforts

Launching an integrated operational-improvement program organized around customer journeys (the set of interactions a customer has with a company when making a purchase or receiving services) as well as the internal journeys (end-to-end processes inside the company).

Many organizations have multiple independent initiatives underway to improve performance, usually housed within separate organizational groups (e.g. front and back office). This can make it easier to deliver incremental gains within individual units, but the overall impact is most often underwhelming and hard to sustain. Tangible benefits to customers—in the form of faster turnaround or better service—can get lost due to hand-offs between units. These become black holes in the process, often involving multiple back-and-forth steps and long lag times. As a result, it’s common to see individual functions reporting that they’ve achieved notable operational improvements, but customer satisfaction and overall costs remain unchanged.

Companies have to think holistically about how their operations can contribute to delivering a distinctive customer experience. The best way to do this is to focus on customer journeys and the internal processes that support them.

Transitioning to the next-generation operating model starts with classifying and mapping key journeys.

Journeys can vary by product/service line and customer segment.

We often find that companies fall into the trap of simply trying to improve existing processes. Instead, they should focus on entirely reimagining the customer experience, which often reveals opportunities to simplify and streamline journeys and processes that unlock massive value.

The second part is a shift from using individual technologies, operations capabilities, and approaches in a piecemeal manner applying them to journeys in combination and in the right sequence to achieve compound impact.

Organizations typically use five key capabilities or approaches (we’ll call them “levers” from now on) to improve operations that underlie journeys

Digitization is the process of using tools and technology to improve journeys. Digital tools have the capacity to transform customer-facing journeys in powerful ways, often by creating the potential for self-service. Digital can also reshape time-consuming transactional and manual tasks that are part of internal journeys, especially when multiple systems are involved

Advanced analytics is the autonomous processing of data using sophisticated tools to discover insights and make recommendations. It provides intelligence to improve decision making and can especially enhance journeys where nonlinear thinking is required. For example, insurers with the right data and capabilities in place are massively accelerating processes in areas such as smart claims triage, fraud management, and pricing.

Intelligent process automation (IPA) is an emerging set of new technologies that combines fundamental process redesign with robotic process automation and machine learning. IPA can replace human effort in processes that involve aggregating data from multiple systems or taking a piece of information from a written document and entering it as a standardized data input. There are also automation approaches that can take on higher-level tasks. Examples include smart workflows (to track the status of the end-to-end process in real time, manage handoffs between different groups, and provide statistical data on bottlenecks), machine learning (to make predictions on their own based on inputs and provide insights on recognized patterns), and cognitive agents (technologies that combine machine learning and natural-language generation to build a virtual workforce capable of executing more sophisticated tasks). To learn more about this, see “Intelligent Process Automation: The engine at the core of the next generation operating model.”

Business process outsourcing (BPO) uses resources outside of the main business to complete specific tasks or functions. It often uses labor arbitrage to improve cost efficiency. This approach typically works best for processes that are manual, are not primarily customer facing, and do not influence or reflect key strategic choices or value propositions. The most common example is back-office processing of documents and correspondence.

Lean process redesign helps companies streamline processes, eliminate waste, and foster a culture of continuous improvement. This versatile methodology applies well to short-cycle as well as long-cycle processes, transactional as well as judgment-based processes, client-facing as well as internal processes

Guidelines for implementing these levers

In considering which levers to use and how to apply them, it’s important to think in a holistic way, keeping the entire journey in mind. Three design guidelines are crucial:

Organizations need to ensure that each lever is used to maximum effect. Many companies believe they’re applying the capabilities to the fullest, but they’re actually not getting as much out of them as they could.

This often breeds a false complacency, insulating the organizations from the learnings that would otherwise drive them to higher performance because it is “already under way” or “has been tried”. Having something already under way is a truism: everyone has something under way in these kinds of domains, but it is the companies that press to the limit that reap the rewards. Executives need to be vigilant, challenge their people, and resist the easy answer.

In the case of analytics, for example, maxing out the potential requires using sophisticated modeling techniques and data sources in a concerted, cross-functional effort, while also ensuring that front-line employees then execute in a top-flight way on the insights generated by the models.

Implementing each lever in the right sequence. There is no universal recipe on sequencing these levers because so many variables are involved, such as an organization’s legacy state and the existing interconnections between customer-facing and internal processes. However, the best results come when the levers can build on each other. That means, in practice, figuring out which one depends on the successful implementation of another.

Systematic analysis is necessary to guide decision making. Some institutions have started by outlining an in-house versus outsource strategy rooted in a fundamental question: “What is core to our value proposition?” Key considerations include whether the activities involved are strategic or confer competitive advantage or whether sensitive data or regulatory constraints are present.

The next step is to use a structured set of questions to evaluate how much opportunity there is to apply each of the remaining levers and then to estimate the potential impact of each lever on costs and customer experience. This exercise results in each lever being assigned an overall score to help develop a preliminary point of view on which sequence to use in implementing the levers.

There’s also a need to vet the envisioned sequences in the context of the overall enterprise. For example, even if the optimal sequence for a particular customer journey may be “IPA then lean then digital,” if the company’s strategic aspiration is to become “digital first,” it may make more sense to digitize processes first.

This systematic approach allows executives to consider various sequencing scenarios, evaluate the implications of each, and make decisions that benefit the entire business.

Finally, the levers should interact with each other to provide a multiplier effect.

Some companies have developed end-to-end journey “heat maps” that provide a company-wide perspective on the potential impact and scale of opportunity of each lever on each journey (Exhibit 2). These maps include estimates for each journey of how much costs can be reduced (measured in terms of both head count and financial metrics) and how much the customer experience can be improved.

Companies find heat maps a valuable way to engage the leadership team in strategic discussions about which approaches and capabilities to use and how to prioritize them.

Bringing it all together: Avoid creating new silos by thinking holistically

Senior leaders have a crucial role in making this all happen. They must first convince their peers that the next-generation operating model can break through organizational inertia and trigger step-change improvements. With broad buy-in, the CEO or senior executive should align the business on a few key journeys to tackle first. These can serve as beacons to demonstrate the model’s potential.

After that comes evaluation of the company’s capabilities to determine which levers can be implemented using internal resources and which will require bringing in resources from outside. Finally, there is the work of actually implementing the model.

Transformation cannot be a siloed effort. The full impact of the next-generation operating model comes from combining operational-improvement efforts around customer-facing and internal journeys with the integrated use of approaches and capabilities.

Process Design and Positioning Chapter 5

Resource Planning and Control Chapter 10

Total Quality Management Chapter 13

Remember to Analise from 5 performance objectives perspective

Operations add value for customers and contribute to competitiveness by being able to satisfy the requirements of its customers. The most useful way to do this is to use the ‘opera- tional’ performance measures that we briefly discussed in the previous chapter. All of these, to a greater or lesser extent, will affect customer satisfaction and define market positioning in terms that have meaning in an operations context. As a reminder, the five performance objectives are:

  • Quality – producing error-free goods and services that are ‘fit for their purpose’.
  • Speed – minimising the time between a customer asking for goods and services and the customer receiving them in full.
  • Dependability – keeping the delivery promises that have been made to customers.
  • Flexibility – the ability to vary or adapt the operation’s activities to cope with unexpected circumstances or to give customers individual treatment, or to introduce new products or services.
  • Cost – producing goods and services at a cost that enables them to be priced appropriately for the market, while still allowing a return to the organisation (or, in a not-for-profit organisation, that give good value to the tax-payers or whoever is funding the operation).

Refer to forum and interim assessment notes