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Introduction

Operation management plays a very important role in the business organization. It mainly depends on the size of the organization and how effectively it is applied There are some business activities or functions which can be connected with each other more effectively. The most important thing here is that the service, goods or any other aspect should add value to the organization. Few factors where operation management plays an important role are the management of the resource, financial management, goal setting, and communication. Operation managers need to have good interpersonal skills and communication so that their organization can work together (Antonio Martins and Ramos Martins, 2012). This report is based on Hotpoint Company which has very good goodwill and marketplace. This organization mainly deals with marketing, manufacturing and selling specific products such as television, refrigerator, washing machine, cookers etc. In this project, the various principle of operation management in an organization as well their strategy for continuous improvement that is based on management and operation will be discussed. The main aim of this project is to understand work breakdown structure used in PLC and theories show the effectiveness of implementation of PLC.

Task 1

P1 Implementation of operations management principles in the organization

            Implementation of operation management includes first understanding the process of manufacturing and operation which drives information and control system and which enables us to finally develop and plan business strategy. Every organization has several management teams and every team is assigned a particular task. Operation management team is highly skilled in developing the strategy so that entire process is finished with the minimal use of resources and processes.

OPERATION MANAGEMENT PRINCIPLES:

            Operation management has some principles that help to implement strategies that are as follows:

  1. The principle of reality: - According to this principle, operation managers has the tendency o focus on the tools rather than the problem. Because a problem has no solution but understanding a tool might give us a solution (Beringer, Jonas and Kock, 2013).
  2. The principle of organization:-According to this principle, everything should be organized in a manufacturing unit so that all the profit can become predictable and consistent. It is very easy to organize everything in an industry because everything is interconnected.
  3. The principle of fundamentals:-Everybody in the industry should stick to the common fundamentals on which all the production is based. Marinating record of inventory, BOM etc will make sure that the company has a great chance of success.
  4. The principle of accountability:-People should be held accountable for their work because with accountability comes responsibilities. And if an individual will take the responsibility of what he has been doing he will be more alert. Besides reward and bonuses will also result o great effort of the people.
  5. The principle of variance:-Variance is inherent in every process. It can either be motivated or can be controlled.It is motivated only when new changes or innovation is required in the company and it is controlled when the organization’s goal is to reduce cost (Blomquist, and et. al., 2010).
  6. The principle of causality:-The major problems which are faced by every manager are urgent shipment, late quotes, etc which are in need of dire attention. Managers should pay attention to them because if these problems are not solved they are bound to attack again.
  7. The principle of managed passion:-Passion of the employee can become a game changer for the company. If the employees are passionate then they can bring changes that can take the company to the next level and if the employees are just putting their time then they will not participate in the overall development of the company. Thus, the manager should instill passion amongst their employee.
  8. Principle of humility:-Every person in this world in not perfect. The manager should understand this and should accept their limitation. Because if they accept their limitation then they start learning from the mistake and move on to become a better manager (Brauers and Zavadskas, 2010). It should not happen that the company has to pay the cost of trial and error of the managers.
  9. The principle of success:-Market is very volatile so is the definition of success. But it should always be kept in mind that whatever will make the life of customer easier will become the product of the future. So the definition of success is always in terms of what matters most to the customer. The most important thing to understand is that sales are not the surety of success, it is a mirage.
  10. The principle of change:-Change is very important for the organization because every manufacturing technique will become obsolete in few years. Eventually, new techniques will find a way to the market. So managers should never get caught up with any particular strategy and he should adapt himself according to the changing market.

SIX SIGMA