Introduction
Method Company is detergent company that produces premium soaps from natural ingredients using environmentally sustainable production methods. The sustainable production method is less toxic and wasteful than competitors’ while allowing the company to remain competitive despite the low prices. The paper evaluates the operational strategies and processes used by Method to achieve its production goals. Companies can address chemical contamination and design concerns through sustainable production.
Operations Management Process at Method
Achieving sustainability and low prices while allowing the company to compete is possible through efficient operations management. Operations management plays an important role in achieving sustainable production goals. According to Cachon and Terwiesch (2019), management of business operations within an organization in order to maximize efficiency is known as operations management (OM). It entails transforming materials and labor into products and services as efficiently as feasible to maximize profits.
Steps in Operations Management Process and Method’s Business Strategy
Creating a business strategy, planning operations, scheduling operations, controlling operations, and ensuring quality constitutes the operations management at Method. The business strategy at Method entails making good-smelling, high-performing household cleaners that remain healthy throughout the product’s lifespan. At the planning operations stage, managers at the company decide where, when, and how production will occur. For example, Method moved towards sustainable production and innovation through non-toxic products that use fewer resources. The overall goal is to apply the operations management process to keep the quality high, price reasonable, and improve customer satisfaction through eco-friendly and socially conscious products.
Factors Used by Method to Select Suppliers
The company uses location proximity, Eco-friendliness, and ingredient transparency to select its suppliers. For instance, Method requires factories supplying materials, such as plastics, to be co-located to reduce operational inefficiencies, shipping costs, and transport-associated emissions. Suppliers at Method should apply eco-friendly methods in their operations. The most important factor in supplier selection is ingredient transparency. A leading research firm assesses all ingredients to ensure their safety for people and the environment.
Method’s Facility Approach
Method’s facilities are partly powered by renewable energy (solar panels on the roof), including fitting with energy-efficient equipment. The facility approach shows Method’s commitment to providing environmentally-friendly cleaning products throughout its production channel. The company uses wind turbines to supplement solar energy to limit reliance on other energy sources, like oils. Besides, everything needed to make soaps are under one roof to signal an additional commitment to sustainability.
Concept of Facility Layout
Facility layout is designed to achieve efficiency and speed in moving human resources and materials, and maintaining high safety standards. An efficient facility layout ensures smooth and steady flow of materials, workforce, and equipment at a minimum cost. Layout facility is essential for the success of a business because it provides flexibility for modification expansion, reduces the time for moving material and people, and minimizes returns from capital investment.
How Method Implemented Environmental Principles in the Procured Facilities
The company resorted to producing renewable energy onsite with a foot-tall, 600kW wind turbine, supplemented with three 50kW solar trees (Brenner, 2018). Solar trees are devices resembling a tree in shape but with photovoltaic panels to capture solar energy and convert it into electricity. The innovative Method has enabled the company to install and use solar panels where the rooftop was not designed to accommodate the panels.
Method’s Action to Create Beautiful and Engaging Product
The company acted on its long-term mission by making good-smelling, high-performing householder cleaners that remained healthy through the material lifecycle. It entails packaging in attractive, eye-catching, and eco-designed containers to change how people viewed home cleaning. The redesign of their product aimed to appeal to more informed customers seeking effective, healthier cleaning products. Besides, it shifted to concentrating its detergents to save resources on packaging and shipping.
Conclusion
Method has managed to employ sustainability innovation as a business strategy by addressing health, social, and environmental issues with non-toxic products. Its operations management approach includes developing a business strategy, planning, scheduling, controlling operations, and ensuring quality. The facility layout is designed to facilitate movement of materials and people, including installed solar panels and wind turbines to supplement mains electricity.
References
Brenner, J. (2018). Method soap’s new brand campaign celebrates sustainable Chicago factory. Forbes. Web.
Cachon, G., & Terwiesch, C. (2019). Matching supply with demand: an introduction to operations management. New York: Mcgraw-Hill Education.