Operations Management and Productivity | Free Essay Example

Operations Management and Productivity

Words: 849
Topic: Business & Economics
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Introduction

Operation management aims at ensuring that functions in a company/business are conducted in the most efficient manner, so as the end results are satisfied customers and reduced cost of production. It has elements of managing and directing processes. To be effective an operating manager should implement a ten decisions of operational management strategy the decisions are Design of Goods and Services, Managing Quality, Process Strategy, Location Strategies, Layout Strategies, Human resources and job design, Supply-chain management, feasible and efficient production schedule, and Maintenance (Anil-Kumar, 2006). Hard Rock company, started in 1971 as a small café but it has spread to have over 110 cafes under its name. This achievement is due to an efficient operating system. This paper discusses how Hard Rock implements each of the ten decision of operation management.

How the 10 decisions of operations management are applied at Hard Rock Cafe

Design of Goods and Services

The cafés products are food and hospitality services. The company puts a lot of emphasis on product development and ensuring that customers are satisfied with their products and services.

Managing Quality

To maintain and control quality Hard Rock only produces those products that it can get quality raw material from their suppliers and have expertise in the product making. In the area of service, it maintains highly motivated staffs who serve customers with passion. It regulates music to ensure that they keep track on what their customers want.

Process Strategy

The company manages its operations from the earliest time possible. In making food product it ensures that raw materials used are of the right quality and quantity. Processing duties are vetted for efficiency, cost reduction and quality production. The cafes aims to keep their customers satisfied at all times.

Location Strategies

The cafes ensure that they are located in areas where target customers can access them easily. They are present in tourist’s destination sites and major cities. The world’s largest of all is in Orlando, Florida.

Layout Strategies

Hard Rock has a layout that strengthens collaboration between departments. There is good communication in various departments a move that leads to high efficiency in terms of costs, business environment and product development (Nigel, Stuart & Robert, 2007).

Human resources and job design

Hard Rock understands that to be effective in ones business human resources are important. Employees are highly motivated and given room to speak their minds. Creativity and innovation is highly welcomed. When recruiting it ensures that it gets quality employees from the market. Career path is well defined.

Supply-chain management

The company maintains a just in time supply management where it ensures that there is materials required in a certain production and customers get products and services when they need it.

Inventory, the quality and level of inventory is maintained by adopting an inventory management system that advices management on various issue regarding stocks. The areas include reorder level, expire data and suppliers name among others.

Feasible and efficient production schedule

To maintain efficiency and customer satisfaction, the company interpolates all processes and recognizes the amount of resources (human and physical) required. After this has been known, plans are made to ensure that adequate resources are available. This helps the company to deliver its products in time.

Maintenance

Hard Rock has well structured mechanisms to ensure reliability and stability. There is a continuous appraisal of the systems at one particular time and if there is need for improvement it is done. Standards are set to ensure close monitoring.

How to determine the productivity of the kitchen staff and wait staff at Hard Rock

Kitchen is responsible of making food and wait staff to offer services. Quality of food can be measured by the level that it satisfies customers; if customers show appreciation or complains then a decision is made on whether kitchen is doing good job or not. There are evaluation reviews that customers make either online or dropping a note in suggestion box. Hard Rock gauges its productivity from 1-7, anything less than seven is considered to have a deficit. Turnaround time should be minimal and one that meets the needs or promise made to a client. Wastage is another area that should be checked; for an effective kitchen management, proper management of raw ,materials and proper disposal of wastes.

Wait staff offer services, they should be passionate of their job and serve customers whole heartedly. To evaluate if they are doing this, customer reviews should be considered, time of service should also be considered.

To ensure quality, there is continuous training of kitchen staff and wait staff (Jae, & Siegel, 1999).

Conclusion

Operational management ensures that all areas in an organization are functioning well. In hospitality industry, products and service provided determine the success of a business. Hard Rock success can be traced to an efficient operational management which touches all areas in product manufacture and service provision. It employs ten decisions of operational management which are Design of Goods and Services, Managing Quality, Process Strategy, Location Strategies, Layout Strategies, Human resources and job design, Supply-chain management, feasible and efficient production schedule, and Maintenance.

References

Anil-Kumar, S. (2006). Production and Operations Management. New Delhi: New Age International.

Jae, K. and Siegel, G.(1999). Operations Management.New York: Barron’s Educational Series.

Nigel, S., Stuart. C. and Robert, J. (2007). Operations Management. London: Pearson Education.