Introduction
One branch of management in organizations is that of operations, whose purpose is to develop, monitor, and control the production process. It is also meant to bring enhancements within the progressions if considered essential per market and technology trends. It encompasses determining and implementing the techniques resulting in the attainment of high productivity while steering operations of the company. The entire process of products and services from originating point to the consumption point is what is referred to as supply chain management (Jacobs & Lummus, 2011). It includes various happenings like transportation and storage of raw materials as well as work-in-progress inventories (Jacobs & Lummus, 2011). The entire process where you plan, monitor, and execute the goods and services from the point of origin to the endpoint in a way that meets the consumer needs and requirements is known as logistics (Christopher, 2016). The entire paper entails a full discussion of an automotive, multinational company known as Jaguar Land Rover (JRL) that is based in the United Kingdom. The primary activities done by this company are researching, developing, manufacturing, and assembling the parts of vehicles. In this discussion, I will majorly investigate two areas in managing operations, logistics as well as the supply chain of the company. The two significant areas that will be discussed are; service development and process of the new product and logistic mix. The paper will also provide solutions as well as recommendations for all the identified problems.
New Product Development
The development of new products relies on the designing process when the product is developed to meet customer needs and preferences (Andreea & Barr, 2014). Product development strategy is used in this case to encompass modifying the product that already exists or an exhibition and formulation of a completely new product that placates newly distinct customer requirements or even a market niche (Wayne, Manfred & Katrin, 2010). By the use of Everett M. Rogers' theory on Diffusion of Innovation, JLR is able to elucidate how, why, and at what rate new ideas and technology will be incorporated in designing the new car model in the market place. The process encompasses the introduction of a new product within the market to make it acceptable to the customers as well as increasing the industry brand name. JLR is an automotive company that has introduced a new car model called JLR Blue zinger. It has components of high security whose access is limited to five people through connection to mobile phones and fingerprints scans. When the car is locked, the sensor identifies when people who are not authorized attempt to open the car door. It electrifies their hands; thus they cannot run away from the door handle. The alarm system rings alerting the bystanders as well as owners of attempted theft. To design and develop this high-tech security car, the Jaguar land rover company deploys the Product Development Toolkit Model theory, which includes several stages, as discussed below.
New Product Development Stages
The first stage is the quality function deployment, which involves proper planning of the new product and the features to be incorporated. Jaguar land Rover (JLR) captures the voice of the customer (VOC) and performs the market analysis as it attempts to launch the new car model with high-tech security features by utilizing sensors technology ("JLR Corporate Website," 2019). No person who is not authorized gets the car access if not allowed by the five people marked as the car owners or users. As a result, the JLR company develops its corporation by giving security features to counter threats or theft.
The second stage is target costing, which is a strong strategy used by the company. It is used to consider the market condition and then decide on the best product price to achieve the best and amicable volume of sales. JLR has deployed a non-negotiable fixed price for the new car model. JLR company mainly targets the middle and elite class of people since they know that their target customers are capable of affording the car without encountering any difficulty. The company then decides the cost of the vehicle by considering several factors like quality and security features. The company also creates cost sheets when it designs the car, where it usually incorporates the cost incurred from the material and also the manufacturing costs.
The third stage is the design for manufacturability, which includes considerations of several principles while doing assembling the new car. JLR company has incorporated new features like alarms and sensors to the new vehicle to ensure that all the car parts are fully assembled at a fixed place that lowers the potential transportation costs that generally add up to the production cost. The company has been within the automotive revolution period. Various factors act as severe threats to the company. They include legal, environmental, social, and also political issues. The company is then having to engage in the process of inventing new ways of doing the right and valid designation and development of the cars. JLR has been in the means of countering these factors, where it has new techniques in the line of electrification of powertrains. It has used software technologies in the assembling of its new car.
The other stage in the new product development used by JLR is the Failure Modes and Effect Analysis (FMEA). In this process, the probable issues are significantly analyzed in relation to the product development cycle to ensure proper and vital actions are taken within the right time frame (Stamatis, 2013). The company has used the FMEA tool in determining severe issues as it designs and develops the new car. The company has also used artificial intelligence and high-tech features to come up with the security components of the new vehicle. The company has also used the FMEA analysis in ascertaining possible mode failure as well as actions that can lower the chances of failure in the process of incorporating the new product to the market place.
A control plan refers to the activities which are necessary for every step of development in ensuring that the product's outcome is controlled. JLR has a managed policy which is in written form that communicates its development plan for the new car model. It also creates a plan to ensure the components' quality, features, and the final product meets the consumer needs and preferences in the market place.
Logistics Mix
The logistic mix is a crucial component in supply chain management and includes several activities. These activities include product planning and inventory management. Other essential activities in supply chain management are storage, transportation, packaging, distribution, and also customer services. JLR procures parts of vehicles from suppliers whose delivery systems are of high-quality components. The company also uses direct distributors as a way of distributing its products to the targeted market that is the potential customers. The distributors also come directly to the customers to communicate the features as well as components of a car in a way that is efficient so that people are influenced to buy the new car model without the creation of doubt in the product. They persuade the customers on the importance and unique features that are in their car and hence making them purchase having got all the relevant and necessary information concerning the new vehicle.
The company adopted available transportation in mediums like air, sea, and roads. The ways are so effective and help the company to ensure the car reaches the right customers and the market efficiently. In the proper management of inventory, JLR deploys two methods, which are Just in Time as well as Lean Production. The just in time technique is used to reduce the time lag that is between procurement and execution of final products (Christopher, 2016). In so doing, JLR's main objective is to eliminate any wasted time in sourcing its raw materials to completing the final product.
The lean production technique has been deployed by the company to minimize the general production cost in designing and developing the car. The tool helps the company to avoid wastage in the process in any way and also ensuring the production of quality products for their customers. Furthermore, any bustle that fails to enhance any value or being of no importance to the production process, such as repairing faulty components, is eradicated. JLR therefore intensely focuses on meeting the needs and preferences of consumers by producing the products which help in offering solution to their disturbing needs.
Operational and Supply Chain Issues Faced by the Company
In the process of production and supply chain management, JLR experiences some issues. The issues encountered in the production include the overstocked inventories, cost, and location issues. Other issues affecting the company are those to do with ethical and environmental concerns. Concerning overstock inventories, the company needs to keep its inventory in a well-stocked manner and ensuring that there are no cases of overstocking. Due to changes in technology, there would be a severe impact on the stock that exists in the company.
The demand of consumers will hence change, making the new product in having an enhanced and attractive quality. In the process of tracking and measuring the inventory data, the company may use software so that it will know and have a clear understanding of which are the most preferred items in the company. Regarding the costs and locations issues, the company's manufacturing power is strengthened because the demand from the customer and technology innovations are present in vehicle manufacturing. If the customer demands changes in any part of the gross product, the company, therefore, has an excellent task of developing its new products by incorporating unique features. It is also supposed to engage in the activities with significant changes in technology, which help in reducing the cost of production while maintaining their customers through their best and unique products. On the other hand, the location issues can be resolved by proper examination of the various factors like financing customer maintenance and relocations.
Conclusions and Recommendations
There are issues, operations, and logistics that are related to supply chain management. Therefore, the manager needs to be focused on all those issues and work towards resolving them so that the processes of the new product development and also the management of quality cars are not affected in any way. For the success of the company, efficient management of quality and proper development of the new product are the main important concepts.
It is also important for the JLR manager to be focused on the ways to overcome the supply chain and operational issues that arise within the company. At the market place, there may be a massive number of competitors, including those that use the one utilizing a technology that is of high quality and significant innovations within their cars. It, therefore, necessary for the JLR company to have a serious focus on enhancing its capability. It should also hire a workforce with the right qualifications so that, in any case of a problem emerges, the qualified workforce will hence be in a position to solve it amicably. With such qualified personnel with excellent problem-solving skills, the company is consequently in a place of offering better and quality products to its consumers.
The issues faced by the JLR company make it not being able to expand its business in other surrounding markets. In situations regarding the issues of the supply chain, it is evident that overstocked inventory greatly affect...
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Essay Sample on Operations Management: Enhancing Productivity & Quality. (2023, Mar 11). Retrieved from https://proessays.net/essays/essay-sample-on-operations-management-enhancing-productivity-quality
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