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Managing operations to improve efficiency and effectiveness

Simply defined as materially concerned areas with improved efficiency and high effectiveness in supportive and development operations of the firm’s target. Includes high level design and system operations to make goods and effective services. Sequential process actively involved is,

Planning correct sequential steps,

Scheduling the tasks with correct resource,

Activity controlling which transfers different inputs as raw materials into sequential outputs like goods and services,

Viewing the manufacture environment which in turn steps good operation managements, and been applied for different service settings with actual developed strategies. The better way to define service based option is such as a part in pervasive in the life that exclusively uses operation management.

The tool which is used for measuring its operation evaluation implied business through appraisal. ISO 9001 standards were followed for its quality control systems that has been monitored sequentially and evaluated for its right technique employed.

1.a) Role and importance of operation management

It leads the market to growing competition on a global basis. It links operation across different countries and make to become a multinational company. Cadbury gained exchange of operational knowledge and experience across the different locations and also gained individual operation knowledge from different countries. They are challenging with international competitors to retain their goodwill in the market. It helps increases the production and the efficiency.

Due to the worldwide competition Cadbury faces reduction in cost and the prices for the economic growth. Globalization makes the effects of increased sales and production. And it gives competitive pressures, spread of new technology and new innovations, rationalization of production on a global scale on a worldwide. It helped Cadbury to keep the number one position for the past 175 years.

1.B) Organisation Strategic Objectives

Corporate Leadership

The decision makers played a critical role for the growth of the organisation in shaping up their corporate and market strategies. Business leaders gained wider experience outside the Europe. It helped them to face international business opportunities. In the past, they have better equipped to recognise business opportunities for improvements and global operations.

Management Challenges

Revenue Growth and Market Share Improvement – The Revenue growth is about 10 per cent across board in chocolate, candy and gum had been increased when compared to the first quarter of the this year. The margin guidance increased for around 80 to 100 basis point for the full year.

Nature fact and its Scope:

Production management and its technique, good implication for the business nature, and obviously hard to find similarities between two distinction points like operation and production. Instead different inputs gets transformed into effective tangible services which has perspective view. It depends upon the geographical location, building strategies, installation and procurement analysis about resources such machineries, man power resources and its respective raw materials.

The EMI Group (Electric & Musical Industries Ltd.) is a British music company. It is the fourth-largest business group and family of record labels in the recording industry, making it one of the "big four" record companies. EMI Group also has a major publishing arm EMI Music Publishing based in New York City. The company was once a constituent of the FTSE 100 Index but is now wholly owned by Terra Firma Capital Partners.

The Electric and Musical Industries Ltd formed in March 1931 from the merger of the UK Columbia Company, famous at the time for its record label "His Master's Voice". From its beginning, the company was involved in both the manufacture of recording and playback equipment and the provision of music to play on its machines.

Micro Environment:

Micro environment includes the circuit of the industry and industry related people and businesses which directly influences the organisation directly. It includes suppliers, customers, shareholders, competitors, government authorities, etc. Micro tends to suggest small, but this can be misleading. Micro environment describes the relationship between firms and the driving forces that controls the existing relationship and makes a bonding. It is more local relationship, and the firm may exercise a degree of influence.

Macro Environment:

This includes all factors that can influence and organisation, but that are out of their direct control. A company does not generally influence any laws (although it is accepted that they could lobby or be part of a trade organisation). It is continuously changing, and the company needs to be flexible to adapt. There may be aggressive competition and rivalry in a market. Globalization means that there is always the threat of substitute products and new entrants. The wider environment is also ever changing, and the marketer needs to compensate for changes in culture, politics, economics and technology.

PEST Analysis:

PEST analysis is concerned with the environmental influences on a business.

The acronym stands for the Political, Economic, Social and Technological issues that could affect the strategic development of a business.

Identifying PEST influences is a useful way of summarising the external environment in which a business operates. However, it must be followed up by consideration of how a business should respond to these influences.

1.C) Operation Objectives

From the six analytical factor, production and functional factor has been evaluated

Revolution acts from industries,

Management for Research and Scientific,

Movement and functions in Human Resource,

Research operation,

Advanced production technology like implications using computers,

Revolution in support and service.

2. Quality in appropriate systems

Strategic objectives analysis [Internal Strategic Analysis]:

The effective objectives are analysed from one of the competitive factor such as “value chain” analysis,

Value Analysis: Analysis and describes the effective way of following a business chain that responsible for transformation of inputs to its respective outputs cyclic manner. It makes to understand the customer value about the creation of business and though by contributors examination at various activities inside the business.

2.A) Resource, Tools

Value Chain Analysis [VCA] provides certain view point for specific process. Its mainly supportive for two managerial facts,

Supportive Activities: Which combines general administration provides top level key empowerment, and their controls, while Human resource management concerned about human empowerment and resource allocation depends mainly upon their skill sets and work experience. Also combines with Research in the department leads to technical specifications and system development. The rational reach is that procurement deals about how the peoples are chosen and applied for correct strategic plans.

Primary Activities: Concerned about external environments such as logistical data deals with inbound and outbound operation management which deals about internal operations such as planning, strategic execution, and external facts such as sales with effective marketing.

Corporate and Social Responsibility

To overcome from government regulations and laws, Cadbury prepared a CSR report by the end of 2006 and middle of this year they have contributed to solve consumer diet, health problems arises like fat, obesity etc., and finally the solutions for the lifestyles. They have promoted physical activities by labelling. They have improved 30% of ethical sourcing standards and developed sustainable agriculture programmes. Nearly 25% of female employees were represented in their business management. It mainly focused on equal rights opportunities.

Keeping marginal facts as used for comparative model for both the existing activities.

Resource Based View [RBV]:

Its a effective method for identifying and analysing advantageous facts such as combination of skillsets, required capabilities with intangibles of an organisation. Each and individual firm provides unique process of resource maintenance termed as “bundle” possessing reach. Provided each responsive competencies with their resource gets advantage and becomes its effective resource.

Some of its resources,

Tangible Assets: This is a valuable resource of a firm to easily identify their movable and immovable resources that would evaluate the strength of a firm.

Intangible Assets: This is the unique resource of a firm which gets created by its behavioural approach, client interaction, level in which they deals with customer satisfactory points. Also deals with reputation, firm’s morale, technical ideas, rights and patents, and their trademarks which all gets analysed from the experience accumulated.

Capabilities of Organisation: It’s not specified for its “inputs”. Skill based review gets into fact in which the company gets transformation of its inputs into outputs. Similarly its specific quality range has been analysed from its either production level, servicing strategy, rational idealistic way.

Operational objectives within organisation:

The success factor in an organisation lies for

The major determinants in an industry level success make to understand about company’s strengths and weakness of its sequential steps.

Employees at top level such as managers must ensure for their standard objective for their right internal resources and activities follows value based view.

Some of internal and external factors are justified from the historical and practical experience probably from strategists.

The suitable terminology is Benchmarking, is a comparative based analysis about the product with other competitor about their quality, and specifications.

Business Process resource, model:

The critical way of planning and executing a business is resource allocation in desired active path which should be supportive for small, medium as well high level business plans. The key idea is to use a specific tool RPA [Resource Planning Tool] which implies individual and other employees for its correct task execution in desired time with allocated resource.

Three interfaces that rely in this tool are:

Work: In this phase the required task has been shared to the individual key employees for their supportive workings. Similarly the completion level has been notified for their performance analysis and their appraisal reviews.

Plan: This is the key part in business strategic unit in which the key employees like project managers, senior executives makes the correct designs. Since plan is the starting point for an execution, both internal and external factors has been analysed before continuing with the plan.

Configure: This phase would be the final correcting level that depends upon the organisation nature. All its basic settings has been verified for its right execution and its affordances.

Business processes

The major impact that influences business model is:

Modeling: A critical way to analyse the organisational requirements, be in graphical representation of organisation members makes them to communicate their rules, regulation acts developed to their business plan, rules and processes.

Sub divided as,

Business Modeling: Each collective activities which represents business processes which are inter related with each other, such progress is evaluated in the model. The supply chain and actual business flow gets structured in this model, which can be understandable for consumer level of entities.

Process Flow Modeling: It’s a graphical notation of various process that involved in an organisational relationship among them, simply called as “work flow base” modelling. Contains typical flow diagrams which contains, relative processes referred as Unit of Work [ UOW], as described in process flow models.

Modeling by Data Flow: Mainly deals with different dataflow in different business processes. The typical diagram represents activities, data accessing and its references.

Data Modeling: Its sub classified in accordance with its strategic applications and its influence in provisions, some of its conceptual types,

Conceptual model type

Modeling in Enterprise type

Logical data

Physical data modelling

Relational data modelling

Dimensional data types

2.B) Organisation structure for quality:

Quality is a critical attribute which measures actual tier relationship between individual, other attributes and their working environment. It’s s humorous thing, that get specific names for its individual productivity.

For a good structure organisation, mainly deals with Customer Relationship Management [CRM] analysed as,

“Customer relationship management (CRM) is a business strategy to select and manage valuable customer relationships. CRM requires a customer-centric business philosophy and culture to support effective marketing, sales and service processes. CRM applications can enable effective customer relationship management, provided that an enterprise has the right leadership, strategy and culture.” (Thompson, 2001, crmguru.com).

Making multiple business with customers makes long term relationship as referred from (Dwyerl, 1987 and Greenberg,2002), also discussed the basic methodologies.

Maintaining a guide in this varied and different market needs the quick, efficient and personal service, with quick in exceptional responses to customer requirements and enquiries.

Customer satisfaction plays a most important part in the Rock Star business. They continually work to make sure their customers receive products and services of outstanding quality. The company operates a policy of continuous improvement in every aspect of its business, and to make effort to enhance the true meaning of customer satisfaction. So, implementing a CRM system was a perfect fit with Rock Star forward-looking, customer-centric company culture.

2.C) Quality Culture

Quality Management

Quality management is a process or collection of processes projected to certify that a product manufactured or service performed observes to a distinct collection of norms for quality or satisfies the needs of the subscriber or customer. Quality control measure is a fundamental need in all possible production atmospheres to analyze and sample the production then makes necessary recommendations to upturn product quality. Quality control managers inspect, analyze and write report on existing production techniques to upgrade them according to the need.

Quality assurance

This part of the Quality Management is done to assure that the quality requirements will be attained. Confidence should be given to the stakeholders & subscribers that the requirements mentions will be fulfilled.

According to the definition given by PMBOK guide ‘QA is the application of planned, systematic quality activities to ensure that the project will employ all processes needed to meet requirements’.

The system should be under the observation to check whether the music web portal works according to the requirements or not. A good customer feedback system will help to understand the confidence level of the subscribers.

Organisational Performance:

Organisations that conduct through self-assessment to take good understand to their effective performance levels and to analyse its strategic issues and functions. Ultimately the performance factor is often diagnostic for implementation and an internal changing process for organisations.

Enhancing such performance gets developed by detailed descriptive analysis from the conceptual process carried out by various key employees and their efforts. Separate model has been assessed for measuring the organisation’s effective result like different inventions, internal facts which indulges empowerment and external facts such as political and economical factors.

Now a day, Business is operating in hostile and increasingly complex environment. Ability of the business to achieve the profitability is forced by many number of internal and external environment factors, that are inter connected. It makes sense to try to take some order to chaos by understanding the commercial environment and by practicing special strategy to the process to market product and services.

The marketing plan is beneficial for the organisation, they are as follows,

To identify the sources of competitive advantage

To commit the strategy and make gain

To get resources those are needed to invest and expand the business

To provide reasonable interest to the stakeholders

To set objectives and strategies

To measure organisation performance

Marketing planning is defined as the logical sequence and series of activities that leads the set of strategic planning objectives for an enterprise, and the strategic formulating plans for achieving the set goal. It is the process for determining that a business should become and how it can achieve the goal optically and successfully.

3.A) Importance of environmental scanning and monitoring:

An organisation is said to be surrounded by its environmental issues that affects the company positively and/or negatively. Its very survival and all of its perspectives, resources, problems and opportunities are generated and conditioned by the environment. Thus, it is important for an organisation to monitor the relevant changes taking place in its environment and make strategic formulation to adapt to the changes in the environmental issues. In other words, the company in order to survive and prosper, they much master in the strategic plan; and have to face the challenges of profoundly changing political, economical, technological, social and regulatory environment. To achieve this strategist must need to develop and implement a systematic approach to environmental scanning. As the rate and magnitude of change increase, this scanning activity must be intensified and directed by explicitly defined purpose, scope and focus.

Strategic Analysis:

In critical cases the firm entry and exit point may be suitable to its perspective operations and it varies depending upon its pursuing strategy. Liquidating and selling the firms strategy makes good exit point, while in some other cases plays the long term cash flows in marketing position.

Efforts of the company must cope up with the environmental issues that contribute to the development of system for exploring alternatives with greater sensitivity to long-run implications. This emerging science has the promise of providing a better framework for maximizing opportunities and allocating resources in anticipation of environmental changes. The art of environmental scanning suggests a general approach to the company that the company can used to make strategic planning. Especially, it is important to discuss on the scope and focus of environmental scanning, its procedure for scrutinizing the relevant trend, the techniques for evaluating the impact of the trend on the product or market of the concern and its link to the environmental issues and other strategic planning processes.

Cultural Changes

It helped them in the past to be the best in the wider environment. The managers, who involved in business outsourcing, carefully Listen, understand and respond to the consumers, customers, suppliers, shareowners, colleagues and communities’ needs sustained their success for the products. It keeps them survived well in the market for the past decade.

3.B) Organisation Improvement:

An organisation can become successive from its competitors, by considering the followings,

From Customer Perspective:

Better and correct understanding about the customer and their requirements,

Better service to the customer as they requires,

Checking about the service provided which matches to the customer expectation,

Whether the process being performed towards the customer makes value addition which beneficiary for both sides,

From Organisation Perspective:

Making feel that each employee took participate in the development or any strategic plan.

Should get feel about the success responsibility for the correct range of success,

Each and every individual should take active parts which would create good will among the customers as to get new customers as well.

Every person get trust worthy efforts to make their strategy into valued effort.

Recent Developments Proposed for EMI:

Guy Hands, CEO of Terra Firma Capital Partners, came to EMI with restructuring plans to cut 1,500 to 2,000 jobs and to reduce costs by £200 million a year. In January 2008, EMI's UK chief executive Tony Wadsworth left the company after 25 years.

The cuts are planned to take effect over the year 2008, and will affect up to a third of EMI's 5,500 staff. Joss Stone, an EMI signed singer is battling EMI, and hopes to leave the label. Stone has offered to forfeit £2million ($2.8 Million USA Dollars) in a desperate bid to leave the record label EMI. Stone said that after EMI was taken over by Terra Firma, her relationship with the label has gone sour and there is "no working relationship". 

3.C)Organisation Changes

While each case is unique, the turnaround plan, changes frequently involves the following stages:

Change in Management,

Analysis depends upon the situation; -For survival and trust worth tuning effects correct situation analysis has been made, depending upon more strategies as,

Top management change and its assets

Strategy and Revenue reformation

Strategic and cost acquisitions.

Active Emergency Plan – From existing departments and for its effective strategies plan has been made.

Restructuring business – by its effective implementation, and its improvement plan operations getting analysed from its product based approach positive and long term cash flow has been achieved.

Normal Return – Internal changes in company has been analysed for its correct profit as well for its employees beneficiary acts, makes effective in structural business approach.

Current issues of EMI:

EMI being one of the leading music recording companies has agreed for the business acquisition of the firm Terra Firma for £3.2 billion including debts.

EMI is serving with famous artist groups like Robbie Williams and the Beatle, has been the subject to more competitive for years, meanwhile concerned about critical business.

The firm’s sales is drastically declined in the recent months and said that it had made a £ 260 million loss in the past one year.

Some researcher has commented that the move was likely to bring other biddrrs into the fray, potentially including Warner, Hardee, etc.

4. Discussions

EMI goal is to give the consumer the best possible digital production,

EMI group has been agreed by UK music traditions and firm by Terra firma.

Terra Firma, offered the share price of 265 pence by its directors, also approved by its shareholders.

Depending upon the current positions, would rises as one of the leading competitive company which would serve on long term basis

As well rights of EMI employees have been committed for the business plan execution.

Such release by EMI plays competitive advantage among the trends factor since it provides unique tracks identification and ease of downloading.

EMI proposed new strategic plan in this year which would leads to minimizing job opportunities in European and US countries.

Its positive way of approaching the deliverables with correct structural executions gets co ordinate, obviously also relevant to the future marketing plans with timings.

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