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System and Operations Management:Current Issues being faced by the Organisation - Essay Example

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System and Operations Management:Current Issues being faced by the Organisation

The production lines as well as the warehouse facilities ran smoothly till that time. However the introduction of 8 different kinds of products has caused a lot of difficulty in operations and warehouse management. The company is also facing some problems with their logistics providers who fail to deliver the product on time. System and Operations Management Input Output Process Model An Input output process model may be defined as the graphical representation of all the factors that makes up a process. (Arora, 2004)This model describes all the materials and information which is required as input for the company, the various processes involved in converting these inputs into useful outputs and the outputs delivered as a result of the operation. The model represented above presents the input, output and process model for the company which we are dealing with The Four V’s Of Operation The 4 V’s of operations are volume, variety, variation and visibility. The study of these four can help a firm to decide what kind of operations need to be done by them. (Bamford, 2010) Volume Volume is concerned with the fact whether the company produces a few specialist items of a lot of items of the same type. Achiff snack food has been a volume related company till now. They produced French fires in bulk volumes and send them to the fast food outlets and supermarkets for sales. However the situation has changed drastically with the introduction of Achiff Idaho branded products (Bergvall-Kareborn, 2004) Variety Traditionally the company focused on only 1 variety of product – French fries but this situation has changed and the company is now engaged in the production of 8 different types of products. This has led to various operational complexities for the company. (Voss, 2002) Variation Variation refers to the unpredictability of demand. Achiff faces a large amount of variation. Their largest business provider – Kelly is known to cancel orders at the last moment and also change quantities often. The fast food chains also require flexibility in delivery... Due to these variations; it is difficult to manage operations and warehouse activities of the company. Visibility The visibility of the process of product making is quite to the client. However they still interact with the client on a daily basis regarding the demand reduction or increase. Due to this interaction visibility of the firm increases. At present they do not have a dedicated customer service department and depend on the sales people to handle customer complaint calls. This uses a significant amount of time which could have been used for procurement of new orders. Thus in a nutshell we can summarise the four V’s in case of Achiff as follows – Volume High Variety High(8 different products) Variation High Visibility high Decision Making Hierarchy of the Firm The decision making hierarchy of the company has been shown in the case study. However the important point to notice here is the influence of certain people in making decisions which can be critical in the smooth functioning of the operations o the company. From the case study it is evident that too many decisions in the operations team are left to Tom who is the operations director. The operations team is not able to function effectively without him. Even the ...Show more

Summary

Case Study :Achiff Snack Foods by Word Count :2821 Contents Introduction 3 System and Operations Management 3 Input Output Process Model 3 The Four V’s Of Operation 4 Volume 4 Variety 4 Variation 4 Visibility 5 Decision Making Hierarchy of the Firm 5 The Role of Systems 6 Pareto Analysis 6 Current Issues being faced by the Organisation…
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