Operation Management Business and Administration

Question: Discuss about theOperation Management for Business and Administration. Answer: Introduction: Operation management involves the business and administration practices for creating a perfect level of efficiency within a company. According to Ageron, Gunasekaran Spalanzani (2012), operation management is solely concerned with the labor, converting materials and the services of products in order to enhance the final process of profit of an organisation. In this present essay, various relevant issues will be discussed that are encountered by Hawkesbury Cabinet Pty Ltd. This company manufactures kitchen cabinetry, which is produced on the preferences of the customer. The essay will also identify several operational elements, which are responsible for influencing the overall image and production of the concerned company. The operation management of an organisation usually deals with a vast range of roles and responsibilities for maintaining the concerns of supply chain management for further success of an organisation. Wong et al., (2012) have mentioned that the operation management of an organisation also includes the adequate management of adopted strategies to complete the project in proper time. Even process manager should be competent enough to take appropriate decisions during the crisis period of the organisation. Only with good strategy by the operation manager, the encountered crisis can be mitigated (Hill Hill, 2012). Discussion In this section, the present production system and the process of Hawkesbury Cabinets Pty Ltd. will be discussed in a detailed manner. Mei Chen and Fung in Sydney established this company in 2008. With the talent and skill of Mei and Fung, who are qualified cabinetmaker and interior designer and potential to produce an excellent product for their company. This company has been established in order to provide efficient services to the customers of Hawkesbury in China at the initial stage. However, with the constant demand and criteria of the customers, Hawkesbury Cabinets Pty Ltd. Changes own strategy to expand the business. The primary concern of these two founders was to provide manufactured cabinets to the customers according to their diverse preferences (Hassini, Surti Searcy, 2012). Although at the initial stage, the founders have encountered with serious problems, as there are a huge variety of cabinet demands arriving from the customers, however, they have solved this issue wi th the adaptation of effective strategies. Fung has taken the role of production and operation manager, and Mei has taken care the financial segments of Hawkesbury Cabinets Pty Ltd. in order to solve the problem in a proper manner. Mei has shown perfect potentiality as financial manger within the organisation and has taken the entire responsibility of the general manager of the concerned company. Therefore, with the proper distribution of the managerial roles and responsibilities of Hawkesbury Cabinets Pty Ltd., every task are completed within appropriate time, and it also helps to enhance the brand image of the company. The managers of Hawkesbury Cabinets Pty Ltd. solely concentrates on manufacturing the kitchen set and cabinets on the preferences and choices of the consumers for achieving the best place in the market and industry of furniture. At first, Fung consults with the customers about their choice about the cabinets of the kitchen. After that consults with Mei to improve the design, color for a perfect, unique and attractive kitchen cabinet. Both the managers have understood the fact that satisfying the customer's need and demand is the primary principle to continue the business and achieve the best position in the market with a high range of profit (Basaran, 2012). As Hawkesbury Cabinets Pty Ltd. is famous for providing the kitchen cabinets according to the preferences of customers, therefore, this company has earned reputation in a short period than the other competitor businesses in the market. This company becomes famous for providing standard quality product at less expensive prices. Th e company is capable to manufacture limited kitchen cabinets in small batches, which is ranged in between single to five kitchen cabinet (Ratnasingam, Yoon Iora, 2013). The custom-designed kitchen cabinetry of Hawkesbury Cabinets Pty Ltd. captures most the sales revenue of the company. Hawkesbury Cabinets Pty Ltd. operates with the facility of a single manufacturer, which is potential enough to manufacture both the standardised and customised kitchen cabinetry. This company involves high quality raw material in order to add adequate flexibility to the complete kitchen cabinets. All the equipment are segmented in the separate portion of the factory of this concerned company. The basic manufacturing tasks are completed in one area, and the finishing and painting part of these manufactured kitchen cabinets are done in a separated area of the factory with the proper maintenance of element of the environment (Pakdil Leonard, 2014). Various assembly areas are established in a strategic manner within the plant. The finishing system of the manufactured product of Hawkesbury Cabinets Pty Ltd is of high esteem, and it reveals the skill, artisanship and the high quality raw materials of the kitchen cabinet. The new builders' kitchen line has tremendous impact on the operations and process of Hawkesbury Cabinets Pty Ltd. as since past few months, the sale of builders' line of kitchen has been increased in a gradual manner only because of regular scheduling of the work. The custom kitchen was always concerned with the profit margin and higher sales revenue during the trade-offs. However, a huge range of standard cabinet components was left at the different stages of completion only because of the changes in the volume of the work process. Therefore, the previous manufacturing area of Hawkesbury Cabinets Pty Ltd. has been completely transformed into the partially completed kitchen cabinets, with which the factory is clogged up, and it is not at all the spacious area of manufacturing. After reviewing the entire process and operations of the new builders' kitchen line, Mei Chen has noted the factors that influence the growth of the profit and sales revenue of the company. However, the profit margin of the custom kitchen is strong, and the position of builders' kitchen line is constantly increasing. The accountant of the concerned company argues that the profit margins are not up to the mark and satisfactory at all, if it is considered to be compared with the previous profit margins of the company. This problem may arrive because of inefficient operational management of an organisation, which is not perfect to mitigate the organisational issues (Sayem, Islam Khan, 2014). A significant amount of money is tied up with the unfinished product of Hawkesbury Cabinets Pty Ltd, therefore, the completion of the product will take more time than the promised delivery period. The existing operation management of this company limiting the manufacturing capacity. Therefore, both the managers should adopt potential and adequate strategies to regain the past position of the company with perfect operation management. Conclusion The essay carefully evaluates and analyse the production system and process of the Hawkesbury Cabinets Pty Ltd. it also discussed the impact of new builders' kitchen line on the operational structure of this company. This essay adequately addresses the issues related operation management of the concerned company as it has a proper capability to achieve the targeted goal of the company. At the end of this essay, both the manager have decided to improve the structure and the functions of operation management for the future success of the company. If the operation management is not properly structured then it will undoubtedly hamper the profit margin of the company, which is evident in the case of Hawkesbury Cabinets Pty Ltd. References Ageron, B., Gunasekaran, A., Spalanzani, A. (2012). Sustainable supply management: An empirical study.International Journal of Production Economics,140(1), 168-182. Basaran, B. (2012). 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