Analysis Of Supply Chain Quality And Operational Issues Of Artaaj In UAE

Employee Performance

Question:

You are required to undertake an analysis of an operation with which you are familiar. This is likely to be the organization in which you currently work, however it is also possible to analyse another operation (e.g. a previous employer) if you have recently changed jobs or where there are issues (for example) with your ability to gather data for the case. For the operation of your choice you need to:

1. Provide a brief instruction to the operation and the organizational context.

2. Identify the key issues with the operation and critically evaluate these using theory from the module to underpin this critique.

Artaaj is a professional service provider which is located in Dubai, United Arab Emirates. The organization is involved in providing event management services along with the product promotion and launches, marketing communication and exhibitions. The company is quite known for its shows over the region (Artaaj.com, 2015). The management of operation is a tough task for the organization so that organization work can be aligned towards the goal. The operation that will be analysed in the particular study will be relating to quality of supply chain done by the company in providing services. The supply chain of the services is facing some constraints and due to that, company is not able to enhance their performance in recent times and due to this issue other competitors in the service industry market is getting hike which can largely impact the growth and market cap of the company (Nagurney, 2015).

The major issue that is faced by the company is service supply chain and due to that the growth of the company has slow down which is affecting the profit margin of the company. Moreover, the service seeking clients are slowly shifting towards other event management companies that are meeting their expectation and budget. Therefore, it can affect the long term goal of Artaaj.

Employee Performance: The performances of the workers are dipping down from the past two years. It can be known from the data of the company that in 2011 employee performance was registered at 47% but in 2013 it felled down to 43% and it further declined to 40% in 2014. The decline in the performance is badly hurting the company to maintain its market share and sale of their service. According to Fascio Pecetto (2014), the performance of employee has decreased due to high work load and lack of advanced technology in coping up with the job criterion.

Customer Experience: In the recent time, the customers are providing good feedback about the service of the company. For instance, one of the clients that are Arla quoted that the company did not arrange the event as per instruction in spite of investing money (Fincannon, Keebler and Jentsch, 2011). Due to such mistake, Arla got bad impression from their clients. Therefore, customer service is one of the issues in their operation of the company that can hurt them adversely if their service continues in such manner.

Customer Experience

Appointment System Issues: It has become one of the major issues in the company, Artaaj. The employees often conduct the mistake by apportioning the same appointment date for the two clients and due to that company has to suffer and in turn they lose the potential clients. For instance, on 3^rd June 2011, an employee of the company made an appointment schedule for two clients that are Clorox and Nera on the same day and due to that the company was not able to provide any service to any of these clients (Fuwen, 2014). Therefore, it shows that appointment system of the company is not taken up seriously. On the other hand, it was found that company was not able to provide prompt service to the client due to lack of number of employees and service. Therefore, it lowers down the chances of earning potential income or earnings that could have been beneficial for Artaaj.

Material and Labor Resources: In this case, the company is not able to organize material resources and labour resources in quick time due to that company is having problem in managing its operation and supply chain. Moreover, the operation manager of the company is taking lot of time to assemble the resources so that quick event service can be provided to the clients (Hunke and Prause, 2014). Therefore, due to this issue, company is able to lose their potential income source. Apart from that, company is not able to organize their human resources in required number due to lack of expertise personnel. Further, due to lack of material for arranging event is quite an issue in managing operation that can hamper the process of company in meeting the targets in scheduled time (Kiessling and Harvey, 2014).

Costs: The cost of operation is quite high for the company and due to that quality of the service of the company is in question. The cost of operation has increased from 23% to 24% in 2014 but the quality in service has not risen up to its mark (Lavee and Benjamin, 2014). Apart from that, due to increasing cost of technology and materials, the company is facing difficulty in controlling the rising costs. Therefore, it can seize the overall earnings of the company in a view to improve the performance and organization effectiveness.

Efficiency: The efficiency of the employees has to be developed so that they can help the company in gaining higher productivity. Therefore, for that employee has to be provided training so that they can develop their skill and efficiency in providing best service to the clients and to the company as well. The lean management system can be useful in eliminating the false behavior of employees while providing service (Misztal and Jasiulewicz-Kaczmarek, 2014).

Reliability and Adaptability: As the company is involved in event service then best and right service has to be provided to clients so that it can help in building client-supplier relationship. Every client has to be delivered same service as it can help the company to grow and make their mark in the market positively (Qiang et al., 2014). On the other hand, the company has to prepare themselves to adapt to the changes if there is changes in the technology or market as it can help in providing effective customer experience and it can increase the brand value of the company in the market.

Appointment System Issues

Reduced processing time and Behaviour: The behavior of the employees has to be taken care while performing their task. As it has been discussed that employee sometimes makes error in appointing services. Therefore, the operational manager may need to control the behavior of employees so that best involvement and concentration can be generated from employees (Sarpong, 2014).

Controlling: The increasing cost has to be controlled by effective planning so that material and labour resources can be gained. The control over the cost can save the profit of the company and operation efficiency can be increased. On the other hand, the operation manager has to measure the planned operation management with the actual performance so that better outcome can be known and loopholes in the performance can be addressed (Sdm.mit.edu, 2015).

Operational Issues	Elements
Employee Performance	The efficiency will help in focusing on performance of the employees so that required training can be provided to deal with the arising situation (Sinha and Swati, 2014).
Customer Experience	Reliability and Adaptability will help in providing quality customer service and customer can become loyal to the company.
Appointment System Issues	The behavior and reduced processing time will help in knowing the actual appointment and date of appointment and employees can be able to deliver quick and accurate service to the clients (Dabbene, Gay and Tortia, 2014).
Material and Labor Resources	The efficiency and control can help in maintaining the material and labour resources and generating higher productivity from them (Fuwen, 2014).
Costs	The control element can help in handling the cost of operation or inventory. This would help in gaining higher benefit and better service to clients with involvement of low cost.

In order to discuss the issues of operation of Artaaj, the performance objective has to be understood so that so performance of the company can be enhanced.

Quality: The quality of event service is quite low that can affect the customer base and earnings. Therefore, the operation manager has to make sure that quality of service is maintained till the time of its delivery.

Speed: It has been also noticed that there is issue in the prompt and quick service. Thus, it can be assumed that company may lose customer if the speed of service is slow. The company may need to fix time for each provision of service so that every client is able to receive service. On the other hand, an employee has to be trained to pace up their performance level (Bus.wisc.edu, 2014).

Dependability: The service has to be provided on time by the Artaaj. The delivery of service on right time can increase the productivity and more number of clients may prefer to adopt the service of the company for organizing their events or shows (Chen et al., 2012).

Flexibility: The operation process of the company has to be flexible so that number of services can be provided to the clients.  For instance, if one client requires organizing exhibition show and other require product promotion event. Therefore, the company can be able to provide service as per demand and that too in quick time (Flynn, Huang and Zhao, 2014).

Costs: In order to engage many clients, the company has to provide service at reasonable price. It will not only help in gaining clients but also in meeting the excess cost. Therefore, it can ensure higher profit margin and better flow of service domestically and internationally (Fuwen, 2014).

In order to develop and enhance operation process and supply chain, the company has to follow some strong strategies that can help in aligning the work and generating better earnings.

The approach of Six Sigma can be effective tool for the company in measuring the performance and service, analyzing the performance, improving the performance and having better control of the performance. The quality of service supply chain can be improved and it can help in generating large number of clients. Moreover, the wastage in the service can be removed and employees can perform with highest quality and efficiency. Further, the organization can make prediction before in shortcomings.

Material and Labor Resources

The lean management can be beneficial and effective for the company to decrease the percentage of wastage from the operation. The workflow can be evaluated with higher feasibility and quality service can be delivered to the clients. Moreover, quality of employee and operation in service can be increased and improved that can help in marinating the service production rate and inventory level. On the other hand, the company can have better competitive standing and the market value of Artaaj can be improved. Further, the employees can contribute more and it can lead to job satisfaction. Therefore, customer value can be created by improving the operation process.

The just in time will be effective for the company in providing quick service to the client whenever demanded. Therefore, company will have to arrange inventory in order to deliver prompt service to clients. Moreover, the cost of running business can lower down. Moreover, the supply chain of service can be improved.

References

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