Contemporary Strategic Operations Management – Challenges, Job Description, And Vital Theories

Operation Manager and their Challenges

Operations management is the management of business practices to produce the highest level of efficiency within an organization. It is concerned with converting resources and manual labor into goods and services as efficiently as possible to capitalize on the profit of an organization (Bromiley and Rau, 2016). Operations management team try to bring balance expenses with revenue in such a manner that business achieves the highest net operating profit (Walker, Chicks and Radnor and Watson, 2015). Operation management is carried out by a team which comprises of operational managers which have their own team they coordinate within the team and across the departments just to ensure that targets are met in stipulated time frame with efficient utilization of resources (Anand and Gray, 2017).

Operation manager is one of the most renowned designations in an organization which helps the business in the smooth running of the business in order to cater the needs to the customers and its employees. It bridges the gap between top management and middle management (Bosworth, 2016). It involves overseeing the future in advance so that business can accommodate the changes which are happening around them in a better manner as compared to not ready for a change. It ensures that resources are utilized in such a manner that maximum output can be derived from the minimum input which in turns means utilizing the resources in an optimum manner (Buvik and Rolfsen, 2015). The role of the operation manager is not an easy piece of cake as it seems from outside as huge responsibility is involved as a business is on a stake, its goodwill and so on. In the recent scenario, the changing time has made the business environment more competitive which make them a force to become more flexible as well as swiftly adopt the change in technologies and work environments in the working place. In the changing paradigms of the business environment, there is a drastic need for the organization to identify those factors and issues that would greatly affect the efficiency as well as productivity of the organization (Baily, 2017). The business is constantly growing on a very large scale thus in the uncertainty environment, the operational manager faces various kind of challenges in managing the management of the company with managing the operational work, the manager also need to manage the employees of the company and keep them feel motivated which is one of the tough tasks for the manager that directly affected the productivity of the company (Hazen, et. al., 2018).

There are few challenges associated with operation manager role which we will be discussing in below points in addition to with certain theories and principles which helps operation manager in overcoming the challenges and job description of operation manager.

An operations manager has vast roles and responsibilities in an organization and it differs from organization to organization industry to industry but overall or in general it includes monitoring and analyzing the day to day work to ensure it is effective and all the work which are under process is according to plan which has been shared in advance and if any variance act immediately without a second thought as it could lead to major losses in terms of monitory and non-monitory (Han, Gopalakrishnan and Lee, 2015).

Job Description of Operations Manager

By supervision in ongoing activities, analyzing figures and interpretation and script reports, operations managers have a critical position in any business. Operations managers also have to do multiple discussions with teams, as well as connecting with managers of diverse areas of the association, presenting conclusion to owners and senior leadership as well as guidance and monitoring fresh staff and monitoring and measuring workforce performance (Claessens et. al., 2015).

The job description of operation manager is wide and almost everything comes under his head as they are the owners of the business which helps business to grow and prosper at a steady or faster pace. Managing on the whole operations and it is accountable for flourishing and victorious management of efficiency, superiority standards, security measures etc. It serves as a business spokesperson on authoritarian issues (Wehrmeyer, 2017). Improve the operational process, systems, and ideology in the areas of communication flow and organization, company processes, better administration exposure and looks for opportunities to enlarge systems. Carry out managerial everyday jobs in harmony with the organization’s policies and necessary laws (Omar, Nawawi and Puteh, 2016).

Everyday jobs may comprise taking the interview, selecting and hire; guiding fresh and current staff; plan, assign and direct work; discuss performance appraisals with employees; address employee performance and work on remedial action plans; Staff inspiration and plunder (Medina and Medina, 2014).

• Productivity– It is one of the major challenges for the operation manager as productivity plays a vital role in determining the profit margins. Operation manager feels pressure to push employees to work faster and accurate and they need to maintain at a certain level so that best output could be achieved. They have to ensure that each and every employee have a certain amount of work by which they are not sitting ideal. They have to train every employee if required to enhance the skill set so that better results can be achieved by skilled employees (Rangan, Chase and Karim, 2015).
• Quality– It plays a critical role in determining the success of the organization as if errors or defects are less, lesser the efforts need to be made in correcting the same and resources can be utilized efficiently. If the quality of the organization is good it can have an added advantage from the competitors and can move ahead of the market trend and it gives business first mover advantage (Healey, 2016).
• Customer satisfaction– It is one of the most crucial aspects or challenge for an organization manager. It involves knowing the customers first and creating products and services which are in need or in the requirement of the customers so that it can satisfy their needs. The research team needs to identify the actual need of customers and production department need to create the same and sales department need to sell the products accordingly (Dupont and Eskerod, 2016).
• Technology- It is one of the challenges for the operation manager as we are seeing that technology is improving day by day which is making the production more efficient and more quality results can be seen. Managers need to identify the correct technology which is required by the organization and able to utilize it well in the business so that its cost can be recovered as soon as possible. The decision of identifying and acquiring the correct technology plays a critical role in the business as it involves the cost associated with it and able to utilize the same in a limited period (Haus et. al., 2016).
• Reporting – Reporting is a challenge for the operation managers as they need to manage the day-to-day operations and get ready the reports in every aspect and report it out to higher management and to the lower management. At times, they have to report to inter-department and in other departments so that correct coordination can be made. Before publishing the reports manager has to cross check and ensure that reports are prepared correctly, else profits can turn out to be the losses for an organization which can be a risky situation for any business (Mehmood et. al., 2017).
• Inter-department coordination– Operation manager need to balance out the needs and wants for every department and creation such good communication and coordination so that aim or goal of the organization can be achieved timely and more efficiently. It is not an easy task to manage the different departments as all departments have different roles and responsibilities and targets which they have to fulfill and if any one of the department is not doing great then operation manager have to coordinate amongst the department so that smooth running of the business can be there (Zahra and Wright, 2016).
• Motivating Employees– employees are the main sources as well as keys for the success of any organization. Every organization requires that their employees are dedicated to their work to increase the productivity of the company. In the fluctuating as well as competitive market, it would be tough for the operational manager to motivate their employees at every level, which directly affected the productivity as well as the whole performance of the company ((Tippmann, Scott and Mangematin, 2014).
• Right people for the right job– the business works in dynamic environment hence, business has to have different skill set of employees, who fulfill the requirements of the business and hiring, and placing the right person for the right job is one of the most challenging jobs of the operation manager. They have to utilize every resource in an efficient manner so that best results can be derived from. Operation manager needs to motivate employees, training, educating, managing diversity, and cultural differences. A well-planned and well-executed hiring process will increase the chances for a positive work experience leading to a win-win relationship between the new hire and organization (Tippmann, Scott and Mangematin, 2014)

There are certain theories and principles that the business manager has to follow in terms of gaining or overcoming the challenges stated above.

• Just in Time(JIT) – Just in time system is an administration strategy that is used for creating goods and services as per the demand of the consumers so that better utilization of resources can be there. It helps to reduce the duplicate work. Business use this stock plan to boost efficiency and reduce misuse by getting goods only as they require them for the manufacturing procedure, which diminishes stock expenses. This technique requires producers to predict order precisely (Chyr and Huang, 2016).
• Total Quality Management (TQM) -TQM is one of the most vital theories and philosophy process in improving the quality of the organization. It involves system, public, and process successfully and professionally using funds to generate worth and get better excellence (Prajogo, D.I. and McDermott, 2009). TQM is a viewpoint emphasize three main beliefs to achieve high levels of performance and standard:
• Consumer satisfaction
• Employee participation
• Nonstop improvement in performance

Business implementing TQM must also focus on examining and manufactured goods design, procedure design, application of problem-solving equipment, and using good purchasing strategy and benchmarking processes. Consumers must be pleased by having their prospect fulfilled by business. For TQM to work efficiently in increasing excellence and performance all workforces must develop into concerned and operations managers should do an outstanding job of serving interior clientele if they anticipate pleasing exterior clientele. In terms of constant development in applying TQM, a significant tool is the PDCA or Deming Cycle. PDCA signifies Plan, Do, Check, and Act. Operations managers have to plan process, execute and supervise these actions, examine data composed concerning these actions, and act accordingly (Obeidat et. al., 2016)

• Benchmarking– As the name suggests it is setting the minimum standards for the quality and performance so that customers and stakeholders can accept certain outputs, which would be achieved at any cost. In the benchmark, operations managers are necessary to identify the opposition; both market privileged and market supporters (market pouring and market-driven worth provider) and have to then expand an aim they want to get to and a standard against which to evaluate their company’s achievement  (Kitchin, Lauriault and McArdle, 2015).
• Six Sigma- Six Sigma can be explained as an inclusive and elastic system to achieve, sustain, and maximize big business success by reducing errors and unpredictability in process. Six Sigma is a procedure, manufactured goods, or service with a tremendously elevated potential [99.999% accuracy], and is typically distinct as in “defects per million” or “dpm”. Six Sigma can be explained as a chart intended to decrease errors and unpredictability in goods and services in an attempt to lesser manufacture or operations expenses, put away time, and get better client pleasure. Six Sigma is a plan because it aims at total consumer happiness; a regulation since it follows the official Six Sigma development Model or DMAIC process; and a set of tools used to manage excellence process. DMAIC defines for Define, Measure, Improve, Analyse, and Control, and represent the five measure process development representation functional in Six Sigma (Jacobs, Swink and Linderman, 2015).
• Simple Process Analysis Tools- There are numerous simple process investigation tools that operations managers and stakeholders can utilize to assess and supervise process used to produce value or merchandise and services. Operations managers have to learn how productively apply the methods such as Pareto charts, scatter diagrams, and cause-and-effect diagrams and statistical process control (SPC) tools in influential where improvements to their worth making process are desirable to get better excellence and presentation. These methods can assist operations managers to conclude procedure potential or the ability of a process to meet the design provision for output or goods and services. Statistical process control (SPC) is simply the submission of statistical methods to make a decision whether a process is delivering what customers want and that mainly uses a technique known as organizing chart “to sense faulty services or manufactured goods or to point out that the process has tainted. The services or goods will diverge on or after their plan stipulation unless impressive is complete to accurate the condition.

Conclusion 

Operations management is organized, purposeful paying attention and provide a diversity of technique backed by sound decision-making practice and main beliefs of efficiency and competence that can considerably influence business actions, routine, aggressive gain, achievement, and endurance. It is consequently vital for managers to gain some substantial sympathetic of operations managing and apply those thoughts that symbolize worth increasing chances for their trade in an attempt to generate predictable big brand from side to side excellence and enlarged goods and services. Operations management is the efficient and well-organized harmonization of business and business variables into a unified flow of contribution actions and process that generate worth for business and clientele. In the competitive environment, the operational manager feels more pressurize to manage the operational work in an effective way. The uncertainty in the competitive world, as well as a change in the technologies, increases the challenge for the operations manager to manage and enhance the productivity of the company. There are certain challenges faced by the operational manager to while managing the work of the company such as the pressure of increased productivity with quality, satisfying the need of customers, the adoption of changing in the technologies, manage coordination between the inter-department, motivating the employees towards the work and so on. These challenges need to be resolved to increase the efficiency of the company. There are certain theories such as six sigma, benchmarking, Just-in-time, and so on that are highly recommended to adapt to cope up from the challenges faced by the operational manager. These theories would help the operational manager to satisfy the consumer as well as employees, which directly affected the performance of the whole organization. In this way, operations management or Operational Managers can be seen as a system focused methodical and balanced approach to worth formation or manufacture.

Operations Managers Challenges

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