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Kwik Coffee Operation Management

Essay by   •  December 7, 2018  •  Research Paper  •  8,353 Words (34 Pages)  •  689 Views

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Coursework Header Sheet

[pic 1]

Programme

BA Hon Business Studies

Course School/Level

B/UG

Course

OPER1027 Operation Management

Assessment Weight

30%

Coursework

Coursework 2

Tutor:

Dr Philip Lai

Student ID

001035641, 001036117, 001035170

001035228, 001035635

Submission Deadline

25 Jun 2018

Coursework is receipted on the understanding that it is the student's own work and that it has not, in whole or part, been presented elsewhere for assessment. Where material has been used from other sources it has been properly acknowledged in accordance with the University's Regulations regarding Cheating and Plagiarism.

Tutor's comments 
 
 
 
 
 
 


 
 
 
 
 
 
 
 
 

Grade Awarded___________

For Office Use Only__________

Final Grade_________

Moderation required: yes/no

Tutor______________________

Date _______________

[pic 2]

UNIVERSITY OF GREENWICH

BA (HONS) BUSINESS STUDIES

OPER1027 – OPERATIONS MANAGEMENT (2018/19)

GROUP COURSEWORK – OPERATIONS MANAGEMENT PLAN

GROUP MEMBERS

BANNER ID:

001035641

001036117

001035170

001035228

001035635

Contents

Background                                                                                                                                4

Strategy                                                                                                                                        4

Capacity Planning                                                                                                                        6

Forecasting and demand planning                                                                                         7

Inventory Management                                                                                                                8

Logistics and Transport                                                                                                                11

Quality                                                                                                                                        13

Risk management and mitigation                                                                                                14

Corporate Social Responsibility(CRS), Sustainability &Business ethics                                    16

Conclusion                                                                                                                                20

Reference List                                                                                                                                21

Background

        

        Our management team was employed as consultants by “Kwik Coffee” company which was a merger of two smaller operators. The company is based in the United Kingdom (UK) and owns a few shops for direct selling. Rather than that, the company also supplies coffee shops across the whole country. The company now has two large coffee plantations, one of them is in Kenya and the other one is in Colombia. The two plantations produce the cheapest coffee. The existing demand is 25,000 cups per week on average, the demand may depend on seasons, special events or even the examination period for students.  In order to satisfy the demand of supply, apart from the two plantations, the company also buys coffee from independent growers and the world market, but the price is likely higher and more fluctuates.

        As a consultant of the company, we suggest reframing the strategy for the company, review the inventory, logistic, risk management, forecasting the development and build the better image in order to grow the market share not only in the UK but also in other countries.  

Strategy

  1. Corporate Strategy

        

        The external environmental factors can affect whether a company success or not. Although such factors are mostly out of control, they can still be analyzed by using PESTEL. Firstly, the political factor may slightly affect the coffee industry since the government in different countries doesn't enforce any type of control by import restrictions. Also, economic factors effects may have an effect on consumer’s consumerism. If the global consumption is expected to be stabilize in long term, the business is more likely to be more successful. For the socio-cultural complex, since it does not only depend on the culture but also the income of the citizens, it is not easy to predict due to the turbulent political climate. The coffee shop industry isn't heavily affected by the technology environment because only basic machinery such as espresso machines, blenders, Wi-Fi are needed in shops. Moreover, the company can use social media for promotion as consumers can give their opinions through such medias, it can create interaction between the company and consumers. Nevertheless, the company can use some of the coffee plantations to plant side product so as to achieve environmental protection and show their social responsibility, thus to enhance company image. Lastly, there is no special legal issue affecting the coffee shops. There are just some permit and license required before operating a coffee shop in different countries.

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