Operations & Service Management

Topic: OPERATIONS & SERVICE MANAGEMENT

Question 1 What is the external performance objectives Wace Burgess should apply to obtaining the M & S business, and discuss how these might differ from performance objectives applied to existing customers. (15 marks)

Wace Burgess should use the SMART technique as a first measure of external performance objective. SMART stands for Specific, Measurable, Achievable, Relevant, and Time Bound *The below information is based in part on insights from Thomas Gilbert's "Human Competence: Engineering Worthy Performance". Wace Burgess also needs to have ardent focus on external performance objectives like Information, Tools, Incentive and environment and understand the correlation with the internal determinants like Knowledge, Capacity, Motivation and Attitude. Wace Burgess can adopt smart technique to obtain M & S business Wace Burgess is prominent with specific skills to qualify for the franchisee of M&S.Important skills like ease if manufacturing and design concept are prerequisite for obtaining M & S business. Specific Performance objectives must be very clear and detailed enough so as to leave no room for ambiguity or misinterpretation. Measurable Always use a verifiable verb and describe an action that can be seen and measured. Achievable Performance objectives should always be achievable. Relevant Performance objectives should be relevant to the performer – they should relate to the objectives that matter to that person. Time bound Performance objectives are more effective if they are to be achieved within a defined time frame. The quantity of job to be completed is ideally measured and quantified. The normal output of printer rates is 6000 sheets per hour for normal printing and 4000 sheets per hour for guidelines and 24000 sheets per hour for folders .That is the optimum capacity utilization strategy adopted by Wace Burgess. Other performance objectives which are determinants to obtain business are Orientation, Legal Restriction, Layout and Design, Composition, Process Photography, Darkroom Procedures, Stripping, Plate making, Offset Ink and Paper, Bindery Operations, Offset Press Operation, Production Problems, and Occupations and Evaluation .Main is the usage of special paper for printing for M& S. Unique performance objectives The below performance objectives are to followed by Wace Burgess to differentiate themselves from other service provider · Produce print to a high level of quality and in accordance with the visual identity. · Provide a rapid response to users in accordance with the following schedule: Design, typesetting and proofing - 7/10 working days Author’s corrections and printing - 7/10 working days Finishing - 5 working days Note: All corporate and promotional material (e.g. booklets, leaflets and posters) must be approved by the Publications Officer, before being passed to the Print Unit for reproduction. 3-5 working days should be allowed for this, depending on the complexity of the job. If we are unable to achieve any of the above timescales, the client will immediately be advised of the situation and a revised delivery programmes agreed. Urgent requirements should be discussed with the Printing Services Manager. Undertake quality control throughout production. Co-ordinate the distribution of print within the University and to external customers. Printing Services: Service Level Agreement (SLA) review from Essex university review

2) Outline the main potential risks and rewards accruing to Wace Burgess in accepting the order from M & S.

In order to obtain order from M&S,Wace Burgess need to focus and assess on the potential risks and reward for its sustenance and integrity .It is ideal to sign a printing services agreement including the expectations of the client stating all the possible format for orders, Costing ,Capacity planning,Utilisation,Turn around time ,Accuracy parameter, designing process and die cutting etc .There should also be stringent clause on payment terms and penalty or adjustments in terms of late completion of order based on impact of loss incurred by W&S. Major risks involved Wace Burgess should also the need to commercialize the new technology on a large scale and to make profits and prove its sustainability.” It is important to note that the Wace Burgess is noticed by M&S because they have been successful in printing technology. Now they are faced with a new challenge of managing creativity while getting a big order from a profound organization like M&S: an identity-shift from a small organisation to larger organisation is a bit risky but inevitable while accruing orders from big companies. Capacity Planning and utilisation By obtaining new order, more additional employees are required to process and complete the order. There should be a proper capacity planning and decision to recruit people with skill and expertise with in depth knowledge on printing technology. The employees may be recruited full time or on a contract basis as and when there is requirement for people to work for big orders. There should also a forecasting and scheduling of shifts for employees to complete orders with ease and adhere to the committed time line. Overtime wages and extra wages for employees must be communicated well in advance for more clarity. Absenteeism, Attrition and lack of skill of employees are potential risk factors straining the new business opportunities .Wace Burgess should have framed policies to understand the organization priorities to a focus on being more cost-effective and on improving the current product as opposed to developing a new technology or product. One of the risks is also the constraining creativity in order to obtain orders from M&S. Fragmentation challenge. There is an increase in the number of activities that need to be undertaken in order to successfully commercialize the newly developed printer device. It is ideal to the increase in the amount of activities as activity fragmentation. The second challenge is referred to as product fragmentation. It is important to note that an increase in product line is not same as developing a new product. Product fragmentation influences the extent to which employees can cognitively focus and/or identify with their work, thereby affecting both cognitive and emotional creative engagement. Shifting goals As a result of accruing new orders, goals often change or are influenced by the order company. There is a challenge of shifting goals wherein priorities and goals continually change, resulting in limited cognitive, behavioural, and emotional engagement in producing creative results. Due to continuous orders and changes in work pattern, employees reported not being able to stay focused on a given problem for a sustainable amount of time necessary for creativity, which can ultimately influence cognitive engagement. Employees also reported experiencing reduced passion, as they now do monotonous job to meet the requirements of the new client M& S. Cancellation of orders Cancellation of orders is major risk which is highly unpredictable and can hamper the progress of Wace Burgess. The Cancellation and compensation terms and adjustment terms should be reported in detail in Service level Agreement. Rewards perceived by Wace Burgess Performance rewards is given to for excellence for workers appreciating their work, dedication and knowledge with a time based commitment Appreciation bonuses to motivate the employees completing big orders at a stretch. Team awards for a specific fragment of workers displaying confidence in job and influencing to achieve as team. This also increases cooperation among employees and work coordinated as a team. Incentives as margin share of profit incurred after completion of M&S order can help in employee motivation and retention. These are the potential risks and rewards accruing to Wace Burgess in accepting the order from M & S.