Operational Management: A Case Study of Nissan Motor

OPERATIONAL MANAGEMENT

INTRODUCTION

The term operation management describes the understanding as to the proper management of the steps which have been initiated in the company to observe the provision, manufacturing and the production of the services in the particular company (Hu et al., 2020). This is done in a firm by implementing proper strategies towards the company management, which is done with the help of supervising, organizing and planning. This helps in developing and enabling the level of efficiency among the practices of the business in the company. The term operation management is used in any company to make the costs and the revenue of the company get managed and be performed in an efficient way to attain the profits in the company. This report will be conducted with the help of the company named as Nissan. The company was officially founded in the year 1933 and came into existence with the help of founders as Masujiro Hashimoto and many more in the row. The company has been serving worldwide and is registered as the automotive industry (Iora and Tribioli, 2019).

OPERATIONS SCHEDULING TECHNIQUE IN ORGANISING WORK IN NISSAN MOTOR

The technique of operations scheduling is performed as to keep the record of the time management and to meet the essential deadlines of the company and t make the customers of the company stay connected with the productivity and the profits of the company. There are various types of operations scheduling which could be observed and have been explained in the details below with the example of the company, Nissan (Nissan, 2019).

Types of operations scheduling

There are various types of operations scheduling,

First come first served: This is initiated in the company when the similar types of services and the goods are produced and manufactured in the company. The firm, which uses the same production and manufacturing process, could use this type of operation scheduling technique in their performance (Lee et al., 2020). The organization, which uses this technique to produce varied kinds of products in the company, this type of schedule, will impact not well efficient in the performance of the company.

A short time of processing: This process helps in making the job which is crucial and is the top priority to be accomplished by the company, this helps in accessing the delivery and the producing of the products in the faster pace and a quicker period.

Earliest due date: This type of technique is used by those companies, which have effective machines and the capacity to accomplish the needs in the desired and the limited period. This mostly involves the work, which is required to meet deadlines, and the machines are well known by the single work. This technique comes out to be most beneficial for any company when the organization has to meet up the deadlines and schedule the work in the best way (Helo et al., 2019).

Slack remaining time: The method is identified to be as not the top and the fastest method to deliver the products but this method has been identified to be the most effective method to meet the deadlines of the company. This technique is performed with the help of the mathematical equation, which records the time, which is due and takes more time other than which should be initially recorded.

Critical ratio: This technique is used in any company to measure the time, which has been remaining to accomplish the delivery of the products. This method is a way or another is similar to the technique of slack remaining time (Wang et al., 2018).

The technique which has been used by Nissan is the Earliest due date, this depicts the dep understanding as of the products which require less number of time and the due dates are recorded and enabled first in the company to meet the evaluation and the delivery of the product to the customers in an aligned period (Nissan, 2019). The below describes depicture of the three competitors used this technique to meet the due dates and meet the adjustment specifications:

Source: (Nissan, 2019)

This method helps the company to analyses the delivery of products, which are close and are to be done in urgent. This process also helps Nissan in arranging the work as per the deadlines and meet the customer satisfaction by arranging and completing the work which is required to be done as it is nearer to meet the deadline in the company.

Nissan with the help of the proper organizing schedule technique makes the work gets managed in the company, this has been recorded and analyzed. This helps Nissan in interacting more clearly and logically with the monitored system followed by it maintains its suppliers and enable with the stronger relationship with the suppliers of the company (Helo et al., 2019). These techniques help in accessing the maximization of the capacity and store the orders and manage the inventory of the company properly. The technique helps the company in proper planning and attaining the proper capacity of the planning. Nissan also uses static scheduling to meet the requirements and the desired objectives as planned by the company. The static scheduling helps the company with the help of the techniques mentioned above keep the focus on the deadlines get to meet of the product service of the customer’s products (Nissan, 2019).

LAYOUT PLANNING AND WORK SYSTEM PROCESS IN NISSAN MOTOR

The term layout planning deprives the understanding as to the arrangements of the physical resources which makes the company utilize its services in the best possible manner and consume the space in the limited period (Ivanov, 2018). This involves the changes in the decisions anytime the plans are changed or the new facilities are initiated. The proper layout planning in the company holds the responsibility to build stronger and trustworthy relations between the employees and the staff members of the company. The layout once prepared in the proper way also makes the flow information get smoothened and developed between the departments of the organization.

The planning and the work system process is adopted and analyzed in the report is to make the productivity of the company products getting expanded and boosted which makes the company attain better designs with advanced technologies and expansion. Nissan is up with the new program as Ghosn, which has its main motive as V-3P (Hirose et al., 2019). This program is initialized in the company with the main motto to make the quality of the product, which are being manufactured by the company get more advances, and the product manufacturing of the cars in the company takes the faster hand on it (Ivanov, 2018).

The report of the company, Nissan demonstrates the achievement which has been recorded by the inability of the V-3P Program in the company and this has also been performed to measure the performance of the quality of the products in the company. The company, Nissan to make the system of the work, has also used the tool of total quality management and planning of layout get accomplished with the productive and profitable results (Lathrop et al., 2019). Nissan has developed the plan to implement developing and introducing the 12 new models of its cars in the upcoming 18 months and the company aims of dropping its complete concentration towards the core model segments of the company. This was recorded by the report that the chief executive of the company, Nissan outlined that their focus to drop this transformation layout plans to increase the growth of the company followed by enhancing the expansion of the sales into the company. Nissan will be more dropping more concentration of the quality of the business and completely focus on the competencies coming in the organization to make the company attain the number of profits as decided by the firm (Birnie et al., 2019).

Nissan production system is also one of the concepts which have been enabled in the company to meet the requirements and the satisfaction of the customers in the company. This will encourage the performance of the company while manufacturing and developing the products, which will help the firm to deliver the best of the services and the practices to the customers of the company (Ivanov, 2018). The system of NPW is initiated in the company to meet the results and achieve the planned goals of the organization. The company, Nissan believes in keeping the employees of the company stay motivated with their work and encourage them to perform with the higher performance, which will reflect in the growth of the company. The company makes sure that the employees of the firm are aware with the vision of the company so even in the tough situation the employees are aligned to work with the company goals and follow the directions which are strategic of the company (Birnie et al., 2019).

Nissan motor keeps the concern on the honest and effective way of communication between the employees of the company and also in the two way communication, the two-way communication makes the employees get freer with the information and this develop the motivation and the trustworthiness among the staff members of the company. The communication challenges in the company make the information be spread at a faster pace in the company. The company also makes the empowerment of the employees in the company to keep their spirit of working and performing get encouraged and the participation of the staff members in the decision making also makes the performance of the employees be increased. Nissan also treats its employees with equal respects and fair salary proceedings, which makes the participation of the staff members, get equivalent in the company (Ivanov, 2018).

IMPORTANCE OF INVENTORY MANAGEMENT

The term inventory management is the term, which deprives the meaning as proper management of the stock of the company until the date. The proper controlling of the management of the inventory is essential to be recorded as this helps in recording the movement of the products and service. This also helps in keeping the record of the inventory which is to be required in the company (Durgarani and Revathi, 2018). This is essential to be recorded in any company as it helps in enhancing the business as well as keeping the proper alignment of the inventories making the business earn advantage and increases its profits with the productivity in the company. The inventory management helps the company to keep the record of the cash, which has been flowing in the company and to earn the benefits of the company which will foster the growth of the company. There are various points, which makes the inventory of the company maintained and also how the inventory records help the company to attain the advantages of the firm (Fantu, 2020).

Nissan focuses on managing its inventory in the best way by controlling the paves, which will be done by the company to encourage and enhance the shares of the company and for achieving its competitive ability. The company manages its inventory by recording the smart traits in the management of the inventory in the company (Li et al., 2019). This also enhances the service level of the company take or the growing and striving business abilities of the company clients. Nissan also analyzed that the management of the inventories in the business makes the revenue of the company get enhances and increased over the period and bring up the higher revenues with the increased productivity in the work of the employees.

The proper inventory management helps the company to have the complete and detail record of the details and the availability of the products in the company. This is done to meet the demands of the customers in the required period and meet the needs of the customers in a limited period. Nissan manages its inventory in the proper as it helps the company in keeping the check on the sales of the company and meeting the manufacturing requirements in the company (Durgarani and Revathi, 2018). In this current stage of increased technologies, Nissan believes that keeping their manufacturing in the car units it is essential to keep the record on the inventories that are being used an ad in captured in the cars. This helps the company to engage in better production and keeping the customers satisfied with the services of the company.

Nissan believes that the growing age and the increment in the utilization of the technologies in the company make the business be expanded and enhance the growth of the company. This keeps the company employees and the managers of the firm to keep the contraction and proper alignment of the costs and the new manufacturing parts, which are required in the company (Li et al., 2019). This helps the business to record the budget that is required for the new products and keep the costs of the company on the lower rage to meet the productivity of the company. Inventory management is a great part of the successful business and it helps in increasing and enhancing the productivity of the company. The demand is one another thing which is the most important part of the company and this is very essential for the firm that when the customers ask for the products the company could make it possible form them. The inventory management will make the work get easier for the staff members as well as to make the customers satisfied with the company (Durgarani and Revathi, 2018).

INVENTORY MANAGEMENT POLICIES FOR CONTROLLING PRODUCTION COSTS IN NISSAN MOTOR

Budget matters for the business and to maintain the inventories and keep the management of the company in the record. The complete focus and goal of the company are to make the organization get prepared economically as well and make the flow of cash get fluent and smooth in the performance of the company (Ikegami et al., 2017). This helps in maintaining the supplies of the company which in the end helps in recording the budget and keep the close check on the economic state of the company. The proper management of the inventory makes the company aware of the practices and the nearby expenditures that might be coming in the company and have the proper strategy to have control over the costs. Nissan makes complete care towards their planning and keeping the proper management of the inventory by designing the structures of the products (Stevens et al., 2017).

Nissan makes the proper control on the management of the inventory which includes both the rare and the final products which helps the suppliers and the providers aware of the product which is to be required in the company. This is also done by keeping the proper management of the suppliers and the products which are required by the company from the suppliers (Ikegami et al., 2017). The inventory management in the company helps in keeping the regular check on the economic and cash flows of the company which helps the company safe from bearing a large number of costly expenses. This has also been identified that the company focuses on the inventory as dissatisfying customers are a bad reputation for the company and therefore to meet the requirements of the customers and keep them engaged with the services and the products of the company this is essential that the company keep their inventory managed (Nguyen Xuan Thao, 2020).

Inventory management helps the company to keep the record on the economic terms and keep the form financially stable. Nissan recorded that keeping the proper alignment of inventory management in the company help the Organization to improve revenue and productivity, which turned out to be an Increase number of customers Engagement in the services and products offered by the Organization (Ikegami et al., 2017). Nissan manager in an interview was recorded to speak that most of the companies do not understand the concept of inventory management with this turned out to be the most important and crucial aspect of the success of the company. This help the company to enhance productivity and keep the costs, which are coming in the proper aspect.

Turn off the record in the new technologies with the changing by the time also encompass the changes required in the manufacturing and producing. The products of the company and to manage those Raw materials that are to be required in the production of the good this was essential by the form to have the proper record on the inventory management (Stevens et al., 2017). This will help the company to keep the records of costs that are to be occurring in the company for product making a final product.

Analyzing the report of the company that the new technologies of making the data recorded more easily and productively have the company to keep the proper assessment of the inventory. The applications with the maid for Attaining this inventory as and also finding that those inventories are not getting repeated help the company a lot in keeping the data upgraded In every situation. This help the company to meet customer expectations in the best way possible and enhance the productivity of the organization (Ikegami et al., 2017).

Listen to some steps to make the critical points of while maintaining the inventory is of the company for the products such as establishing and outlining the process of operations, which are required for the proper servicing of the products. The company also made the proper visibility of the inventory with the help of the reports withheld in attaining the proper productivity and keeping the record of the parts or materials with the required to manufacture the products and means the satisfaction of the customers in the proper and required period (Nguyen Xuan Thao, 2020).

CONCLUSION

This report was discussed to analyze the brief discussion of the topic as operational management; this was more clearly explained with the help of the practical example for the company named as Nissan. The report discussed and had the detail discussion about the company followed by having the operations scheduling technique in organizing the work in Nissan motor. Typed of operational scheduling were discussed in the report followed by layout planning and work system process in the Nissan Motors. Further in the report it was discussed the importance of the inventory management and followed by inventory management policies for controlling production costs in Nissan Motors.

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