Operations and Service Management
Introduction
Morgan Motor Company Limited is a British-based private establishment that manufactures motorised cars and their parts across the globe. It is a multinational luxurious automobile brand that was founded in 1909. The business was established by H.F.S Morgan and the fourth age group of the family is now running the business. Massimo Fumarola is the present CEO of the establishment. The design and look of their motor cars have a reputation for being the most unique as they are crafted manually with expert craftsmanship and provide an exceptional experience to the car owner. Now in the fourth generation of the organisation, their operations have the blend of the traditional craftsmanship and the technological advancements that provide the personalized experience to the car owners (Morgan Motor Company, 2024).
The report emphasizes the operation administration system of the globally renowned automobile manufacturer. Operation management practices have a important character in the victory of any manufacturing organisation. The report explains the part of upright operation management performs and their applications and benefits for Morgan Motor Company. The integration of technological advancements in the operations has also made an important influence on the organisational performance, which is described in detail in the report.
What are the Operations Management Processes?
Operation Management Processes include all those administrative practices designed by the operation managers to function efficiently in the organisation and ensure profitability. These practices are related to the conversion of the raw materials and the workforce of the organisation into client-specific goods and services. The operation managers ensure that the organisation's capital and resources are used efficiently to provide the desired outcomes that are aligned with the client's demands and lead to the net profit of the organisation. There are a few main objectives of the operation management processes; which include handling the matters arising in the functioning of the organisation, increasing the efficiency and sustainability of the organisational processes, aligning the expenses and the returns effectively, and developing profitability in the organisation (Kumar, 2022).
There are three major processes carried out by the operation managers: Branding and promotion, Finance, and operational processes. Branding and Promotion include all those activities that lead to the demand for the products and services and ultimately aid in increasing the sales and viability of the company. Finances involve the practices implemented to decrease the costs of manufacture and upsurge the revenue of the establishment. Therefore they balance the expenses and the returns to ensure profitability. Operational processes include all the additional practices that are required to be managed to ensure smooth production in the organisation. These processes include repairs and maintenance, quality checks, choice of products, and planning of the capacity and processes (Benjaafar and Hu, 2020. pp.93-101).
Operation Management Processes of Morgan Motor Company
Morgan Motor Company is a British-based motor car industrial organisation with a global reputation for handcrafting coachbuilders and automobile body shells with wood. They are the distinguished coachbuilders among the various global organisations. The factor that makes the company stand out among the various competitive organisations is its craftsmanship and customization; each automobile is hand-built based on the demand and requirements of the clients. They combine the traditional methods of crafting with modern technological approaches to satisfy their customers efficiently.
The vision of the organisation is to produce antique cars with addition of the innovative functions and structures that excite customers globally (Morgan Motor Company, 2024). To execute this mission, the managers and directors of Morgan Motors strategically control and plan the functions and operations of the organisation to maintain the sustainability and popularity of the organisation around the world. The production, supply chain, branding, and finances are critically strategized by the managers to provide the best driving experience with modern features to the customers. The organisation mainly uses three materials for their production: Aluminium, Ash, and Leather. The ability of Morgan Motors to produce hand-built cars allows them to meet the personalization of the clients and deliver their dream car; however, this also informs the fact that the hand-built cars have an impact on the scalability and availability of the cars in the marketplace (Morgan Motor Company, 2024).
Production Procedure
The process starts with designing and planning the production according to the customer's choice and customisations. This is followed by the building of the frame using traditional approaches by the craftsmen using aluminium and other metals. The frame is then shaped and painted by hand to ensure a high-quality appearance. The internal structure of the car is then developed with leather and wood to provide a luxurious interior. The engines, motors, and other mechanical parts are then fixed by the craftsmen to complete the functioning of the motor car. Once the car is developed, it goes through minute quality testing to meet the high standards of Morgan Motors (Morgan Motor Company, 2024).
Contribution of Operation Management Processes in the effectiveness and efficiency in case of the Morgan Motor Company
Operation Management Processes play a crucial part in deciding the future of the establishment. Morgan Motor Company is a multinational organisation with a global reputation for being the most unique hand-crafting coachbuilders. The organisation was established in 1909 and has faced many challenges and obstacles until became a successful global brand. Their exclusive hand-crafting approach with the blend of vintage exterior and innovative modern features has impressed audiences from all over the domain. The operation management practices of the organisation has evolved a lot in these years and implemented modern strategies to come across the burdens of the competitive marketplace. The process of operation managing has contributed considerably to the attainment of the Morgan Motor Company (Samson et al., 2020). The operation management processes and their contribution to the success of the administration are described below:
Supply Chain Management
Supply Chain Management includes all those practices that are employed in the collection of raw materials, processing of the raw materials into the desired goods, and the supply of these goods to the market or the customer. All these practices are strategically handled by the managers of the Morgan Motor Company to ensure the efficiency of the establishment and increase productivity with reduced costs. The supply chain of the company was disturbed in the initial years of the business; as they were not able to manufacture the cars in the given time by the customers. There were various reasons for this shortcoming like handcrafting being time-consuming, the raw materials were not adequate, and the production capacity was not aligned according to the customer demands (Richey et al., 2022. pp.62-91). All these shortcomings were gradually resolved by the operation management of the organisation as they took the necessary steps to manage the supply chain effectively to result in the profitability and success of the organisation.
Capacity Planning
Capacity planning is the management process that plans the strategies that should be implemented to meet the forecasted demand of customers with the raw materials, resources, labour, and equipment of the organisation. The operation managers systematically design the strategies to balance the customer's future demands with the resources for production in the business. Morgan Motor Company was struggling in this aspect of process management in the first two decades of its establishment. The customer's ordered car was taking more than 6 months to be ready and available for handing over. This was the major reason for depriving the reputation of the company. However, operation management progressed massively after those years and was able to successfully manage the production process within the customer's demanded deadline (Esteso et al., 2023. pp.5772-5789).
Quality Management
Quality management is the crucial aspect in the operation management procedures of manufacturing organisations. The managers must take the necessary measures to deliver the highest quality product and goods to the customers which will create a positive impression on the target audience. Morgan Motor has been globally recognized for delivering the best quality cars and automobiles for very long. The strategy of the company to handcraft the products makes it more precise and provides the desired quality to the customer. The produced cars go through massive quality testing before they are handed to the customer. This strategy of maintaining the standard quality of goods has significantly contributed to the company’s profitability and reputation. However, if the quality management is not appropriately handled by the operation managers, the customer relationship is disturbed and leads to various financial loses to the organisation in the current situation and in future (Potkany et al., 2022).
Technology Embedded in the Operational Processes of the Organisation
Operational processes have been remarkably impacted by the developments in technology. Technology has been significantly utilized in various practices of operation management, which include data management, supply chain management, customer relationship management, automation of operations, etc.
Data Management
Organisations have started utilizing big data and cloud computing to be able to manage the huge quantity of information in the operational processes. These technologies have enabled the identification of business trends, customer insights, and recognition of patterns in sales. This analysis of data has various advantages in the decision-making of the organisation (Alaimo and Kallinikos, 2022. pp.19-37).
Supply Chain Management
Supply chain management utilizes technological advancements for various purposes. The resources, raw materials, and products are available to track and forecast their availability for the further capacity planning of the organisation. There is an innovation of blockchain technology which has improved the management of the supply chain significantly.
Customer Relationship Management
Customer relations are significantly improved by the advancements in technology as now there are numerous platforms where the customer interacts, communicates, and provides feedback to the organisation which helps the company to improve and provide the desired services.
Automation of operations
Automation of the operational processes has streamlined various functions of the organisation. The use of AI, machine learning, and robotics has enabled the work to be done without human error. These technologies also impact the costs of production, efficiency, and time management of the organisation (Feavearyear, 2023).
Integration of technological innovations in the operational processes of Morgan Motor Company
Morgan Motor Company has the objective of balancing the vintage characteristics with the modern technological approaches in their goods. The company has embedded various technological features in their automobiles to survive in the advanced technologically competitive market. However, the organisation utilizes hand assembly and craftsmanship as its strategy to stand out in the market; they have also developed practices that use technology to make its operations easier and quicker. One such technological integration is Computer-Aided Design (CAD) and Computer-Aided Manufacturing (CAM). This incorporation ensures that the designs of the cars and the components are consistent, updated, and free from human errors. Other such incorporation of technology in the operations are robotic machines, laser machines, data management software, quality testing software, and 3-dimensional printers (Olsen and Tomlin, 2020. pp.113-122).
Risks posed by the use of technology in operations
Integrating technology into the operational processes of the organisation has numerous advantages and benefits; however, there are particular threats posed by the usage of technological advancements. These risks can hurt the functioning, production, and profitability of the organisation.
Loss of workforce
The use of machines for manufacturing will lead to the risk of unemployment for many craftsmen in the Morgan Motor Company. As the company have the image of building the cars by hand craftsmanship; this image will be demolished once the audience knows the use of technology in the operations.
Cyber-attacks and technological faults
The software and databases of the company must be strongly built to protect against any kind of cyber-attacks that result into informational and monetary losses to the establishment.
Disturbance in the workflow
The machines help to increase the efficiency and speed of the operations and production, however, if these machines fail or are broken, they can disturb the entire workflow of the organisation (Kumar et al., 2020. p.124063).
Hence, the technology poses numerous risks to the operations of the organisation. Therefore, it is obligatory to make the right use of the technology that will result in the productivity and sustainability of the organisation.
Secondary roles related to the Operation Management Practices
The Operation Management Process comprises various functions that should be carried out effectively to ensure the smooth functioning of the operational processes. These functions should be considered and strategically planned by the operation managers to result in adequate production and profitability of the organisation. These functions are described as:
Strategic Alignment
Morgan Motor Company should strategically align the goals of the organisation with its capacity. There are dynamic goals in organisations, where the managers must ensure that they have strategically aligned the resources, labour, costs, and equipment with the demands of the objective.
Product Design and Delivery
The Morgan Motor Company has a few signature designs and they also customize the automobile designs according to the customer demands. Hence, the design and quality of the product must be comparable to the requirements of the client. There should be adequate resources and raw materials along with the workforce to ensure the timely delivery of the product to the customers (Cross, 2021).
Supply Chain Management
The management of the company should pre-plan the supply of raw materials, resources, labour, and technological equipment to ensure that the workflow does not get disturbed by the absence of any of the components.
Project Planning and Management
The strategic team of the Morgan Motor Company must plan and strategize the development of the projects to ensure the smooth functioning of the operations. Planning includes practices like capacity planning, raw material accumulation, workforce assessment, and checking on technological resources (Freitas et al., 2020. pp.1544-1550).
Benefits of these Supporting Functions in assuring the business success of Morgan Motor Company
Operation Management serves as the prerequisite for any manufacturing organisation to become successful and profitable. The supporting functions of operation management are important for ensuring harmony with the customer demands and production procedures. Morgan Motor Company has already implemented the necessary practices of operation management to ensure organisational success. The benefits of considering these supporting functions include the improved efficiency of the overall organisational processes, reduced expenses with desired results, improved quality of the goods and services, increased productivity of the organisation, improved supply chain management, strategic decision-making, an advantage in the competitive market, and satisfaction of the target audience. Morgan Motor Company can gain all these benefits by considering and appropriately implementing these functions in their operations (Dieppe, 2021).
Conclusion
The report concludes that operation management has a major contribution to the success and profitability. Morgan Motor Company is the most prevalent global brands for manufacturing deluxe motor cars and coachbuilders. They have set a benchmark for being the manufacturers of hand-built cars which have modern features with a vintage look. The company has completed more than 90 years in the industry and has evolved dynamically to meet the trends and advancements in the competitive market. They have struggled in their initial years in various segments of their production, supply chain management, capacity planning, and customer relationships. However, the organisation focused on the management of these operations; started strategic planning and employed the essential practices in the operations to ensure the smooth functioning of the operations and other functions of the organisation.
Hence, operation management practices are essential to sustain the resources and profitability of the organisation. The operation managers must strategically plan and take the appropriate measures to ensure the sustainable operations that contribute to the success, progress, and profitability of the business.
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