Effective Operation Management for Grocery- myassignmenthelp

Question: Discuss about theEffective Operation Managementfor Grocery Merchandise. Answer: Introduction A British Multinational General and grocery merchandise retailer, the head office of the Tescos Plc. is located at Welwin Garden city, Hertfordshire, United States. Founded by Jack Cohen during 1919, Taxco Supermarket was originally a small stall in East London. In 1929, he opened the first Tesco Grocery Store at Burnt Oak, Edgware North London. In 1932, the proprietors of this company incorporated it as Private Limited Company. Today, when measured by profit, it is considered as the third-largest retailer throughout the world (tesco.com, 2017). The company has stores across 12 countries in Europe, and Asia. The store portfolio of the company includes Tesco Express, Tesco Extra, Tesco Superstores, and Tesco Metro. Not only that, the company also have an internet website where the customers can shop from anywhere and get the home delivery. These stores cater to different types of customer groups and carry a wide-range of products from grocery to household goods, kitchen utensils, home appliances, and electronics among the others (tesco.com, 2017). Analysis of Tescos OM analysis Analysis of Input of the Tescos OM management Input Money Due to careful selection of product range, the products at Tesco Supermarket are cheaper when compared with its competitors Method The products that are available in the market are practical, and essential in daily life of the customers. Machine The products are procured in bulk and are packaged in an efficient way. Materials The management of supermarket continues to procure material designed to conservation of natural resources, remove global warming and waste elimination. The management prefers to display products with limited packaging. Manpower The company applies stringent quality control measures not only within the company stores, but also with its business partners (Bendoly, Wezel, Bachrach, 2015, pp. 53). The Tesco supermarket offers a wide-range of products for the benefits of its customers, under one-stop shopping marketing strategy. In this regard, the business strategy of Tesco supermarket as the cost leadership and its motto is, Every Little helps. One of the main competitive advantages of Tesco Supermarket is economies of scale and the company continues to experiment with different aspects of business and on occasion, this strategy continues to revolutionize the retail industry in the country to some extent (tesco.com, 2017). For example, this retailer introduced 24-hour shopping experience for the benefit of the customers. Further, the store has established a lot of click and collect point throughout the country for the customers who prefer to shop online (Bendoly, Wezel, Bachrach, 2015, pp. 53). Analysis of the processes of Tesco Supermarket OM The main focus of Tesco Super market is the cost leadership and its motto is, Every Little helps. As the main business of Tesco Super Market is to market and sell a wide-range of products the process includes service-oriented activities such as machining, packing, maintenance of shelves and continuous process of replenishing the stock (Simms, 2007, pp. 45).Not only that, the company continues to create and update appropriate and accurate ordering system in the stores as well as on the internet website as this step enables to reduce waste and lead to an improvement in availability of the product that can be displayed at the right location (Humby, Hunt, Phillips, 2009, pp. 65). Further, during 2010, the company invested more than 76 million pounds to create and install a third-generation ERP solution in all stores. The next step in this process is concerned mainly with opening hours, location, queuing system and the delivery of products and services to the customer. For this purpose, the company has employed trolley and home delivery services (Nash, 2006, 80). Analysis of the output of Tesco Supermarket OM It is possible that due to supply chain management operations, there may be an overstock. The company differentiates itself from other competitors in the market by offering various types of facilities to the customers and it includes Tesco Club card, Tesco mobile and credit card (tesco.com, 2017). With the Club Card, the customer can collect one point for every 1 they spend in the store or the internet website. Not only that, the customer can also collect points when he pays through various modes such as Tesco Mobile, Tesco Credit card, Tesco Homephone, selected Tesco Personal Finance products or Tesco Broadband (Simms, 2007, pp 45).These points, when used with Club card deals equates to 1p in store. Further, these points can also be converted to Virgin Atlantic or Avios frequent flyer miles (Virginatlantic.com, 2015). Analysis of Tescos Monitor and Control System Monitor and Control System cost The company uses economies of scale model for purchase of products from vendors. Speed Batch production flowline has competitive cycle time Quality The organization continues to keep a close watch on its procurement process (Leahy, 2013, pp. 56). Flexibility The company continues to experiment with different process in various areas of operation in order to find a perfect combination. Dependability The company continues to introduce new varieties in order to provide a comprehensive choice. Conclusion The sustainable competitiveness of Tesco Supermarket depends on 4vs (Bendoly, Wezel, Bachrach, 2015, pp,60). 4vs Variety High Tesco offers various types of stores such as Express, Finest, Supermarket, Metro and Extra. Not only that it also offers the Internet Shopping website, but also financial products including credit cards and petrol station. Volume Low Customers do not purchase products in bulk Visibility High The stores offer a high visibility and the customers can also shop online (Krajewski, Malhotra, Ritzman, 2015, pp, 58). Variation High The customers have access to lot of facilities and discounts with club card. Variability High The store enables the customers to personalize their purchase. Recommendations The Tesco chain of supermarket offers a wide-range of products and services for the customers at different levels and different needs under one-stop shopping model. Currently, the company is operating in 12 countries in different continents such as Europe and Asia. Change remains the only constant in business and the company should continue to evolve and update the operation management systems for the benefits of the customers. To increase its reach in the market, the company can start free home-delivery of products when the purchase of the customer reaches a certain point. Not only that, the Tesco Supermarket can target new niche market groups such corporate entities and their executives. References Bendoly, E., Wezel, W. V., Bachrach, D. G. (2015).The handbook of behavioral operations management: social and psychological dynamics in production and service settings. Oxford: Oxford University Press, pp. 53. Humby, C., Hunt, T., Phillips, T. (2009).Scoring points: how Tesco continues to win customer loyalty. London: Kogan Page, pp.65. Krajewski, L. J., Malhotra, M. K., Ritzman, L. P. (2015).Operations management Processes and supply chains. Boston: Pearson Education, Inc, pp. 58. Leahy, T. (2013).Management in 10 words. London: Random House Business, pp. 56. Nash, B. (2006).Fair-Trade and the growth of ethical consumerism within the mainstream: an investigation into the Tesco consumer. Leeds: University of Leeds, pp.80. . Simms, A. (2007).Tescopoly: how one shop came out on top and why it matters. London: Constable, pp.45. tesco.com (2010). A business for a new decade. from https://www.tescoplc.com/files/pdf/reports/annual_report_2010.pdf tesco.com (2017). about club card, Retrieved from https://www.tescoplc.com/aboutclubcard Virginatlantic.com (2015).. Shopping partners | Earn miles | Virgin Atlantic. Retrieved from https://www.virginatlantic.com/gb/en/flying-club/partners/shopping.html.