4 MPS - Workshop - Handout 2
4 MPS - Workshop - Handout 2
Workshop Themes
1
31/10/2023
2
31/10/2023
3
31/10/2023
A process is ‘a specific ordering of work activities across time and space, with a
beginning and an end, and clearly defined inputs and outputs: a structure for
action…. Processes are the structure by which an organization does what is
necessary to produce value for its customers’
Inputs
Transformation
Transformed Outputs
Process
resources
Customers Goods and/or
Materials services
Information
Transforming
resources
People
Facilities
Plant/equipment
4
31/10/2023
Group Activity
Working in your learning teams
Welcome Back!
10
5
31/10/2023
Session 1
Objectives and capabilities
11
12
6
31/10/2023
13
Ryanair –
Budget Airline
Emirates –
Full Service Airline
14
7
31/10/2023
Differentiation
Innovative design
Service experience
Flexibility
Quality
Cost
Responsivenes
leadership
Speed
Low prices
Dependability
Cost-efficient
operation Flexibility
16
8
31/10/2023
World Class?
https://www.worldairlineawards.com/worlds-top-10-airlines-2022/
17
18
9
31/10/2023
Ryanair Quality
Emirates 5
4
3
Cost 2 Speed
1
5 = High importance
1 = Low importance
Flexibility Dependability
Use for:
• Competitive priorities (as here)
• Different customer segments
• As is (current) vs. To be (future) priorities
• Planned vs. actual
Based on Slack, Brandon-Jones and Burgess (2022: 60)
19
High total
Short productivity On-time delivery
lead Service
SPEED Fast Resource Reliable DEPENDABILITY
time availability
throughput capabilities operation
perspective
Error-free Ability to
processes change
QUALITY FLEXIBILITY
20
10
31/10/2023
SPEED DEPENDABILITY
High total
Short productivity On-time delivery
lead Service
time Fast Resource Reliable availability
throughput capabilities operation
perspective
Error-free Ability to
processes change
QUALITY FLEXIBILITY
On-specification Frequent new products/services
products/services Customised products/services
Volume and delivery adjustments
Adapted from Slack, Brandon-Jones and Burgess (2022: 57)
21
22
11
31/10/2023
Process
How the work is
organised and structured
People Technology
How the human
How transformation
component is organised
technologies are used
and used
Information
How information is used
to plan and control and
improve
23
Process
• Ticketing processes
• Passenger processing
• A/C cleaning/servicing
People Technology
• Aircrew • Aircraft
• Ground staff • Ground equipment
• Maintenance staff • Ticketing systems
Information
• Flight planning
• Maintenance data
• Satisfaction scores
24
12
31/10/2023
Quality
Market requirements
Performance objectives
Cost
25
Emirates Ryanair
Multi-class service Highly trained Innovative Data on
Quality
5 2 Executive lounges staff High staff: seating/facilities customer
Process performance objectives
Airport location
Crew clean a/c Online check-in
Speed 4 4 Standard processes
Less busy airports
(multi-skilling) processes (both)
be met
channels
No frills service Low staff: Standardised fleet
passenger ratio Modern fleet (fuel cost)
Cost
3 5 Charge for extras
High a/c utilisation Flexible staff
A/C layout to
maximise seating
26
13
31/10/2023
Speed Cost
through trading off objectives
Speed Cost
Reposition
Speed
Speed
Cost
Cost
27
Emirates Ryanair
Multi-class service Highly trained Innovative Data on
Quality
5 2 +Executive lounges staff High staff: seating/facilities customer
Process performance objectives
Airport location
Crew clean a/c Online check-in
Speed 4 4 - processes
Standard
Less busy airports
(multi-skilling) processes (both)
be met
channels
No frills service Low staff: Standardised fleet
passenger ratio Modern fleet (fuel cost)
Cost
3 5 Charge for extras
High a/c utilisation Flexible staff
A/C layout to
maximise seating
= Example areas of potential trade-offs Adapted from Slack and Brandon-Jones (2021: 67)
28
14
31/10/2023
Airport location
Crew clean a/c Online check-in
Speed 4 4 Standard processes
Less busy airports
(multi-skilling) processes (both)
be met
- Excess capacity to Flexible staff, Maintenance systems Real time
Depend-
ability
4 5 cope with demand
A/c turnaround doing multiple maintenance data
roles Standardised fleet
process
Alliance partners; Multi-lingual digital
Flexi-
bility
5 2 through ticketing.
Multiple service
check-in robots
channels
Low staff: Standardised fleet
+ No frills service
passenger ratio Modern fleet (fuel cost)
Cost
3 5 Charge for extras
High a/c utilisation Flexible staff
A/C layout to
maximise seating
= Example areas of potential trade-offs Adapted from Slack and Brandon-Jones (2021: 67)
29
Task:
Prepare a 5-minute presentation on the following questions:
1. Identify the key aspects of the five performance objectives for a supermarket operation
2. How do Aldi and the conventional supermarket described in the case differ in the relative
priorities for their performance objectives?
3. Using the operations strategy matrix, show how Aldi’s performance objective priorities are
reflected in its resource capabilities (Process, People, Technology, Information)
4. ‘Our customers don’t want cheap products that are nasty, and we’ve never, ever been in that
game’. How do Aldi manage the potential trade-off between quality and cost?
Feedback:
Agree a team presenter who will be asked to share your findings with the other groups in plenary
30
15
31/10/2023
31
Session 2
Process design and analysis
32
16
31/10/2023
• Process positioning
– Demand and the Four Vs
• Process analysis
– Process mapping
– Fail points
– Waste
– Bottlenecks
– Digitalization
33
34
17
31/10/2023
Variation in
demand
Visibility
35
36
18
31/10/2023
Retail banking
High unit cost Low unit cost
37
38
19
31/10/2023
39
(https://www.aba.com/new
s-research/research-
analysis/preferred-banking-
methods)
40
20
31/10/2023
(https://www.aba.com/news-
research/research-analysis/preferred-
banking-methods)
41
Inseparability/Co-production
Heterogeneity
Intangibility
Perishability
See Slack and Brandon-Jones (2021: 28)
42
21
31/10/2023
Mutually constraining
Adapted from Slack and Brandon-Jones (2021: 165)
43
Inputs
Transformation
Transformed Outputs
Process
resources
• Hiring manager
• Human Resources
• Departmental
administration
• HR system
44
22
31/10/2023
45
Interview
applicants
Select
Transforming Resources applicant
46
23
31/10/2023
47
Process Mapping
Describe the process to be mapped using a simple one-line statement such as
Describe process ‘processing a customer order’ (or use a SIPOC diagram)
Determine start Identify the ‘trigger’ start event and the target (end) points of the process.
Identify each intermediate activity. Use the verb-noun format (e.g. “complete
Identify activities form”).
Determine
Identify the precedence (sequence) of each activity
precedence
Lay out process Follow the process through to the target (end) point.
Review and check Review and check for accuracy and consistency.
48
24
31/10/2023
Target
49
50
25
31/10/2023
51
Activity
Direction of flow
52
26
31/10/2023
53
54
27
31/10/2023
55
28
31/10/2023
57
58
29
31/10/2023
Transaction processing
Monitoring
Example
applications
Automation/robotics
Analytics
59
Gaps and Problems occur when information or Model process using swim lanes and identify handovers.
disconnects materials are passed between What happens and what needs to happen?
departments or functions
Failure proofing Reduce failures in the process Model process. Identify potential or actual fail points.
Institute failure proofing.
Value-added Eliminate non value-adding activities Model process and identify value-adding steps, enabling
analysis steps and non-value adding steps. Which non-value adding
steps can be eliminated now? In the future?
Bottleneck Manage the constraints that govern flow Model process and identify bottlenecks. Balance flow
management through the process through the process by managing the constraint. Elevate the
constraint
Variability Reduce variability throughout the process Identify variability and its causes. Can variability be reduced?
reduction
Digitalisation Replace or reduce human labour in the Robotics, robotic process automation or other digital
(automation) process e.g. for speed or cost technologies; may involve process redesign
Based on Harmon (2003)
60
30
31/10/2023
Task:
Prepare a 5 minute presentation on the following questions:
1. Using process maps, show restaurant operations before and after Made for You.
2. Explain how the changes in process design support changes in customer demand and
changing priorities in performance objectives
Feedback:
Agree a team presenter who will be asked to share your findings with the other groups in
plenary
61
• Process positioning
– Demand and the Four Vs
• Process analysis
– Process mapping
– Fail points
– Waste
– Bottlenecks
– Digitalization
62
31
31/10/2023
63
64
32
31/10/2023
65
Session 3
Aligning supply and demand
66
33
31/10/2023
• Managing capacity
• Managing inventory
• Planning and control
67
What is Capacity?
68
34
31/10/2023
69
70
35
31/10/2023
•
Individual
71
Source: https://www.england.nhs.uk/statistics/statistical-work-areas/ae-waiting-times-and-activity/ae-attendances-and-emergency-admissions-2020-21/
72
36
31/10/2023
https://www.england.nhs.uk/statistics/statistical-work-areas/ae-waiting-times-and-activity/ae-attendances-and-emergency-admissions-2020-21/
73
Capacity increments
Planned unused capacity
Volume
Time between
capacity increments
Time
Adapted from: Slack and Brandon-Jones (2021: 138)
74
37
31/10/2023
75
76
38
31/10/2023
Source: http://www.tilastokeskus.fi/til/matk/tau_en.html
77
Source: Gautrain (2019) Integrated Annual Report 2018/19. Johannesburg: Gautrain Management Agency
78
39
31/10/2023
Source: Eskom Weekly System Status Report – 2023 Week 10 (06/03/2022 – 12/03/2023)
79
Source: https://www.england.nhs.uk/statistics/statistical-work-areas/ae-waiting-times-and-activity/ae-attendances-and-emergency-admissions-2020-21/
80
40
31/10/2023
https://blog.aci.aero/airport-markets-and-seasonal-variations
81
Provided Capacity
Service/
≥Demand:
Production
Service/ infeasible
production feasible (insufficient
capacity)
0 100%
Utilisation
82
41
31/10/2023
Zone
Reduction in of no
demand/process service
variability
X
Short waiting time
but low utilisation
Y Z
0 Utilisation 100%
83
Capacity
– Promotions/discounts
Volume
– Alternative products
Original Changed
– Price differentials/yield management demand demand
Slack and Brandon-Jones (2021) Time
84
42
31/10/2023
85
86
43
31/10/2023
Inventory Management
87
= Activities that
The operation’s reconcile supply The operation’s
resources and demand customers
Planning: ‘the formalisation of what is intended to happen at some time in the future’
Slack, Brandon-Jones and Burgess (2022: 708)
Control: ‘the process of monitoring operations activity and coping with any deviations
from the plan; usually involves an element of replanning’
Slack, Brandon-Jones and Burgess (2022: 702)
88
44
31/10/2023
Prioritisation
Loading and
sequencing
Supply Customer
Suppliers interface interface Customers
Monitoring
Scheduling and
control
89
90
45
31/10/2023
Prioritisation
Loading and
sequencing
Supply Customer
Suppliers interface interface Customers
Monitoring
Scheduling and
control
Planning and
Other control Planning and Other
business information control staff business
functions system functions
The decision mechanism of
planning and control
Slack and Brandon-Jones (2021: 342)
91
92
46
31/10/2023
• Managing capacity
• Managing inventory
• Planning and control
93
Session 4
Implementing improvement
94
47
31/10/2023
• Measuring performance
• Improving performance
• Implementing process change through projects
• Evaluating and managing risk
95
Intervention Monitor
Objectives
Gap?!!
Compare/
re-plan
96
48
31/10/2023
97
these objectives
• Speed of service [contributes to quality] • Checkoutfor your
waiting times
Speed • Order to delivery time (online order) • Order to delivery time
organisation/process?
• Product availability • Order fill rates
Dependability How
• Keeping to delivery time (online order)are they currently measured?
• On time delivery per cent
98
49
31/10/2023
Continuous Improvement
Act Plan
Check Do
Performance
PDCA Cycle
(‘Deming Wheel’)
• Plan – analyse problem and formulate a
plan of action to achieve objectives
• Do – carry out the plan Continuous improvement (Kaizen)
• Check – measure and analyse impact
• Act – standardise successful method
• Many, relatively small but frequent and
and/or continue improvements incremental steps
• Often organised by self-managed teams
of operators
• Risks are spread over many (often
simultaneous) improvement projects
99
Continuous Improvement
management
100
50
31/10/2023
User-
oriented
Purpose of adopting QMP QMP Structures and routines
design
Resources Strategic
• Human and financial fit
resources • QMPs integrated
• Capacity building with strategy
101
Continuous
improvement
Actual improvement
path
102
51
31/10/2023
103
Low High
Level of Interest Slack and Brandon-Jones (2021: 542)
104
52
31/10/2023
Current state
Desired state
Lewin (1952); Cameron and Green (2015)
105
What are the forces Driving forces Restraining forces What are the forces
driving the change? resisting the change?
5 4 3 2 1 1 2 3 4 5
Desired state
What are the implications for managing the change? Lewin (1952); Cameron and Green (2015)
106
53
31/10/2023
107
1.1 1.4
Deliverable 1.2 1.3
System System
Hardware Software
level definition deployment
1.2.1 1.3.1
1.1.1 Define 1.4.1
Hardware Software
system System
design development
installation
1.2.2 1.3.2
Hardware Software
1.4.2
build testing
Training
1.2.3
Hardware
Activity (work package) test
level
108
54
31/10/2023
109
Phase
% Complete Activity
Interdependency
Milestone
Simplified Gantt
chart showing
phases only
GanttProject (http://www.ganttproject.biz/)
110
55
31/10/2023
Facilities manager
Head of Hardware
Head of Software
Project manager
Project sponsor
HR (Training)
Lead user
ID Activity Start End
Cost
Costs/benefits
profile Benefit
delivery
112
56
31/10/2023
Reduced Improved
customer customer
Fewer data frustration retention
User errors
training
Improved Increased To increase
Improved customer sales sales
service Improved conversion revenue
customer
image
data
CRM
System
More More new
Improved Improved
focused customers
sales data productivity
sales
Outcome
Project Intermediate Strategic
(business End benefit
outputs benefit objective
change)
113
57
31/10/2023
An interesting example from an annual report that uses colour coding to show
different areas of risk
Source: GMA (2015) Integrated Annual Report 2015. Johannesburg: Gautrain Management Agency
115
Document
version control What is the planned Who is the owner
mitigation strategy? of the risk?
116
58
31/10/2023
Source: O'Har, J. P., Senesi, C. W. and Molenaar, K. R. (2017). Development of a Risk Register Spreadsheet Tool for
Enterprise- and Program-Level Risk Management. Transportation Research Record, 2604(1): 19-27.
117
Feedback:
Agree a team presenter who will be asked to share your findings with the other groups in plenary
118
59
31/10/2023
• Measuring performance
• Improving performance
• Implementing process change through projects
• Evaluating and managing risk
119
120
60
31/10/2023
Assignment Brief
121
122
61
31/10/2023
123
• The title should indicate the topic and focus of the report to the reader
• Your title should not normally exceed 25 words
• Use it to help you formulate your focus for the assignment
• Remember: the title is the first thing about your chosen topic that the marker
will read!
124
62
31/10/2023
Make sure that your introduction clearly states the problem, challenge or
opportunity that is the focus of your assignment!
125
Indicate the sources of data you have used in your assignment. For example, if you are using
interviews/questionnaires note this in your report and give more details in an appendix.
126
63
31/10/2023
Indicate the sources of data you have used in your assignment. For example, if you are using
interviews/questionnaires note this in your report and give more details in an appendix.
127
To demonstrate your broader understanding and learning from studying the MPS
module, you are required to include a reflective component to your assignment.
Consider, for example:
• What are the strengths and weaknesses of the process and system approach?
• How has study of the MPS module influenced your thinking about and your
approach to management?
• How will you use your learning from MPS in the future?
128
64
31/10/2023
Referencing
• Please refer to your study skills workshop notes and Harvard reference guide on
Canvas to understand academic requirements to reference material
• Lack of (or incorrect or inappropriate or incomplete) referencing might lead to
academic misconduct investigation
129
Use of Appendices
130
65
31/10/2023
Word Count
• Your assignment should be 3,000 words in length
• Word count will comprise all text including:
– footnotes/endnotes;
– all text in tables, diagrams, etc.
• The word count does not include:
– the text on the cover page (the cover page should include your name, student ID number, the title
of the report, the title of the module, and word count statement);
– table of contents (if required);
– reference list and any appendices
• Assignments may not exceed the specified word count by more than 20% or fall short of it by more
than 10%
• A marker is not obliged to read beyond the word limit , and a mark based on the work up to the word
limit will be awarded
• Assignments that fall short of the specified word count by more than 10% will be marked as submitted,
sustaining any potential limitations due to shorter content
131
132
66
31/10/2023
133
Thank You!
134
67
31/10/2023
References
Asif, M, de Bruijn, EJ, Douglas, A and Fisscher, OA (2009). 'Why Quality Management Programs Fail: A Strategic and Operations
Management Perspective.' The International Journal of Quality and Reliability Management 26(8): 778-94.
Bicheno, J. & Holweg, M. (2016). The Lean Toolbox: The Essential Guide to Lean Transformation, 5th ed. Buckingham: PICSIE.
Bradley, G. (2010). Benefit Realisation Management: a Practical Guide for Achieving Benefits through Change 2nd ed. London: Routledge.
Cameron, E. and Green, M. (2015). Making Sense of Change Management : A Complete Guide to the Models, Tools and Techniques of
Organizational Change. Philadelphia, PA: Kogan Page.
Da Silveira, G. & Slack, N. (2001). Exploring the Trade-off Concept. International Journal of Operations & Production Management, 21(7):
949-964.
Davenport, T. H. (1993). Process innovation: reengineering work through information technology. Boston, MA: Harvard Business Press.
Guide Jr, V. D. R. & Chiselli, G. A. (1995). Implementation of drum-buffer-rope at a military rework depot. Production and Inventory
Management Journal, 36(3): 79-82.
Harmon, P. (2003) Business Process Change, San Francisco, CA: Morgan Kaufmann
Heizer, J., Render, B. and Munson, C. (2020). Operations Management. 13th global ed. Harlow: Pearson.
Hopp, W. J. & Spearman, M. L. (2008). Factory Physics, 3rd ed. New York, NY: McGraw-Hill.
Lewin, K. (1952). Field Theory in Social Science. London: Tavistock Publications.
Mosadeghrad, M. A. (2014), ‘Why TQM programmes fail? A pathology approach’, The TQM Journal. 26(2): 160-187.
Muro, M., Liu, S., Whiton, J. & Kulkarni, S. (2017). Digitalization and the American workforce. Washington, DC: Brookings Institution.
PMI (2017). The standard for program management. 4th ed. Newtown Square, PA: Project Management Institute.
Slack, N. & Brandon-Jones, A. (2021). Operations and Process Management. 6th edn, Harlow, Pearson Education.
Slack, N., Brandon-Jones, A. & Burgess, N. (2022). Operations Management. 10th edn, Harlow, Pearson Education.
Wild, R. (2002). Operations Management. 6th edn. London, Continuum.
135
68