BTM5PRO Principles of Operations Management Assignment Sample

Introduction - BTM5PRO Principles of Operations Management Assignment Sample

Operation management (OM) implies for the supervision of processes, structures & practices of the companies in order to enhance the efficiency and maximize profits, Generally, OM includes overseeing the various departments and defining goals as well as streamlining the processes. Effective OM also helps in balancing the costs & revenue as well as contributes in developing the strategic plans, manages production, supply chain and logistics (Feng and Ye, 2021). Additionally, effective OM is important for the organizations because it helps in improving the collaboration among team, accomplishing business objectives, boosting employee productivity and enhances satisfaction of the consumers which ultimately positively influence on both revenue as well as profitability. Along with this, strategic alignment, product design and delivery, process optimization, purchase management and supply chain etc. are the significant functions of OM (Slack, Brandon-Jones and Burgess, 2023).

This report is based on British Airways (BA), one of the leading Airlines, which primarily operates its operation in global and domestic air travel services. The headquartered of this organization is situated in London, UK. The portfolio of this organization includes cargo and passenger transportation along with services of ground handling and aircraft maintenance (British Airways, 2024). In addition to this, report will highlight the ways of managing the operation and key process followed by BA. It also depicts the performance objectives of BA and ways of enhancing the customer experience.

MAIN BODY

Operation management of BA and its key process

BA is operating in the competitive market due to the availability of wide range of competitors ly Ryanair, Emirates etc. In order to gain the competitive advantage and run business process successfully, BA is placing emphasis on effective operation management. It is highly beneficial for the companies which aids in the revenue enhancement, gain competitive advantage by complying with the rules and regulations (Helo and Hao, 2022). In addition, scheduling system is considered as one of the key component of managing the operation by BA. Its scheduling system is long and complicated procedure that helps in bringing commercial and operational considerations together as well as deals with wide range of elements at one time such as crew, people and airports. BA is considered as one of the largest international scheduled line in UK because it flies more than 550 destinations all over the world. To manage the operation, this organization is using sophisticated forecasts and computations to plan the flights and eliminate disruptions.

Additionally, for managing the operation adoption of this system is beneficial for airline companies because it helps in controlling the tower information, considering the conditions of weather and modify the maintaining the status of aircraft accordingly (Wen et al, 2021). Apart from this, to manage the business operation in effective way BA is also emphasising on supply chain management (SCM). In the context of aviation, SCM encompasses the integration and co-ordination of all the activities among the several stakeholders such as manufacturers, airlines, logistic providers and suppliers in order to optimize the movement of parts, aircraft and other materials (Rajaratnam and Sunmola, 2021). By optimizing the process supply chain, selected company is enhancing on-time performance, reduces costs, and improves quality control as well as boosts customer satisfaction.

To manage operations effectively, BA is also implementing real-time monitoring and communication system to track and monitor the activities of crew, flight operations and maintenance processes. This organization is also focusing on effective communication system that facilitates quick response and co-ordination to any operational disruption. Apart from this, for managing the operation in an effective and successful manner, BA also tends to make focus on undertaking the continuous training & development programs for ground staff, crew members and maintenance personnel. On-going and continuous training programs make sure that the staff is having essential knowledge and skills to handle several operational scenarios (Zeybel, 2022).

On the other hand, OM process of British airways includes several activities such as route planning & scheduling, fleet management, ground operations, crew management and maintenance as well as engineering. Route planning and scheduling is considered as one of the key activity of OM process undertaken by BA. This activity includes identification of the most profitable and efficient flight routes by considering the several factors such as fuel consumptions, distance, demand analysis and airspace restrictions. Scheduling includes drafting flight’s timetables that facilitates the utilisation of resources and thereby minimize delays. In addition to this, fleet management is another activity that included in the process of BA (TING, 2023). In the airlines, fleet management is highly focuses on the maintenance and efficient utilisation of aircraft fleet. It encompasses various tasks such as retirement planning, aircraft acquisition, maintenance scheduling and makes sure whether safety regulations are followed or not.

Crew management is another process that includes in the operation of BA. This process includes planning and scheduling of flight crews which consists of cabin crew, pilots and ground staff. Additionally, this activity includes several tasks such as training management, crew roistering, fatigue management and ensuring the compliance of regulations. Ground operations are also the part of BA process in the context of operation management. This process includes numerous activities that require supporting the operations of the flight on the ground. This activity includes various tasks such as baggage handling, passenger handling, fuelling, and aircraft servicing as well as catering.

Apart from this, the OM process of BA also includes the maintenance and engineering. This activity majorly emphasises on the repair and preservation of the aircraft in order to ensure their safety and airworthiness (Umar, Mafas and Rana, 2023). This process of the chosen business includes regular inspections, repairs, maintenance planning and adherence with the regulatory requirements. Having effective OM is beneficial for the airlines companies because it helps in modernizing the process, elevating resource allocation and making investment in emerging technologies which assists them to cut down the expenses such as labour, fuel and maintenance. Effective management of operations is beneficial for BA because it aids in enhancing the customer satisfaction of customers, saving costs, improves security and safety measure which eventually positively influences the revenue or profitability.

Performance objectives of BA and how they balance proprieties

British Airways is a leading airline that extremely focuses on their performance objectives. The performance objectives of the company involve five factors such as; cost, quality, speed, flexibility and dependability. British Airways (BA) prioritises each performance objectives in a different way to maximise the business performance.

Quality: British Airways always focuses on quality of the services so that they can offer error-free and high quality services to the travellers. The company developed the services which have capability to satisfy the consumers. Through paying attention on steady and reliable service quality, particularly business class, BA improves the overall experience of their customers.

Speed: It is the top most priority of the airline company to deliver the products or services in a timely manner so that customers should not have to wait for the long time (Mio, Costantini and Panfilo, 2022). British Airways invests in biometric technology in order to accelerate the boarding and arrivals procedures in UK, New York, Los Angles and many more. The organisation also uses the data analytic tools to evaluate the real-time weather and aircraft capacity in a real-time so that they can make better decisions.

Dependability: It is another important performance objective because it reflects the performance of business activities being performed with accuracy to fulfil the demands of travellers. BA carries out their business operations with precision that attract lots of customer towards the services offers by the company. The airline delivers services of certain standard in a particular timeframe which helps in building the large base of loyal customers. If the customers feel that the services or goods are satisfactory then they depend on the firm and also spread positive words regarding the business.

Flexibility: The capability of operations of organisation to be as flexible as the requirement. With the changing situations or conditions, the services or products are as elastic as needed by the customers (Agrawal et al, 2022). British Airways consistently conduct market research so that they can know the latest market trends and shifts in the customer demands. After that, the airline modifies its services accordingly so that it can match the requirements of target audience. BA is responsible organisation and always offers services to satisfy the customer expectations so that they can gain competitive edge over others.

Cost: Customers always choose services by analysing the costs. Therefore, the appropriate cost-focused performance objectives enable the firm to streamline the operational costs. Being cost-efficient is the main motive of each profitable organisation including British Airways. The entire team of British Airways works continuously to offer exceptional services. BA adopted and implemented the value-based pricing and set prices according to the perceived value of services (British Airways, 2024). The airline offers premium priced tickets for the higher class customers such as; first class and business class. On the other hand, the organisation also offers the budget friendly services for those customers who are highly price-conscious.

Balancing these priorities

British Airways (BA) balances the performance objectives by undertaking the various strategies. The airline integrates advanced technologies that enhance the quality of services & goods and thereby increases operational efficiency. BA invests in artificial intelligence, machine learning, data analytics and automation across its business operations. By using technology, the airline improves its booking system, in-flight facilities and boarding services. The company performs this by better flight scheduling, maintenance and offering excellent customer service. The company balances objectives by evaluating performance through metrics such as; customer satisfaction, cost analysis etc. The airline also conducts consumer survey to find out what customers like or what things are required to change. BA also considers their employees as the valuable assets because without employee’s support, the company cannot achieve its performance objectives.

British Airways empowers their employees so that they can take their own decisions and carry out their work. BA organises training for their new cabin crew so that they can learn general procedures as well as concept behind safety of airline. Employees use the artificial intelligence and robotics to perform complex tasks that further help to offer seamless customer experience and offer quality services. Moreover, strategic partnership is also useful for the airline company to balance its priorities. British Airways is the part of IAG (International Airlines Group) (British Airways, 2024). The strategic partnership helps the organisation to control the operational costs. The airline also collaborate with many other airlines such as; American Airlines, Aer Lingus, Finnair and Iberia in order to make the travel experience of the customers easier as well as more rewarding.

Ways of enhancing customers experience by BA and its core offerings

In the context of tourism, customer experience is defined as building and managing the interactions with the passengers, fulfil their needs and exceed their wants and expectations. For growth and success it is important for the airlines companies to enhance the experience of the companies. BA is majorly emphasis on enhancing the experience and increase satisfaction of the customers from which they are likely to avail the services repeatedly. Improving experience of the customers is useful for organizations because it aids in increasing the level of satisfaction, ensures higher retention rates, improves brand reputation and operational efficiency which ultimately positively impacts the overall growth & development (Deveci et al, 2022). To enhance the experience of the customers BA is offering wide range of high-quality services from which they are likely to retain with them for the longer duration.

In addition to this, to enhance experience of passengers BA is emphasis on adopting emerging and advanced technologies. To enhance experience of customers and maintain aircraft, British Airways is accelerating its digital transformation and use of artificial intelligence (AI). By adopting emerging technology, BA is updating its IT infrastructure and forecast where plane is probable to build fault. This strategy allows the chosen organization to make pre-emptive repairs instead of waiting for failures which is determined at the time when passengers are on board. Implementation of the technological advancement is beneficial for the airline companies because it helps in turning to AI platforms in order to enhance experience of customers (Jackson, 2023).

Additionally, to enhance experience and increase satisfaction of customers, BA is also providing excellent customer-friendly services to them. The customers are likely to book BA because it provides the benefit of generous free baggage allowance on standard fares. To engage and encourage customers, the chosen airline company is also providing service of complimentary drinks and meals which are designed by its culinary expertise on all long-haul flights. In addition, BA is also offering 24-hr cooling-off period on bookings in case of changing mind of passengers. Apart from this, to enhance experience of customers BA is also includes loyalty scheme in its service offerings. This organization is conducting loyalty programme i.e. BA Executive Club where the customers are freely to join. This loyalty programme helps in encouraging and influencing the passengers to avail the services or book airline from BA instead of competitors (British Airways, 2024).

To enhance the experience of the customers it is important for the companies to build the strong relationships with them (Adhikari and Bhattacharya, 2016). To strengthen relationship and enhance experience of customers, BA is also implementing leading software i.e. customer relationship management (CRM). It is a cloud based software system that is use by chosen organization to nurture and manage the relationships with the customers in effective manner (Zheng, 2023). Adoption of this software is beneficial for airline companies because it enables seamless communication, modernize customer interaction and improve overall experience. By leveraging CRM, BA is personalizing customer interaction, optimize marketing strategies and cultivate long-term loyalty. With the help of CRM, selected company is cultivating the deep understanding of its customers. This software also facilitates airline companies to provide tailored and personalized services according to the needs and preferences of the people.

On the other hand, to improve customer’s experience, BA is providing wide range of services such as cabins, dining, club world, lounges, family travel, inflight entertainment, on-board food and drink etc. To encourage customers, the team of selected business is busy in working on installing the winning club suite cabins. In this cabins, the passenger who is travelling are able to use free Wi-Fi, stretch out and relax as well as watch a feel (Agarwal and Mohan, 2021). This service of BA aids in increase satisfaction of customers from which they are likely to avail more services on repeat basis. Along with this, BA is also providing the services of family travel from which the passengers can travel together. Offering of this service is beneficial for Airline Company because it aids in creating lifelong brand loyalty across generations. In the context of airline industry, positive experience of the customers can lead to increase loyalty, word-of-mouth suggestions and repeat business. Contrariwise, negative experience of customers tends to lost their trust and damage reputation of airline companies.

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Strategies of planning, control and quality management use by BA

Planning, control and quality are considered are significant components that assist BA to manage its operation in effective and efficient manner. With the help of these components, chosen organization is able to provide the high-quality airline services to its passenger. In the context of tourism, planning is defined as creating strategies to build a tourism in a particular destinations. Effective planning helps the airline companies to understand current trends that permits to tailoring the operations to meet demand of customers (Levakos, 2021). Proper planning also helps in allocating and managing all the resources in effective and efficient way that helps in accomplish desired goals and objectives.

For effective planning of the overall operations, airline companies are focusing on scheduling system. This system helps in proper evaluation of fleet requirements to meet the predicted demand of the customers. For planning the operations and activities, BA is emphasis on scenario planning system. It is considered as forward-looking strategic technique that permits airline companies to forecast several possible future results and establish robust strategies. In the milieu of airline sector, scenario planning system includes several variables such as demand of passenger, prices of fuel, geopolitical events and regulatory changes (Neuhofer, Magnus and Celuch, 2021). Adoption of this system is beneficial for BA because it aids in making potential and effective decisions as well as developing contingency plans to adopt unanticipated trends. This planning system helps in managing the operation of BA by improving agility and resilience. By predicting potential disruptions and building contingency plan, chosen organization can reduce the influence of unanticipated events and react quickly to the changes in the operating environment. Along with this, scenario planning system also enables effective collaboration and communication within the companies.

Apart from this, BA also has same mechanism of control like planning. In the context of operational management, control is considered as one of the critical function that helps the companies to check errors and take corrective actions. Effective control assist the companies to minimize deviation from standards and make sure whether their desired goals are achieved or not in targeted manner (Bertelli Fogaça et al, 2022). To control the performance of operations, customer satisfaction, on-flight etc., BA implement various tools such as OTP (on-time performance), load factor, flight utilization, revenue passenger kilometres (RPK) etc. OTP is considered as one of the key performance control tool that helps in calculating the portion of flights that reach their endpoint on schedule. It is regard as significant element of customer satisfaction and used by airlines to measure their dependability and performance. In addition to this, flight utilization is another performance control tool that is used by BA. This control tool helps in determining the amount of time of aircraft in the operation on the basis of each day.

In addition to this, quality management is considered as another key are of British Airways. To enhance experience and increase satisfaction of customers it is important for the airline companies to emphasis on effective management of service quality. In the term of aviation, quality management system helps in offering proper approach to make sure whether services are meet performance standards and stringent safety. For maintaining the quality of services BA is emphasis on total quality management (TQM). This method is use to control the accessible resources in effective manner and ensure the standardized quality of the services (AlShamsi et al, 2022). Adoption of TQM is beneficial for BA because it aids in providing the high-quality of airline services to the passengers from which they are likely to attract and retain with them. This method also helps in lowering cost continuously which eventually increase profits and revenue. In the context of airline, TQM is majorly emphasis on way of fulfilling the demand and needs of the passengers at reasonable prince over competitors.

On the other hand, to improve quality of services by minimizing wastage BA is also emphasis on lean management. It is recognized as one of the systematic process that aids in optimizing efficiency my maximizing value for customers and minimizing waste. Emphasis on lean management is beneficial for airlines companies because it helps in reducing wastes, improve efficiency and better utilization of resources which eventually positively influence on quality of services.

Ways of addressing sustainability by BA

Sustainability refers to a balance between economy, environment and equity. To protect the environment and safeguard the health of the people, aviation companies are also majorly emphasis on sustainability. In the aviation sector, the requirement of sustainability is rapidly increasing (Afonso et al, 2023). BA is also achieving sustainability because it helps in reducing carbon emission, accomplishing net-zero emission, minimize environmental impact and meeting regulatory requirements. BA implements various ways to address the sustainable because it helps in lowering carbon footprint, saving costs, improve brand reputation and long term viability. To address the sustainability, BA is taking urgent and important action that helps in safeguarding the health and well-being of the passengers. This organization committed to build better world sustainability programme and also invest in technologies to drive continual enhancements in social, governance and environmental business performance.

To achieve sustainability, BA reduced carbon intensity in 2023 which helps in protecting the environment. To safeguard the environment, BA continued to drive the efficiency of carbon across its operation with the help of various initiatives such as introducing fuel efficient aircraft, sustainability training to its pilots. Along with this, for reducing carbon emission and achieving net zero BA received certification of IATA environmental assessment (IEnvA). This certification helps chosen organization to manage its system and covering operations of global flights. To accomplish sustainable goals and objectives, BA increase the amount of SAF (sustainable aviation fuel) in its operation. This organization raised usage of SAF more than 50,000 tonnes which helped in mitigating more than 1, 50,000 tonne carbon dioxide. Apart from this, BA was also formed new carbon removals partnership by utilising nature-based solutions to achieve sustainability. Selected organization announced new carbon removals partnership with standard charted, CUR8 and UNDO to buy over 4,000 tonnes of carbon removal credits.

To protect the environment by reducing carbon emission, BA is continuing to support social enterprise groups and charities within UK. In 2023, with the help of BA better world community fund, chosen business supported 246 organization’s projects and raised £2 million for fostering biodiversity and nature, tackling climate change, waste reduction and community engagement (British Airways, 2024). Along with this, to accomplish sustainability BA was continued to develop a colleague culture. In 2023, this organization was increase the engagement of colleagues in sustainability rise by 15% as compare to 2022. To accomplish the sustainability to safeguard the health of passenger and protect the environment from carbon emissions, BA is also flightpath to net zero. This organization has qualified roadmap in order to accomplish net zero emission in long, short and medium term in comparison to 2019. BA is part of one of leading airline group in the world i.e. IAG and it commits to developing net zero by 2050 in order to achieve sustainability.

For this, selected company is making significant investment in modern and new aircraft that are efficient up to 35% as compared to other airlines. To accomplish net zero carbon emission, BA is investing in more effective and new aircraft as well as drive operational efficiency (British Airways, 2024). Apart from this, to gain the competitive advantage over competitors and build the reputed position in the market it is important for the companies to enhance their responsible operations. To improve the responsible operation, BA need to integrate renewable energy in its ground’s operation. Adoption of this strategy can be useful for the selected organization because it aids in reducing life-cycle of carbon emission, contribute to cleaner air, creates new economic opportunities and improve energy security. Renewable energy in aviation also helps in improving security, resilience and reliability of grid which ultimately positively impacts on the protection of the environment.

To enhance responsible operation, BA need to focus on strengthening sustainable supply chain. Selected organization is operating the business operation at global level so it is important for them to modernizing sustainable supply chain that helps in improving efficiency of engine, cleaner fuels and better management of the flights. Sustainable supply chain helps aviation companies to enhancing social, environmental and governance (ESG) score which leads to increase brand equity.

CONCLUSION

In the end of report it has been concluded that, for growth and success it is important for the companies to manage their operations effectively and efficiently. Effective OM is beneficial for the companies because it aids in enhancing collaboration among team members, increasing productivity of workforces and increase consumer’s satisfaction. BA is managing its operation by adopting effective scheduling system, supply chain management, real-time monitoring and communication system. In addition, the OM process of BA is consist of various activities such as fleet management, route planning and scheduling etc. Quality, speed, dependability, cost and flexibility are recognized as significant objectives of BA. For attracting and encouraging the customers, BA is emphasis on putting efforts to enhance their experience and increase satisfaction through several service offerings. This organization is providing services of family travel, customer-friendly services, dining, on-board food and drink which helps in enhancing experience of passenger. For the planning of operation, selected organization can focus on scenario system and adopt TQM and lean management to manage the quality of services.

REFERENCES

Books and Journals

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