Daniel Olatunde Obadaye Ope

Module 4 Assignment

BUSINESS REPORTS ON ANALYSIS AND STRATEGY FOR PRODUCTION EFFICIENCY

AND QUALITY CONTROL OF RITE FOODS LIMITED

NXU Assignment MBA Programme OPM 6090

14-Jul-24
Module 4 Assignment OPM 6090
Analysis and Strategy for Production Efficiency and Quality Control of XY Manufacturing Company

Preamble

Essentially, the story of NUMMI serves as a pivotal learning experience that can influence the

decisions and practices of any manufacturing company. One of the key aspects is Toyota's ability

to gather line workers to identify challenges, develop solutions, and prompt management to take

action on anticipated changes. Insights from the NUMMI story can be applied as an Operational

Manager of Rite Foods Limited manufacturing company facing challenges in production

efficiency and quality control.

1.0 ORGANIZATION DESCRIPTION

Taking a cue from the NUMMI incident, this report is based on Rite Foods Limited’s plan to

ensure efficiency in production and quality control management.

Rite Foods Limited is a top-notch Nigerian food and beverage manufacturing company that

commenced operations in March 2008.Due to management unproductive decisions, the company

is experiencing challenges related to eficiency in production and quality control measures which

had been impacting the reputation of the Food and Beverage company.

Organizational Challenges in Administrative set up

In order to overcome this challenge, it is essential to educate all parties involved on the

advantages of adopting a value-based approach. Given that the benefits typically outweigh the

costs significantly, one can adjust the initial steps towards value strategy based on gained

experience. To secure the approval of the board and employees, one will require:

 Proper training

 Solid experience

1
Module 4 Assignment OPM 6090
Analysis and Strategy for Production Efficiency and Quality Control of XY Manufacturing Company

 Systematic implementation process

A value-based strategy to Optimize operations

 Define the Purpose

Defining the purpose of the organization is crucial. It helps to increase the value for

customers and employees, particularly when the organization's objective is associated with a

specific cause or addresses social issues. It involves communicating to employees about the

purpose and values of the organization.

 Collection of Facts

There will be an assessment of previous performance and current situation. Evaluation of all

business scenarios to identify successful strategies and potential future opportunities. Utilising

tools like SWOT analysis (strengths, weaknesses, opportunities, threats) and PESTLE

(Political, Economic, Social, Technological, Legal, Environmental) can provide valuable

insights into external factors.

 Focus on Systematic Growth

The strategic plan will assess which segments a Rite Foods will develop and what offerings

so that the product mix generates a specific new margin outcome. Once decisions are made,

the organisation will determine its financial capacity in terms of fees, overheads, expenses,

and so forth.

 Map Strategy to Actionable Tasks & KPIs

2
Module 4 Assignment OPM 6090
Analysis and Strategy for Production Efficiency and Quality Control of XY Manufacturing Company

While adding value for customers, suppliers, employees, and clients is crucial, it is important

to also consider the value the business provides to its stakeholders. Rite Foods Limited

stands to gain from delivering value to all parties involved.

 Performance Management

Following the completion and implementation of all the planning, it is crucial to ensure that

the review process is continuous and progressing towards the set goal. Monitoring and

overseeing the entire strategy can be challenging as business leaders, executives, and

managers explore various methods to execute plans. However, developing, overseeing, and

evaluating a strategy always involves collecting pertinent information, breaking down

extensive data into smaller pieces, and establishing a clear vision.

A value-based strategy to Enhance productivity

 Setting clear objectives

Clear and well-defined objectives will help the employees align with the main business goals

and provide daily guidance on work and priorities.

 Encouraging innovative practices

Empowering the team to explore new ideas, experiment with different approaches, and adopt

a growth mindset.

 Avoiding multitasking

Encouraging the employees to focus on one task at a time, enabling them to give their full

attention and energy.

3
Module 4 Assignment OPM 6090
Analysis and Strategy for Production Efficiency and Quality Control of XY Manufacturing Company

 Cutting distractions

Identifying distractions and making conscious means to eradicate or curb them.

 Establishing open communication

A culture to promote where employees feel at ease sharing ideas, concerns, and feedback.

 Granting more authority to employees

Empowering the team by delegating more authority and autonomy over their work.

Assigning suitable responsibilities and offer opportunities for their growth and development.

 Eliminating unnecessary processes

Assessing and reviewing the organization's processes to identify and remove unnecessary or

redundant tasks. Simplifying workflows and eliminate bottlenecks to enhance efficiency.

Encouraging employees to provide feedback on processes and be open to reassessing and

refining them.

Transparency in goals and work

Communicate organizational objectives and how each employee's work aligns with them.

Ensuring every contributor understands and can track the progress of cross-functional and

shared objectives.

 Allow employee growth and development

Provide opportunities for learning and upskilling. Encourage them to attend

appropriate training programs, conferences, or workshops.

 Embracing continuous performance management.

4
Module 4 Assignment OPM 6090
Analysis and Strategy for Production Efficiency and Quality Control of XY Manufacturing Company

 Providing regular feedback, acknowledge and celebrate accomplishments, and offer

constructive guidance for employee development. Utilise tools to facilitate ongoing

performance discussions and enable employees to monitor their progress.

 Promoting smooth and efficient communication.

It is imperative to establish an open and transparent communication culture within the

organisation.

 Measuring, analyzing, and enhancing productivity.

To boost productivity, measurement is key. Identifying relevant metrics that align with the

organisation's objectives and monitoring them consistently. Streamline processes and

eliminate bottlenecks to enhance efficiency. Encourage feedback from employees on

processes and remain open to reassessing and refining them. Focus time and resources on

high-value tasks to optimise productivity.

 Utilise technology to automate specific tasks.

Implement appropriate tools and automation to simplify and streamline repetitive or time-

consuming activities.

 Maintain transparency in goals and tasks.

Communicating with organisational objectives and how each employee's work

contributes to them

5
Module 4 Assignment OPM 6090
Analysis and Strategy for Production Efficiency and Quality Control of XY Manufacturing Company

A value-based strategy to Drive sustainable growth

 Investing in Innovation and R&D

Innovation is crucial for sustainable growth. Continuous investment in research and

development (R&D) allows businesses to create cutting-edge products and services that

meet changing customer needs. Using LSI keywords, Rite Food will concentrate on

"innovative solutions" and "research and development" to drive this strategy.

 Embracing Social Responsibility

A strong commitment to social responsibility enhances the brand's reputation and fosters

customer loyalty. Integrating social and ethical considerations into business practices

benefits society and attracts conscious consumers seeking to support responsible

companies.

 Nurturing Employee Well-being

A happy workforce is a productive one. Prioritising employee well-being through fair

wages, growth opportunities, and a positive work environment promotes loyalty and

motivation.

 Streamlining Workflows and Removing Bottlenecks

Improving efficiency by streamlining workflows and eliminating bottlenecks.

Encouraging employees to provide feedback on processes and be open to reevaluating

and refining them. Focusing resources on high-value activities to optimise productivity.

6
Module 4 Assignment OPM 6090
Analysis and Strategy for Production Efficiency and Quality Control of XY Manufacturing Company

Ways to have continuous improvement, waste reduction, and employee empowerment.

 Eliminating Overproduction:

Overproduction happens because of more goods produced than what the market demands.

Strategies for Reduction: Implementing a pull system to produce items solely in response to

actual demand, commonly known as Just-in-Time (JIT) manufacturing, presents a strategic

opportunity to optimize production schedules and enhance operational efficiency. By leveraging

customer orders as the primary trigger for production or service delivery, organizations can align

their processes with real-time demand patterns, thereby minimizing excess inventory, reducing

waste, and improving overall responsiveness to market dynamics.(Rafael V,2023)

 Eliminating Defects:

Defects waste, a prevalent concern in numerous industries, arises from errors, defects, rework, or

corrections necessitated by missteps within the process. (Rafael V,2023)

Strategies for Reduction: Implement error-proofing mechanisms to prevent defects from

occurring. Conduct root cause analysis to identify and address the source of defects. Invest in

training and skill development to reduce human errors. (Rafael V,2023)

 Eliminating Underutilized Employee Skills

This waste occurs when employees' skills, knowledge, or creativity are not fully utilized in the

workplace. (Rafael V,2023)

Strategies for Reduction: Empower employees to contribute to problem-solving and

improvement initiatives. Create a culture that encourages employees to suggest and implement

7
Module 4 Assignment OPM 6090
Analysis and Strategy for Production Efficiency and Quality Control of XY Manufacturing Company

ideas for process enhancement. Provide opportunities for skill development and cross-training .

(Rafael V,2023)

Potential challenges and barriers to implementing value-based strategy.

Implementing a value-based pricing strategy can be challenging due to various factors. Previous

research highlights obstacles such as value assessment, communication, segmentation, sales

force management, and top management support. These complexities make it difficult for

companies to successfully implement a value-based pricing approach (Hinterhuber, 2008a).

Mitigation strategies to Potential challenges and Barriers to implementing value based

strategy

 Never Treat Quality as an End-State

Taking a cue from the Toyota system which is grounded in the Japanese principle of Kaizen,

which emphasizes continual improvement. It is important to recognize that quality should

never be treated as an end-state but rather as an ongoing pursuit. No process can ever reach a

state of absolute perfection, and therefore there will always be opportunities for refinement.

Therefore, it is imperative for every member of the organization to actively seek out ways to

enhance the production process continuously. (Frank Langfitt, NPR)

 Expect innovation to happen at every level

 Recognize and reward creative thinking

In order to foster an environment of innovation, it is imperative that critical thinking be

promoted at all levels within an organization. This includes the ability to analyze, evaluate,

8
Module 4 Assignment OPM 6090
Analysis and Strategy for Production Efficiency and Quality Control of XY Manufacturing Company

and create new ideas and solutions. Without this fundamental mindset, significant change

will be difficult to achieve.

 Culture is a set of behaviors

In order to change a company's culture, it is essential to initiate shifts in individual behavior.

Toyota's emphasis on teamwork and collaboration may seem like a well-worn concept, but it is

underpinned by concrete actions, abilities, and organizational frameworks

 Facilitate Team Cohesion

In order to effectively implement a strategic plan, establishing trust within a team is essential.

Open communication and honesty are the cornerstones of trust, allowing for quick identification

of successful strategies and areas for improvement. Understanding each team member's strengths

also facilitates effective delegation and overall team success.

References

Rafael V,2023, Continuous Improvement Strategies: Reducing Waste in Processes

9
Module 4 Assignment OPM 6090
Analysis and Strategy for Production Efficiency and Quality Control of XY Manufacturing Company

https://www.linkedin.com/pulse/continuous-improvement-strategies-reducing-waste-processes-vela-gkune

Gaurav Sabharwal, Strategies for Enhanced Organizational Productivity

https://www.getjop.com/blog/strategies-for-enhanced-organizational-productivity

Chopra Divya,2023, 6 Steps to Develop a Value-Based Business Strategy

https://medium.com/@chopra.divyaa/6-steps-to-develop-a-value-based-business-strategy-81f8c1dfc1be

Isaac Adhola 2023, Top Strategies for Achieving Sustainable Business Growth

https://www.linkedin.com/pulse/top-strategies-achieving-sustainable-business-growth-isaac-adhola

Jay Hidalgo 20222, Barriers to Strategic Planning and How to Overcome Them

https://jayhidalgo.com/barriers-to-strategic-planning/

Obadaye Olatunde Daniel, Milestone 2: Overcoming Global Marketing Challenges,Nexford University Assignment

10