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Superstyle Question 3

Plan
Intro- Define lean Production in regards to just in time
Arg 1 lean production increases quality therefore higher
customer satisfaction creating stronger brand recognition. Lean
production creates just in time production decreases warehouse
costs for idle products, which is ideal for a high turnover of products
market. several well established kaizen groups will maintain
constant improvements to enable consistent quality. TQM
Arg 2- Naheem uses Mayos motivational theory gives shares
financial connection to the business this increased motivation will
enable the employees to work harder to gain sales however a
dividends needs to be paid for the employees to stay interested in
their shares and the company.
Concl- employees and the production technique work in parallel depends on if labour intensive or capital intensive - cost implications
of this are that employees need to be valued throughout otherwise
their labour turnover will increase - The most important factor is that
the employees are valued and motivated to work along side the
production technique and they believe in the businesses successs
however they should be repaid for this in their dividends in order to
sustain motivation.

DISCOM

Do you think that it was the employees o the use of lean


production that contributed most to the success of
Superstyle plc?
Lean production is an assembly-line method developed for Toyota
and the manufacturing of automobiles. It is also known as the
Toyota Production System or just-in-time production. Success can be
defined in multiple ways and is relative. They may create
comparisons to other companies or to their own past; it can also be
calculated from profits, revenue and expansion.
Superstyle is a fashion Business, this means they are competing in a
saturated market where the product life cycle is short creating a
high turnover of products therefore the cohesion of production of
the product and the sales of the product need to be met for a
successful business to be created.
Superstyles use of lean production has enabled them to increase
the efficiency of the business creating a 20% decrease in price
therefore making their product range elastic, therefore now their
price has dropped they have increased sales. This decrease in the
selling price has enabled sales to increase therefore a measurement
of success. The lean production technique also raises quality
through its several well established kaizen groups and TQM
system. Total quality management is a description of the culture,
attitude and organization of a company that strives to provide
customers with products and services that satisfy their needs.
Therefore this will maintain constant improvements in order to
enable consistent quality throughout the product range to keep a
returning customer base. Another element to lean production is the
just in time method that Superstyle have adopted, this will minimize
warehouse costs through having less idle products and raw
materials to maximize the profits made. This maximized profit is
another measure of Superstyles success.
Naheem uses Mayos motivational theory by valuing his employees
by giving them shares and also a generous pension. By giving the
employees shares they will have a financial connection with the
business therefore this will increase their motivation to work harder
and gain more sales. This has had a positive impact on the business
in the short term, reducing absenteeism and labour turnover
however he does need to pay dividends to the shareholders for
them to have increasing interest in the business. For the employees
to be apart of Kaizen groups are another factor for the employees to
make the business improve however with 10 kaizen groups
forecasted to stop, this will have a negative impact for the
employees.

In conclusion, I believe that the employees and the production


technique Superstyle use are in congruence with each other and
work in parallel. It depends on if the company is labour intensive or
capital intensive to decide if their production style over rides the
importance of their employees. The cost implications of this are that
employees need to be valued throughout otherwise their labour
turnover will increase. The most important factor is that the
employees are valued and motivated to work along side the
production technique and they believe in the businesses successs
however they should be repaid for this in their dividends in order to
sustain motivation.