PROJECT REPORT

A STUDY ON OPERATION MANAGEMENT

At
HCL Technologies LTD.
NOIDA
Submitted towards partial fulfillment of the
Requirements for the award of the
]MBA Programme
Operation Managerment
Amity University
ACADEMIC SESSION
2015-2016

Submitted to :- Amity University

Submitted by:- Shitiz Raikwar

Table of Contents
Acknowledgment

1.INTRODUCTION

1.1.HCL an overview

1.2.HCL DNA:

12

1.3.Employer spotlight:

12

HCL in India:

13

1.4.About HCL

14

1.6. VISION STATEMENT

15

1.7.MISSION STATEMENT

15

1.8.QUALITY POLICY STATEMENT

15

1.9.OUR OBJECTIVE

15

1.9.1 OUR MANAGEMENT OBJECTIVE

15

1.9.2 OUR PEOPLE OBJECTIVE

16

1.10.CORE VALUES

16

1.11.A SNAPSHOT OF HCL Infosystems Ltd.

16

FRONTLINE DIVISION

17

2. Operation Management Literature Review

19

2.1.An Introduction of Operation Management

40

2.1.1.What is Operation management?

40

2.1.2.Why is it important?

40

2.1.3.Critical factors for success

40

2.1.4.Who is involved?

41

2.1.5.Principles

41

2.1.6.Managing for results

42

2.2.Levels of Operation management

42

2.3.Value for money

43

2.4.Measures and metrics

43

2.4.1.Business processes can be distinguished by:

44

2.5.Processes

46

2.6.Objectives of a Operation Management System

48

2.7.Overall Goal and Focus of Operation Management

48

2.8.Operation Improvement of the Organization or a Subsystem is an Integrated Process

49

2.9.Ongoing Activities of Operation Management

49

2.10.Basic Steps

50

2.11.Operation management mainly include following things:

52

2.11.1.Planning

52

2.11.2.Monitoring

53

2.11.3.Developing Employees

53

2.11.4.Rating

54

2.11.5.Rewarding

54

2.12.Managing Operation Effectively

55

2.13.Features of a Good Operation Management System

55

2.13.1.Competency-Based

56

2.13.2.A Continuous Process

57

2.13.3.Operation planning

58

2.13.4.Continuous coaching and development

58

2.13.5.Interim review

59

2.13.6.Operation appraisal

59

2.13.7.To maintain an open system

60

3.PROJECT

61

3.1.Objective of the Project Introduction of the Problem

61

3.1.1.Secondary objective

61

3.2.Significance of the Project

62

3.3.Definition - A Theoretical Perspective

62

3.4.Preparation and Planning for Operation management

63

3.5.Operation Management and Development

63

3.6.Operation Assessment and Development Plan In HCL Technologies LTD.

64

3.6.1. Prior to filling the form please read carefully Instructions to the Appraiser

64

3.6.2.Operation appraisal guidelines

64

3.6.2.1.Appraisal procedure

64

3.6.2.2.The Form And Its Contents

65

4.RESEARCH METHODOLOGY

78

4.1.Research Design

79

4.2.Data Collection Method

80

4.3.Analysis of PMS Processes & Components

80

4.3.1.Planning

80

4.3.2.Monitoring

81

4.3.3.Developing Employees

82

4.3.4.Rating

83
84

4.3.5.Action Based Operation

85
85

4.3.6.Analysis

85

4.3.7.Effectiveness

86
86

5.RECOMMENDATIONS

87

5.1.Recommendations

87

6.CONCLUSION

88

7.BIBLIOGRAPHY

89

1 Acknowledgment

The project of this nature is arduous task stretching over a period of time, completing a project like
this one takes the effort and cooperation of many people.
Although this project report is being brought in my name, it bears an imprint of guidance and
cooperation of many individuals. Several persons with whom I integrated have contributed
significantly to the successful completion of the project study. In the successful & trouble free
completion of my final term project titled OPERATION MANAGEMENT, I am graceful to
Amity University,Noida for helping us towards the completion of the project.
I extend my deepest and sincere thanks to my project guide, Mr. Manoj Mishra and other HR
Executives HCL Technologies Ltd. for the unflinching support and guidance throughout the project
I would also like to thank all the executives who shared their precious time and experience with me.
Last but not the least, I extend my sincere thanks to all the staff members of HCL Technologies Ltd.
for their cooperation.

Executive summary

Operation management is the process of bringing people into the organization making very sure that
new entrants have the potential and willingness to contribute to organizational success. In todays
scenario without effective Operation management the organization will meet the considerable
resistance when introducing change. Without organizational change and development survival
become very uncertain so in order to make the industry survive it is very important to adopt the
different Operation management practices in all organizations so as to understand the employees or
workers need and satisfy them. There should be effective people utilization in every industry. All
these practices in an organization will make the organization to grow at a faster speed. The study
will be empirical and primary research will be done by using the questionnaire which will
administer to sales, service and support function employee. The date will be collected and
assimilated by using statistical tool like median and date will be analyzed by using Bar Chart. The
analysis will be to find the effectiveness of current PMS.

1. INTRODUCTION

1.1.

HCL an overview

Born in 1976, HCL has a 3-decade rich history of inventions and innovations. In 1978, HCL
developed the first indigenous microcomputer at the same time as Apple and 3 years before IBM's
PC. During this period, India was a black box to the world and the world was a black box to India.
This microcomputer virtually gave birth to the Indian computer industry. The 80's saw HCL
developing know-how in many other technologies. HCL's in-depth knowledge of Unix led to the
development of a fine grained multi-processor Unix in 1988, three years ahead of Sun and HP.
HCL's R&D was spun off as HCL Technologies in 1997 to mark their advent into the software
services arena. During the last eight years, HCL has strengthened its processes and applied its
know-how, developed over 30 years into multiple practices - semi-conductor, operating systems,
automobile, avionics, bio-medical engine HCL's R&D was spun off as HCL Technologies in 1997
to mark their advent into the software services arena. During the last eight years, HCL has
strengthened its processes and applied its know-how, developed over 30 years into multiple
practices - semi-conductor, operating systems, automobile, avionics, bio-medical engineering,
wireless, telecom technologies, and many more.
Today, HCL sells more PCs in India than any other brand, runs Northern Ireland's largest BPO
operation, and manages the network for Asia's largest stock exchange network apart from designing
zero visibility landing systems to land the world's most popular airplane.

1976

Hindustan Computers Limited (HCL) born.

1977

Distribution alliance formed with Toshiba for copiers.

1978

HCL successfully ships in-house designed microcomputer at the same time as Apple. The

Indian computer industry is born.

1980

HCL introduces bit sliced, 16-bit processor based microcomputer.

1983

Indigenously develops an RDBMS, a Networking OS a Client Server architecture, at the

same time as global IT peers.

1986

HCL becomes the largest IT Company in India.

1988

HCL introduces fine-grained multi-processor Unix-3 years ahead of Sun and HP.

1990

Data Quest marks HCL No.1 amongst top ten computer giants.

1991

HCL Ltd. and Hewlett Packard, USA, partner to form HCL-Hewlett Packard Ltd.

JV develops multi-processor Unix for HP-heralds HCLs entry into contract

1994

Distribution alliances formed with Ericsson Switches and Nokia Cell phones.

1997

HCL Info systems are formed. HCL's R&D spun-off as HCL Technologies- marks advent

into software services. JV with Perot Systems, stake divested in 2003.

1999

Initial Public Offering made by HCL Technologies Ltd.Formation of Global Board of

Directors.
2000

Large contracts won from Bankers Trust, KLA Tenor, Cisco, GTech, NEC among others.

2001

JV with Deutsche Bank- DSL software formed. HCL BPO Incorporated. Acquired British

Telecom Apollos contact center in Belfast, Northern Ireland. HCL Info systems become largest
hardware company.
2002

Strong pursuit of nonlinear strategy to widen services portfolio; several JVs and alliances

formed. Strategic alliance forged with Jones Apparel Group, Inc. a fortune 500 company.
Infrastructure

services

division

launched

to

address

emerging

global

needs.

Software businesses of HCL Info systems and HCL Technologies merged.

2003

Largest BPO order ever outsourced to an Indian BPO firm, won from British Telecom.

Landmark deals signed with Airbus and AMD. HCL manpower crosses the 20,000 mark..

2004

Accorded leader status by Meta Group in Offshore Outsourcing. HCL is Indias No.1 PC 4th

year in a row.

2005
HCL signs Software Development Agreement with Boeing for the 787 Dream liner
program.
JV with NEC, Japan
HCL sets up first Power PC architecture design center outside of IBM.
Completes buy-out of JVs with Deutsche Bank and British Telecom Apollo Contact
Center.
HCL integrates all group employees under HCL in domain.
Sets up a dedicated Offshore Design Center for leading Tier-1 Aerospace supplier,
Hamilton Sundstrand.
HCL Info systems launches sub Rs.10, 000 PC. Joins hands with AMD, Microsoft to
bridge the digital divide.
2006
75,000+ machines produced in a single month.
HCL Info systems in partnership with Toshiba expand its retail presence in India by
unveiling 'shop Toshiba'.
HCL Info systems & Nokia announce a long-term distribution strategy.
HCL the leader in Desktops PCs unveils India's first segment specific range of
notebooks brand - 'HCL Laptops'.
HCL Info systems showcase Computer Solutions for the Rural Markets in India.
HCL Support wins the DQ Channels-2006 GOLD Award for Best After Sales
Service on a nationwide customer satisfaction survey conducted by IDC.
HCL AND ZEE - Dish TV team up to take DTH TV to its next level of growth in
India
HCL Info systems First in India to Launch the New Generation of High Operation
Server Platforms Powered by Intel Dual - Core Xenon 5000 Processor.

 HCL Forms a Strategic Partnership with APPLE to provide Sales & Service Support
for iPods in India.

HCL is one of the leading global Technology and IT enterprises with annual revenues of US$ 4
billion. The HCL Enterprise comprises two companies listed in India, HCL Technologies
(http://www.hcltech.com/) and HCL Info systems (http://www.hclinfosystems.in/)

The 30 year old enterprise, founded in 1976, is one of India's original IT garage start ups. Its range
of offerings span R&D and Technology Services, Enterprise and Applications Consulting, Remote
Infrastructure Management, BPO services, IT Hardware, Systems Integration and Distribution of
Technology and Telecom products in India. The HCL team comprises 45,000 professionals of
diverse nationalities, operating across 17 countries including 360 points of presence in India. HCL
has global partnerships with several leading Fortune 1000 firms, including several IT and
Technology major.

1.2.

HCL DNA:

Fueled by the entrepreneurial zeal of its founders, HCL developed the first indigenous
microcomputer in 1978, at the same time as Apple. Since then, HCL has had a 3-decade rich history
of inventions and innovations. Entrepreneur is the term that best describes the HCL employees. The
TIME magazine has referred to HCL as an "intellectual clean room where its employees could
imagine endless possibilities."
Ever since HCL entered into an alliance in 1970s, partnerships and HCL have been inseparable.
Bonds have been forged with partners to co-create value. Strong inorganic growth is a testimony to
the spirit of partnerships.
This entrepreneurial and win-win relationship driven culture continues to guide HCL in all its
endeavors.

1.3.

Employer spotlight:

HCL is one of Indias leading global IT Services companies, providing software-led IT solutions,
remote infrastructure management services and BPO. Having made a foray into the global IT
landscape in 1999 after its IPO, focuses on Transformational Outsourcing, working with clients in
areas that impact and re-define the core of their business. The company leverages an extensive
global offshore infrastructure and its global network of offices in 16 countries to deliver solutions
across select verticals including Financial Services, Retail & Consumer, Life Sciences Aerospace,
Automotive, Semiconductors, Telecom and MPE (Media Publishing & Entertainment)

2 HCL in India:
HCL has evolved from a dream of eight youngsters in 1977 to the country's top IT group today. Our
well-balanced portfolio of turnkey solutions across equipments, software and services make our
offerings end-to-end for all IT needs of the Indian customers. Our recognitions speak of our
dominant position in India. V&D100 2005, No. 1 Security service provider in India by DQ Annual
2004, No.1 Infra service provider by CMP 2005, and No.1 PC Brand recognize us as No.1 Network
Management service provider in India for the last 5 years in India.
HCL is known to be the harbinger of technology in the country. Our partnerships with technology
leaders like JDA, Oracle, SAP, KANA, Intel, and Microsoft go back to the time when India was
being recognized as a growing and strategic market. Along with global capability, HCL has
leveraged such relationships to create value for Indian customers - the comprehensive integrated
market surveillance solution for SEBI being one such example.
Our services are backed by an extensive direct support infrastructure spread across 170 locations
nationwide, which offer 24-x7 support offering for critical sites. With more than 70 SAP
implementations till date, HCL has been rendering service to key Indian players in Banking, Retail
and Government.
We are committed to the Indian Market and will continue to invest more to further enrich our end-to
end IT offerings for this market. Our flexible engagement models, rich heritage of technology
solutions and over 29 years of leadership across service areas give us a strategic advantage to meet
the nation's IT needs.

1.4.

About HCL

HCL Enterprise is a leading Global Technology and IT enterprise that comprises two companies
listed in India - HCL Technologies & HCL Info systems. The 3-decade-old enterprise, founded in
1976, is one of Indias original IT garage start-ups. Its range of offerings span Product Engineering,
Technology and Application Services, BPO, Infrastructure Services, IT Hardware, Systems
Integration, and distribution of ICT products. The HCL team comprises approximately 42,000
professionals of diverse nationalities, who operate from 16 countries including 300 points of
presence in India. HCL has global partnerships with several leading Fortune 1000 firms, including
leading IT and Technology firms. HCL Technologies is one of Indias leading global IT Services
companies, providing software-led IT solutions, remote infrastructure management services and
BPO. Having made a foray into the global IT landscape in 1999 after its IPO, HCL Technologies
focuses on Transformational Outsourcing, working with clients in areas that impact and re-define
the core of their business. The company leverages an extensive global offshore infrastructure and its
global network of offices in 16 countries to deliver solutions across select verticals including
Financial Services, Retail & Consumer, Life Sciences Aerospace, Automotive, Semiconductors,
Telecom and MPE (Media Publishing & Entertainment). For the quarter ending 31st December
2006, HCL Technologies, along with its subsidiaries had revenue (TTM) of US $ 1.155 billion (Rs.
5220 crore) and employed 38,317 professionals.

1.5.

Strong SAP Capabilities:

HCL Technologies is one of the largest global SAP service providers in India, providing a spectrum
of SAP services. HCL Technologies has developed strong capabilities on the SAP Net Weaver
platform and drives market demand in the SAP world through unique market propositions and
upgrade offerings to my SAP ERP. HCL is a value added reseller and services partner across
multiple geographies. With a track record of successful engagement in this space, HCL has received
prestigious awards from SAP - distinguished partner award 2005, best my SAP HCM
implementation award 2005, Saps "outstanding partner award for implementation/upgrade project
2004, and more. Forrester has lauded HCL Technologies is one of a number of firms in this space
and is a viable candidate for multinational firms that are contemplating global outsourcing and are
interested in SAP implementation and maintenance services.

1.6.

VISION STATEMENT

Together we create enterprises of tomorrow.

1.7.

MISSION STATEMENT

To provide world class information technology solution and services to enable our
customers to serve their customer better.

1.8.

QUALITY POLICY STATEMENT

We will deliver defect-free products, service and solutions to meet the requirements of our
external and internal customers the fist time, every time.

1.9.

OUR OBJECTIVE

3 OUR MANAGEMENT OBJECTIVE

To fuel initiative and foster active by allowing individuals freedom of action and innovation
in attaining defined objectives.

OUR PEOPLE OBJECTIVE

To help HCL Infosystem people share in the companys success, which they make possible
to provide job security based on their Operation; to recognize their individual achievements and
to help them gain a sense of satisfaction and accomplishment from their work.
1.10.

CORE VALUES

5
We shall uphold the dignity of individual
We shall honor all commitments.
We shall be committed to Quality. Innovation and growth in every endeavor.
We shall be responsible Corporate Citizens.

1.11.

A SNAPSHOT OF HCL Technologies Ltd.

6
Indias leading IT company

HCL In say is Indias largest information technology (IT), transnational conglomerate. With itsdepth expertise in developing solution spanning diverse technologies.
HCL aims to propel its course on to the high growth Path total Technology Integration.
Towards capturing two Ends of market spectrum - enterprise solution and PCs.
HCL has made significant strategic infrastructure investments in the professional services
Organization (PSO), the Support Services Organization (SSO) and its manufacturing plant at
Pondicherry. Thus it is the manufacturer of general purpose computer and provides services in the
areas of IT Consultancy, system integration, Software Development and Training.
It makes true technology integration possible across multiple platforms, this was possible
because of the in-depth expertise in developing state-of-the-art indigenous hardware solution;
thorough understanding of networking technology.
As a part of this plan to market more and more technology integration services world-wide,
HCL in sys has already taken a step in the direction of export by localizing its service
comprising software, hardware design and development, value added support service
networking abs repair services and overseas integration projects to meet the demands of the
global clients.
Companys continuous and consistent anticipation of the requirement of the IT Industry has led it to
undertake the acquisition of the business of HCL Info solutions limited (now known as Frontline
Division), HCL Peripherals Limited (now known the acquisition of Customer Support Organization
(CSO) activities of HCL Office Automation Limited (now know as office Automation Division)

FRONTLINE DIVISION

Frontline Division, formerly HCL Info solution Ltd. (HCL Insol) started with the aim of increasing
market penetration by handing segments not covered by HCL and creating new niches. Today it
specializes.

2. Literature Review

Operations management is an area of management concerned with overseeing, designing, and

controlling the process of production and redesigning business operations in the production of
goods or services.

Four Types of Focus Dimensions Used in Operations Management

Every business operates along four basic focus dimensions: finance, customers, internal processes,
and learning and innovation. These theoretical divisions of operations management come from the
research of Robert S. Kaplan and David P. Norton. The dimensions arent mutually exclusive. For
example, employees who become more competent through learning can improve the functioning of
internal processes, according to Management Principles: A Contemporary Edition for Africa, by
P. J. Smit.

Finance

The heart of the financial dimension for most businesses is profit, though short-term financial goals
might entail sacrificing current profits to increase future capacity. For example, a company might
decide to reinvest all its profits into new and better machinery to increase production capacity and
efficiency, but the ultimate goal remains greater profit. Managers must control the flow of money
through the organization to ensure short-term goals align with long-term goals.

Customers

Customers are the foundation of your business. Without the flow of their money through your
organization, everything grinds to a halt. Managers aim to maximize the flow of customer money,
but that doesnt always mean securing as many customers as possible. A boutique hotel, for
example, might focus on serving relatively few high-paying customers, while a chain hotel focuses
on the wide swath of people who are unwilling to pay high prices. Though each business targets
customers who have different needs, meeting those needs is equally vital to their profitability.

Internal Processes

Optimization of internal processes leads to greater profitability and customer satisfaction. For
example, a manager might focus on developing efficient communications within an organization to

ensure orders travel quickly from the customer service department to the production line. The
manager further expedites the order by ensuring the production department syncs with the shipping
department to get the order to the customer quickly. Fine-tuning the process to make it maximally
efficient keeps operating costs low and pleases customers, leading to greater profits.

Learning and Innovation

Technology progresses and so must businesses. An invention that improves a manufacturing

process, for example, might be a game changer that forces factories to upgrade their processes or
lag behind competitors. A good manager stays abreast of technological shifts; a great manager
anticipates and initiates change by encouraging her organization to focus on learning and
innovation. Practically, this can mean anything from having a well-funded research-anddevelopment team to paying for continuing education for employees. An organization that
surmounts cognitive limitations stays one step ahead of its competitors.

Understanding operations management Consider the ingredients of your breakfast this morning.
Unless you live on a farm and produced them yourself, they passed through a number of different
processing

steps

between

the

farmer

and

your

table.

Every organization has an operations function, whether or not it is called operations. The goal or
purpose of most organizations involves the production of goods and/or services. Operations in some
form has been around as long as human Endeavour itself but, in modern manufacturing and service
industry at least, it has changed dramatically over time.
To some (especially those professionally involved in operations management!) operations
management involves everything an organization does. In this sense, every manager is an
operations manager.
Operations management definitions
There are many differing definitions of operations management; we have picked a range for you to
look at below. Depending on your specific area of operations management, some may suit your role
or understanding better, but overall they all make a similar point.

The efficient and effective implementation of the policies and tasks necessary to satisfy an
organizations customers, employees, and management (and stockholders, if a publicly
owned company)

 The management of systems or processes that create goods and/or provide services
"The on-going activities of designing, reviewing and using the operating system, to achieve service
outputs as determined by the organization for customers" (Wright, 1999)
Management of main business activity: the organizing and controlling of the fundamental business
activity of providing goods and services to customers
Operations management deals with the design and management of products, processes, services
and supply chains. It considers the acquisition, development, and utilisation of resources that firms
need to deliver the goods and services their clients want.
The purvey of operations management ranges from strategic to tactical and operational levels.
Representative strategic issues include determining the size and location of manufacturing plants,
deciding the structure of service or telecommunications networks, and designing technology supply
chains.
Tactical issues include plant layout and structure, project management methods, and equipment
selection and replacement. Operational issues include production scheduling and control, inventory
management, quality control and inspection, traffic and materials handling, and equipment
maintenance policies.
Operations management is an area of management concerned with overseeing, designing,
controlling the process of production and redesigning business operations in the production of
goods and/or services. It involves the responsibility of ensuring that business operations are
efficient in terms of using as few resources as needed, and effective in terms of meeting customer
requirements. It is concerned with managing the process that converts inputs (in the form of
materials, labor and energy) into outputs (in the form of goods and/or services).
IOM would like to thank Derek Thomason FIOM, Unipart Expert Practices, for sharing examples
and information contained in this section for the benefit of IOM members and those interested in
learning more about what operations management is.
So what does it means?
What exactly does this mean in real terms? What kinds of tasks, roles and responsibilities do people
working in operations management have?
Forecast demand
Market product
Adapt to comply with customer demand
Understand what the customer wants
Understand how much the customer wants
Set targets (timescales)

 Know product demand

Measuring standards
Produce sales invoices / solve customer disputes
Measure outputs
Plan production and timescales
Sourcing and procurement
Order materials
Negotiate price
Check delivery with order
Reconcile invoice with correct supplier statement
Pay on time
Buy supplies
Order materials
Stock control
Buying resources and allocating
Inventory / stock control
Schedule suppliers
Managing stock (getting it in the right place at the right time)
Locating and procuring supplies
Pay suppliers
Creation of output
Managing budgets
Cost implications
Buy cost effective materials
Replenish inventories
Arrange for necessary equipment
Schedule material / staff / equipment to produce goods and services
Plan work order
Produce product
Produce goods
Converting supplied materials (adding value)
Quality control
Measure conformance / quality
Delivery

 Customer satisfaction
Deliver finished products
Consider logistics / delivery
Arrange delivery to customer
Dispatching the goods or service to the customer
Arrange packaging / presentation
Managing people <sub heading>
Employ people
Train people
Implementing and timescales
Outsource
Delegation
Managing people
Recruit and train staff
Schedule labour
Brief history of operations management
Pre 18th century
Agriculture

was

the

predominant

industry

in

every

country

Industrial Revolution 17701830

Economy based on manual labour was replaced by one dominated by industry and the
manufacture of machinery
The development of all-metal machine tools in the first two decades of the 19th century facilitated
the manufacture of more production machines powered by steam or wate (James Watt, 1785)
Second Industrial Revolution (around 1850)
Development of steam-powered ships, railways, and later in the nineteenth century with the
internal combustion engine and electrical power generation
Introduction of Frederick W. Taylor's systematic approach to scientific management at
the beginning of the twentieth century (1911)
Henry Ford, father of the moving assembly line, brought the world into an age centred around the
mass production of goods (1920)
Post WWII
Leverage of management science techniques that were developed in the war
Growth in power of computers

 Japanese Toyota Production System (TPS) based on three principles:

1. Quality
2. Continual Improvement
3. Elimination of waste
Late 1950s and early 1960s
Move from industrial engineering and operations research into production management
Production management becomes a professional field as well as an academic discipline
Major world economies evolving into the service arena:
o service jobs outnumber manufacturing jobs
o productivity increases much more difficult to achieve

Operations

techniques

begin

to

be

incorporated

into

services

-the

term

production/operations management comes into use

Today
Environmental and social awareness
Types of operations management
Every organisation has an operations function, whether or not it is called operations. The goal or
purpose of most organisations involves the production of goods and/or services. These pages
provide you with an idea of the sorts of tasks and processes that relate to operations management
within each of the following industry types.
Manufacturing products
Providing insurance cover
Providing healthcare
Government
Armed Forces peace keeping
OXFAM bringing relief
Manufacturing products
Managing operations
Receiving requirements
Procuring raw materials
Recruiting and retaining staff
Budgeting and cash management
Meeting Health, Safety and Legal requirements
Planning resources
Improving quality, cost and delivery

 Procuring / managing assets

Defining policies and procedures
Making products
Storing and distributing products
Negotiations
Provide training
Plan raw materials
Process raw materials
Make intermediates
Process copy (for Control)
Printing
Quality control
Recycling / rework
Providing insurance cover
Managing operations
Receiving requests for cover
Assessing / reassess risk
Answering customer enquiries
Undertaking competitor reviews
Processing claims
Making payments
Recruiting and retaining staff
Budgeting and cash-flow management
Meeting Health, Safety and Legal requirements
Planning resources
Improving quality, cost and delivery
Customer care process
Accredit repairers
Forecast demand
Process applications
Process renewals
Calculate no claims bonuses
Arrange repairs
Send out certificates / reminders

 Send out claims forms

Providing healthcare
Managing operations
Obtaining finance
Project / programme Management
Recruiting and retaining staff
Sourcing and procuring supplies
Responding to emergencies
Scheduling patient operations
Controlling infection
Providing post operative care
Capacity planning (bed / theatre management)
Quality control / track and trace
Dispatch ambulance
Inform hospital of arrival
Inform stakeholders
Contact theatre team
Provide interim care stabilise patient
Prepare resource (theatre)
Kitting for operations
Resource planning (ITU / ward)
Plan diagnostics resources
Liaise with other department
Deploy ambulance
Government
Managing operations
HMRC
o Process tax forms
o Investigate errors
o Prosecute offenders
o Labour planning
Social Services
o Assessing risk
o Providing support services

 Emergency Services
o Capacity planning
o Resource deployment
Central Government
o Generate new laws
o Influence people
o Process claimants
o Allocate resources according to need
o Educate and train people
Armed Forces
Managing operations
Training and development
Contingency planning
Capital investment and programme management
Logistics (soldiers and materials)
Supply chain management
Returns management
Deployment
Measurement and control
Manage budgets and costs
Stakeholder management
Manage people
Manage resources (equipment and materials)
Management of maintenance
OXFAM
Managing operations
Generate funds
Contingency planning
Material and labour planning
Forecast demand
Source and procure non-perishables
Response time management
What-if and scenario planning
Deploying aid (people and materials)

 Transport to site of disaster

Enabling sustainability
Distribute to people in need
Plan for short term and longer term sustainability
Conduct risk assessment
Skills assessment / training
Manage shops
Run collections / donations
Receive goods and price in shops

What do operations managers do?

Strategic (long term) Level
Responsible for, and decisions about:
o What to make (product development)
o How to make it (process and layout decisions) or should we buy it?
o Where to make it (site location)
o How much is needed (high level capacity decisions)
Tactical Level (intermediate term)
Address material and labour resourcing within strategy constraints, for example:
o How many workers are needed and when (labour planning)
o What level of stock is required and when should it be delivered (inventory and
replenishment planning)
o How many shifts to work. Whether overtime or subcontractors are required
(detailed capacity planning)
Operational Level
Detailed lower-level (daily/weekly/monthly) planning, execution and control decisions,
for example:
o What to process and when (scheduling)
o The order to process requirements (sequencing)
o How work is put on resources (loading)
o Who does the work (assignments)

What skills do operations managers need?

Have knowledge of:
advanced operations technology and technical knowledge relevant to his/her industry
interpersonal skills and knowledge of other functional areas
the ability to communicate effectively, motivate other people, manage projects, and work on
multidisciplinary teams
Multi-disciplinary working, for example:
Supply chains management of all aspects of providing goods to a consumer from extraction of
raw materials to end-of-life disposal
The interface with marketing determining what customers' value prior to product/service
development
Operations management/finance interface capital equipment and inventories comprise a sizable
portion of many firms' assets in addition to normal operating costs
Service operations coping with inherent service characteristics such as simultaneous
delivery/consumption, performance measurements, etc
Operations strategy consistent and aligned with other strategies and legal requirements
Process design and improvements managing the innovation process

Issues facing operations managers

Major issues are:
Environmental sustainability, recycling , reuse
Counter terrorism / risk management
Globalisation of supply and demand
Reducing time to market
Achieving and sustaining high quality while controlling cost
Integrating new technologies and control systems into existing processes
Obtaining, training, and keeping qualified workers and managers
Working effectively with other functions to accomplish the goals
Integrating production and service activities at multiple sites in decentralized organisations
Working effectively with suppliers and customers
Strategic alliances
All these are critical issues. Operations management is at the very core of most organisations. We
can no longer focus on isolated tasks and processes but must be one of the architects of the overall
business operating model.

Another language???
There are lots of words and terms used in operations management, many of which are explained in
full in the IOMs Knowledge Bank. Members can login to the members area to find out what these
terms mean in full.
World class
S&OP (Sales and Operations Planning)
Six Sigma
Lean vs agile
KPIs
Master scheduling
MRP
Processes
TPS (Toyota Production System)
Theory of constraints
Balanced scorecard
DRP
Kaizen
TPM
Change management
Continuous improvement
Planning and scheduling
ERP systems

Operations management is an area of management concerned with overseeing, designing, and

controlling the process of production and redesigning business operations in the production
of goods or services. It involves the responsibility of ensuring that business operations
are efficient in terms of using as few resources as needed, and effective in terms of meeting
customer requirements. It is concerned with managing the process that converts inputs (in the forms
of raw materials, labor, and energy) into outputs (in the form of goods and/or services). [1] The
relationship of operations management to senior management in commercial contexts can be
compared to the relationship of line officersto highest-level senior officers in military science. The
highest-level officers shape the strategy and revise it over time, while the line officers
make tactical decisions in support of carrying out the strategy. In business as in military affairs, the
boundaries between levels are not always distinct; tactical information dynamically informs
strategy, and individual people often move between roles over time.

Ford Motor car assembly line: the classical example of a manufacturing production system.
Post office queue. Operations management studies both manufacturing and services.
According to the United States Department of Education, operations management is the field
concerned

with

managing

and

directing

the

physical

and/or

technical

functions

of

a firm or organization, particularly those relating to development, production, and manufacturing.

Operations management programs typically include instruction in principles of general
management, manufacturing and

production

systems, factory management,

equipment maintenance management, production control, industrial labor relations and skilled
trades supervision, strategic manufacturing policy, systems analysis, productivity analysis
and cost control, and materials planning.[2][3]Management, including operations management, is
like engineering in that it blends art with applied science. People skills, creativity, rational
analysis, and knowledge of technology are all required for success.

History
The history of production and operation systems began around 5000 B.C. when Sumerian priests
developed the ancient system of recording inventories, loans, taxes, and business transactions. The
next major historical application of operation systems occurred in 4000 B.C. It was during this time
that the Egyptians started using planning, organization, and control in large projects such as the
construction of the pyramids. By 1100 B.C., labor was being specialized in China; by about 370

B.C., Xenophon described the advantages of dividing the various operations necessary for the
production of shoes among different individuals in ancient Greece .
In the Middle Ages, kings and queens ruled over large areas of land. Loyal noblemen maintained
large sections of the monarchs territory. This hierarchical organization in which people were
divided into classes based on social position and wealth became known as the feudal system. In the
feudal system, servants produced for themselves and people of higher classes by using the rulers
land

and

resources.

Although

large

part

of

labor

was

employed

in

agriculture, artisans contributed to economic output and formed guilds. The guild system,
operating mainly between 1100 and 1500, consisted of two types: merchant guilds, who bought and
sold goods, and craft guilds, which made goods. Although guilds were regulated as to the quality of
work performed, the resulting system was rather rigid, shoemakers, for example, were prohibited
from tannin hides.
The industrial revolution was facilitated by two elements: interchangeability of parts and division of
labor. Division of labor has always been a feature from the beginning of civilization, the extent to
which the division is carried out varied considerably depending on period and location. Compared
to the Middle Ages, the Renaissance and the Age of Discovery was characterized by a greater
specialization in labor, one of characteristics of growing European cities and trade. It was in the late
eighteenth century when Eli Whitney popularized the concept of interchangeability when he
manufactured 10,000 muskets. Up to this point in history of manufacturing, each product (e.g. each
gun) was considered a special order, meaning that parts of a given gun were fitted only for that
particular gun and could not be used in other guns. Interchangeability of parts allowed the mass
production of parts independent of the final products in which they will be used.
In 1883, Frederick W. Taylor introduced the stopwatch method for accurately measuring the time
to perform each single task of a complicated job. He developed the scientific study of productivity
and identifying how to coordinate different tasks to eliminate wasting of time and increase the
quality of work. The next generation of scientific study occurred with the development of work
sampling and predetermined motion time systems (PMTS). Work sampling is used to measure
the random variable associated with the time of each task. PMTS allows the use of standard
predetermined tables of the smallest body movements (e.g. turning the left wrist by 90), and
integrating them to predict the time needed to perform a simple task. PMTS has gained substantial
importance due to the fact that it can predict work measurements without actually observing the
actual work. The foundation of PMTS was laid out by the research and development of Frank

B. and Lillian M. Gilbreth around 1912. The Gilbreths took advantage of taking motion pictures at
known time intervals while operators were performing the given task.
The idea of the production line has been used multiple times in history prior to Henry Ford:
the Venetian Arsenal (1104), Smith pin manufacturing in the Wealth of Nations (1776) or
Brunel's Portsmouth Block Mills (1802). Ransom Olds was the first to manufacture cars using
the assembly line system, but Henry Ford developed the first auto assembly system where a car
chassis was moved through the assembly line by a conveyor belt while workers added components
to it until the car was completed. During World War II, the growth of computing power led to
further development of efficient manufacturing methods and the use of advanced mathematical and
statistical tools. This was supported by the development of academic programs in industrial and
systems engineering disciplines, as well as fields of operations research and management science
(as multi-disciplinary fields of problem solving). While systems engineering concentrated on the
broad characteristics of the relationships between inputs and outputs of generic systems, operations
researchers concentrated on solving specific and focused problems. The synergy of operations
research and systems engineering allowed for the realization of solving large scale and complex
problems in the modern era. Recently, the development of faster and smaller computers, intelligent
systems, and the World Wide Web has opened new opportunities for operations, manufacturing,
production, and service systems.
Malakooti (2013) states that production and operation systems can be divided into five phases:[6]
1. Empiricism (learning from experience)
2. Analysis (scientific management)
3. Synthesis (development of mathematical problem solving tools)
4. Isolated Systems with Single Objective (use of Integrated and Intelligent Systems,
and WWW)
5.

Integrated Complex Systems with Multiple Objectives (development of ecologically

sound systems, environmentally sustainable systems, considering individual preferences)

Industrial Revolution
Before the First industrial revolution work was mainly done through two systems: domestic
system and craft guilds. In the domestic system merchants took materials to homes where artisans
performed the necessary work, craft guilds on the other hand were associations of artisans which
passed work from one shop to another, for example: leather was tanned by a tanner, passed
to curriers, and finally arrived at shoemakers and saddlers.
The beginning of the industrial revolution is usually associated with 18th century English textile
industry, with the invention of shuttle by John Kay in 1733, the spinning jenny by James
Hargreaves in

1765,

the water

frame by Richard

Arkwright in

1769

and

the steam

engine by James Watt in 1765. In 1851 at the Crystal Palace Exhibition the term American
system of manufacturing was used to describe the new approach that was evolving in the United
States of America which was based on two central features: interchangeable parts and extensive
use of mechanization to produce them.
Henry Ford was 39 years old when he founded the Ford Motor Company in 1903, with $28,000
capital from twelves investors. The model T car was introduced in 1908, however it was not until
Ford implemented the assembly line concept, that his vision of making a popular car affordable by
every middle-class American citizen would be realized. The first factory in which Henry Ford used
the concept of the assembly line was Highland Park (1913), he characterized the system as
follows:
"The thing is to keep everything in motion and take the work to the man and not the man to the
work. That is the real principle of our production, and conveyors are only one of many means to an
end"
This became one the central ideas that led to mass production, one of the main elements of
the Second Industrial Revolution, along with emergence of the electrical industry and
petroleum.

Although productivity benefited considerably from technological inventions and division of labour,
the problem of systematic measurement of performances and the calculation of these by the use
of formulas remained

somewhat

unexplored

until

Frederick

Winslow

Taylor. Frederick

Taylor early work focused on developing what he called a "differential piece-rate system" and a
series of experiments, measurements and formulas dealing with cutting metals and manual
labor. The differential piece-rate system consisted in offering two different pay rates for doing a
job: a higher rate for workers with high productivity (efficiency) and who produced high quality
goods (effectiveness) and a lower rate for those who fail to achieve the standard. One of the
problems Taylor believed could be solved with this system, was the problem of soldiering: faster
workers reducing their production rate to that of the slowest worker. In 1911 Taylor published his
"The

Principles

of

Scientific

Management", in

which

he

characterized scientific

management (also know as Taylorism) as:

1. The development of a true science;
2. The scientific selection of the worker;
3. The scientific education and development of the worker;
4. Intimate friendly cooperation between the management and the workers.
Taylor

is

also

credited

for

developing

stopwatch

time

study,

this

combined

with Frank and Lillian Gilbreth motion study gave way to time and motion study which is
centered on the concepts of standard method and standard time. Frank Gilbreth is also responsible
for introducing the flow process chart. Other contemporaries of Taylor worth remembering
are Morris Cooke (rural electrification in the 1920s and implementer of Taylor's principles of
scientific management in the Philadelphia's Department of Public Works), Carl Barth(speed-andfeed-calculating slide rules ) and Henry Gantt (Gantt chart). Also in 1910 Hugo Diemer published
the first industrial engineering book: Factory Organization and Administration.
In 1913 Ford W. Harris published his "How Many parts to make at once" in which he presented the
idea of the economic order quantity model. He described the problem as follows:
"Interest on capital tied up in wages, material and overhead sets a maximum limit to the quantity
of parts which can be profitably manufactured at one time; "set-up" costs on the job fix the
minimum. Experience has shown one manager a way to determine the economical size of lots"
This paper inspired a large body of mathematical literature focusing on the problem of production
planning and inventory control.
In 1924 Walter Shewhart introduced the control chart through a technical memorandum while
working at Bell Labs, central to his method was the distinction between common cause and
special cause of variation. In 1931 Shewhart published his Economic Control of Quality of

Manufactured Product, the first systematic treatment of the subject ofStatistical Process
Control (SPC).
In the 1940s methods-time measurement (MTM) was developed by H.B. Maynard, JL Schwab
and GJ Stegemerten. MTM was the first of a series of predetermined motion time systems,
predetermined in the sense that estimates of time are not determined in loco but are derived from an
industry standard. This was explained by its originators in a book they published in 1948 called
"Method-Time Measurement".
Up to this point in history, optimization techniques were known for a very long time, from the
simple methods employed by F.W.Harris to the more elaborate techniques of thecalculus of
variations developed by Euler in 1733 or the multipliers employed by Lagrange in 1811,
and computers were slowly being developed, first as analog computers by Sir William
Thomson (1872) and James Thomson (1876) moving to the eletromechanical computers
of Konrad

Zuse (1939

and

1941).

During World

War

II however,

the

development

of mathematical optimization went trough a major boost with the development of the Colossus
computer, the first electronic digital computer that was all programmable, and the possibility to
computationally solve large linear programming problems, first by Kantorovich in 1939 working
for the Soviet government and latter on in 1947 with the simplex method of Dantzig. These
methods are known today as belonging to the field of operations research.
From this point on a curious development took place: while in the United States the possibility of
applying the computer to business operations led to the development of management software
architecture such as MRP and successive modifications, and ever more sophisticated optimization
techniques and manufacturing simulation software, in post-war Japan a series of events at Toyota
Motor led to the development of the Toyota Production System (TPS) and Lean Manufacturing.
In 1943, in Japan, Taiichi Ohno arrived at Toyota Motor company. Toyota evolved a unique
manufacturing system centered on two complementary notions: just in time (produce only what is
needed) and autonomation (automation with a human touch). Regarding JIT, Ohno was inspired
by American supermarkets: workstations functioned like a supermarket shelf where the customer
can get products they need, at the time they need and in the amount needed, the workstation (shelf)
is then restocked. Autonomation was developed by Toyoda Sakichi in Toyoda Spinning and
Weaving: an automatically activated loom that was also foolproof, that is automatically detected
problems. In 1983 J.N Edwards published his "MRP and Kanban-American style" in which he
described JIT goals in terms of seven zeros: zero defects, zero (excess) lot size, zero setups, zero

breakdowns, zero handling, zero lead time and zero surging. This period also marks the spread
of Total Quality Management (TQM) in Japan, ideas initially developed by American authors
such as Deming, Juran and Armand V. Feigenbaum. TQM is a strategy for implementing and
managing quality improvement on an organizational basis, this includes: participation, work culture,
customer focus, supplier quality improvement and integration of the quality system with business
goals.[14] Schnonberger[18] identified seven fundamentals principles essential to the Japanese
approach:
1. Process control: SPC and worker responsibility over quality
2. Easy able -to-see quality: boards, gauges, meters, etc. and poka-yoke
3. Insistence on compliance: "quality first"
4. Line stop: stop the line to correct quality problems
5. Correcting one's own errors: worker fixed a defective part if he produced it
6. The 100% check: automated inspection techniques and foolproof machines
7. Continual improvement: ideally zero defects
In 1987 the International Organization for Standardization (ISO), recognizing the growing
importance of quality, issued the ISO 9000, a family of standards related to quality management
systems. There has been some controversy thought regarding the proper procedures to follow and
the amount of paperwork involved.
Meanwhile in the sixties, a different approach was developed by George W. Plossl and Oliver W.
Wright,[19] this approach was continued by Joseph Orlicky as a response to the TOYOTA
Manufacturing Program which led to Material Requirements Planning (MRP) at IBM, latter
gaining momentum in 1972 when the American Production and Inventory Control Society launched
the "MRP Crusade". One of the key insights of this management system was the distinction
between dependent demand and independent demand. Independent demand is demand which
originates outside of the production system, therefore not directly controllable, and dependent
demand is demand for components of final products, therefore subject to being directly controllable
by management through the bill of materials, via product design. Orlicky wrote "Materials
Requirement Planning" in 1975,[20] the first hard cover book on the subject. [19] MRP II was
developed by Gene Thomas at IBM, and expanded the original MRP software to include additional
production functions. Enterprise resource planning (ERP) is the modern software architecture,

which

addresses,

besides

operations, distribution, accounting, human

production

resourcesand procurement.
Recent trends in the field revolve around concepts such as:

Business Process Re-engineering (launched by Michael Hammer in 1993[21]): a

business management strategy focusing on the analysis and design of workflows and
business processes within an organization. BPR seeks to help companies radically
restructure their organizations by focusing on the ground-up design of their business
processes.

Lean Manufacturing: a systemic method for the elimination of waste ("Muda")

within a manufacturing process. Lean also takes into account waste created through
overburden ("Muri") and waste created through unevenness in work loads ("Mura"). The
term lean manufacturing was coined in the book The Machine that Changed the
World. [22]

Six Sigma (an approach to quality developed at Motorola between 1985-1987): Six

Sigma refers to control limits placed at six (6) standard deviations from the mean of
anormal

distribution,

this

became

very

famous

after Jack

Welch of General

Electric launched a company-wide initiative in 1995 to adopt this set of methods. More
recently, Six Sigma has included DMAIC (for improving processes) and DFSS (for
designing new products and new processes)

Reconfigurable Manufacturing Systems: a production system designed at the

outset for rapid change in its structure, as well as its hardware and software components, in
order to quickly adjust its production capacity and functionality within a part family in
response to sudden market changes or intrinsic system change.

2.1.

An Introduction of Operation Management

2.1.1. What is Operation management?

Operation management is the activity of tracking Operation against targets and identifying
opportunities for improvement - but not just looking back at past Operation. The focus of Operation
management is the future - what do you need to be able to do and how can you do things better?
Managing Operation is about managing for results. Operation-based management at any level in the
organization should demonstrate that
You know what you are aiming for
You know what you have to do to meet your objectives
You know how to measure progress towards your objectives
You can detect Operation problems and remedy them

2.1.2.

Why is it important?

The Modernizing Government agenda sets challenging new Operation objectives for organizations,
from the delivery of high quality services that meet the needs of their customers and stakeholders,
to doing more within the constraints of available resources, through to continuous improvement in
how the organization itself operates. Operation management underpins the operations and processes
within a strategic change program framework. Sound practices and targets, which are both flexible
and reactive to change, are needed to achieve Operation improvement.
The effective Operation of your organization depends on the contributions of activities at all levels from top management policy development through to efficiently run operations.
In response to the pressures and opportunities for improving organizational Operation, you need to
understand how to define and measure Operation as part of a concerted strategy for relevant,
successful and cost-effective operations.
2.1.3.

Critical factors for success

 Focusing on outcomes that meet business objectives, rather than outputs

Managing Operation by cascading down from the top and building bottom-up
Defining and using measures that evolve over time
Using a mix of short and long term measures, and selecting measures that link cause
and effect
Measuring effectiveness (doing the right things) and efficiency (doing things right)
in parallel
Relating individuals' reward and remuneration with achievement of outcomes.

2.1.4. Who is involved?

Business managers are responsible for setting targets and managing Operation against those targets;
contract managers monitor service Operation from the customer viewpoint; service providers
supply Operation information.

2.1.5. Principles
Operation management should be an integrated part of a business lifecycle helping an organization
to mature through evolving and changing Operation measures, from their definition through to
monitoring and review in addition, by including the IS/IT component throughout this lifecycle,
rather than just considering it as a 'downstream' cost of provision, there should be enhanced benefits
from an increased and more effective contribution from any investment made in IS/IT.
You will need to ensure that you have adopted sound practices in commissioning and acquiring
IS/IT services to achieve Operation improvement. Operation management identifies opportunities
for maximizing improvements in managing service delivery in the future. Operation management
helps you to make decisions about investment routes, affordability and setting investment priorities
in the face of competing demands for resources.

2.1.6. Managing for results

Managing for results requires the organization to focus on the outputs of the processes and activities
undertaken by the organization at varying levels. Together these outputs will contribute to the
achievement of the outcomes desired by the organization and those of the government as a whole.

2.2.

Levels of Operation management

1. The effective Operation of your organization depends on the contribution of

activities at all levels - from top management policy development through to efficiently run
operations. There are three or four levels of Operation management in the model framework
below, some organizations may combine the strategic level with the organizations priorities
level.
2. Organizations priorities: at the highest level Operation management is rooted in the
organizations long term business strategy. Measures at this level are of impact, resource
utilization and public service improvement.
3. Strategic level Operation management: at this level the management concern is from
an "outside in" as well as an internal perspective. Measures are of outcome, such as volume
and value of service take-up, upward trends for inclusion, staff and users' satisfaction.
4. Program level Operation management: Operation management at this level is
focused on the desired results of programs of change, to demonstrate what has been
accomplished. The measures used would include those stated in individual business cases.
Benefits management would help to determine if these are achieved.
5. Tactical or operational service level Operation management: here the management
focus is concerned with service delivery and outputs, using conventional service level
agreement approaches and related measures of aspects such as volumes and quality.
Although Operation measures and indicators may be different at each level, they will need to be.
Directional - to confirm that you are on track to reach the goals.
Quantitative - to show what has been achieved and how much more is to be done.
Worthwhile - adding more value to the business than they cost to collect and use.

2.3.

Value for money

You must be able to demonstrate that you have achieved value for money in your operations. Value
for money is taken to cover three measures of Operation:
Economy - Minimizing the cost of resources used for an activity, having regard to
appropriate quality
Efficiency - the relationship between outputs, in terms of goods, services or other
results and the resources used to produce them
Effectiveness - the extent to which objectives have been achieved, and the
relationship between the intended impacts and actual impacts of an activity.

2.4.

Measures and metrics

You should use these evaluation criteria for measures and metrics:
Are you measuring the right thing?
Do you have the right measures?
Are the measures used in the right ways?
Do you determine the quality of a particular Operation metric using the SMART test
(Specific, Measurable, Attainable, Relevant, Timely)?

The procedures and measures used in Operation management will depend, among other factors, on
the type of business process which is being measured. A business process is assumed to be made up
of a number of activities which transform inputs into outputs and contribute to the realisation of
outcomes. The customers for a process may be external (for example, members of the public) or
internal, within the same organisation or elsewhere in the public sector.

2.4.1. Business processes can be distinguished by:

The extent to which the activities involved are people-oriented as opposed to
automated

 Whether the activities are primarily 'front-office' or 'back-office' - that is, the amount
of direct contact which the staff have with the customers or recipients of the process
Whether the process itself is the important feature of the activity - for example, in
delivering consultancy - or whether the activities are concerned primarily with the
generation of defined outputs
The extent to which the activity is customized or tailored to the needs of each
customer, as opposed to being routine and procedural
The amount of discretion which needs to be exercised in the activities
The duration of the contact with the customer.

2.5.

Processes

You will need to review the effectiveness of your procedures for:

Setting Operation targets
Designing measures of Operation relevant to the targets
Systematically and accurately measuring outcomes
Assessing the Operation of external service providers
Using results for informed decision-making
Improving Operation.
Research shows that most organizations have the components of Operation management in place,
but they are not always used to overall advantage. A possible five-step approach that could help
organizations in improving the Operation management of the IS/IT contribution is outlined below,
with suggested techniques.
Step 1: Identify your level of maturity in Operation management
Look at how the organization is performing in all its aspects of Operation
management - from direction setting through to review and measurable improvement.
Do an assessment; this will help to identify your organizations maturity and the
strengths and weaknesses.
Establish where you are now as a series of baselines, looking at Operation
management at strategic program, tactical and operational levels.

 Bottom-up measures of economy and efficiency are likely to be reasonably strong

and have good management. This may not be so well developed for effectiveness measures
Innovation, process improvement, customer satisfaction, and contribution to policy
objectives. Most organizations have a good understanding of financial measure; this level of
understanding needs to be developed for other measures.
Techniques: Assessment; baseline
Step 2: Identify where Operation management is important to your organization
Is it in setting direction or ensuring the delivery of required benefits or improving the
alignment, Operation and contribution of the internal and external resources used by the
organization?
Identify the values for your organization.
Key values for safety critical operational services are speed and integrity of
information. A different organization might place high value on information flows or on
single points of access to information at a contact/call centre.
Techniques: Value chain analysis; benchmarking with other organizations (which
may identify things you had not thought of)
Step 3: Resolve any mismatch between steps 1 and 2
Review Operation management at each of the four levels - (organization, strategic,
program and tactical). Are there weaknesses in areas that are important to your organization?
Techniques: to become more outward looking and customer-focused, use the well
established balanced scorecard and EFQM techniques.
To answer questions about where IT makes a contribution, use Goals, Questions and
Metrics (GQM) to identify and define measures.

Step 4: Establish where you want to be and begin to build Operation management into
business processes and into the culture

 The aim is to have target, measurement and review processes for those things that
the business considers important such as product, process, service and staff.
You will have lots of measures which need to be prioritised against your particular
perspective on effectiveness, efficiency and economy and against your values.
establish benefits management as a norm
Use databases to collect Techniques Operation information and analyse trends
Include Operation management in the business, programme and project lifecycle
Step 5 : Feed information back into Operation improvement
Monitor and take action on:
We achieve what we set out to do?
Where are the opportunities to improve?
What can we do to improve? You are seeking answers to:
What is achievable?
What is important for our organization?
What was achieved?
Techniques: Process assessment; your own targets, looking at benchmarks from the outside world.

The process of Operation management

2.6.

Objectives of a Operation Management System

Operation management is an integral part of a comprehensive human resource management

strategy. Its objective is to maximize individuals' Operation and potential with a view to attaining
organizational goals and enhancing overall effectiveness and productivity.

A staff Operation management system aims at: To help achieve departmental objectives through staff
Departments formulate strategies and objectives to support their vision, mission and values. To
achieve these broad objectives, departments have to turn them into specific objectives and targets
for the divisions, sections, units and subsequently individual job objectives and targets for
implementation. As individual job objectives are linked to those of departments', the Operation of
individual officers contributes to the delivery of departmental objectives.

To evaluate Operation and improve communication between managers and staff

on managing Operation
The staff Operation management system provides a mechanism to monitor and evaluate staff
Operation. Operation objectives are set at the beginning of the Operation management cycle
through open discussion between the supervisors and the appraisees. Progress is monitored
regularly and feedback from staff and supervisors is collated to help clarify objectives and output
expectation; and to enhance Operation.

To provide opportunities for development

The staff Operation management system serves as a multi-purpose management tool. It provides
valuable information to help identify individual training needs so as to enhance Operation and to
develop the potential of the staff for further advancement.
The following figure provides an illustration of how Operation management links with other human
resource functions.
1

2.7.

Overall Goal and Focus of Operation Management

The overall goal of Operation management is to ensure that the organization and

all of its

subsystems (processes, departments, teams, employees, etc.) are working together in an optimum
fashion to achieve the results desired by the organization.

2.8.

Operation Improvement of the Organization or a Subsystem is

an Integrated Process
Note that because Operation management strives to optimize results and alignment of all
subsystems to achieve the overall results of the organization, any focus of Operation management
within the organization (whether on department, process, employees, etc.) should ultimately affect
overall organizational Operation management as well.

2.9.

Ongoing Activities of Operation Management

Achieving the overall goal requires several ongoing activities, including identification and
prioritization of desired results, establishing means to measure progress toward those results, setting
standards for assessing how well results were achieved, tracking and measuring progress toward
results, exchanging ongoing feedback among those participants working to achieve results,
periodically reviewing progress, reinforcing activities that achieve results and intervening to
improve progress where needed. Note that results themselves are also measures.
Note: these general activities are somewhat similar to several other major approaches in
organizations, e.g., strategic planning, management by objectives, Total Quality Management, etc.
Operation management brings focus on overall results, measuring results, focused and ongoing
feedback about results, and development plans to improve results. The results measurements
themselves are not the ultimate priority as much as ongoing feedback and adjustments to meet
results.
The steps in Operation management are also similar to those in a well-designed training process,
when the process can be integrated with the overall goals of the organi zation. Trainers are focusing
much more on results for Operation. Many trainers with this priority now call themselves Operation
consultants.

2.10.

Basic Steps

Various authors propose various steps for Operation management. The typical Operation
management process includes some or all of the following steps, whether in Operation management
of organizations, subsystems, processes, etc. Note that how the steps are carried out can vary
widely, depending on the focus of the Operation efforts and who is in charge of carrying it out. For
example, an economist might identify financial results, such as return on investment, profit rate, etc.
An industrial psychologist might identify more human-based results, such as employee productivity.

The

following

steps

are

described

more

fully

in

the

topics

er

at

io

Pl

n,

er

at

io

pr

ai

al

and

el

nt

Pl

, including through use of an example

application. The steps are generally followed in sequence, but rarely followed in exact sequence.
Results from one step can be used to immediately update or modify earlier steps. For example, the
Operation plan itself may be updated as a result of lessons learned during the ongoing observation,
measurement and feedback step.

NOTE: The following steps occur in a wide context of many activities geared towards Operation
improvement in an organization, for example, activities such as management development,
planning, organizing and coordinating activities.
1. Review organizational goals to associate preferred organizational results in terms of
units of Operation, that is, quantity, quality, cost or timeliness (note that the result itself is
therefore a measure)
2. Specify desired results for the domain -- as guidance, focus on results needed by
other domains (e.g., products or services need by internal or external customers)
3. Ensure the domain's desired results directly contribute to the organization's results
4. Weight, or prioritize, the domain's desired results.
5. Identify first-level measures to evaluate if and how well the domain's desired
results were achieved
6. Identify more specific measures for each first-level measure if necessary
7. Identify standards for evaluating how well the desired results were achieved (e.g.,
"below expectations", "meets expectations" and "exceeds expectations")
8. Document a Operation plan -- including desired results, measures and standards
9. Conduct ongoing observations and measurements to track Operation
10. Exchange ongoing feedback about Operation
11. Conduct a Operation appraisal (sometimes called Operation review)
12. If Operation meets the desired Operation standard, then reward for Operation (the
nature of the reward depends on the domain)
13. If Operation does not meet the desired Operation standards, then develop or update a
Operation development plan to address the Operation gap* (See Notes 1 and 2)
14. Repeat steps 9 to 13 until Operation is acceptable, standards are changed, the domain
is replaced, management decides to do nothing, etc.

Note 1: Inadequate Operation does not always indicate a problem on the part of the domain.
Operation standards may be unrealistic or the domain may have insufficient resources. Similarly,
the overall strategies or the organization, or its means to achieving its top-level goals, may be
unrealistic or without sufficient resources.

Note 2: When Operation management is applied to an employee or group of employees, a

development plan can be initiated in a variety of situations E.g.
a. When a Operation appraisal indicates Operation improvement is needed, that is, that
there is a "Operation gap"
b. To "benchmark" the status of improvement so far in a development effort
c. As part of a professional development for the employee or group of employees, in
which case there is not a Operation gap as much as an "growth gap
d. As part of succession planning to help an employee be eligible for a planned change
in role in the organization, in which case there also is not a Operation gap as much as an
"opportunity gap"
e. To "pilot", or test, the operation of a new Operation management system.

2.11.

Operation management mainly include following things:

Operation management is the systematic process by which an agency involves its employees, as
individuals and members of a group, in improving organizational effectiveness in the
accomplishment of agency mission and goals.

la

ni

work and setting expectations,

 Continually

ni

to

ri

Operation,

 Developing the capacity to perform,

 Periodically

at

in

g
and

Operation in a summary fashion,

di

good Operation.

The revisions made in 1995 to the Government wide Operation appraisal and awards regulations
support sound management principles. Great care was taken to ensure that the requirements those
regulations establish would complement and not conflict with the kinds of activities and actions
practiced in effective organizations as m after of course.
Additional background information on Operation management can be found in the following

2.11.1. Planning
In an effective organization, work is planned out in advance. Planning means setting Operation
expectations and goals for groups and individuals to channel their efforts towards achieving the
organizational objectives. Getting employees involved in the planning process will help them
understand the goals of the organization, what needs to be done, why it needs to be done, and how
well it should be done.
The regulatory requirements for planning employees' Operation include establishing the elements
and standards of their Operation appraisal plans. Operation elements and standards should be
measurable, understandable, verifiable, equitable, and achievable. Through critical elements,
employees are held accountable as individuals for work assignments or responsibilities. Employee
Operation plans should be flexible so that they can be adjusted for changing program objectives and
work requirements. When used effectively, these plans can be beneficial working documents that
are discussed often, and not merely paperwork that is filed in a drawer and seen only when ratings
of record are requirement
9

2.11.2. Monitoring
In an effective organization, assignments and projects are monitored continually. Monitoring well
means consistently measuring Operation and providing ongoing feedback to employees and work
groups on their progress toward reaching their goals.
Regulatory requirements for monitoring Operation include conducting progress reviews with
employees where their Operation is compared against their elements and standards. Ongoing
monitoring provides the opportunity to check how well employees are meeting predetermined
standards and to make changes to unrealistic or problematic standards. And by monitoring

continually, unacceptable Operation can be identified at any time during the appraisal period and
assistance provided to address such Operation rather than wait until the end of the period when
summary rating levels are assigned.

2.11.3. Developing Employees

In an effective organization, employee developmental needs are evaluated and addressed.
Developing in this instance means increasing the capacity to perform through training, giving
assignments that introduce new skills or higher levels of responsibility, improving work processes,
or other methods. Providing employees with training and developmental opportunities encourages
good Operation, strengthens job-related skills and competencies, and helps employees keep up with
changes in the workplace, such as the introduction of new technology.
Carrying out the processes of Operation management provides an excellent opportunity to identify
developmental needs. During planning and monitoring of work, deficiencies in Operation become
evident and can be addressed. Areas for improving good Operation also stand out, and action can be
taken to help successful employees improve even further.

2.11.4. Rating
From time to time, organizations find it useful to summarize employee Operation. This can be
helpful for looking at and comparing Operation over time or among various employees.
Organizations need to know who their best performers are.
Within the context of formal Operation appraisal requirements, rating means evaluating employee
or group Operation against the elements and standards in an employee's Operation plan and
assigning a summary rating of record. The rating of record is assigned according to procedures
included in the organization's appraisal program. It is based on work performed during an entire
appraisal period. The rating of record has a bearing on various other personnel actions; such as
granting within-grade pay increases and determining additional retention service credit in a
reduction in force.
Note: Although group Operation may have an impact on an employee's summary rating, a rating of
record is assigned only to an individual, not to a group.

2.11.5. Rewarding
In an effective organization, rewards are used well. Rewarding means recognizing employees,
individually and as members of groups, for their Operation and acknowledging their contributions
to the agency's mission. A basic principle of effective management is that all behavior is controlled
by its consequences. Those consequences can and should be both formal and informal and both
positive and negative.
Good Operation is recognized without waiting for nominations for formal awards to be solicited.
Recognition is an ongoing, natural part of day-to-day experience. A lot of the actions that reward
good Operation like saying "Thank you" don't require a specific regulatory authority.
Nonetheless, awards regulations provide a broad range of forms that more formal rewards can take,
such as cash, time off, and many no monetary items. The regulations also cover a variety of
contributions that can be rewarded, from suggestions to group accomplishments.

2.12.

Managing Operation Effectively

In effective organizations, managers and employees have been practicing good Operation
management naturally all their lives, executing each key component process well. Goals are set and
work is planned routinely. Progress toward those goals is measured and employees get feedback.
High standards are set, but care is also taken to develop the skills needed to reach them. Formal and
informal rewards are used to recognize the behavior and results that accomplish the mission. All
five-component processes working together and supporting each other achieve natural, effective
Operation management.

2.13.

Features of a Good Operation Management System

A good staff Operation management system normally consists of the following features:
Fair and open Objective -The system designed should aim to facilitate objective and fair
assessment by the management and encourage frank and constructive feedback of appraises.
These can be achieved through:
Setting clear targets and standards;

 Providing opportunities for supervisors to inform appraises of their Operation

regularly, to be accompanied by timely coaching and counseling;
Permitting the appraise to have access to the entire report and to review the appraisal
before the appraisal interview; and
Where necessary an assessment panel should be formed to ensure fairness in
Operation rating.
Adopting such an open system for staff Operation also supports the spirit of the Personal Data
(Privacy) Ordinance.
10

2.13.1. Competency-Based
Competency refers to the knowledge, attributes, attitude and skills required to perform a job
effectively. There are two broad categories of competencies: core competencies and functional
competencies. Core competencies are the generic competencies associated with effective Operation
required by a group of job holders in a department across different divisions/sections. An example is
managerial competencies required for staff in managerial positions. Functional competencies are the
competencies specific to certain job functions, such as computer programming skills for
programmers in the Computer Section and classroom skills for trainers in the Training Division of a
department.
Competencies are reflected in a set of desirable behavior patterns which are observable, measurable
and can be tracked and monitored.
Developing and using a competency-based approach enables departments to use a common
language and structured way to define and describe appropriate job behaviors at different ranks as
officers progress through the grade. The approach help to assess staff's potential and promo ability
to the next higher rank and identify development needs of the staff. It also enhances the objectivity
and transparency of Operation assessment.
When core competency-based approach is adopted, departments need to ensure that the
competencies are developed properly by :
Aligning individual Operation objectives with departmental ones,

 Securing senior management's commitment, and

Involving staff in the process.
Furthermore there should be a clear differentiation in competency descriptions among different
ranks in the same grade. An unduly long list of competencies may adversely affect the effectiveness
of the system.
For competencies to effectively serve the needs of a department, they should be department-specific
and reflect the missions, values and culture of the department. Any list of competencies cannot be
exhaustive. It only provides the common language and understanding of the key dimensions and
descriptions that warrant attention.
Upon implementation, there should be proper and adequate training for the staff on the
implementation of the Operation management system
11
Operation planning starts with a session between the appraising officer and the appraisee to agree
on the list of objectives/responsibilities for the coming appraisal period. The agreed list will include
the objectives of the section/unit and the broad areas of responsibilities of the appraisees, that is key
result areas (KRAs).

2.13.2. A Continuous Process

Staff Operation management cycle is a continuous process which involves :
Operation planning
Continuous coaching and development
Interim review
Operation appraisal

2.13.3. Operation planning

Operation planning starts with a session between the appraising officer and the appraise to agree on
the list of objectives/responsibilities for the coming appraisal period. The agreed list will include the
objectives of the section/unit and the broad areas of responsibilities of the appraises, that is key
result areas (KRAs).
12
Examples of KRAs are:
Timely completion of caseloads
Customer satisfaction and relations
Staff development
Resource management
Project management
Specific, measurable, achievable and time bound targets will then be set on the basis of the KRAs.
The appraising officer should ensure that these targets are in alignment with the overall
departmental objectives and that they are clearly understood by the appraisee.
Depending on the nature of the job, appraising officers may alternatively agree with appraises a list
of key responsibilities with specific Operation results. This list provides the appraisees and the
appraising officers with the yardstick to objectively discuss, monitor and assess Operation. The list
should be kept under frequent review and be revised whenever there are changes in the job.
13
2.13.4.

Continuous coaching and development

14
The Operation management system is a on-going process. After work targets and standards have
been decided and Operation objectives agreed upon, the appraising officer should start the coaching
and development process which threads through Operation planning, regular feedback and
guidance, interim reviews and Operation appraisal. Coaching is about providing regular feedback to
staff on their Operation. It aims at:
Giving recognition to encourage and reinforce good Operation; and

 Providing advice and counseling to help improve Operation, and where appropriate,
take corrective action.
Through the coaching sessions, training needs should also be identified and followed.
15
16

2.13.5. Interim review

An interim review is a scheduled, formal discussion between the appraising officer and the
appraisee to review the latter's progress in meeting the agreed objectives/responsibilities. This
usually takes place in the middle of the appraisal period.
An interim review should take the form of a structured session to provide an opportunity for
additional coaching, for problem solving, and for updating objectives/responsibilities.

An interim review aims to:

Identify Operation results that are below, on or above target and determine
appropriate responses on corrective measures. Supervisors should use this occasion to
recognize and encourage good Operation. On the other hand, Operation below targets is to
be pointed out and guidance for improvement to be given;
Assess and follow up development or training need of staff to assist them in
achieving their objectives/responsibilities;
Ascertain whether there are potential problems that may affect the appraisers
Operation in the latter half of the reporting cycle and put in place preventive measures; and
Review whether adjustments to the agreed objectives/responsibilities are required.
1
2.13.6.

Operation appraisal

17
Operation appraisal is the formal assessment on the appraisees Operation for the appraisal period.
It covers the following aspects:
How effectively the agreed objectives/responsibilities have been carried out and
targets met;

 Whether the effectiveness has been adversely affected by any constraints or

obstacles;
The strengths and weaknesses of the appraisee which affected or will affect the
officer's further development;
And what sort of personal/career development and training actions should be taken.
2.13.7.

To maintain an open system

18
The appraisee should be shown the assessment by the appraising and countersigning
officers before the appraisal interview.
Countersigning officers are encouraged to complete the appraisal form before the
appraisal interview is conducted; and
An interview record has to be prepared and signed by both parties.
For training and career development proposals put forward in the appraisal, the grade management
must take the initiative to ensure any necessary follow up actions are taken in a timely and
appropriate manner. These proposals will also provide useful reference for the supervisors to
develop the staff's competencies. Common themes on training and development identified should be
consolidated for incorporation into the training and development plans of the department and the
grade.
To ensure consistency in assessment standards and fairness in Operation rating in staff appraisals,
heads of departments/grades may consider if an assessment panel should be set up. An assessment
panel is a management tool to help departments cross moderate appraisal ratings.
An assessment panel is usually chaired by the head of branch/division or head of grade with
members drawn from section/unit heads. At the start of a reporting cycle, the assessment panel will
meet to discuss the marking criteria and standard. Staff will be informed of these criteria and
standard and clear guidelines will be issued to appraising officers.
The assessment panel will review the completed reports on the basis of panel members' knowledge
about the Operation of the appraisees. If the assessment panel disagrees with the assessment of a
report, the reviewing officer and the appraising/countersigning officer, where necessary, may be

requested to explain before the panel. Amendments may be made to the appraisal reports to ensure
parity of assessment, if necessary.

3. PROJECT
3.1.

Objective of the Project Introduction of the Problem

19
Primary Objective
To understand the basic features of Operation management plan or Operation assessment in HCL
and their contribution in the success of HCL Technologies Ltd. within a short span of previous
years.

3.1.1.

Secondary objective

To identify which of the functional aspects/ Parameters are low and which dysfunctional aspects/
Parameters are high in order to put some suggestion for increasing the former and reducing the
latter in other words to move from dysfunctional to functional Operation assessment.
1

3.2.

Significance of the Project

The six weeks of working at HCL Technologies Ltd. gave me a complete exposure to the
organizational work life. It was unique opportunity to explore the realities of Indias leading
companies as a researcher and gather knowledge from its vast repertoire of experience.
It was great learning experience to know the duties performer, responsibilities taken and the skill
regained by the executives of the organization to reform heir jobs effectively and efficiently. The
project not only helps me to enhance my practical knowledge but it also help me to understand how
Operation management work into the organization and how executives assess their own employee
into the organization.
This duration, also made me realize the worth of an HR manager. I got to know the importance of
employee assessment and communication and interpersonal skill in getting things done from other.
In a net shell, it was a very fulfilling and fruitful period of my life as a management student.

3.3.

Definition - A Theoretical Perspective

Operation Management is the process of crating a work area setting in which people are enabled to
perform to the best of their abilities. Operation Management is a whole work system that begins
when a job is defined as needed. System includes the flowing actions1. Development job description
2. Select appropriate people with an apply selection process.
3. Negotiate requirement and accomplishment based Operation standards
4. Outcomes measures.
5. Provide effective orientation training.
6. Provide ongoing coaching and feedback.
7. Conduct quarterly Operation development discussions.
8. Design effective compensation and recognition systems that reward people for their
contribution.
9. Provide promotional/crier contributions.
10. Assist with exit interviews to understand why valuable employees leave the
organization.

3.4.

Preparation and Planning for Operation management

Much work is invested, on the front end, to improve a traditional employee appreciate process,
Infect managers can feel as if the new process is too time consuming ones the function of

developmental goal is in place however time to an administrator the system decreases. Each of these
steps to taken with the participation and cooperation of the employee for best results.

3.5.

Operation Management and Development

Define the purpose of the job, job duties.

Define the Operation goals with measurable outcomes.
Define the each job responsibilities a goal.
Define the Operation standards for key components of the job,
Hold interim discussions and provide feedback abuts employee Operation.
Maintain a record of Operation through critical incident reports.
Provide opportunity for broaden feedback. Use 360` Operation feedback system.
Develop administer a coaching and implement plan if the employee is not meeting
expectation

3.6.

Operation Assessment and Development Plan In HCL

Technologies LTD.

3.6.1.

Prior to filling the form please read carefully

Instructions to the Appraiser

Appraise the employee in related to the positions held during the period under
appraisal.
Be objective, Avoid any personal prejudice.
Do not evaluate on the basis of isolated incidents, but base your judgment on the
entire period under review.
Consider each independently, uninfluenced by the rating given for other factors.

 This from will not be treated as complete and processed further until all selections
are filled up.

3.6.2.

Operation appraisal guidelines

3.6.2.1.

Appraisal procedure

Operation appraisal encompasses the on-going work-related discussions, which take place between
appraisals and appraisees throughout the year. The formal Operation appraisal meeting is normally
attended by the employee and manager only; but when relevant, another manager will also
participate (e.g. functional head / HR person).

3.6.2.2.

The Form And Its Contents

The guide for the Operation / achievement rating is as follows.

Outstanding Consistently exceeds the requirement of job.
2
Exemplary Operation - Far exceeds the requirement of job. Growth potential unlimited.
Very good: - Handle assignments with thoroughness and perfection, effective discharge of
responsibilities to the satisfaction of superiors completes assignment in time. With a little more
initiative could have performed better.
Good: - Just meets the normal requirements of the job, needs substantial improvement in all areas of
work to meet requirement of complete employee.
Not Up to the Expectation - Not likely to meet the requirements of complete employee.
3
Section 1 : Quarterly Self appraisal forms:
a) General notes on goals /target setting
Key responsibility areas relate to the key result area on going and inherent in the achievements and
Operation again each one. Targets and achievements are also to be filled after discussing with the
manager. Target related to the priority activates normally are within the key responsibility areas.
Target must be agreed between the manager and the subordinate. Each target should be specified in
such a way that it will be clear when it is met and must include the time frame in which it elements
to ensure consistence as summarized in the acronym SMART (S-specific, M-measurable, Aachievable, R-relevant, T-timer related). Although it is anticipated the Operation against the target
will be assessed quarterly, it is responsibilities are reviewed at appropriate in travels every quarterly.
The manager should ensure that at all times the subordinate has a clearly defined set of agreed
Target.
4
Target for the period under review: -

In section 1 KRA/ assignment for the period under review should be stated. In some cases it will be
necessary for the objective to be amplified on a separate sheet and this documents should be
referenced on the form..
b) Achievement against Target
Were the target / expectations for the period under review achieved? Comments and reasons for the
success or failure should be given at the end of the review quarter period.
c) Target for the next quarter
At the beginnings of the quarter the target should be decided in Section 1. The aim is to achieve
sustainable improvement in the subordinates Operation. Enter the date by which the target should
be achieved.

5
d) Overall View Of Operation
This is the Appraisee/managers view of the overall Operation. Assessment must be made on the
overall rating listed above and in terms of the trend in Operation.
6
Section 2 : Annual Appraisal Form
7
To the filled up by the appraisee at the end of the annual review year.
Section 3 : Potential And Qualitative Assessment
8
The objective is to provide an opportunity to the employee and the manager to discuss the strengths
that the individual brings to the job and examine the limitations, which may require attention. The
aim is to improve Operation and development of the individual.
Section 4 : Overall Operation / Potential Assessment
Space for other comments by the manager (if required for any issues with regard to constraints to
effective Operation and / or supporting actions to achieve target).
a) Ratings / Final Recommendation

Rating has to be given by the Regional Manager / General Manager / Functional Head after a
through appraisal of the Operation of the employee and in accordance with the parameters given.
Mention if any promotion / salary discrepancy / rewards / movement is recommended.
b) Signature
The managers and employees should sign the form at the end of the discussion acknowledging that
the objectives of the appraisal have been achieved and emphasizing a joint commitment to
implement and actions agreed upon. Signatures are to confirm that the form has been read and the
key points have been noted.
Section- 5 : Assessment For Development And Growth

9
Training for improvement and career development the training plan for the employee for the
coming year should be discussed.
The training identification form has to be filled and returned to the HR department. In the month of
the April for the preparation of the training calendar for the forth coming year.
The manager should return the complete field form within ten days hence from the completion of
the Annual Review period to the HRD Dept. in order to attain consistency of the appraisal standards
and relevant follow up action.

4. RESEARCH METHODOLOGY
This project requires a detailed understanding of the concept Operation
Management. Therefore, firstly we need to have a clear idea of what is Operation
Management, how it is managed in HCL Info systems, what are the different ways in which
the financing of Operation is done in the company.
The management of Operation Management involves managing inventories,
accounts receivable and payable and cash. Therefore one also needs to have a sound
knowledge about cash management, inventory management and receivables management.
Then comes the financing of Operation Management requirement, i.e. how the
Operation Management is financed, what are the various sources through which it is done.
And, in the end, suggestions and recommendations on ways for better management and
control of Operation are provided.

Introduction

The way you approach your question will have a profound effect upon the way you construct your
dissertation, so this section discusses the types of research you might undertake for your
dissertation. The use of literature and case studies is considered and the merits of primary research
are debated and advice is given on the use of existing research data. You may not be fond of
statistics, but the potential relevance of a quantitative approach should be considered and similarly,
the idea of qualitative analysis and conducting your own research may yield valuable data. The
possibilities of using quantitative and qualitative data are also discussed.

What approach should I take - qualitative or quantitative?

Your approach, research design, and research question are all connected. 'Approach' means
something more than the type of data you use it refers to your overall orientation to research and
the type of claims you will make for your study. Dissertations can be based on either quantitative or
qualitative data, or on a combination of both. How you choose this may depend on your preferences
and abilities, and the suitability of particular approaches to your topic. You need to be able to justify
why you have chosen to use such data. Quantitative data is particularly useful when you wish to
discover how common particular forms of behaviour such as illegal drug use are for a particular age
group. Qualitative data is particularly useful when you wish to find out why people engage in such
behaviour.
Think about the Research Methods modules you have taken so far. Think about the different kinds
of studies you have read for other modules. There is plenty of scope to use the approaches and
methods that you are most comfortable with. You need tojustify your approach and methods and to
cite appropriate literature to help you do this.

What if I want to find out about social trends, or the measurable effects of particular
policies?

You will probably want to use large datasets and undertake quantitative data analysis, and you will
be adopting a realist approach to the topic studied. Quantitative dissertations are likely to be nearer
to the lower end of the range of approved lengths for the dissertation (e.g. if the length is to be
5,000-8,000 words, dissertations based on quantitative analysis are likely to be closer to 5,000
words in length). They will also include tables and figures giving your important findings.
Remember that all tables must be carefully titled and labelled and that sources of your data must be
acknowledged.

What if I want to record people's views on an issue, and give them a 'voice'?

You will probably want to use in-depth qualitative data, and you may wish to adopt a realist, a
phenomenologist, or a constructionist approach to the topic. Qualitative dissertations will include
descriptive material, usually extracts from interviews, conversations, documents or field notes, and
are therefore likely to be nearer to the upper limit of your word range (e.g. 8,000 words). The types
of method suitable for a dissertation could include content analysis, a small scale ethnographic
study, small scale in-depth qualitative interviewing.

Whether you choose qualitative or quantitative analysis will depend on several things:

Your preferred philosophical approach (realist, phenomenologist or constructionist).

Your skills and abilities with methods of data collection (if needed) and analysis.

The topic or issue you are interested in.

How you frame your research question.

Can I combine qualitative and quantitative methods?

There are many ways in which qualitative and quantitative data and analysis can be combined. Here
are two examples.

You may be interested in doing an analysis that is primarily quantitative, looking at

social trends, or policy implications. However you also want to introduce a 'human touch' by
conducting one or several interviews asking what these trends mean to people or how
particular individuals experience events. After doing your quantitative analysis, you should
include a chapter or section on the qualitative data you have collected. In your discussion of
findings you can use the qualitative data to help you understand the patterns in the
quantitative analysis.

You may be interested in doing an evaluative case study of a process or policy. You

will have a particular focus a 'case' that you are looking at. You will triangulate methods
i.e. collect data in several different ways, and some of these data may be quantitative. You
will analyse each type of data and describe this, and then write a discussion that shows how
each piece of analysis contributes to the overall picture of what is going on.
Your supervisor or research methods tutor may be able to give you detailed examples of these or
other ways to combine methods.

Can my dissertation be entirely literature-based?

Yes. If you decide to do a primarily theoretical dissertation, it is almost certain that your dissertation
will be entirely literature-based. This is likely to be the methodology of theoretical analysis:
selection and discussion of theoretical material and descriptive material, in context, and detailed
comparison of theories in terms of their applicability. You might ask how useful certain concepts or
theories are for understanding particular patterns of behaviour. How useful is the concept of
institutional racism? Is objectivity in the media possible? How useful is subcultural theory for
understanding virtual communities? Here, the focus of attention is not so much to discover
something about the social world, for example virtual communities, as to reach a judgement about
the value of key concepts or theories in understanding that world. How the study is approached and
how

contrasting

approaches

are

drawn

upon

needs

to

be

stated

very

clearly.

A library-based or theoretical study is not necessarily 'easier' than an empirical study, indeed, it may
well be harder. Remember that theoretical studies, like data-based studies, need to have their
research

design

spelled

out

from

the

start.

But even if your dissertation is more empirically focused, it could still be entirely literature-based.
You might choose to conduct a review of a field of work. What does the research literature in this
field tell us about x? While all dissertations will include a literature review, it is possible to produce
a dissertation that is entirely based on a review of the literature. If you do this, it is important to
review the literature from an explicit angle and identify some themes to make the review distinctive.
You might, for example, explore empirical debates in your chosen field across different countries or
time periods.

What is case study research?

Whilst it is possible for dissertations to be entirely literature-based, the most common form of
dissertation takes the form of a case study. Here the focus of attention is on a particular community,
organisation or set of documents. The attraction of this kind of dissertation is that it stems from
empirical curiosity but is at the same time practical. You may be interested in a wider question but a
case study enables you to focus on a specific example. A major challenge in case study dissertations
is connecting your own primary research or re-analysis with the broader theoretical themes and
empirical concerns of the existing literature.

What's an empirical study?

Most dissertations demand either primary or secondary research. In other words, you usually have
to analyse data that you have either collected yourself or data that is already available. The reason
for this is that the questions dissertations usually address take the following form: Is x happening?
Is x changing? Why is x happening? Why is x changing? These questions demand primary or
secondary

analysis

of

data.

Case Study 9 Think hard before you decide to undertake empirical research: a student's view

What is secondary analysis?

Secondary analysis is when you analyse data which was collected by another researcher. It allows
the researcher to explore areas of interest without having to go through the process of collecting
data themselves in the field. The problem with using fieldwork methods in an undergraduate
dissertation, however, is that they are costly in terms of time (which is relatively scarce in your final
year!) and possibly your own financial resources too. You may choose, therefore, to undertake
secondary research, analysing existing data.

Where do I find existing research data?

There are a range of documents that already contain research data that you can analyse. You may,
for example, be interested in exploring whether gender stereotypes in the media are changing. This
might entail content analysis of newspapers, magazines, video or other media over different time
periods. Here you would not be collecting your own data but instead would be analyzing existing
documents.

Collecting you own data - primary research

Quantitative data may also result from non-participant observations or other measurements (e.g. in
an experimental design). Also, sometimes data that are collected through qualitative processes
(participant observation, interviews) are coded and quantified. Your research methods tutor can give
you further information on these types of data, but here are some common quantitative data
collection methods and their definitions:

A series of questions that the respondent answers on their own. Selfcompletion questionnaires are good for collecting data on relatively
Selfsimple topics, and for gaining a general overview of an issue.
completion
Questionnaires need to have clear questions, an easy to follow
questionnaires
design, and not be too long.
Similar to a self-completion questionnaire, except that the questions
Structured

that are asked by an interviewer to the interviewee. The same

interviews

questions are read out in the same way to all respondents. There will
typically be a fixed choice of answers for the respondents.
Watching people and recording systematically their behaviour. Prior

Structured

to the observation, an observation schedule will be produced which

observation

details what exactly the researcher should look for and how those
observations should be recorded.

If you are conducting a qualitative analysis you are likely to wish to use at least some original
material. This may be collected through in-depth interviews, participant observation recordings and
fieldnotes, non-participant observation, or some combination of these. Below are some data
collection methods that you might want to use for your dissertation:
A way of asking questions which allows the interviewee to have more
In-depth

control of the interview. The interview could be semi-structured, which

interviews

uses an interview schedule to keep some control of the interview, but also
allows for some flexibility in terms of the interviewees responses. The
interview could be unstructured, here the aim is to explore the
interviewees feelings about the issue being explored and the style of
questioning is very informal. Or the interview could be a life history
where the interviewer tries to find out about the whole life, or a portion

of the persons life.

A form of interviewing where there are several participants; there is an
Focus

emphasis in the questioning on a tightly defined topic; the accent is on

groups

interaction within the group and the joint construction of meaning. The
moderator tries to provide a relatively free rein to the discussion.
This involves studying people in naturally occurring settings. The

Participant

researcher participates directly in the setting and collects data in a

observation

systematic manner. The researcher will observe behavior, listen to

conversations, and ask questions.

Spend some time looking at general books about research - they will give you an overview of the
data collection methods available and help you to make the best choice for your project. Bryman
(2004)

would

be

useful

starting

point.

For any piece of research you conduct, be it empirically based (quantitative or qualitative) or library
based, its methods must be justified. You need to show in the final dissertation how you have given
consideration to different methods, and why you have chosen and eliminated these.

STUDENT VOICE: Findings from our research

In our study, supervisors saw part of their role as someone who draws out students reasons for
choosing a particular research approach. Often in early supervision meetings they ask students to
justify their reasons for choosing a library-based or an empirical study. (Todd, Smith and Bannister
2006, p167).
Your supervisor will want you to offer convincing reasons as to why youve chosen the approach
you have - so be ready!
If youre having difficulty making that choice, dont be afraid to ask your supervisor for their
advice. This was particularly useful for one of our respondents:
STUDENT VOICE
It's been a valuable experience for me it's so different from other stuff. With other essays you can
rush them if you have to ... but this is so much work, you can't rush it. It demands more. (Todd,
Bannister and Clegg, 2004, p340)
.My reasons for data collection is literature based as my research question involved sensitive
subjects which would have been unsuitable for primary data collection. (Level 6 students at
Sheffield Hallam University)
I chose primary data because it would enable me to build skills that would be useful for
postgraduate study. (Level 6 students at Sheffield Hallam University)
It will involve primary data, secondary data, quantitative and qualitative research methods, lit
reviews, theory and policy studies and an exploration of alternatives. My dissertation is to be based
around the experience of 'poverty', as poverty is the experience. Theories and policies are not.
However, to do justice to the subject, theories and policies will be included so Iam able to
demonstrate where failures in the system may exist. (Level 6 students at Sheffield Hallam
University)
Note: Research must be conducted in a sensible and ethical manner; data must be analysed and
presented in a rational manner. It is important that students do not expose themselves or others to
dangers or risks when conducting research. Students need the approval of their dissertation
supervisor before embarking on any type of fieldwork (see the section on Research Ethics for more
information).

Will my research be inductive or deductive?

In general, deductive research is theory-testing and inductive research is theory-generating. Often

people link deductive research with quantitative experiments or surveys, and inductive research
with qualitative interviews or ethnographic work. These links are not hard and fast for instance,
experimental research, designed to test a particular theory through developing a hypothesis and
creating an experimental design, may use quantitative or qualitative data or a combination. If your
research starts with a theory and is driven by hypotheses that you are testing (e.g. that social class
background and social deprivation or privilege are likely to affect educational attainment), it is,
broadly speaking, deductive. However much research combines deductive and inductive elements.

10

What's all this about research design?

Research design is vital to conducting a good piece of work. At the start of your research you need
to set down clearly:

Your research focus and research question.

How you propose to examine the topic:

o

approach

methods of data collection

methods of data analysis

The types and sources of information you need.

How you will access these sources of information (be they people, existing datasets,

biographical accounts, media articles or websites, official records).

The proposed outcome of this research (in your case, a dissertation) and the form it

will take.

A time-frame for all this.

You and your supervisor will discuss your design and decide whether the research is 'do-able'. Your
university may require you to produce a report (e.g. an 'interim framework report' or a short
'research proposal') that specifies your research design. Other people may have to look at the design
to ascertain whether there are ethical issues that affect your research.

11

Summary

Quantitative or qualitative? A quantitative approach will mean you will need

substantial datasets, as well as the inclusion of tables and statistics in your final submission.
This information could come from a variety of sources - remember to acknowledge them!
A qualitative approach will probably mean conducting interviews or focus groups or
observing behaviour. Ask yourself if you are prepared to do this, and think about the best
way of getting the answers you want from people. Will you stop people in the street? Will
you conduct telephone interviews? Will you send out survey forms and hope that people
return them? Will you be a participant or non participant observer?

Deductive or inductive? Deductive research is theory-testing, which is often linked

to datasets, surveys or quantitative analysis. Inductive research is theory-generating, and is

often linked to qualitative interviews.

Empirical or theoretical? An empirical study could involve close analysis of statistics

or some form of qualitative research. However, a theoreticalstudy brings its own challenges,
and you may be called upon to compare theories in terms of their applicability.

Once you have decided upon your approach, you can write out a research design, i.e.

how you are going to approach the project.

Now look a little at the research methods that you have studied. Apart from matching

your research to your general sense of objective/subjective reality, it is important to ensure

that you match your methodology to the problem you are pursuing.

What kind of data do you need to answer your question/test your hypothesis? How

would you best be able to collect that data?

Again, consider time and feasibility of the exercise. The ability to manage your time

will be directly related to your ability to control the boundaries of the study especially if it
is closely linked to your workplace.

Now that you have got so far, try to write up your research proposal as far as you

can. Make sure that you identify where your proposal needs further work and, at the same
time, where you will have to put your maximum effort. It may be helpful to draw a critical
path so that you are clear which actions you need to take and in what sequence. You will
find it helpful to plot your research questions on the chart on the next page and ensure that

your plans for collecting data really answer the question as well as avoiding ethical
problems.

At this stage you must be really ruthless with yourself. How viable is it? What are

the threats to the study? Try some 'what if?' questions on yourself. It will be better to go
back to the drawing board now, than once the project is underway.

IMPORTANT: Whatever approach you settle on, you MUST be able to justify its

appropriateness to your topic and question.

12

Key Questions

Does the data required to answer your question already exist or will you have to

generate your own data?

Can you combine quantitative with qualitative methods? e.g. a survey which

includes interviews or a case study that looks at a situation from numerous angles.

What factors may limit the scope of your research? (time, resources, etc.)

Which method(s) best suit the questions and time you have available to do this

study?

10

Do you know the differences between types of data, and types of analysis?

Does your project have clear links between theory and practice?

4.1.

Research Design

In general terms research methodology is the process of carrying out research in a formalized and
scientific way. It is one manner in which one proceeds with his research design adopted. The
research done is exploratory and analytical in nature. The major emphasis in studies was on
discovery of new ideas and insights. Research is done as Firstly to understand the concept of Operation management.
What is the area of Operation management?
How it is being implemented in HCL?
What is the assessment process of Operation management?
Did questionnaire survey with the sample size of 30.It was conducted for three main
departments-Sales, Support and Service?
Did analysis and prepared Column charts according to the questionnaire survey
response?
The assessment is then done to bring out what is the process being followed in HCL Technologies
Ltd. regarding Operation management.

4.2.

Data Collection Method

a. Secondary Data - It refers to the data that has already been collected, the
secondary data, which has been used to carry out this study, are as follows:
* Operation assessment and development plan manual.

Companys

Internet

site

.h

cl

.i

* Other relevant study materials and websites.

vi

in

the

form

of

ot

si

te

st

indicates

otherwise that is, when researcher has a certain degree of confidence, usually 95% to 99%, that
the data does not support the null hypothesis. It is possible for an experiment to fail to reject the null
hypothesis.
H0 = the null hypothesis

Assumption: The Operation Management System in HCL Technologies is not effective.

4.3.

Analysis of PMS Processes & Components

4.3.1.

Planning

In an effective organization, work is planned in advance. This includes setting Operation

expectation and goals for individual in order to channel effort towards achieving the organizational
objectives. Involvinng employee in planning process is essential to their understanding of the goals
of the organization, what needs to be done, why it needs to be done, and expectation of
accomplishing the goals.

The PMS in terms of planning in HCL fairs around average, where they need to put planning
system in a very scientific way. They need to design the entire planning session taking into
consideration the aspiration and need of the people whose Operation needs to be planned.

4.3.2.

Monitoring

Designing effective feedback into a Operation management programme will improve individual and
team Operation and will make your organization more effective. With effective feedback process,
employees can see their progress and that motivates them to reach their Operation goals effectively.

The PMS of HCL stand in between for monitoring, where they need to develop a feedback channel
into the system, which will capture the feedback in holistic way and must be part of organizational
culture.

4.3.3. Developing Employees

Providing employees with training and development opportunities encourages the good Operation,
strengthen job related skills and competencies , and help employee keep up with changes in the
work place.

The Employee development in HCL is fairly better, where the feedback from PMS is implemented
by the way of training and development. Where the organization equips people with the skill which
will be required in future.
11
12
4.3.4.

Rating

13
Within the context of formal appraisal Operation requirement, rating means evaluating the
employee Operation against the element and standard in an employee Operation appraisal plan and
assigning a rating of record.

14
15
16
17
18

19
20
21
22
The rating of Operation appraisal system in HCL is satisfactory , ratings are more objective for sales
, which people in service and support dont view as more subjective.

4.3.5.

Action Based Operation

23
A Basic principle of effective management is that all behavior is controlled by its consequences.
Those consequences should be both formal and informal and both positive and negative. Positive
consequences include rewards and recognition.promotion.Negative consequences means may
include counseling, reassigning, removing or downgrading.
24
25

26
The PMS in HCL fairs in terms of action based Operation. HCL administers positive and negative
consequences with apt.

27
28
29
30
31
32
33
34
35
36
4.3.6.

Analysis

37
If we look at the following graph, which measures the effectiveness of PMS in HCL, we find out
that it is quite effective and are continually achieving the purpose of enhanced Operation.
38
4.3.7.

Effectiveness

39
Sign of a good system is that, it achieves what it has been designed to achieve. The principle of
execution achieves the end with best means and delivers the best result.

40
41

42
The effectiveness score of HCL is fairly high where the employees seem to be happy with current
PMS system .HCL need to work for sales, where they need to design the new PMS system.
43
The PMS of HCL is very effective on action based Operation and developing employees, which
clearly shows that as an organization HCL is highly progressive organization which continually
develop people and provides negative and positive feedback.
44
While, it need to work in the area of planning, monitoring and rating , where they have to get into
more systematic and have a separate session on planning , mid year review , and need to teach
appraiser how to provide rating objectively. They need to plan and devise KRA sessions for each
employee by taking an objective of getting all the KRA in Month , which need to discussed jointly
and must be agreed between the Appraiser and Appraisee

45
46

5. RECOMMENDATIONS
20
5.1.

Recommendations

1
1. Though the employees are free in all respects, there should be more Employee
Empowerment.
2. Employees should be encouraged to do work creatively and innovate to improve the
growth rate of organizations.
3. While posting employee in different departments their personal choices should also
be taken into consideration.
4. Executives must be given jobs where they are creative rather than following orders
of the boss and obeying them willingly.
5. The career growth of employees should be planned on the long-term basis.
6. The (candidates) not considered for promotion, should be informed about their
weaknesses so that they can work on it.
7. Separate session on planning the KRA should be taken up and must be discussed and
signed jointly between the appraiser and the appraisee.
8. HCL should introduce mid year review into the system and must rate the employee
and provide them with necessary training and development.

6.

CONCLUSION

21
HCL Technologies Ltd. though seems to be an open organization but has a conservative approach
towards its Operation management policies. There are many worker policies provided for them.
Besides this, their policies are quiet rigid.
There is no proper formation of grievance cell. Only basic amenities are being provided to workers.
Thus the strengths and weaknesses of the organization can be listed below.

Strengths
High concern for excellence in Operation.
Continuous development of workforce.
No place for displacing personnel power.
A strong desire for making an impact on others for the well being of the
organization.
A good teamwork.
A desire to change adverse situations.

Weaknesses
Under utilization of decision-making power.
Rigid hierarchy level.

22
1

7. BIBLIOGRAPHY
Web sites

.g

gl

e.

.h

ui

e.

et

nt

ci

e.

.l

xt

al

.a

c.

.h

r.

ik

ip

di

a.

 https://en.wikipedia.org/wiki/Operations_management
http://www.iomnet.org.uk/Home/WhatisOperationsManagement

23