Operations Management: Mojaher Rent-a-Car
Work Process Related to Creation of Value 3
Inputs for the process 3
Transformation factors in the process 4
Special Techniques and Skills 5
Capacity Planning 5
Operations management is a process associated with managing the processes linked with production and distribution of products or delivery of services. The activities comprised in operations management are also considered to be a part of product and service management. Operations management consists of internal processes like inventory control, quality control, storage, logistics, quality management, and evaluation of these processes. The nature of operations management changes on basis of the product or service that is offered to the customer as the processes differ at many levels and the priorities and focus on the various processes is different. Mohajer Rent-a-car is a car rental company operating in UAE which provides car rental services and has 100 cars in their capacity to give as a rental car. The operations of Mohajer Rent-a-car will be managed according to their capacity and the services they offer. (Kickul, Wagner, Griffiths, & Jayaram, 2010)
Work Process Related to Creation of Value
The Transformation process of an organization depicts the internal operational processes that result into the product in service the organization is offering. In this case, it is a Car Rental company and its operational processes displayed in the form of a transformation process that results into the final service. The elements included in a transformation process are the inputs that are relevant to the process of the service, the actual processes that are performed on the inputs, the related environment which affects all these processes and the resultant outputs of the whole process which in this case is the service that is provided by the car rental company. (Mcnamara, 2014)
Inputs for the process
The input for the process includes the following factors:
Cars: As a car rental company, Mohajer has acquired 100 cars to lease to the customer in order to earn remuneration for the allotment of the car for a limited amount of time. The cars are the basis of the entire service provided to the customer.
Labour: The labour included in the process is in the maintenance process of the cars as when every time a car arrives it is inspected for damages and in case of damages the labour is exercised in repairing the cars and cleaning them before they are given for the lease.
Equipment: The cleaning and repair equipment required in the maintenance of the cars is considered as an input as the process is done by the organization itself. There are also other equipments required sometimes for enhancing the value of the car or safety equipments fitted into the car for safety purposes.
Facilities: The service offered to the customer in helping them choose the right car for their budget and usage according to their preference and also the technological services provided to the customer regarding the instructions given about the car and its functionalities.
Transformation factors in the process
Transportation: The garage doesn’t have the facility in this case to store all the cars involved in the process so the cars are transported from other locations when needed at times.
Storage: The garage is used to store the cars and kept for later use and maintenance in the garage.
Maintenance: The maintenance involved in the process is a major factor as the customers drive the car which causes wear and tear to the car and the objective of the business is to use the car as a resources as long as possible in case of every car. It also involves regular cleaning of the car.
Inspection: Every time a leased car is returned, the car is to be inspected for internal and external damage immediately before the car is processes for cleaning.
Customers: The customers are included in the environment in the process as the service provided is based on the needs and preferences of the customer as it is a service industry.
Competitors: Other car rental companies are also a part of the environment and the services they provide at their rates are a factor of consideration for the service Mohajer provides to its customers.
Economy: The factor of economy is considered as time to time, there is a requirement for the purchase of cars for expansion or in place of old cars and also car parts for maintenance. They are a part of the cost management process.
Services: The service provided to the customer as an end result of all these process performed by the organization is an output factor in this Input-Transformation-Output process of Mohajer.
The quality of service provided The storage capacity
Constant maintenance Processing time of cars received
The variety of the cars provided
The quality of the service can be sustained by continuous quality checks and taking customer reviews about the experience of the service. The constant maintenance is a noteworthy strength and it can be improves with training. The variety of cars provided is a factor which can be preserved by asking the customers about which car would be more convenient in their service and by updating the garage by including new cars.
Monitoring the profits of the organization will result in the availability of funds for a new storage facility which will make the processes smoother and it can be kept as a second outlet for the organization as an expansion effort. The processing time can be improved by training and extra labour.
Special Techniques and Skills
The core competencies of Mohajer are the availability of the cars at request, the quality of the cars provided to the customers which is consistent with the maintenance applied to the cars. Another core competency is the number of cars available with the organization which expands the profit margin of the organization and in case of a rush; Mohajer has the capacity to deliver a high amount of cars for rental service.
The first step of capacity planning is creating a baseline which is decided on the basis of current capacity to deliver and the capacity of investing for further expansion. The next step is the evaluation of new prospects which consists of exploring the possibilities of enhancing the quality of the service and providing new services like navigation and emergency rescue/service. The next step is the evaluation of the existent workload of the organization and its effective management. If the workload is manageable then new services can be provided without getting overburdened. (Kickul, Wagner, Griffiths, & Jayaram, 2010)Forecasting future needs is an important step in determining the capacity which can be enhanced in the future and how the organization will function with extended capabilities. The evaluation of the final plan is the last step of this process which determines which facilities (Mcnamara, 2014) will be enhanced and how the capacity will be increased or decreased according to the needs of the organization. This process can be adapted by Mohajer easily by analyzing their operations from time to time.
Kickul, J. R., Wagner, S. M., Griffiths, M. D., & Jayaram, J. (2010). Operations management, entrepreneurship, and value creation: Emerging opportunities in a cross-disciplinary context. Journal of Operations Management, 78-85.
Mcnamara, C. (2014). Operations Management. Retrieved 11 24, 2014, from managementhelp.org: http://managementhelp.org/operationsmanagement/