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Chef@Home aims to transform the way people prepare meals in their homes - VCE - SSCE Business Management - Question 5 - 2020 - Paper 1
Question 5
Chef@Home aims to transform the way people prepare meals in their homes. The business delivers all the ingredients required to cook a meal, in a chilled box, to cust... show full transcript
Worked Solution & Example Answer:Chef@Home aims to transform the way people prepare meals in their homes - VCE - SSCE Business Management - Question 5 - 2020 - Paper 1
Step 1
Explain an appropriate operations management strategy that Chef@Home could introduce to minimise waste.
Answer
One effective operations management strategy that Chef@Home could implement is Lean Management. Lean Management focuses on minimizing waste while maximizing productivity. It involves identifying each step in the processes of sourcing, preparing, and delivering meals, and eliminating those that do not add value.
First, Chef@Home can apply the principles of '5S' (Sort, Set in order, Shine, Standardize, Sustain) to their operations. By sorting through their current processes, they can identify non-essential steps that contribute to waste. Next, implementing pull systems can help align production with customer demand, thereby reducing overproduction and excess inventory.
Additionally, Chef@Home can utilize just-in-time (JIT) inventory practices. This means sourcing ingredients only as they are needed in order to reduce the amount of unsold stock, which ties up capital and increases waste.
Overall, Lean Management not only helps in minimizing waste but also enhances efficiency and customer satisfaction by ensuring that operations are streamlined and focused on value creation.
Step 2
Explain the importance for Manitta Mining of reviewing its KPIs when evaluating the effectiveness of business transformation.
Answer
Reviewing Key Performance Indicators (KPIs) is crucial for Manitta Mining as it provides a quantitative basis to assess the success of business transformation initiatives. KPIs offer measurable data that reflects whether the changes implemented are improving operational efficiency, reducing costs, or enhancing productivity.
Firstly, KPIs help in identifying areas where the transformation has been successful and where further improvements are necessary. For example, if production output has increased without a corresponding increase in costs, this may indicate a positive transformation result.
Secondly, regular KPI review ensures accountability. It allows management to track progress towards goals and objectives, enabling them to make informed decisions based on accurate data.
Finally, by reviewing KPIs, Manitta Mining can ensure alignment between strategic goals and operational performance, ensuring that all departments work towards common objectives, ultimately leading to sustainable growth and profitability.