Free «Operations Management» Essay Sample

Operations Management

Improving processes and systems

The problem affecting Petroleum Company of Trinidad and Tobago Limited (Petrotrin) is the improving the process of oil refining. The problem is how to improve the quality of the products and services provided to customers in the market. The company develops, explores, and produces hydrocarbons, manufacturing, refining, and marketing petroleum products globally. In addition, provides services such as laboratory and bunkering services. Competition in the industry is stiff; hence, the company should improve its products and services provided in the market. The new quality processes are meant to improve the quality of products and services offered by the customers. In addition to quality, elimination of unnecessary steps is essential.

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This will eliminate errors by applying Business Process Reengineering theory. This will attract more customers and increase competitive advantage of the company in the market. Furthermore, theory of variation is pivotal in improving the operations and systems in the company. Deming believe that the poor quality and performance in companies is because of variation in the process of refining oil. The major processes or steps in hydrotreating process include:

1. Naphtha Hydrotreating

2. Gasoline Hydrotreating

3. Mid-Distillate Hydrotreating

4. Ultra-low sulfur diesel requirements

5. FCC Feed Pretreating

The main problem that has affected the quality of the products of the company is the second step known as Gasoline Hydrotreating. There has been poor distillation and separation of different products such as diesel, petrol, and paraffin leading to low-quality products. In addition, the poor coordination of various systems is the major cause of problems in the company because it compromises the quality and processes in the company. The various system variations cause inconsistencies in the organization. The theories will help the company evaluate various aspects in the service and product provision so that the problem can be solved.

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In addition, the theory will help the company set standards on how to attain the quality during the production process. Quality assurance is crucial in every process of improving and maintaining the3 quality of the products and services. Quality assurance will help the organization guarantee the customers quality products that fit the intended purpose. The product’s suitability is necessary because it will be enhanced by the processes set. Quality process is one of the relevant factors and features that the firm can provide to its customers. The problem is how to improve the product’s quality so that it can gain competitive advantage in the market.

The company should set targets and what should be improved. Business Process Reengineering theory, theory of variation, and Total Quality Management popularly known as TQM should be applied to solve the problem facing the organization. This will increase customer loyalty and trust in the market. The company’s brands and products should be improved by conducting market research and analysis to determine what the customers want in the market, the processes, systems, and coordination. Process or step two does not fit the theory of improving the quality of the products. This is because the products do not meet the standards that customers want in the market. Though the theories do not outline the steps to be followed, it will help the company improves its processes and systems. The theories will integrate the principle of improving and managing the quality of the products and services continuously. This will be achieved through product processes and thorough inspection conducted in the company.

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