| dc.description.abstract | This study sought to address the issue of improvement methods applied in operations
management. The improvement methods were categorized into six based on common
perspectives, similar languages and shared tools, which by no means show all possible
methods. Therefore the six improvement methods analysed in these study were
basically the following, quality-based, activity-based, time-based, employee-based.
technology-based and process-based methods.
Thus the objectives of the study were to analyse the extent of usage of these
improvement methods available in operations management by firms listed in the
Nairobi stock exchange, establish whether usage of such improvement methods leads
to better performance and problems or constraints encountered when implementing
such programs or methods. Also explored were the approaches to building
improvement programs, famiIiarity, operational priorities, performance measurements
systems used and situations in which improvement methods are applied.
The motivation behind this study was to determine the improvement methods applied
by organizations in order to remain competitive in the current globalization
challenges, stimulate interest among managers and decision makers on the potential of
improvement methods for building new operational capabilities and assist in
identification of problems that face firms in their improvement programs
implementation and hence provide them with valuable input into their improvement
activities.
Cross sectional survey was used in this study. Primary data was collected by use of a
questionnaire. The data was obtained from twenty firms out of the forty-four firms
contacted. The findings of this study were therefore narrowed down to two investment
sectors namely commercial/services and manufacturing/assembly. It was found from
the findings that the firms were quite familiar with all the six methods but relied more
on quality-based methods to achieve continuous improvement. The least used
methods were technology-based and process-based methods.
Concerning the operational priorities, quality and reliability were considered very
important while flexibility was not quite vital in their operations. With respect to
approaches of building improvement programs, most firms used continuous
benchmarking and business process improvement approaches while the least popular
ones were reconfiguration of structures, demonstration project and bottom up
approaches. As for the performance measurement system, most firms used
questionnaires to identify areas for improvements.
For the problems or constraints encountered, rapidly changing external environment,
communications barriers and insufficient knowledge or proficiency were mentioned
as the most serious. The findings also indicated that improvement methods had impact
in the following areas, quality of product/service, customer satisfaction, reduced
operating costs and increased competitiveness. As for the application production,
sales, operations and distributions are situations that require mainly quality-based
methods.
On the basis of the findings of the study, a few recommendations have been put fOI1h.
First, firms in Kenya rely more on quality-based methods to achieve continuous
improvement, a reflection that quality has become a key basis for competition.
Secondly firms need to explore possibility of influencing the management thinking in
terms of exploiting the other methods i.e. technology-based and process-based
improvement methods. The reason is that different strategies often require emphasis
on different aspects of performance to which specific improvement methods are
directed to effectively and efficiently reduce costs and improve service and value to
customers. Lastly, the universities need to create linkage between manufacturing and
service sectors and itself so that more emphasis and awareness be cultivated in the
OM/MS field. | en |
