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Productions and Operations Management

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  1. 1. TEAM FTotal Operation Manicure Coloring
  2. 2. CONTENTS• Basic Information • The Process of• The Total Operation Manicuring – Situation – Situation – Objectives – Objectives – Plan – Plan – Control – Control – Recommendations• The Process of Coloring – Situation – Objectives – Plan – Control
  3. 3. INTRODUCTIONStreet Vicente da Fontoura, 2297, Rio Branco Porto Alegre, Brazil Tel: +555133330636Opening Hours: Tuesday – Saturday 9h - 19h
  4. 4. MISSION AND VISION STATEMENTMission“To uphold customer loyalty, take care of their appearance, self- esteem and health and to create a personalized service”Vision“To grow with quality and good service, while providing a relaxing environment.”
  5. 5. SERVICES OFFERED PROCESSES• Manicure / Pedicure • Coloring• Waxing • Highlights• Make-Up • Permanent• Definitive Make-Up • Hairstyle•Female/Male/Children Haircut • Moisturizing/ Hydrating (with• Progressive Brush (Moroccan Brush) nanotechnology)• Lengthening Nails • Painting/Implanting Eyelashes• Make Up (night/day) • Jet Tanning
  6. 6. OTHER PROCESSES• Cleaning• Buying materials – Dye, hydrogen peroxide, shampoo, conditioners, products for selling• Fixing hair dryers and other supplies, when necessary• Restocking materials – Coffee, toilet paper, plastic cups for coffee and water• Training new secretaries and professionals as needed• Pay bills• Rennovations
  7. 7. THE BEAUTY SALON• First opened its doors in 2004• is a small scale salon• Employs about 10 workers – 4 hair professionals – 5 manicurists – 1 are receptionist• Per week approximately 150 customers• Attracts local clients
  8. 8. LAYOUT MAPHair DyingManicuring 2 2 3 3 4 1 1
  9. 9. SITUATION- WHERE WE ARE NOW?• Less important • Qualifying Factors: factors: – Cost – Documentation – Dependability – Speed of Service – Flexibility • Order Winning – Quality – Customer Service
  10. 10. OBJECTIVES: The cost of receiving a haircut, manicure or other POLAR DIAGRAM service from a salon is The salon is fairly dependable. If slightly expensive. However, a customer makes an for the quality of the Where we are appointment to receive a services that the customer now COST service, the appropriate is receiving we feel the professional will be there to price fits with the quality of Where we provide that service. There are the service. Approx. R$13 want to be few exceptions, however, when for a salon’s flexibility is The Manicure and for the professional has to cancel. Coloring R$80-120.a above average for SPEED number of reasons. There Even though the process of The salon provides a high is a wide variety of DEPENDABILITYgetting a haircut, manicure, dye standard quality service for its services to choose from ect. takes a while,is what the customers (this it is part of and they are able to salon is known for). However, the service of being manage a high volume of “pampered” customers for not there is still room do customers. Professionals improvement. Quality of the want to be feel rushed. are able to accommodate service is one will keep the Therefore we of the primary different requests, as well, operation times the same. aspects of a company that based on what the client customers look for in a salon. Approximate time. 1 hour wants.manicure 1 ½ - 2 hours coloring QUALITY FLEXIBILITY
  11. 11. Quality Cost Customer Speed of Service Service Dependability FlexibilityDocumentation
  12. 12. PLAN: RECOMMENDATIONS• Alternative A: Flexibility – Important because customers coming to the salon are looking for a customized experience, will give clients more options – Does not require IMMEDIATE action but does needs to be improved within a month, will have an impact on customers view of salon – Have more hair care product options, needs to be changed by hair professionals• Alternative B: Customer Service – Customers looking for en enjoyable experience – Something that can be changed right away – Have coffee, water, lemonade ect available at all times, more variety of magazines, hair professionals are happy 
  13. 13. The salon is viewed to the CONTROL: public as a company that charges a little more than the Financial average hair salon. However,In order to achieve strategic performance the amount charged is in lineimpact, shouldexcel in its ability to provide measures with the quality provided. As a whole, the company is very the highest quality to the profitable. customers. Internal process Overall Customer Strategic performance performance Objectives measures measures In order to build the skills of the The clients should view hair and nail professionals, they the hair and nail are required to attend 5 training Learning and seminars in a year. During these professionals as friendly, growth seminars, the professionals outgoing and an expert in performance reinforce their skills and keep his or her field.updated with new products in the measures market .
  14. 14. SITUATION COLORING WHERE ARE WE NOW• Products used: Wella and Joico dyes and hydrogen peroxides• Duration: 1:30h• Cost for the company: Approx. R$25,00• Cost to pay the professionals: 35% of the total = R$28,00• Price for the clients: R$80,00• What the service includes: Dying, washing, conditioning and brushing• What is unique about us: When conditioning, the client receive amoisturizing. All the finishing products from the best brands. Coffee andthe most recent magazines
  15. 15. POLAR DIAGRAM COLORING WHERE DO WE WANT TO GO Where we are The cost of dying your hair at the salon is slightly expensive. The price now COST of the dye, the hydrogen peroxide, Where we shampoo and conditioner used to want to be wash, including the water and the electricity, gives us an cost of serviceThe company have high of approx R$25,00standards for quality, first because The process is flexiblethey use the best SPEED products DEPENDABILITY because we have plentyavailable (Wella, Joico, not thatThe coloring service is diversity of dye colors,Schwarzkopf), and secondforfast, it has a 40min pause The salon is with the customer’s matching quite dependable.becauseto take effect. Thisdon’tthe dye the professionals The customer company can needs. The makes anwant to only make profits, butcould be improved. appointment schedules , and antecipate and receive thethey want a healthy hair, and a service at the exactly at the serve more clients time.satisfact client, so that they come Some delays can happen. We same timeback again and again. depend on the clients to make our profits, that is why they are QUALITY FLEXIBILITY so important for the company .
  16. 16. PLANSCOLORING HOW DO WE GET THERE PLAN A PLAN BThe owner of the company should make contact withL’oreal, to have INOA The company can optimizeproduct inof work while as a brand and innovative the timethe salon. With INOA, the dying 40minutes be faster, the dye. With 40 having the is going to pause ofbecause the pause is minutes 10 minutes, instead of male or female haircut, only for a hairdresser can do a RECOMENDATIONS40minutes. This way, a moisturizing and even a brush. This way the the service will be optimized, and theduration of the service is going to is having a chance to work more, earn professional be less than one hour. Thedye is more expansive company serve more clients. This plan can start as more, and can make both plans work. The in relation to the others that thecompany alreadyAworks, but is going to be a differential that the are the Plan is going as the owner aproves. The hairdressers soon to bring a innovative factor, sofactor from the competitors.differentiate fromstartandmay good thing is company can make the should the competitors. ones to This plan plan work, in the2012, where the companythe company don’t have extra costs. time. Plan B don’t that anything, is lauching promotionof the cost can have a just a optimizationfor mother’s day.
  17. 17. CONTROL COLORING HOW DO WE KEEP ON TRACK• To excel as a company, being considerably better than competitors,there is a lot to improve. The level of complaints and lateness should belower, and other little things that in a whole affect the operation of thesalon.• To achieve strategic impact, the company should excel at the customersatisfaction score, no order lead time, no deviation from promisedresult, increase the maximum capacity, be better in change schedules,increase the labor productivity, have more added value.• The owner of the company checks when dyes, hydrogen peroxide andother products should be bought• As the owner is a hairdresser and works full time at the beauty salon,she can see what colors are almost over, and start doing a list, so thatany other hairdresser can add what products are in need.
  19. 19. PROCESS: MANICURING - WHERE ARE WE NOW? Talk with the Remove nail File/ cut (if Apply plastic Let the moisturizing client, ask what polish needed) the nails gloves on the cream work for 1color of nail polish customer minute she wantsPayment Apply the Let the base dry Apply the base Push down Let the nail polish and cut nail polish dry the cuticle
  20. 20. PROCESS: MANICURING - WHERE ARE WE NOW? Volume HIGH Variety LOW Variation in demand LOW Visibility LOW• Challenges within the process: – High and different demands from the customers – Reduce the delays – High volume; make sure the service is personal – Always possible to improve quality
  21. 21. POLAR DIAGRAM The cost of performing The manicuring is divided not manicure process is very dependable. If a customer between the company and Where we are is delayed,manicurist. The still COST the the service will now take company pays the salary, 30 minutes, and as a result, there will be amanicurist rest of while the delay the buy Where we their own day. the equipment. want to be EFFENCIENCY DEPENDABILITYA manicure takes approximately The process provides a high30 minutes. This is the fastest it standard quality service for The process of manicuring is possible to do the manicure. its customers. However, might be repeated every To make the still room for there is customer with week, the aim of the special social needs feel more improvement. Quality of the manicuring process is to comfortable we mightof social service and quality want to make the customer so abilities is one ofon each use more time the primary satisfies with the service aspects of a company that customer. that she will return every customers look for. week and become a QUALITY Loyalty repeat customer.
  22. 22. PROCESS: MANICURING - Planning• PLAN A How? More time per customer: Maintain process at a  Hire more manicurists high level with two slightly small changes:  Add extra services 1. Reduce number of When? Start a campaign in May. delays Commercials for extra services. 2. Make more loyal customers Who? The manicurists cooperating with the company
  23. 23. PROCESS: MANICURING - Planning• PLAN B How?Reform the process to a More time per customer:low volume process; focus A smaller number of customers per dayon the customerssatisfaction: When? Start reforming in 1. No delays January. New year/ new process. 2. More loyal customers 3. Improved quality Who? The manicurists cooperating with the company
  24. 24. PROCESS: MANICURING Quality Loyalty Cost Cost Quality Loyalty Dependability Efficiency Dependability EfficiencyRED= PLAN ABLUE= PLAN B
  25. 25. PROCESS: MANICURING - ControlWhat is Cost Dependability Loyalty Efficiency Qualitycontrolled?When? monthly : Regularly: Once a Regularly: Every 6 - payments - Count the month: - How much months: from delays every - How many ”downtime” - Customer customers day returning report cards and how customers much spent on equipment.By who? The The Receptionist The The manager manicurists manicurists manicurists and the manager
  26. 26. PLAN: ALTERNATIVES A & B• Based off of the map we can see that there are some aspects of the company that need to be improved. However, there is nothing that needs immediate action. – Dependability – Flexibility – Customer Service – Documentation• There are two characteristics that we should work towards improving first based on their award-winning and qualifying characteristics• Alternative A: Flexibility• Alternative B: Customer Service
  27. 27. PROCESS: COLORING The service design process is measured by quality, speed, dependability, flexibility and cost Transformed Resources: Transforming Resources:1. Customers--change their physical 1. Facilities such as the chairs, properties mirrors, bathrooms2. Materials, for example, brushes, pots, 2. The hair professionals dyes, hydrogen peroxide T3. Technical and market information
  28. 28. PROCESS: COLORING Low repetition, each professional performsLOW Volume HIGH the service, not systematic High variety of colors and brands, flexible,HIGH Variety LOW match customers specific needsHIGH Variation LOW Anticipation of schedules, not in a routine, in touch with demand, seasonsHIGH Visibility LOW Satisfaction governed by customers perception, customers contact skills needed, short waiting tolerance
  29. 29. PROCESS: COLORINGPROFESSIONAL SERVICE • Customers spends considerable Variety time in the service process • High levels of customization, highly adaptable • People-based, emphasis placed on the process • The “problem” will first be discussed with clients and the boundaries of the service defined
  30. 30. PROCESS: COLORINGTalk with the client, see Prepare the Application 40 minutes wait Move the client what color of dye she dye of the dye to the lavatories wants Take Brush, finalize Move the Wash, condition payment the hair client back the hair
  31. 31. PROCESS: COLORING Layout Map of the Beauty Salon
  32. 32. PROCESS: COLORING • has a fixed-position layout, that agrees with the 4V’s in volume-variety • Customer not moved or disturbed • High variety of tasks to each professional • A lot of movement for the professional • Scheduling of space and activities can be difficult
  33. 33. PROCESS: MANICURING - Where are we now? High volume, challenge to be personal.LOW Volume HIGH Low variety of how the process is performed,HIGH Variety LOW the variety is however high regarding nail polish colors.HIGH Variation LOW Not season based. People often do their nails every week.HIGH Visibility LOW Not personal, standardization. “In and out”.
  34. 34. PROCESS: MANICURING - Where do we want to be? SMART objectivesObjective Spesific Measurable Achieveble Relevant Time boundCOSTS Fixed costs Thru salery Yes Yes The customer for every and cost of pays for the performance. equipments. service and it Variable costs lasts for for the approximately manicurist 30 minutes. regarding the equipment.
  35. 35. PROCESS: MANICURING - Where do we want to be? SMART objectivesObjective Spesific Measurable Achieveble Relevant Time boundDependability Customers Thru how Yes, room for Yes, the Yes, timing is who are long delay it improvement. customer very late for is per day. don’t like important their to wait. for this appointme objective. nt makes the whole process delayed.
  36. 36. PROCESS: MANICURING - Where do we want to be? SMART objectivesObjective Spesific Measurable Achieveble Relevant Time boundQUALITY The customer Thru Yes, always Yes, its The quality might expects good recognized room for about increase if we quality. brand names improveme the use more time (equipment) nt. customer per customer. and s satisfaction expectati of the ons. customer.
  37. 37. PROCESS: MANICURING - Where do we want to be? SMART objectivesObjective Spesific Measurable Achieveble Relevant Time boundEFFICIENCY The Thru how Yes Yes, to Yes manicurists much time be more should not spent. effective have ”down time”.
  38. 38. PROCESS: MANICURING - Where do we want to be? SMART objectivesObjective Spesific Measurable Achieveble Relevant Time boundLOYALTY How many Controlled Yes, very Yes, the Yes, the customers by the important process customer might come back secretary. with loyal dependi need a manicure each week. customers. ng on each week. ”repeat customer s”.
  39. 39. PROCESS: MANICURING - Control Financial performance measures No shareholders. Internal processperformance measures Customer performance Overall strategic measures To achieve strategic objectives Viewed by customers as a impact, the process professional, high quality hairshould excel in quality salon. and dependability Learning and growth performance measures Build capabilities over time by being a hair salon people want to visit more than once