Operation Management


Capacity building or development can be referred to as a conceptual approach that aims at understanding the obstacles that are inhibited by an organization that hinder them from realizing their development goals while enhancing the capabilities that will enable them to realize sustainable, and measurable results. According to UNDP in regards to capacity building; it is clear that capacity building takes three levels which include: individual level, institutional level, and finally societal level. This paper therefore focuses on two areas: a) determining the effective capacity within an organization and various ways of developing capacity, and b) defining just in time production as well identifying how these can be helpful.

Question 1

As organizations undergo through a process of innovation, they also happen to play increasingly vital roles in the society; it thus becomes a bit complex for them to perform efficiently. In response to this managerial staffs have recently demonstrated interest in employing management practices that are likely to build high-performance within the organization instead of investing so much on just strong programs (Chang, 1995; 78). Generally it is thus important to be committed in investigating or determining the organizational capacity. In determining an effective capacity there are three critical elements that must be employed in the planning process which include:

a)      Setting time and resources allocation so as to meet specific demands;

b)      Employing stratagems that meet innovative requirements such as competition, emerging demands, time change for various projects etc. and;

c)      Determining the cost of non-conformance to the arrangement being made such as waste, costs, quality variance, and slippage of time, among others.

International calls that emphasize on the imperativeness of capacity building to improve on sustainable development have been numerous and great deal of attention has been directed in capacity building. In fact, there are various ways of improving effectiveness of capacity building which are:

a)      Identification of the needs and investing on building or improving on existing capacities; the performance of the assessment needs are vital in setting priority and program design and also helps in building of programs that address specific conditions (Shim, and Siegel, 1999; 349).

b)      Employing a variety of capacity building approaches; a wide range of approaches are basically important in the process of capacity building and these include: networking, formal education, projects for capacity improvement of building among others.

c)      Be clear concerning the objectives; it is important that the organization understands its objectives in regards to capacity building between providers and beneficiaries. Capacity building programs should be aimed at providing sustainable development and be given the first priority.

d)     Institutionalizing capacity building program sat both national and regional levels; this should be focused in bring the two aspects hand in hand.

e)      Target the right individuals in the process of building decisive mass; most organizations focus on training key players such as officials who actually take part in decision making process.

Making the training-of-trainers approach work; this means that the already trained personnel must also train other smaller groups (Hirano, 2009; 102).

Question 2

In the last few years, Just-in-Time is a system and an idea that has really witnessed a reasonable acceptance within the production industry and the general business community (Heizer and Render, 2005; 205). Just-in-time (JIT) is a form of costing that is used in production process that demands that every unit of product is only produced after being requested or upon requisition. JIT production can really be helpful in maintaining minimal inventory levels of finished goods, work in process as well as raw materials being used in the production process. In cases when JIT costing is applied as a costing system, costs of work in progress, and cost of materials are usually combined into a single “resources in process” account. Similarly, direct labor and overhead also are usually combined into a single account known as conversion cost account.

For instance, in the production-control system, which was first developed by Toyota Motor Corp. and later was imported to the West, and has really undergone through a process of revolution and in the due process revolutionized manufacturing methods in various industries in both international and regional markets (Lewis, and Slack, 2003; 342). As a result of depending on daily deliveries as it is usually the case with most supplies, JIT ensures that waste materials that may have been caused in the production process is eliminated and it also helps in lowering the cost of warehousing (Tafoya, 2010; 56).

Though the JIT, supplies are strictly scrutinized and promptly altered in order to meet changing demands, and small and accurate resupply deliveries also ought to be made appropriately as required or demanded. Given the fact that there are no spares, the components ought to be free of charge of defects. Generally, firms that are wholly dedicated to the JIT concept only need a logistics staff that is mandated to program production, through balancing product demand with firm capacity and accessibility of inputs. It is true that JIT has really worked most successfully for very huge automobiles manufacturers, which may have quite a few thousand suppliers feeding parts into more than a hundred factories that pull together components for 20 assemblage lines (Waters, and Waters, 1999; 123).

Finally, with regards to the importance of capacity building is widely acknowledged, there is need to identify and implement effective capacity building approaches since this a process that is aimed at creating organizational change. This requires a number of individuals. Generally, the duty of improving capacity within an organization goes beyond the scope of human and financial resources and in the due process should apply imperative approaches to capacity building.