Snugburys Ice Cream: Business Practice Portfolio

1. Introduction

Business practice portfolio defines the organisational management regarding holdings, products, services and brand. This report is going to be strictly focused on one of the UK-based ice-cream manufacturing company, named, Snugburys Ice Cream Limited. The study is revolving around the current issues, which are faced by the business in the competitive market of the UK. The first and foremost aspect of the report is going to be the presentation of the company profile. Then, the study delves down into identifying the main issues of the company that has brought difficulties regarding productivity, quality and performance. The report is going to include the scope of the problem along with the expectations of the business partner.

The core highlight of the report is going to be the range of theoretical frameworks, which are associated with being used for the problem-solving purpose of the organisation. On that note, it is to mention that the specific theory that is going to be applied in the organisational context include Herzberg’s two-factor theory. Additionally, the models cover Six-Sigma Model, Risk Management Model, Job Characteristic Model and Total Quality Management Model. Finally, then the report is going to present the real-world solutions for the UK-based ice-cream manufacturer.  

 

2. A brief overview of the company

Snugburys Ice Cream Limited is one of the SMEs from the industry of UK ice-cream manufacturing. The company has been established in the year 1986. It has been converted into an ice-cream manufacturing company from a dairy firm. It is located on the Chester road, Hurleston, UK. The business is associated with making more over 35 flavours of ice-cream. The company has three vans for delivering ice-cream products to the local customers (Snugburys 2019).

Few products of the business include Damson and Sloe Gin, Extra Mature Cheddar Cheese and Toffee Crumble. Additionally, the organisation is involved in producing large sculptures, which is made of the steel-reinforced straw. The names of the proud founder members are Chris and Cheryl Sadler. The business has been registered as a limited company in the year 2002, October. As per the report of 2017, this company serves near about 200,000 people annually (Snugburys 2019).

3. Identification of the key issues

3.1 Scope of the problem

In order to focus on the scope of the problem, it is indeed essential to recognise the specific issues of the UK-based ice-cream manufacturing company. It has been identified from the current scenario of the business that the main issue is revolving around the lack of productivity at the workplace. In more clear words, it can be said that the employees are not giving their best to individual roles and responsibilities. On that note, it can be said that the major areas, which are responsible for the issue, include lack of performance, quality and satisfaction at the workplace (Snugburys 2019).

In case of discussing the scope of the problem, the first and foremost aspect is indicative towards the lack of employee retention rate. The improper retention can be harmful to the ice-cream manufacturer in improving the level of productivity as per demand in the market (Snugburys 2019). As a consequence of it, the situation of business closure can be arrived. Therefore, it is required for the business to focus on improving the core areas, such as, performance, quality and satisfaction, which are involved in the issue of productivity lack at the workplace.

3.2 Expectations of business partners

In order to learn about the expectations of the business partners, it is necessary to bring in highlight the level of desire regarding annual revenue generation and profit margin. In more clear words, it can be stated that the two business partners, Chris and Cheryl Sadler, expect to make significant growth and brand recognition in the UK market of ice-cream manufacturing. However, due to the lack of productivity, it has been a severe problem for the partners in making expectations fulfilled (Snugburys 2019).   

4. The range of problem-solving methods

In order to solve this issue of Snugburys Ice Cream Limited regarding productivity lack, the theoretical frameworks are effectively efficient. The specification of each of the problem-solving framework along with the organisational application is as follows:

4.1 Six-Sigma Model

4.1.1 Specification

Six-sigma model refers to disciplined and constant improvement methodology, which is used for eliminating the defects in a process. As opined by Lu et al. (2017), the six-sigma model is associated with improving the existing procedure with its defined methodology. The core stages of this theoretical framework indicate definition, measurement, analysis, improvement and control aspects. There is an ultimate requirement of working as a team in order to look at the issues and use fact-based analysis for finding specific ways of improvement (Sunder 2016).

Graphical representation of Six-Sigma Model

(Refer to Appendix 1)

4.1.2 Application

In order to apply the significance of this theoretical framework in Snugburys, the tabular specification is made below:

Definition The main problem of the UK-based ice-cream manufacturing company is lack of productivity
Measurement This issue has been identified by the management while comparing the performance report of Snugburys for the current and previous year
Analysis The root causes of the issue are indicative towards lack of performance of employees, lack of quality management and lack of satisfaction and engagement of the workforce
Improvement In order to solve the problem of performance lack, the organisation is required to restructure the incentive packages in a more attractive way. The quality will be improved with the help of quitting multitasking activities of employees (Laureani and Antony 2019). On the other hand, for enhancing the engagement and satisfaction of the workforce, the company is required to allow employees to take part in the process of decision-making.
Control In the case of controlling or monitoring the above improvement criteria, human resource management is required to arrange weekly meetings with the employees. With the help of the meetings, resource management is able to make personal interview sessions with each employee (Tlapa et al. 2016). This will be helpful in having feedbacks from all the employees in order to further proceeding with the specific strategies.

 

Table 1: Six-Sigma stages for Snugburys Ice Cream Limited

(Source: Snugburys 2019)

Figure 1: Graph of Six sigma Model

(Source: Brustbauer 2016)

4.2 Risk Management Model

4.2.1 Specification

Risk management model is based on the systematic procedure, which includes identification, analysis and response to the project risk. Based on Brustbauer (2016), it can be stated that the major five stages of risk management model cover risk identification, qualitative analysis, quantitative assessment, response plan as well as control and monitoring.

Graphical representation of Risk Management Model

(Refer to Appendix 2)

4.2.2 Application

In order to apply the importance of risk management model in Snugburys, the specification of each of the stage is as follows:

Identification of the risk, The possible risks, which are associated with the ice-cream manufacturing business, are indicative of:

  • Lack of annual revenue generation
  • Lack of profitability
  • Lack of growth in the competitive market of UK’s ice-cream manufacturing
  • Lack of brand recognition (Snugburys 2019)

Qualitative analysis of the identified risk, in order to make the qualitative analysis of the risks of Snugburys, it is first and foremost to find the likelihood of each of them (Papageorgiou et al. 2015). The likelihood can be measured with the help of the risk matrix, which is made below:  

Likelihood
  Very likely Likely Possible Unlikely Highly unlikely
Lack of annual revenue generation   High      
Lack of profitability High        
Lack of growth in the competitive market of UK’s ice-cream manufacturing     Medium

 

   
Lack of brand recognition     High    

 

Table 2: Qualitative analysis of Snugburys’ risks (Risk Matrix)

(Source: Zou et al. 2017)

Quantitative assessment of the identified risk, in case of focusing on the quantitative analysis of the identified risks, it is necessary to make the rankings of each of them (Sikula et al. 2015). The rankings can be made with the help of the risk register, which is as follows:

Description Probability Impact Risk score
Lack of annual revenue generation 60% High 9
Lack of profitability 55% High 8
Lack of growth in the competitive market of UK’s ice-cream manufacturing 40% Moderate 7
Lack of brand recognition 35% Moderate 7

Note: The risk scores have been provided based on the scale of 1-10, where 10 is the highest.

Table 3: Quantitative analysis of Snugburys’ risks (Risk Register)

(Source: Brustbauer 2016)

The response plan for mitigating the identified risk, in accordance with both the qualitative and quantitative risk analyses, it can be observed that the highest risk is associated with the annual revenue generation and profitability. In order to reduce the probability of risk regarding annual revenue generation, the UK-based ice-cream manufacturing company is required to focus on market expansion by making a tie-up with the local retail stores (Snugburys 2019).

On the other hand, in case of reducing the risk probability of profit margin, the business is needed to focus on restructuring its existing pricing strategy. For instance, currently, if the organisation follows pricing for market penetration, then it is required to switch to economy pricing (Snugburys 2019).

Control and monitoring of the mitigating approach, in order to control and to monitor the strategy regarding the improvement of annual revenue generation, Snugburys needs to focus on maintaining the uninterrupted communication with the local retailers. It will help in reducing the risk of revenue lack in the competitive market (Snugburys 2019).

On another hand, in case of monitoring and controlling the strategic approach of profit margin, the ice-cream manufacturer is needed to focus on the rate of the monthly-basis sales. It will help in undertaking further attempts regarding pricing strategy and removing the risk of profitability lack in the UK’s competitive market (Snugburys 2019).

4.3 Herzberg’s Two-Factor Theory

4.3.1 Specification

Herzberg’s Two-Factor Theory is associated with certain aspects of the workplace, which is responsible for either job satisfaction or dissatisfaction. According to Alshmemri et al. (2017), the satisfaction and dissatisfaction aspects come with the set of factors independently. The two factors of this theory include hygiene factor and motivating factor. On that note, it is to mention that the motivating factors indicate the presence of motivation, which has made the employees to work harder (Holmberg et al. 2018). It is found within the actual job itself. In the case of the hygiene factors, it defines the absence of the factors, which are responsible for employees to work less hard. In that case, it is to bring in the highlight that these factors do not present the actual job itself, however, they surround the job (Yunus and Kamal 2016).

Figure 2: Herzberg’s Two-Factor Theory

(Source: Lo et al. 2016)

With the help of this theoretical framework, two core aspects can be portrayed, and they are as follows:

  • Poor hygiene factors are responsible for decreasing job satisfaction of the employees
  • Motivating factors are involved in increasing the job satisfaction level of the employees (Lo et al. 2016)

The individual instances of the motivating and hygiene factors are made in the tabular formation below:

Hygiene factors Motivating factors
  • Organisational policies
  • Employee and management relationships
  • Supervision
  • Remuneration
  • Working conditions
  • Security
  • Salary
  • Achievement
  • Job roles and responsibilities
  • Recognition
  • Career growth
  • Advancement

 

Table 4: Workplace instances for hygiene and motivating factor

(Source: Yunus and Kamal 2016)

Graphical representation of Herzberg’s Two-Factor Theory

(Refer to Appendix 3)

 

4.3.2 Application

In order to apply the principles of this theoretical model, the organised tabular formation addressing the two factors within Snugburys is as follows:

Hygiene factors Motivating factors
  • The relationship among employees and with management is required to be enhanced with the involvement of ethical approaches
  • The working conditions of the workplace are required to be improved by maintaining organisational policies
  • The job security is needed to provide among the employees with the help of the contractual employment clauses
  • The job roles and responsibilities are required to be made by keeping individual skills and talents of employees in mind
  • The employees are needed to be recognised for both individual and team performance
  • The ice-cream manufacturing company is required to focus on arranging the courses of career program for ensuring the growth of employees within the organisation

 

Table 4: Workplace instances for hygiene and motivating factor

(Source: Snugburys 2019)

It can be analysed from the above table that by improving the hygiene factors will increase the level of job satisfaction at Snugburys. It will be effectively efficient in strengthening productivity (Holmberg et al. 2018). Additionally, the core focus on promoting the motivating factors will enhance the job satisfaction level. This will be potential in having high productivity at the UK-based ice-cream manufacturing company.

4.4 Job Characteristic Model

4.4.1 Specification

Job Characteristic Model refers to the theoretical framework, which indicates an idea regarding task design. In more clear words, it can be said that a task itself can be the key to the motivation of the employee. Based on Seppälä et al. (2015), it can be said that the basic features of the allocated tasks are responsible for affecting the mental state of the workforce. It is indeed essential for each and every employee to have mental satisfaction regarding the individual job roles and responsibilities. The fact will allow them to perform better at the workplace. Ultimate job satisfaction is considered as one of the major reasons behind high productivity (Brough and Biggs 2015). Thus, it can be mentioned that the two most essential attributes of this theory are mental satisfaction and better performance.

Graphical representation of Job Characteristic Model

(Refer to Appendix 4)

4.4.2 Application

In case of applying the job characteristic model for the organisational context of Snugburys Ice Cream Limited, it is first and foremost to focus on the capability of each employee. It can be well demonstrated with an exemplary scenario of the company. For instance, in the IT department, an employee holds the capability of making data entry only (Snugburys 2019). In such a situation, if the employee is provided with a more complicated job role, such as, IT analysts, then it will be burdensome for that employee (Suri 2016). This will be responsible for hampering the mental satisfaction of that staff. As a consequence of it, the level of performance will be as poor as it can be.

Figure 3: Job Characteristic Model

(Source: Suri 2016)

Another instance can be made in case of the manufacturing department. For instance, an employee is capable of handling the packaging process of the products (Snugburys 2019). However, if that staff is ordered to take responsibility for milk pasteurisation process, then the employee will have low mental satisfaction regarding job role. The fact will cause a lack of productivity at the workplace (Hastuti et al. 2017).

Therefore, it can be mentioned that the UK-based ice-cream manufacturing company is required to focus on providing job responsibilities to the employees by keeping their particular ability in mind. It will be helpful in bringing ultimate satisfaction among the workforce and as a result of it, the level of productivity will be improved (Snugburys 2019).

4.5 Total Quality Management Model (TQM)

4.5.1 Specification

Total Quality Management Model (TQM) is all about the combined effort of both management and employees in order to improve the quality. As opined by Mosadeghrad (2015), TQM is used in the organisations for formulating the effective policies and strategies in order to ensure high quality. On that note, it is to mention that this theoretical framework ensures that quality is not solely to meet customer satisfaction, rather also, exceeding it in the competitive market. According to Fonseca (2015), the principles of TQM include:

  • Customer focus
  • Process-centric approach
  • Employee engagement
  • Integrated system
  • Fact-based decision-making approach
  • The systematic and strategic approach
  • Continuous improvement
  • Uninterrupted communication

Graphical representation of the Total Quality Management Model

(Refer to Appendix 5)

4.5.2 Application

In order to apply the TQM model in the organisational context, the tabular specification for each of the principle is made below:

Customer focus In order to judge the performance quality of employees, the ice-cream manufacturing company is required to take feedback from the potential customers. This will be helpful for developing the employees so that they bring high productivity at the workplace (Honarpour et al. 2018).
Process-centric approach In the case of having the quality performance of employees, the organisation needs to focus on monitoring process regarding employee engagement. It will help in making necessary changes in the employee motivation area that can be harmful to productivity level (Nallusamy 2016).
Employee engagement Employee engagement is required to be improved with motivational factors, such as, recognition. It will be useful for having high productivity from the workforce (Mosadeghrad 2015).
Integrated system In the case of the integrated system, the company is required to focus on the quality standardisation along with policies and procedures. It will help in making employees understand the requirement of quality performance to ensure high productivity (Honarpour et al. 2018).
Fact-based decision-making approach The ice-cream manufacturer is required to undertake decisions based on facts and not emotions or personal interests. In more clear words, it can be exemplified that in order to make the decision of providing the incentive to an employee, the resource management is needed to focus on quality performance. Management does not practice biasness in such cases. It will be useful in strengthening the employee and management relationship for delivering high productivity (Nallusamy 2016).
The systematic and strategic approach
Snugburys is needed to do proper planning for the incentive packages by keeping both intrinsic and extrinsic motivation in mind. This will help in making employees satisfied with the job and accelerating better productivity (Mosadeghrad 2015).
Continuous improvement In order to make continuous improvement regarding quality performance, the organisation is required to arrange several training sessions, such as, critical-thinking and teamwork capability, for the employees. It will ensure quality performance and improved level of productivity at the workplace (Honarpour et al. 2018).
Uninterrupted communication In the case of uninterrupted interaction with the employees, Snugburys needs to focus on using face-to-face meetings and telecommunication mediums. It will be helpful for sharing a healthy relationship among employee and management for better job satisfaction and productivity (Fonseca 2015).

 

Table 5: Application of TQM model in Snugburys

(Source: Nallusamy 2016)

Figure 4: Total Quality Management Model

(Source: Mosadeghrad 2015)

5. Recommendations  

In order to solve the issue of Snugburys regarding productivity lack, the possible recommending strategies are as follows:

  • It can be proposed that the ice-cream manufacturer is required to focus on investing more on the training sessions. For instance, external trainers need to be hired for the arrangement of the training sessions regarding the improvement of technical skills and knowledge. It will help in ensuring quality within Snugburys.
  • It can be advised that the UK-based ice-cream manufacturing business is required to focus on promoting flexible working hours. For instance, there is a requirement of day and night shifts so that workers can effectively work. Additionally, the company is required to arrange the facility of working from home in case of the few job roles. For instance, a data entry staff of the IT department can work from home. This is because, in order to do this job, the requirement is a computer system with internet connection. These two strategies will be efficacious in improving the level of performance at the workplace.
  • It can be suggested that Snugburys Ice Cream Limited is needed to focus on arranging workplace recreational areas. For instance, there is a requirement of having a game zone in the organisational premises. In the game zone, the workers will be allowed to go whenever they feel difficult to handle the workload at a stretch. Additionally, the employees need to have permission for spending sufficient time at the game zone so that they can be satisfied with this facility of refreshment and reduction of work-burdens. While the workers will be satisfied with the workplace, productivity level will be improved positively.

 

6. Conclusion

Based on the above analysis, it can be concluded that the business practice portfolio includes a range of strategic attempts for sustainable business. The report has been effectively efficient in identifying the key issue of the UK-based ice-cream manufacturing company, named, Snugburys Ice Cream Limited. The organisational background has made clear knowledge regarding the business. In order to present the main issue of productivity lack, three major areas, such as, productivity, quality and performance have been indicated in the study. The scope of the problem and expectations of the business partner have been discussed in the report in an elaborated manner.

The report has been focused on the significant role of several theoretical frameworks for solving the problem of productivity lack. On that note, it is to mention that Herzberg’s two-factor theory has been useful for the application of employee motivation. Six-Sigma Model and Total Quality Management Model have been effective in being applied for the quality improvement within the UK-based ice-manufacturing company. Risk Management Model has been potential for the application of mitigating strategies regarding annual revenue generation and profit margin. Job Characteristic Model has been effective in being applied for the requirement of providing the job, based on individual capabilities.

 

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