Hannahreum Inc. Case Study

• Executive Summary

This group report provides an analysis and evaluation of the current operation management procedures for H Mart Richmond. Certain measures and business practices we covered for our operation include: productivity, forecasting, product and process design, supply chain, layout design, location, capacity planning, quality management, and inventory management. Methods of analysis used in our report include trend and production analysis for forecasting ranging from three to six months, make or buy analysis on production procedures, as well as the house of quality. We also analyzed the appropriate amount of inventory management as well as production and capacity planning on our goods. In our report we have also included the MS project, which outlines scheduling and duration of each performance measure taken, assigning resources to tasks, tracking process, and managing the budget. This will ensure us to follow a schedule that actively meets deadlines while helping us achieve proper productivity measures.

• Organization Structure:

H-Mart Richmond is one of the numerous businesses under Hannahreum Inc. It has a complete organizational structure. H-Mart Richmond is composed of three administrators including a store general manager Yoon Joo Lee, and 59 full-time or part-time employees. It consists of seven departments: Production Department, Grocery Department, Seafood Department, Hot Food Department, Meat Department, Houseware Department and Cashier Department. And each department is made up of 8 to 12 employees doing both daytime and night shifts. (Chart 1)

Each department is headed by one department manager. The department manager works alongside his or her coworkers most of the time. In addition to the daily routine, one of more important responsibility as the leader of the team is make the big decisions concerning the department’s operation. Department managers are responsible for contacting suppliers, scheduling and they directly report to the store general manager Lee. What’s more, they work at uniting the team, maintaining the team’s solidarity. The workers in each department report to their own department managers, and they do the daily routines to keep the store’s operation. They are assigned to each position according a certain division of labor. They work with their colleagues in the same department on a daily basis, and they cooperate with other staffs from other departments when it is needed.