1

Operation Management by Companies

of Lucena City in times of Pandemic

NAMES OF THE RESEARCHERS:

Lance Arcel A. Lotino

Gayle Maurice B. Avenilla

Alliyah Katrina T. Dala

 2

CHAPTER 1

INTRODUCTION

A. Background of the Study

This study investigates the operation management of a company in the midst of

pandemic. The researchers choose to conduct this study to identify how the companies of Lucena

City operation and management works.

The outbreak of coronavirus disease 2019 (COVID-19) has created a global health crisis

that has had a deep impact on the way we perceive our world and our everyday lives. This

COVID-19 pandemic has led to a dramatic loss of human life worldwide and presents an

unprecedented challenge to public health, food systems and the world of work. The economic

and social disruption caused by the pandemic is devastating: tens of millions of people are at risk

of falling into extreme poverty, while the number of undernourished people, currently estimated

at nearly 690 million, could increase by up to 132 million by the end of the year.

The said coronavirus disease (COVID-19) has shocked global, regional, and national

economies. People’s lives and economic activities have been strictly limited to safeguard health

and control the spread of the virus. Travel bans, temporary closures of schools and businesses,

and social distancing have accompanied quarantines. Meanwhile, private sector businesses have

cut back production as well as service delivery, and have been forced to temporarily lay off

employees. They face a lack of working capital, making it difficult to continue operating.

Prolonged containment of COVID-19 increases the risk of business failure and bankruptcy. In
 3

particular, micro, small, and medium-sized firms are at great risk due to abrupt supply chain

disruptions and tightened financial conditions.

As we are in the middle of a pandemic outbreak, it is very difficult to estimate its long-

term effects. Although Philippines has been hit by several pandemics, it is difficult to find a

solution as this virus have not been studied to a great extent in the past. The pandemic has been

affecting the entire business community that led many workers to the loss of their job. The

COVID-19 pandemic outbreak has forced many businesses to close, leading to an unprecedented

disruption of commerce in most industry sectors. Retailers and brands face many short-term

challenges, such as those related to health and safety, the supply chain, the workforce, cash flow,

consumer demand, sales, and marketing. Many markets no longer exist. While some businesses

are struggling, some businesses are thriving. Items like masks, alcohol, and face shield are a

must on this new normal so business that sells these items are more likely to increase their sales.

This is also true for a number of Internet-based businesses, such as those related to online

entertainment, food delivery, online shopping, online education, and solutions for remote work.

With this issue, the researchers thought of a best operation management in order to survive their

business through this pandemic.

Operation managements process the plans, controls and supervises manufacturing and

production processes and service delivery. It is important in a business organization because it

helps effectively manage, control and supervise goods, services and people. It cuts every sector

and industry as it may concern. OM finds use in every business through some might not be

obvious.  It is chiefly concerned with planning, organizing and supervising in the contexts of

production, manufacturing or the provision of services. As such, it is delivery-focused, ensuring

that an organization successfully turns inputs to outputs in an efficient manner. The inputs
 4

themselves could represent anything from materials, equipment and technology to human

resources such as staff or workers. In this way, the researchers will be able to know what

operation management suits best in this pandemic to know on how to survive their business as

we don’t know how long we’re still be facing this COVID-19 outbreak.

Research objectives

This research aims how company operation and management works in the middle of

pandemic. This study also helps the company to improve their respective operation and

management by determining and on their business goals.

Most of the business company in Lucena are disrupted because of the pandemic. The

study focuses on analyzing the company’s respective operation and management.

This research also aims to accomplish the following objectives:

1. This study aims to find out how managers of several selected business operate using their

different techniques and necessary ways and scheme in the midst of pandemic.

2. This study seeks to scrutinize the strategies laid by the companies and evaluate which strategy

will help each company grow.

3. This study aims to investigate for further understanding how managers manage the company’s

business in times of pandemic for future entrepreneurs to be able to apply some ways and

strategies.

4. This study aims to examine the best strategy to boost the productivity of a company and its

capability to provide the needs of the customers in spite of pandemic.

 5

Literature Review

Overseeing the operations of any business is a career in which the right business-minded

individual can truly succeed. An operations manager is tasked with ensuring that operations are

both efficient and effective. However, this requires not only understanding a business’s overall

goals and objectives, but using that information to run the business successfully. At its core, the

techniques needed for a successful career in operations in the middle of pandemic include the

ability to think analytically, communicate effectively, and manage efficiently.

In the midst of the current COVID-19 pandemic, global markets are severely disrupted.

Businesses are forced to explore innovative solutions to overcome the growing negative

implications of this unprecedented crisis. Due to various quarantine measures imposed by

governments around the world, certain industries have been affected much more than others. As

only businesses involved in the value chain of essential commodities are operational, the rest of

the industries need to evaluate how they will respond to business unusual. The existing business

continuity plans may not be sufficient to address the fast-changing variables presented by

COVID-19.

Most of the business company in Lucena are disrupted because of the pandemic. The

managers objective is to protect the cash flow and employees. But it’s also an opportunity to

identify innovations and new ways of working that may not have existed before. As their

business changes during this period of disruption, they may be surprised at the new opportunities

that arise. These opportunities include experimentation and innovation as part of the company’s

operations planning, and they can now help emerge from the crisis stronger than before.
 6

According to the NFIB Research Center, nearly one-quarter of small business owners

say the coronavirus outbreak is negatively impacting them in the form of slower sales (42%),

supply chain disruptions (39%) and sick employees (4%). However, in our digital world, there

are plenty of ways to stay connected to your customers through this pandemic and keep your

business going through it.

There are a few smart strategies that company’s looking to keep their audience engaged

even if they're self-quarantined or avoiding public places. First is to let the customers know what

the company’s doing to prevent the spread of COVID-19. Send an email to the customers and

post signage in the store to assure them that the company is doing everything they can to protect

their customers health when they visit the store. Share any increased cleaning, disinfecting and

hygiene protocols the company following, and let them know that the company are enforcing

self-quarantine among any employees who might be experiencing symptoms. If you are altering

your hours or closing your store for a deep-clean, you should let your customers know that, too.

Next is the increase of the company’s social media presence. The customers are already on social

media, but these days, they are likely checking in much more frequently to get the latest updates

on the virus. Whether you're posting about the virus specifically or trying to offer light, positive

content to help take people's minds off the panic, it can be helpful to increase your posting

frequency to ensure you are showing up in their news feeds.

According to Nathan Resnick (Apr 29, 2020) The COVID-19 pandemic has proven

problematic for businesses worldwide. While many economic factors are beyond the control of

entrepreneurs, productivity needn't be something that declines, too. Working from home may not

be something company has supported in the past. But if the companies are going to survive (and

they’re not an essential business), they have to find a way to do it if at all possible. There are
 7

obviously some jobs that can't work from home. But if the business is one of the ones that can

shift their workforce online, they can use the crisis of the COVID-19 pandemic to build new

infrastructure and productivity for the future. All of these factors are working against the

business's productivity. But even though the circumstances might not be optimal, there are ways

to maximize work from home potential.

Nathan Resnick (Apr 29, 2020) states that the use of video conferencing service will

helps a lot. The video conferencing app Zoom has absolutely exploded in popularity due to the

COVID-19 pandemic, with everyone from Britain's prime minister to Silicon Valley jumping on

the bandwagon. Despite privacy concerns they're working through Zoom has cemented its place

as the platform of choice for a lot of businesses.

Furthermore, according to Nathan Resnick (Apr 29, 2020). They need centralizing the

information if the business information is still scattered across several different platforms that

don't communicate and aren't accessible online, the COVID-19 pandemic has probably forced

the company to reconsider. Using portals and central databases that hold all the information in

one place is a huge benefit to your business. CRMs and business management apps are designed

to help businesses break down silos between departments, share information, and track their

progress and relationships. Most of the CRMs and other business management apps that work for

small to medium businesses are cloud-based, which means they're also easy to use when you're

working from home.

Also, provide an equipment budget. Companies probably wouldn't even think about this

if they have a good setup already, but not everyone have a well set-upped to work from home. If

they're using subpar equipment, they will see a correlating drop in productivity. Ask employees
 8

if they have everything they need. If the employees are comfortable and not fighting subpar

equipment, they'll be more productive.

According to a writer in business.com, use this time as a reset. The COVID-19 pandemic

has thrown the entire world into disarray. But if they're willing to put in the time and effort, they

might see a boost from it in the future. Maximize the productivity now, and focus on preparing

for the future when they can go back to the office.

In these present times, like the most company’s in the City of Lucena, decides to

minimizes the operating expenses. These include implementing skeletal workforce which is the

best way to retain the company’s budget and reduced the number of people who will go out on

their respective homes. Implementing this kind of strategy will also help the City to flatten the

terrifying numbers of active Covid-19 cases. Furthermore, company’s most common strategy but

also the most effective and efficient way is the use of modern technology to improve their

operations like marketing and promoting their business products on social media which helps the

company to continue their service and operation. Web-based technologies enable to dramatically

improve how to run their business. The company are a good candidate if they're looking to

increase market share, aggressively pursue cost reduction or greater efficiency, or prevent

customer-service problems. Company’s also give a reasonable promo or they even had a price-

dropped that gives people will to buy in order to retain their business.
 9

https://www.uschamber.com/co/grow/customers/stay-connected-to-customers-during-

coronavirus

https://www.business.com/articles/ways-business-can-boost-productivity/
 10

Conceptual Framework

The proposed enhanced operation management in times of pandemic

How companies Strategies applied beneficial to Techniques and schemes

operate in terms of the company sales laid by companies on the
employee account of customer
management satisfaction and health
care

Challenges faced by companies or

businesses in times of pandemic

Just like the conveyed concept above, the researchers used a concept map for them to

clearly elaborate the relationship of the variables and elements involved upon the study. It started

below from the first figure of Challenges faced by companies in times of pandemic to the three

figures in the middle, on How companies operate in terms of employee management, Strategies

applied beneficial to the company sales, and Techniques and schemes laid by the companies on

the account of customer satisfaction and health care up to the main goal of this research which is

to provide an enhanced operation management. However, these are the explanations of the

relationship among the variables above;

 11

In this conceptual map, it is evident that in times of pandemic several businesses face the

same challenges and dilemma brought by the outbreak, this makes it an independent variable of

the concept. Prior to this, companies or businesses had laid different ways or a new system in

order for them to cope up with the situation. This new system provides applicable method and

solution for all the three remaining variables involved in business which is incorporate with the

research. Along the lines are the employee management, the strategies for saving the company

sales, and the ways accountable for customer satisfaction and health care despite the pandemic.

These three correlates each other due to the fact that the effectiveness of these three when

applied in business results to the most efficient operation management that best suits all

companies in times of pandemic.

Significance of the Study

The findings which this study will reveal, may benefit certain group in the society. The

benefits of this study will be great for the following:

To the business owners, this study will be a guide for them on how to cope up during

pandemic. The information will help them to be prepared and to survive their businesses against

any problem or other pandemic that they may encounter in the future.

To the management, they will be able to have a plan that they will apply if ever

hindrances get along their way like this pandemic, which will may become a cause to close their

business.
 12

To the employee, this study will be a great benefit for them because they’ll be more

prepared and will not be groping on what to do in the situation. They will be more informed so

that the respective works can be done properly.

Research Impediments

If a researcher is conducting a research, there are possible impediments or problems that

the researchers might encounter.

Lack of guidance on a research project. Poor communication gets on the way of the

progress of the research. It is important to communicate with the advisor to clarify the doubts

regarding the research topic, to know what the advisor expects from the researcher and to learn

more about the research topic.

Having an ineffective communication of the interviewee will might affect the researcher

study. If the interviewee doesn’t possess an effective communication, there’s a possibility that a

lot of data will not be able to be collected. It will definitely give a hard time for the researchers to

understand what the interviewee wants to indicate.

Age limit that implemented by the government in the midst of pandemic. It is

implemented for the sake of the minor and senior citizen people which is said that they are

vulnerable on this pandemic. It will help them avoid getting infected from the public places by

the Covid-19 disease. Having this law in the city of Lucena will give a complication to the

researchers for a face to face data collection of the companies.

 13

A company protects their privacy in operation and management. Insufficient data

because of no respondents because most of the companies in the city of Lucena are aloof to

response due to confidentiality of management information.

Insufficient knowledge of the employees. Some employees don’t usually care how their

company operate and how it is being manage. They just used to work for their own sake and for

the salary.

Financial or scarce monetary resources. Money is also important for a researcher. There

will be an adverse effect in conducting a study if there are financial problems. The researchers

must allot budget to their expenses like printing supplies and transportation allowances.
 14

Methodology

3.1 Research Approach

Qualitative research was applied in the study to understand how employees and business

owners are able to cope with the pandemic. It involves collecting and analyzing non-numerical

data to understand and gather in-depth insights into a problem or generate new ideas for the next

research. (Pritha Bhandari, 2020)

The researchers used a grounded theory approach since Creswell (2003) defines

grounded theory research as the “researcher attempts to derive a general, abstract theory of a

process, action, or interaction grounded in the views of the participant in the study”. The data can

be obtained from several sources such as interviewing participants, reviewing historical video-

tape records, and observations while on-site. The participants’ answer in the interview and the

data that will be collected will help the researchers to arrive at a theory and learn from the

experience of others. By arriving at the given theory, the researchers will be able to know what

action suits best in a pandemic.

3.2 Grounded Theory

Grounded theory refers to a set of systematic methods and ways for conducting

qualitative research aimed toward a theory development. (K. Charmaz A. Bryant,2010) It aims to

scrutinize methods, procedures, and techniques upon the study the researcher is conducting by

using Glasser, Strauss, Linoln and Guba’s) constant comparative method.

 15

It is important to scrutinize the participant’s strategies as this will help on arriving to a

more reliable data and theory. Simmons, DE (2006) eloquently stated that the value of grounded

theory is to avoid making assumptions and stereotypes on the human’s mind but to be able to

adopt a more neutral view of human action in social context instead. Grounded theory provides a

methodology to develop an understanding of social phenomena that is not pre-formed or pre-

theoretically developed with existing theories and paradigms. (Engward, H.2013).

The Co-Researchers

Recruitment of willing co-researchers to share their accounts to the phenomena is based

according to the following:

1. Should be a Proprietor or employed person that have been involve on the company’s

operation and management.

2. A college graduate with a business management related degree or any business-related

courses.

3. Business managers or department head who develops and implement operational policies

and procedures.

Interviews are one of the most frequently used method of data collection and grounded

theory has emerged as one of the most commonly used methodological frameworks. Although

interviews are widely accepted, there is little written on an appropriate sample size.

In line of the following guidelines for the recipients, the average sample size was twenty-

five, but it is recommended to plan for thirty interviews to fully develop patterns, concepts,
 16

categories, properties, and dimensions of the given phenomena. By knowing an approximation of

the required number of interviews researchers now have starting point which will assist in the

design, execution and budgeting of a research project.

 17

Data Gathering Procedure

In order get and justify the objectives coherence to the study, data gathering was

conducted by researchers. Approved and qualified respondents for the study are given a letter of

consent informing them on their part and requisition of them taking part in study of Operation

Management in times of pandemic by means of electronic mailing, telephone call or video call.

The co-researcher’s consent is necessary as it is stated in the Ethics of Research that there shall

not be any one strained or forced to join the interview. The researchers used a direct interview

method in gathering relevant data even only by means of online interview as people are

restrictedly prohibited to go outside due to Covid-19. With the use of structured main

questionnaires which referred to the Operation Management of Businesses in times of Pandemic,

the researchers made sure that these questions will be able to justify the objectives of the study.

The researchers were able to use follow up questions while performing the data gathering

procedure as the interview conducted was unstructured and also for the researchers to widen the

flexibility of the information gathered. The co-researchers provided all of the significant data

regarding of how they are using their different techniques and necessary ways and scheme in the

midst of pandemic to operate and manage their company.

The researchers gathered the data by interviewing 5 willing co-researchers per company

in Lucena City with enough knowledge and experiences about its operation and management.

The researchers formulated the questions about the co-researcher’s response regarding to their

company’s operation and management effectiveness. The co-researchers are the employees,

managers and the proprietors. The number of the co-researchers are 20 in total on 4 companies

have been interviewed.

 18

Data Analysis

Grounded Theory Analysis is a method to be used in order to arrive on what operation

management has to be done in the midst of pandemic. In grounded theory-based analysis, the

researcher generally analyzes the data as follows: finding repeating themes by thoroughly

reviewing the data; coding the emergent themes with keywords and phrases; grouping the codes

into concepts hierarchically; and then categorizing the concepts through relationship

identification.

Finally, the categories created through this process, as well as the links found between

them, are used as the basis for the development of a new theory. (Kolb, 2012) The inductive

theoretical thrust of these methods is central to their logic. The resulting analyses build their

power on strong empirical foundations. These analyses provide focused, abstract, conceptual

theories that explain the studied empirical phenomena. (Charmaz Kathy, 2003). The researchers

will use this method due to the fact that it will help them analyze all the given data to arrive at a

new theory which will give the researchers the answer to their topic.
 19

3.7 Establishing Trustworthiness and Rigor.

Qualitative content analysis is commonly used for analyzing qualitative data. Since

qualitative researchers do not use instruments with established metrics about validity and

reliability, it is pertinent to address how the researchers establish that the research study’s

findings are credible, transferable, confirmable, and dependable. It is all about establishing these

four things. The trustworthiness of qualitative content analysis is often presented by using terms

such as credibility, transferability, dependability, and confirmability.

However, a common feature of these criteria is that the researchers aspire to support the

trustworthiness by reporting the process of content analysis accurately. In 1985, Lincoln and

Guba have proposed the four alternatives for assessing the trustworthiness of qualitative

research, it is all about establishing these four things, credibility, transferability, dependability,

and confirmability. In 1994, the authors added a fifth criterion referred to as authenticity. From

the perspective of establishing credibility, researchers must ensure that those participating in

research are identified and described accurately. Dependability refers to the stability of data over

time and under different conditions. Confirmability refers to the objectivity, that is, the potential

for congruence between two or more independent people about the data’s accuracy, relevance, or

meaning. Transferability refers to the potential for extrapolation. It relies on the reasoning that

findings can be generalized or transferred to other settings or groups. (Lincoln & Guba, 1985;

Polit & Beck, 2012)

 20

3.7.1 Credibility

Credibility is the how confident the qualitative researcher is in the truth of the research

study’s findings. This boils down to the question of “How do you know that your findings are

true and accurate?” Qualitative researchers can use triangulation to show the research study’s

findings are credible.

Credibility is the first aspect, or criterion, that must be established. It is seen as the most

important aspect or criterion in establishing trustworthiness. This is because credibility

essentially asks the researcher to clearly link the research study’s findings with reality in order to

demonstrate the truth of the research study’s findings. Credibility also has the most techniques

available to establish it, compared to the other three aspects of trustworthiness. Here the

researchers focus on the two most important techniques triangulation which is something that

every qualitative researcher should be familiar with. Triangulation and Member Checking.

Triangulation involves using multiple methods, data sources, observers, or theories in order to

gain a more complete understanding of the phenomenon being studied. It is used to make sure

that the research findings are robust, rich, comprehensive, and well-developed. This involves

utilizing different data sources within the same method. The researchers used different

populations, interviewing people at different points in time, in private or public settings, or

people and company’s different perspectives. Member checking, it is a qualitative technique used

to establish the tenet of credibility in trustworthiness. Credibility involves establishing the truth

of the research study’s findings; in laymen’s terms, it means showing that the findings are

accurate and honest. Traditionally, member checking is defined as sharing either a brief

summary of the findings or sharing the whole findings with the research participants. This is its
 21

classical definition based on the work of Lincoln and Guba who are seminal authors on all areas

of trustworthiness in qualitative research.

3.7.2 Dependability

Dependability is the extent that the study could be repeated by other researchers and that

the findings would be consistent. In other words, if a researcher wanted to replicate a study, they

should have enough information from the research report to do so and obtain similar findings as

a study did. A qualitative researcher can use inquiry audit in order to establish dependability,

which requires an outside person to review and examine the research process and the data

analysis in order to ensure that the findings are consistent and could be repeated.

3.7.3 Confirmability

Confirmability in Qualitative Research is the degree to which the outcomes can be

confirmed and corroborated by other people. It is about establishing the data gathered and

interpretations of the findings are not discerned from imagination or false information but pure

facts. Reference to literature and findings by some authors can strengthen the confirmability of

the study in addition to the information gathered and interpretations by other people other than

the inquirer from within the inquiry itself. The common use of Audit Trail is one of the most

prominent technique in establishing the confirmability. It is when a qualitative researcher details

the process and interpretation of data.

 22

In the study of Operation Management in times of Pandemic in Lucena City, the

researchers critically analyzed the answers and responses gathered from the 4 companies,

wherein 5 respondents each company have shared part in the study in total of 20 respondents

from different company to avoid biases and doubtlessly come up with factual findings and

judgement upon the results conveyed. By the help of the data gathering and the method used for

data analysis which is the grounded theory analysis, researchers were able to build credible

results which builds dependable foundations. The resulting analyses build their power on strong

empirical foundations. These analyses provide focused, abstract, conceptual theories that explain

the studied empirical phenomena. (Charmaz Kathy, 2003).

3.7.4 Transferability

Transferability in qualitative research is synonymous or can be the same with

generalizability or external validity. This describes the process of applying the gathered result to

another similar context or situation. Qualitative researchers can use thick description to show that

the research study’s findings can be applicable to other contexts, circumstances, and similar

situations. There are different techniques on writing the transferability of the study, and as

mentioned, one of these is the thick description of the phenomenon by Lincoln and Guba’s 1985

recommendation.

A pandemic is a natural occurrence and can come up in most unexpected times. It is

guaranteed that the findings of this study gathered can be applied or is applicable for future

references and is highly relevant to business owners and entrepreneurs in the present and future

time.
 23

3.9 Ethical Consideration

Ethical considerations must highly be observed and applied by the researchers in this

study. Full consent would be obtained from the co-researchers prior to the study and they would

not be subjected to harm in any ways or whatsoever. The co-researchers are able to make an

informed decision as to whether they will participate in the evaluation or not. Additional

information would also be provided in the event that the participant becomes distressed in any

way during their participation. Participants that participate in the study are free from coercion

and are free to withdraw their participation at any time without negatively impacting on their

involvement in future services or the current program. Adequate level of confidentiality of the

research data would be ensured so as the protection of the privacy of research participants.

Honesty would highly be observed. Any type of communication in relation to the research

should be done with pure transparency. Confidentiality would also be a great part in the study. It

ensures such identifying information is excluded from any reports or published documents.

Given that there are often small numbers in peer based programs, it is very important to consider

how reports are worded to ensure that there is no opportunity for people to be identified even

though names are not used. Co-researchers or participants would be named anonymously.