References
Main 1. 1. Paton, S.; Clegg, B.; Hsuan, J.; Pilkington, A. (2011) Operations Management, 1st ed.,
Reference McGrawHill.
Additional 1. Harold Karzner. (2009) Project Management: A Systems Approach to Planning,
References Scheduling, and Controlling, 10thed Willey, ISBN: 0470278706
2. 2. S. N. Chary. (2019) Production and Operations Management, Mc Graw Hill India,
ISBN:9353164818
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Assessment
1. Paper based or activity based periodic (Weekly) assessment
(Homework and group activities) 10%
2. Case studies 20%
3. Mid Term Exam 20%
4. Final Exam 50%
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Prerequisite Learnings of the Courses
Management
Project Industrial
Management Management
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Introduction (POM)
Production / Operations Management is defined as the process which transforms the
inputs/resources of an organization into final goods (or services) through a set of
defined, controlled and repeatable policies.
Production and Operations Management (POM) is a crucial field in business that
focuses on efficiently and effectively managing the processes involved in producing
goods and services.
Production and Operations Management involves planning, organizing, coordinating,
and controlling the resources and processes needed to produce goods and services. Its
goal is to maximize productivity and efficiency while minimizing costs and ensuring
quality.
If manufacturing products is a prime concern then it is called production management,
whereas management of services is somewhat broader in scope and called operations
management.
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Key Area of (POM)
• Production Planning
• Process Design and Improvement
• Quality Management
• Inventory Management
• Operations Strategy
• Workforce Management
• Technology Integration
• Performance Measurement
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Objectives (POM)
Efficiency: Maximizing the use of resources to produce goods and services at the
lowest possible cost.
Effectiveness: Ensuring that production processes meet customer needs and
expectations.
Quality: Maintaining high standards in the final products or services.
Flexibility: Adapting to changes in market demand and technological advancements.
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Importance (POM)
Effective Production and Operations Management is critical for:
Cost Control: Reducing production costs and improving profitability.
Customer Satisfaction: Delivering products and services that meet or exceed customer
expectations.
Competitive Advantage: Enhancing operational efficiency to gain an edge over competitors.
Sustainability: Implementing practices that support environmental and social sustainability.
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Concept of a System (POM)
Definition: In the context of POM, a system is a set of interrelated components
working together to achieve a common goal.
This includes inputs (raw materials, labor), processes (manufacturing,), and outputs
(finished products).
Interconnections: The performance of each component affects and is affected by
others. For example, a delay in raw material supply can impact production schedules
and product quality.
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Components of the Production System(POM)
Inputs: Resources such as raw materials, labor, technology, and information.
Processes: Activities and operations that transform inputs into outputs. This includes
manufacturing, assembly, quality control, and logistics.
Outputs: Finished products or services delivered to customers.
Feedback: Information about the performance of the system, including quality
metrics, production efficiency, and customer satisfaction, which is used to adjust and
improve the system.
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System Objectives (POM)
Efficiency: Achieving optimal use of resources to produce goods and services with
minimal waste.
Effectiveness: Ensuring that the production processes meet or exceed customer
expectations and organizational goals.
Quality: Maintaining high standards in products and services through continuous
monitoring and improvement.
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System Boundaries and Interfaces (POM)
Internal Boundaries: Define what is included within the production system, such as
machinery, labor, and internal processes.
External Boundaries: Include interactions with external elements like suppliers,
customers, and regulatory agencies.
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System Dynamics and Feedback Loops (POM)
Feedback Loops: Mechanisms for incorporating information about system
performance back into the system to make improvements. For example, customer
feedback can lead to changes in production processes or product design.
Delays: Recognizing that changes or improvements in one part of the system may
take time to affect the overall performance.
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System Modeling and Analysis (POM)
Simulation: Using models to predict the impact of changes within the production
system and to test various scenarios.
Optimization: Analyzing system performance to identify and address inefficiencies or
bottlenecks.
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Holistic Management (POM)
Integration: Coordinating various functions such as procurement, production,
inventory management, and distribution to ensure smooth operation.
Synergy: Ensuring that different parts of the production process work together
effectively to achieve greater overall efficiency and effectiveness.
Continuous Improvement
Lean Manufacturing: Applying principles to reduce waste and enhance process
efficiency.
Six Sigma: Using data-driven methods to improve quality and reduce defects.
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Challenges (POM)
Complexity: Managing the complexity of interactions between various components
and processes.
Adaptability: Ensuring the system can adapt to changes in market demand,
technology, or regulations.
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Benefits (POM)
Improved Efficiency: By optimizing the entire system, organizations can achieve better
resource utilization and reduced costs.
Enhanced Problem Solving: Understanding the system as a whole helps in diagnosing and
addressing issues more effectively.
Strategic Alignment: Ensuring that production processes align with broader organizational
goals and strategies.
Examples of Systems Viewpoint Application
Supply Chain Integration: Coordinating with suppliers and logistics to ensure timely delivery
of materials and alignment with production schedules.
Production Planning: Using system-wide data to forecast demand, plan capacity, and
schedule production to meet customer needs efficiently.
Quality Management: Implementing quality control measures and feedback loops to
maintain high standards across the entire production system.
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