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Introduction to Operations Management

This document introduces operations management. It defines operations management as designing, operating, and improving systems that create and deliver a firm's primary products and services. It discusses why studying operations management is important as it is relevant across work and home. The document outlines the key questions operations management addresses, such as determining demand, available inventory and production capacity, required output, and timing. It also presents different types of production systems and goods versus services. Finally, it provides a historical overview of operations management and discusses current challenges in the field.

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johnmia20
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15 views4 pages

Introduction to Operations Management

This document introduces operations management. It defines operations management as designing, operating, and improving systems that create and deliver a firm's primary products and services. It discusses why studying operations management is important as it is relevant across work and home. The document outlines the key questions operations management addresses, such as determining demand, available inventory and production capacity, required output, and timing. It also presents different types of production systems and goods versus services. Finally, it provides a historical overview of operations management and discusses current challenges in the field.

Uploaded by

johnmia20
Copyright
© All Rights Reserved
We take content rights seriously. If you suspect this is your content, claim it here.
Available Formats
Download as DOC, PDF, TXT or read online on Scribd

INTRODUCTION TO OPERATIONS MANAGEMENT

WHAT IS OPERATIONS MANAGEMENT


The design, operation, and improvement of the systems that create and deliver the
firms primary products and services.
Operations = Add Value
Management = Get Results
WHY STUDY OPERATIONS MANAGEMENT
Its EverywhereAt Work, At Home,
MY COURSE OBJECTIVES (FOR YOU)
nderstand the importance of Operations, and !here it fits in the contemporary
"usiness organi#ation
$ependent Relationships
%earn analytical tools and techni&ues, and !hen they apply
Most are tried and true
%earn a'out current issues and approaches to OM
Operations Management (age )
*ntroduction
Operations
Management
"usiness +ducation
,ystematic Approach
to Org. (rocesses
-areer Opportunities
-ross./unctional
Applications
Operations
Management
"usiness +ducation "usiness +ducation
,ystematic Approach
to Org. (rocesses
,ystematic Approach
to Org. (rocesses
-areer Opportunities -areer Opportunities
-ross./unctional
Applications
-ross./unctional
Applications
THE KEY QUESTIONS
0hat do !e need1 Demand
0hat do !e have 1 Inventory, Production Capacity
0hat do !e need to ma2e 1 Output
0hen do !e need it 1 ime
What !esu"ts, and What Priorities
What Do We Do #e$t%%
A SYSTEMS VIEWTHE SUPPLY CHAIN

Operations Management (age 3
*ntroduction
KEY PERFORMANCE INDICATORS
+fficiency 1 Resources sed 4*nput5
+ffectiveness 1 Results Achieved 4Output5
(roductivity = Output 6 *nput, or +ffectiveness6+fficiency
PRODUCTION SYSTEMS
A user of Resources to Transform *nputs into some desired Outputs 4of value to
someone7prefera'ly the -ustomer5
Types of Transformation (rocesses8
(hysical .. manufacturing
%ocation .. transportation
+9change .. retailing
,torage .. !arehousing
(hysiological .. healthcare
*nformational .. telecommunications
GOODS VS. SERVICES
Tangi'le vs. *ntangi'le
,ervice cannot 'e stored, shipped, o!nership transferred
More time and location dependent
-ustomer is directly involved in creating the service
ncertainty, varia'ility
Operations Management (age :
*ntroduction
HISTORICAL OVERVIEW OF OPERATIONS MANAGEMENT
);)) /rederic2 Taylor 1 <father of
scientific management=
/ormali#ed time study and !or2 study
);)) /ran2 > %illian Gil'reth Motion study 4photography5 and methods
analysis
);): ?enry /ord Moving assem'ly line
);:@s +lton Mayo 1 ?a!thorne studies
of motivation
-hange is not as important as ho! it is
introduced
00 ** Operations Research Mathematical models for military logistics
4simulation, linear programming5
);A@s -omputers 1 faster and more
!idespread use
MR( 4Material Re&uirements (lanning5
and increased use of math modeling
);B@s TC- 1 0. +d!ards $eming,
Doseph Duran
,tatistical and managerial approaches to
Cuality
);B@s D*T [Link].Time5 concepts +liminate !aste 1 $ont ma2e it unless you
need it
);;@s TCM 4Total Cuality Management5 -ompany.!ide commitment to CualityE
*,O, "aldrige A!ard
);;@s "usiness (rocess Reengineering,
,upply -hain Management
Radical changes
-omprehensive systems vie!
3@@@s +lectronic -ommerce
CHALLENGES TO OPERATIONS MANAGEMENT
+9ternal8
Must 'e responsive to demand 4!hich is unpredicta'le5
Glo'al competition
Glo'al supplier, production, distri'ution net!or2s
Technology e9plosion
*nternal8
(otential conflicts !ith Mar2eting, /inance, [Link].
Operations not al!ays seen as competitive factor
Feed to increase fle9i'ility, responsiveness, speed
+[Link] pressure to control6reduce costs
Operations Management (age G
*ntroduction

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