BUS 401 - Section 2
Operations Management
Academic Year 2024-2025
By: Ms. Chancharya Chhim
Chapter 8:
Process technology
Process technology versus product technology
Product technologies: Process technologies: Indirect process
technologies:
the technology that is the machines, equipments
embodied in the or devices that create or technologies that help to
hardware and software of deliver products and facilitate the direct
the product and services services creation of products and
services
Example: computer, Example: 3D printing,
smartphones, smart TV manufacturing machines Example: Cloud computing,
Enterprise Resource
Planning systems (ERP)
One common method of distinguishing between different types of process technology is by
what the technology actually processes - materials, information or customers
Potential of new process technologies
Why are new process technologies important?
1. Most new process technologies have a greater capability than what they are replacing
a. Example: algorithms and AI
2. Increased capabilities have a greater scope of application
a. Example: airport check-in processes
Moravec’s paradox: the enigma of AI struggling with tasks that most
humans find easy.
Gartner Hype Cycle - measure technologies’ usefulness
Stage 1 – the early stages of a technology
Stage 2 – the technology has developed to
the point where it is implemented by ‘early
adopter’ operations
Stage 3 – the difficulties of using the
technology in practical situations start to
demonstrate its shortcomings.
Stage 4 – problems with the technology are
slowly solved and its potential becomes
more realistically understood
Stage 5 – the technology becomes widely
adopted, probably with technical standards
being shared by users and suppliers
Process technology and transformed resources
Material-processing Information-processing Customer-processing Integrating
technology: technology technology (IT): most technology: human- technologies:
that shapes, transports, common type of oriented technology to combinations of more
stores or in any way technology including a provide services than one technologies
change physical objects device that collects, or resources
manipulates or stores Example:
Example: robotics, 3D data ● Active interaction: Example:
printing, packing vehicles, self-checkout ● EPOS: scanning, IT
machines, warehousing Example: ● Passive interaction: and check-out
systems etc. ● Analytical capability: elevators, cinemas processes
AI, ● Hidden technologies:
● Communication facial recognition
connectivity: technologies
blockchain,
● Visual information
processing: AR
How can technology
improve
performance?
This example shows the evaluation of
a 3D printer to be used to produce
prototype designs of biodegradable
semi-rigid plastic packaging moulds.
The performance of the proposed 3D
printer is compared with the current
method of producing the moulds using
conventional machining techniques.
Technology Roadmap (TRM)
● A technology roadmap (TRM) is an
approach that provides a structure
that coordinates this consultation.
● A TRM is a process that supports
technology development by
facilitating collaboration between
the various activities that contribute
to technology strategy.
● It allows technology managers to
define their firm’s technological
evolution in advance by planning
the timing and relationships
between the various elements that
are involved in technology planning.
Anticipate implementation problems
Chapter 9:
People in operations
Organisational operations culture - iceberg metaphor
Operations as socio-technical systems (STS)
The socio-technical systems
approach is a way of thinking
about complex organisations:
● interaction between
people and technology
within an organisation
● interaction between both
and the complex
environment in which
they operate
Forms of organisation structure
Three basic approach to group parts of specialisation in an organisation:
Formation of an
organisational
culture
Unitary form (U-form) organisation
● For less complex organisations
● Clusters its resources by functional
purpose
● Emphasize process efficiency
● Keep expertise together
● Promote creation and technical
knowledge sharing
M-form organisation
● For large organisations in
complex markets
● Group its resources needed for
each product or service group or
based on geographical market
● Separate functions are under
separated divisions
● Allows individual divisions to
focus on specific markets
Matrix forms
● Hybrid of M&U form
● 2 structures in 1 organisation
● Cluster has 2 lines of authority
(to divisions and to group HQ)
● Ensures representation of all
interests in the organisation
Network form (N-form) organisation
● Resources are clustered into
groups as in other
organisational forms
● There are more delegation of
responsibilities
● Very little hierarchical
reporting and control
● Each cluster is linked to
others to form a network
Decisions
of job
design
Behavioral approaches to job design
Other approaches to job design
Job rotation
● Moving individuals periodically between
different sets of tasks to provide some variety
in their activities
Job enlargement
● Allocating larger number of tasks of the same
type to individuals
Job enrichment
● Increase number of tasks and allocating extra
tasks that involve decision making, autonomy,
and control
Job design: flexible working
Skills flexibility
● Employees that can move across different jobs or able to be deployed at locations/roles on
demand
● High emphasis on employee training and knowledge
Time flexibility
● Flexible working hour on specific shifts or parts of the day or days of the week
● High emphasis on defining core working time for each employees
Location flexibility
● Increase of non-location specific jobs, remote jobs, or hybrid working
● However certain roles still require location specific jobs such as retail or assembly