Operation Management Notes

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operations-management notes (no 1) by professor zubin_____________________________________________________________________________________________

sub-functions of 'operations' function in a large manufacturing organisation in a manufacturing company operating in a ‘gala’ of an ‘industrial estate’ with one proprietor, one supervisor and 10 workers … § the proprietor is the hr manager, purchase manager, the marketing manager and the finance manager § the supervisor is the stores manager, the production manager, the quality manager and the despatch manager § the workers are most probably, contract workers. one / two of them will also clean the gala at the start of the shift. in a large organisation, having 10,000 employees, there are separate departments dedicated to the different functions. the 5 main functions are

• • • • •

hr operations marketing finance it systems

2 in a large organisation, having 10,000 employees, the marketing department is not a monolithic entity. it is divided into smaller units. These units are ... 1 • market-research department 1 • marketing department • advertising department • sales department • account management department • other marketing-related departments similarly, in an organisation of the same size, the finance department is not a monolithic entity. it is divided into smaller units. these units are … ------------------------------------------------------------------------------------------------------------------------------------------------------------------------page 1 of 21 PDF created with pdfFactory trial version www.pdffactory.com

operations-management notes (no 1) by professor zubin_____________________________________________________________________________________________ • • • •

1 accounts department 1 cash department audit department other finance-related departments

similarly, in a manufacturing organisation of the same size, the operations deparment is not a monolithic entity. it is divided into smaller units. these units are … 1 • r&d department 1 • ppc department • purchase department • stores department • manufacturing departments • quality department • maintenance department • despatch & excise department • logistics department 1 --- the word used may be department or section or unit or some other word 2 --- monolithic = singe piece factors to be considered for selecting a location for a factory / office / shop / service-center from a choice of options within a country / city 1a. availability of land at the desired price tata motors factory at sanand ---- to manufacture 5 lakh nano’s per year --- area of factory 1000 acres. Imagine tata motors buying 1000 acres in bombay to set up a factory to manufacture the same no of nano’s : so much money they will have to spend. 1b. availability of adjoining land in future for possible expansion ------------------------------------------------------------------------------------------------------------------------------------------------------------------------page 2 of 21 PDF created with pdfFactory trial version www.pdffactory.com

operations-management notes (no 1) by professor zubin_____________________________________________________________________________________________

The indian textile industry is on an upswing. Exports will boom for the next 5 yrs because of recent elimination of quotas by usa, the largest textile market. Mr X has requires 40,000 sq metres for setting up a textile mill. This fits within his budget of Rs.300 crores (setting up a factory). Mahape midc (50 km away from bombay) is a possible location. There is an vacant plot of 45,000 sq m, with a pharmaceutical factory to the north, electrical factories to the east and the south and a heavy engg factory to the west. Alternate is plot of land of area 43,000 sq m at tarapur midc (125 km away from bombay). It lies at the edge of the industrial estate. Beyond this plot lie farms of the locals. Mr X selected tarapur midc which is...
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