Introduction to Operations
1- What Is Operations Management (OM)?
2- OM Decisions.
3- Contributions of OM to the society.
4- The emergence of OM.
5- The Ever-Changing World of Operations Management.
6- Historical Development of OM.
7- The Main Challenges Face OM (+ in Sudan) – “ASSIGNMENT”
1-What is Operations Management?
1- Operations Management (OM) is the management of the direct recourses that are required to produce and deliver an organization's goods and services
2- OM is the business function responsible for Planning, Coordinating, and Controlling the resources needed to produce a company’s products and services. (this is an organizational perspective to define OM).
3- OM is the management of the conversion process that transforms inputs into outputs in the form of finished goods and services. (this is an operational perspective to define OM).
Operations as a transformation process:
Inputs of a Production System:
- Legal, Economic, Social, Technological
- Competition, Customer Desires, Product Info.
- Materials, Personnel, Capital, Utilities
Outputs of a Production System
- Technological Advances
The Transformation Process within OM (technical core):
Operations as the technical core:
Operations managers do more than efficiently convert inputs to outputs. They interact with marketing to receive estimates of customer demand and customer feedback on problems; with finance for capital investments, budgets, and stockholder requirements; with personnel to train, hire, and fire workers; and with purchasing to order needed material for production.
Input-transformation-output relationships for typical systems:
(Examples of transformation process p.8)
The input-transformation-output process covers more than manufacturing processes. Operations can take many forms.
Types of Operations:
2- OM decisions
Key Decisions of OM:
- What resources/what amounts
- Work to be done
- To do the work
Operations managers must make decisions on three levels;
Top-down Approach to OM Strategy:
Operations Strategy Decisions;
Needs of customers (capacity planning)
Efficient scheduling of resources
Operational planning and control (short-range)
Immediate tasks and activities
| |Strategic |Tactical |Operating | |Characteristics |Longer term decisions |Medium term decisions |Shorter term decisions | | |Usually made at the senior |Made by middle and senior managers|Made at middle and lower management| | |management level | |levels | | |High capital investment | | | | |Broad in nature |Narrow in scope |These decisions concern the | | |...
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