The Operation management is the activity of managing the resources which produce and deliver products and services. It is one of the core functions of any business. Operations function is the part of the organisation that is responsible for this activity. Every organisation produces some type of product or services so it has an operations function. However not all organisations call the operations function by its name. The people who have the responsibility of managing the resources which compose the operations function are known as the operations manager. Each organisation may call their operations manager by different names. For e.g. in a hospital they are known as ‘administrative mangers’ and in supermarkets they are known as ‘store managers’.
Operations function is important to any organisation as it produces the goods and services- the reason why an organisation exists for. It is one of three core functions but there are also support functions that enable the core functions to work effectively, these are:
Operations function which is responsible for fulfilling customer requests for service through the production and delivery of products and services
Product/service development function which is responsible for creating new and modified products and services in order to generate future customer requests for service
Marketing function which is responsible for communicating the organisation’s products and services to its markets in order to generate customer requests for service
Human resources function which recruits and develops the organisation’s staff as well as looking after their welfare
Accounting and finance function which provides the information to help economic decision-making and manages the financial resources of the organisation
As different organisations call their functions by different names so they will have different supporting functions. But an organisation must have three core