Operations Management Lesson 3 (guest lecture+ chaps 6,7)

automation

transformation process step will be done by machines instead of humans

automation in different contexts

• business process automations

• manufacturing process automations

automation business objectives

• speed

• cost

• risks

• growth (putting people where they are the best)

• customer experience

main types of automation

• task automation

• orchestration

• intelligent and agentic process automation

task automation

automates a single, repetitive task, often rule-based and structured

orchestration automation

coordinates multiple automations or processes

intelligent and agentic process automation

process automation combined with machine learning, NLP/LLM components

two speed process development

• fast-speed, customer-centric development (automation, integration dashboard)

• slow-speed, transaction-focused system improvement (system transformations, custom applications)

Challenges and pitfalls in automation

• automating without understanding the process

• automation of bad or wrong processes

• set-it-and-forget-it mentality

• technology.point solutions focus

• lack of executive buy-in/change management

• lack of central coordination

robotic process automation (RPA)

deploys software routines to perform the most mundane and repetitive tasks previously done by people

layout and look of an operation or process

how its facilities are positioned relative to each other and how their general appearance is designed

why is layout and look of operations and processes important

affects flow characteristics, the interaction between parts of the process and the experience of staff and customers

objectives of layout

• minimizing/maximizing the flow of transformed resources

• minimizing/maximizing aspects of the interaction between parts of the process

• enhancing the experience of both staff and customers

4 basic layout types

• fixed-position layout

• functional layout

• cell layout

• line layout

type of layout an operation chooses is influenced partly by

• nature of the process type

• objectives of the operation

general appearance and aesthetics of a layout affects

how staff view the operation in which they work, and how customers behave

Allen curve

the communication between people reduces with the distance between them

servicescape

operations objectives will influence the feel and general impression of the operation

fixed-position layout

formal layout techniques are rarely used but some, such as resource location analysis, bring a systematic approach to minimizing the costs and inconvenience of flow at a fixed position location

cell layout

group the products or customer types such that convenient cells can be designed around their needs

techniques: production flow analysis

line layout

includes a number of decisions, such as the cycle time to which the design must conform, the number of stages in the operation, the way the tasks are allocated to the states in the line and the arrangement of the stages in the line

how to gather information as the basis for the analysis of the appearance of facilities

• use surveys questionnaires and interviews to assess both staff and customers’ reaction to current and potential future workplace designs

• use remote recording to understand reaction of staff and customers