Lesson 7 - Managing Operations

Operations management

is a process that involves efficiently managing the resources and methods devoted to a company’s production of goods and services for sale.

Operations management

This type of management focuses on how the company uses its inputs (like humanresources, raw materials, and information systems) to produce its outputs (the product or service that the company sells).

Operations

may also involve overseeing strategies, tactics, and processes for managing the materials, technologies, people, and products that keep a company running.

Operations manager

An _____________ oversees the decision-making and business processes that help a company use its resources in the most low cost and time-efficient manner.

effective

An ______ operations manager will use many different management tools (and their innate problem-solving skills) to ensure that a business’ operations contribute to its bottom line and deliver customer satisfaction.​

Operations management

Is the administration of business activities to accomplish goals, achieve higher productivity, and maximize profitability

POSMS

1. Planning

2. Organizing

3. Supervising the operations

4. Manufacturing and production processes

5. Service delivery

Give the complete production timeline of a service / product from the input stage to the finished stage

Operations management

is the branch of management that administers the complete production timeline of a service/ product from the input stage to the finished stage

Operations management

is the management and control of the functions

Project management

is the management and control of project activities.​

Project management

involves unique but temporary endeavors with a specific beginning and end

Operations management

involves ongoing activities of an organization that produce repetitive and long-term outputs such as supplying services or manufacturing products

essential

Defining what is operations management for a particular field is ____ as it is vital in every field.

Operations management

is the heart of any organization.

oversees

Operations management _______ the complete operating system of an organization.

manage

Operations management is essential for organizations to _____ their daily activities seamlessly.​

controls, maintains

Operations management ______all the processes and handles issues including design, operation, maintenance, and improvement of the systems. It also _____ smooth, effective, timely production of products and services even when unexpected situations arise.​

reputation

Operations management helps improve the __________ of an organization and thus has a positive influence on its capability to achieve growth and stability goals

motivates

Operation management _________ the employees toward their roles and improves employee productivity.

to promote and support efficient business process

What is the purpose of operations management?

1. Maximize the organization’s efforts around producing goods and services

2. Manage the supply chain and infrastructure

What are the goals of operations management?

Capacity planning

This type of planning involves determining the number of products or services that a company can distribute or sell in a specific period.

evaluate

The operations manager may _______ the raw materials needed to produce the inventory, the human resources to make the product, the market demand for the product, and the production planning to meet these goals promptly.

Inventory management

also known as supply chain management or inventory control

Inventory management

involves instituting an efficient manufacturing system to produce, process, store, and distribute a company’s products for sale.

prevents bottlenecks

An operations manager will develop an operations strategy to make, track, and manage inventory that ________ and meets customer demands.

Product design or service design

involves creating a product or service that will give the company a competitive advantage in the marketplace

end product

An operations manager is often involved in product design because they understand how the production systems make the _______

Project management

An operations manager will oversee any projects related to a company’s manufacturing processes and inventory management.

Quality control

also called quality assurance or quality management, involves monitoring products and services with a company to ensure high-quality products and satisfied customers

Quality control

may involve checking each step in the production process or service operations for errors or potential problems in finished products.

Service design

relates to how the company interacts with service providers and customers.

Strategic operations

________ management focuses on long-term success,

Tactical operations

___________ decisions are about reacting and adjusting in the short term

Strategic operations decisions

involve estimates, predictions, goals and comparative analyses. This approach concentrates on the future to meet long-term objectives and ensure lasting success

operational data

One key aspect is using ____________ to analyze results and adjust long-term strategic plans where necessary.

Tactical operations decisions

involve how the company responds to changing operational conditions

Objectives management

Setting priorities, making operational decisions based on business goals and aligning operations to support overall company objectives.

Task management

Managing daily operations based on work in progress and linear workflows to assign tasks before moving to the next phase.

Individual supervision

Using real-time information from managers and employees on the ground performing the work to optimize operations.

1. Objectives management

2. Task management

3. Individual supervision

Give three main types of operations management (OTI)

1. Centralized

2. Decentralized

3. Hybrid

Give the three categories of modern operations management environments (CDH)

Centralized operations management

Typically use one central control system to manage essential supply chain functions and oversee multiple employees who work in one location.

Decentralized operations management

uses multiple systems, including advanced infrastructure and technology like web applications and cloud databases, to coordinate work across global supply chains and multiple locations.

Hybrid operations management environment

leverages the advantages of centralized and decentralized operations.

Operations management process

is about making a company’s daily actions as sharp and effective as possible

Operations management process

The process involves smart use of resources and data to reach goals while keeping costs down.

1. Implementation

2. Optimization

3. Improvement

Three categories of operations management processes, based on desired business outcome (IOI)

Implementation

Designing and engineering infrastructure and systems so your business operations function efficiently.

Optimization

Ensuring that your staff and infrastructure serve the business’s goals as effectively and efficiently as possible.

Improvement

Introducing operational methods that previously did not apply — for example, remote work — and maximizing the efficiency and effectiveness of existing processes.

Business Dynamics

Operations managers juggle multiple business functions and make decisions that touch other departments in areas such as product development, customer support and finance.

Global ops

Global supply chains challenge operations management to stay current with global market trends and find operational efficiencies across international operating environments.

Advanced Technology

Advances in technology continue to increase the technical complexity of this discipline. Today, ops managers require significant technical proficiency and information management expertise.

Time management

Operations management problems arise from many places, but the most frequent challenge is inefficient time allocation caused by factors such as labor shortages.

Sustainability

Evolving regulations and resource shortages challenge operations managers to find sustainable business practice efficiencies that account for future operating environments.

1. Manage operational resources

2. Meet the organization’s goals and objectives

Two primary purposes of an operations manager