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What is Operations Management?
set of activities that creates goods and services by transforming inputs into outputs.
process that generally plans, controls, and supervises manufacturing and production processes and service delivery.
involves overseeing business activities to attain objectives, enhance productivity, and optimize profitability.
Design of Goods and Services
The process of creating products or services that meet customer needs and expectations while being efficient and profitable for the business.
Managing Quality
Ensuring that products or services consistently meet established standards and satisfy customers.
Process Strategy
The approach a business uses to transform inputs (materials, labor, information) into outputs (goods or services).
Location Strategy
Choosing the best place to operate a business to maximize profitability and customer accessibility.
Layout Strategy
The arrangement of equipment, facilities, workstations, and resources within a workplace to improve workflow and efficiency.
Human Resources and Job Design
Planning jobs and managing employees to improve productivity and job satisfaction.
Supply Chain Management
Managing the flow of materials, information, and products from suppliers to customers.
Inventory Management
Controlling the amount of raw materials, work-in-process items, and finished goods.
Scheduling
Determining when activities, workers, and resources will be used.
FRAME WORK OF BUSINESS
MARKETING
OPERATIONS
FINANCE
Design System
the process of creating and improving systems that convert inputs into outputs
Operation System
a management system that enables organizations to design, direct, and control an organization's operations to create products or services that meet customers' expectations and achieve organizational goals.
Pure Service
No physical product provided along with a service
PRODUCTIVITY
measure of efficiency. It calculates how well resources—such as time, effort, labor, and capital—are converted into useful goods and services
is the ratio of outputs of an enterprise divided by its inputs
function of Operations Management to improve the ratio of outputs to inputs – to make the operation more efficient.
Three variables
Labour
Capital
Management
How Labour Improves Productivity
• Enhancing workers' skills through training and education.
• Improving employee motivation and job satisfaction.
• Providing safe and healthy working conditions.
• Encouraging teamwork and effective communication
How Capital Improves Productivity
• Modern equipment speeds up production.
• Technology reduces manual work and errors.
• Automation increases output and efficiency.
• Better facilities improve working conditions.
How Management Improves Productivity
• Setting clear goals and performance standards.
• Efficient allocation of resources.
• Effective decision-making and problem-solving.
• Motivating employees and fostering innovation.
• Monitoring and improving work processes.