To begin with, I would like to emphasise the fact that operation management in the business industry is very important. Operation management is the management of the process that produce or deliver services or goods. It essential to say that the organisations transmit the input into output. Interestingly operation management has two aims, firstly the supply chain management which is the management of the interconnection of organisation that relate to each other through upstream and downstream linkages between the process. It is produce value to ultimate customer in the form of products and services. The second one is logistics, logistics in the process that an organisation make in order to get the correct materials with perfect quality to the right customers or places. As the result of this transformation business management has four characteristics: VOLUME- VARIETY – VARIATION – VISIBILITY. Furthermore there are five operations performance …show more content…
Inbound logistics is considering with products that are moving into a firm rather than away from it. As regards the inbounds activities are the activities that are involving in receiving, storing and disseminating inputs. Outbound logistics have the same activities but there are responsible for business output. Based on NIKE’s inbound logistics, there are many distribution centres all over the world in order to cover the delivery of NIKE’s products to stores more efficiently and successfully. Also, NIKE sells their products to retail accounts that are independent distributors and licensees, it sells their product at United States and at more than one hundred and sixty countries all over the world. Interestingly the biggest retail account that sells NIKE’s products is footlocker which accounts ten percent of NIKE’s sales all over the world. Another one distribution method that NIKE is using are the outlets stores which are known as NIKE factory
Operations management is essential for the survival and success of any organization. According to Heizer & Render (2011), operations management (OM) is the set of activities that creates value in the form of goods and services by transforming inputs into outputs. Operations managers today contend with competition, globalization, inflation, consumer demand, and consistent change in technology. Managers must focus on the efficiency and effectiveness of processes such as cost, dependability, distribution, flexibility, and speed. The intent of this paper is to discuss the processes and operations management of the Kroger Company.
...tbound Logistics: The outbound logistics include the movement of the finished goods from the manufacture to the retail stores or a warehousing facility for later use.
Operations refers to the transformation of raw materials(inputs) into finished products(outputs). The operations process is one of the key business functions and is a crucial component to business success. Like every business, Qantas is affected by many internal and external influences requiring it to have effective strategies to respond to these influences. Businesses that are able to adopt and utilise effective operational strategies are able to quickly adapt and either reduce or take advantage of these influences that impact the business. The effectiveness of these strategies can measured by Qantas’ performance and whether or not it is able to hold it’s competitive advantage. How well these strategies respond to the influences on operations will determine the level of success that Qantas achieves.
Many global companies like Nike, Inc. are seen as role models both in the market place as well as in society in large. That is why they are expected to act responsibly in their dealings with humanity and the natural world. Nike benefits from the global sourcing opportunities, therefore areas such as production and logistics have been outsourced to partner companies in low-wage countries like China, Vietnam, Indonesia and Thailand. As a result the company is limited nowadays to its core competencies of Design and Marketing.
The principle behind Management by Objectives (MBO) is to make sure that everybody within the organization has a clear understanding of the aims, or objectives, of that organization, as well as awareness of their own roles and responsibilities in achieving those aims. The complete MBO system is to get managers and empowered employees acting to implement and achieve their plans, which automatically achieve those of the organization.
Those activities can be divided into two categories: primary and secondary activities. Primary activities are inbound logistics, operations, sales and marketing, customer service, and outbound logistics. Inbound logistics include receiving and storing materials or distribution to production, operations transform inputs intro finished products, outbound logistics includes storing, and distributing finished products, sales and marketing deal with promoting and selling the firm’s products. Secondary activates consist of administration, human resources, technology, and procurement. Supply chain management systems coordinate the flow of resources into the firm, and make the primary activities
Outbound logistics: They are made up of centralized logistic centers to promote efficiency, global network, reduced emission of CO2 by 22% to ensure ecological sustainability and lastly to improve customer service.
The Main Objective for a Business Profit can be described as whatever is left from revenue after costs have been deducted. But is this the main target for every business? All business have objectives (goals which are set out by the people who lead or control the organisations), whether they are big or small and whether they are in the primary or public sector. The performance of a business could be judged on how effectively it achieves its objectives.
Operations management focuses on managing the processes of producing and distributing products and services. Operations activities often include product creation, development, production and distribution. It deals with all operations within the organization. Related activities include managing purchases, inventory control, quality control, storage, logistics and evaluations. The nature of how operations management is carried out in an organization depends very much on the nature of products or services in the organization, for example, retail, manufacturing, wholesale, etc.
Operations are all the processes in transforming inputs into desired outputs. These processes must be efficiently and effectively coordinated by managers and eventually they must accomplish specific organizational goals. All operations, despite how well managed they are, are capable of improvement. In order for the operations to be improved however, weaknesses should be identified first. Therefore operations need some kind of performance measurement as a prerequisite for improvement.
The primary function of operations management within service industries are to satisfy customer needs, there are several important differences between the two type of operations (Saylor, n.d.). Some of the functions for companies in the service industry should consider are operations planning, operation processes, facilities, capacity planning, managing operations, scheduling, and inventory control. We will break down the categories below and what each would pertain
The specific breakdown of operations management came from reading chapter 1 of the online textbook titled Operations Management. Further explained in the book, operations services are products of the transformations of inputs to outputs. Manufacturing products differs from providing services in seven factors: degree of customer contact, uniformity of input, labor content of jobs, uniformity of output, measurement of productivity, production and delivery, quality assurance, and amount of inventory (Operations Management, 2004, p.6). Operations management includes many processes, all of them should be considered thoroughly by the manager. These processes include: forecasting, capacity planning, scheduling, managing inventory, assuring quality, and motivating and training employees (Operations Management, 2004, p.8). Operations management also includes different models, quantitative approach, the analysis of trade-offs, establishing priorities, ethics, the study of the ...
Operations management strategies play an important role in any organization to achieve organizational goals. An organization uses these operations strategies to maintain and control all its operations...
University of Phoenix(Ed.).(2003) Operations management for competitive advantage[University of Phoenix custom edition e-text]. New York: McGraw-Hill. Retrieved February 01, 2005, from university of phoenix, Resource, MGT554- operations management website: https://mycampus.phoenix.edu/secure/resource/resource.asp
Logistics is the designing and managing of a system in order to control the flow of material throughout a corporation. This is a very important part of an international company because of geographical barriers. Logistics of an international company includes movement of raw materials, coordinating flows into and out of different countries, choices of transportation, cost of the transportation, packaging the product for shipment, storing the product, and managing the entire process. The concept of logistics is fairly new in the business world. The theoretical development was not used until 1966. Since then, many business practices have evolved and logistics currently costs between 10 and 25 percent of the total cost of an international purchase.