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operations management contribute to the success of an organisation
operations management contribute to the success of an organisation
operation management nature and role
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1.1. A framework for analyzing operations management within businesses
Operations management is a multi-disciplinary field that focuses on managing all the aspects of the business’s operations. The framework for operational management is a way to present thinking about the relationship between the main function which are including in service operation:
• External environment: A management’s task is to understand the need of the customer and what they want and sizing up the opportunity and threats by competitors. Define the product and compare with the similar product, segmenting market, develop a product concept and marketing. This is particular strategic approach to provide unique quality of the product in high competitive environment.
• Internal
Thus, the role of operations management is to ensure a smooth production process that contributes to the output of goods and services of an organization. Operations managements are responsible for or associated with making decisions about product development, process and layout decisions, the location, and capacity. At the tactical level, operations management addresses the issues relevant to efficiently scheduling material and labour within the constraints of the firm 's strategy and making aggregate planning decisions. Operations managers have a hand in deciding employee levels, inventory levels, and capacity. At the operational level, operations management is concerned with lower-level planning and control. Operations managers and their subordinates must make decisions regarding scheduling, loading, and work assignments. Today 's operations manager must have knowledge of advanced operations technology and technical knowledge relevant to their industry, as well as interpersonal skills and knowledge of other functional areas within the firm. Operations managers must also have the ability to communicate effectively, to motivate other people, manage projects, and work on multidisciplinary
One of the key roles of KPIs is to give substance to the high level aspirations outlined in the organization’s strategic documents and in doing so to make them both more tangible to those who must make progress towards them and those whose job it is to measure this progress. Additionally, businesses can utilize KPIs to establish and monitor progress toward a variety of goals, including lean manufacturing objectives, minority business enterprise and diversity spending, environmental initiatives, cost avoidance programs and low-cost country sourcing targets. Any business can better manage supplier performance with the help of KPIs robust capabilities, which include: automated entry and approval functions; on-demand real-time scorecard measures and rework on procured inventory
The corporate and operations strategy must be intertwined (Jacobs & Chase, 2013). Operations and supply chain strategies are “the setting of board policies and plans that will guide the use of the resources needed by the firm to implement its corporate strategy (Jacobs & Chase, 2013).” Basically, operational strategies correspond to the goals of the corporation, and are how the organization plans on operating in order to on meet the goals of the larger
Operations Management Process is the central arteries within the organization because it produces the planning process for goods and services, which are its reason for existent. Operations management is linked to all organizations as every organization is producing either a product or a service. However, it cannot be said to be the most important function since there are other functional areas and boundaries within an organization. In today's fast changing world, organizations have to have a tendency towards being efficient, effective and innovative to the changing environment to succeed. Operations Management has to use metrics in order for them to accomplish their task and be successful with minimal interruptions within the organization.
Operations management is in regard to management about monitoring, designing and managing all process of operations in companies. Every company has its own operation strategies, so it is crucial to get more profit through reducing cost and time in operation process.
These benefits are best discovered and maximized if used in conjunction with KPIs. A KPI is a key performance indicator and they allow a company to measure and manage ...
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...
Once plans have been developed, an organization must address how management will be accomplishing be those plans. This involves operational plans that must flow from strategy; specify resource, time issues, and commitment of human resources. Operational plans at the lower - levels of the organization, have a shorter time horizon, and are narrower in scope (Bateman, Snell 2003 p.113). A good example of this is Wal-Mart's main strategic goal. It is to provide quality merchandise at an affordable low cost to consumers. Its operational goals focus on efficient logistics requiring technology and inventory management systems to help reduce costs so it can be passed on to the customer. Operational plans are derived from a tactical plan and are aimed at achieving one or more operational goals (Bateman, Snell 2003 p.113).
Performance management is a process that guarantees an organisation and all of its available resources are working collectively and effectively towards achieving the organisation’s mission or goal. Performance management affords an understanding of what drives an individuals, and even organisations, performance at all levels. An understanding of performance management allows for the identification and minimisation of unproductive areas of an organisation, as well as an ability to predict future performance. It is a powerful tool that can be used by managers at all levels of an organisation to help improve a company’s productivity.
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 management is not confined to only one industry, nor permitted to manufacturing companies. All organizations in the public and private sectors, such as hospitals, hotels, airlines, and insurance companies, need to manage their operations more carefully.
Operations management focuses on carefully managing the processes to reduce and distribute products and services. Related activities include managing purchases, inventory control, quality control, storages, logistics and evaluations. A great deal of focus is on efficiency and effectiveness of processes. Therefore, operations management often includes substantial measurement and analysis of internal processes. Ultimately, the nature of how the operations management is carried out in an organisation depends very much on the nature of products or services in the organisation, for example, retail, manufacturing, wholesale and etcetera.
Sustainable operation management is a management approach that involves planning, implementation and control of business operations that translate available resources into the required product or service. It is the management of business practices, traditions and operations to promote the highest level of efficiency, smooth workflow, and increased productivity in an organization. This management strategy ensures that the available labour force and materials are changed into products or services in a cost effective way to increase the company’s returns (Corbett, 2009). It also involves production waste management, food waste reduction, creating new opportunities, environment protection, and improving customer health. Sustainable operation management in the retail industry around the world has gained momentum in the recent years, in the face of customer pressure and media interest. It is particularly linked to the concepts of corporate social responsibility and global warming (Morrison, 2013).
Management “is the art of getting things done through the efforts of other people” (p.8). We all know that the management is not how it was when it was first started back in the early 1990s. Managers have a big responsibility of making sure there managing their areas of responsibly and team very well. Principle of Management is a way of making sure you are managing your work by involving others to make sure it gets done. According to our text Carpenter, Bauer, & Erdogan (2009) ,”the principles of management are the activities that “plan, organize, and control the operations of the basic elements of [people], materials, machines, methods, money and markets, providing direction and coordination, and giving leadership to
According to Aquilano, Chase, and Jacobs (2005), "Operations management (OM) is defined as the design, operation, and improvement of the systems that create and deliver the firm's primary products and services" (p.19).
In every organization, different operational functions exist to ensure the smooth learning of the organization. In order for an individual to have the knowhow on how to operate the functions delegated to them they must have implicit knowledge on the functionalities themselves. Understanding markets, customers and the company goals has always proven to be a core starting point for individuals who ply their trade in the organization. The essence of the skills is evident in globalization, cooperate social responsibility and risk management issues. In operations management, the basic principles of operations should be followed to ensure that the profitability of the organization ensures the operation of the organization is
Operational planning is what drives strategic planning goals to a success. On a day to day basis, operational plans are being communicated and decisions are being made. Operational planning is important because it leads to the goals and visions of the organization and by doing that, operational plans must be made daily to keep the organization competitive in the market. Friend & Zehle (2004) discuss operational plans central to the allocation of resources, it uses inputs to scale operations in order to deliver information about all stages of the primary value chain activies and the support of those activities. Without operational plans, an organization would have no way to reach its goals that were set. The market is changing constantly and operational plans help keep organizations making effective