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Historical development of operations management pdf
The historical evolution of operation management
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Operations management is a field of management concerned with controlling the process of production and designing supervising, organizing and planning in the contexts of production. Also it includes business operations in the production of goods and services. It has the responsibility for ensuring that business operations are benefit and efficient. In other words, organization successfully processes from inputs to outputs in an efficient way. It is concerned to manage the process that turns inputs like raw materials, energy and labor (human resources- staff or workers) into outputs such as goods and services. There are two terms about operations management, which is supply chain management and logistics. Operations management has firm foundations
OM’s history starts with the industrial periods. When the industrial revolution occurred in the end of the 18th century, this caused changing working environment. Until the revolution happened, people produced all goods in their home which is called home environment. But after the revolution, it is changed to factory production. At this era, modern steam engines had been developed. Through this incident, several important industrial developments occurred. In early 1800s, Eli Whitney developed the concept of a design for high volume production using patterns and templates for training unskilled workers by
These businesses are usually found in industries like the primary and secondary sectors. In these sectors, operations managers focus on and concern about gaining the materials that go into the making of the product which is also called inputs and the actual processes of production. Other businesses provide intangible (non-physical) products to customers. This is called a service and the businesses that supply these are found in industries such as the tertiary sector. The tertiary sector is where the output is sold to the consumers or customers. In these industries, the operations managers bring to a focus on customer service and after care. The operations department brings together the materials and the activities needed for the production of goods and services to meet customers’ needs and demand. In addition, It shares ideas across the business about how to achieve cost savings or improve and grow up processes to bring best practice. The operations managers are connected each other with the other department in the following ways. Operation managers can discuss and communicate training, staffing and development needs with the human resources department managers, financing requirements with the accounting and finance department managers, and product design with the marketing department
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.
The factory system was the key to the industrial revolution. The factory system was a combination of Humans and new technology. New technology was arriving every day. The greatest invention during this time was the steam engine. The creation of the steam engine was credited to James Watt. There had been other steam engines before James Watt’s but none of them were efficient. Watt’s engine was the first efficient engine that could be used in a factory. The steam engine had the strength of ten thousand men.(Pollard) This was not the only invention that helped the factory system evolve. Textiles were a major product of the Industrial Revolution. Production was slow at first in the factory. In 1764, a British inventor named James Hargraves invented the “Spinning Jenny.” This lowered production time which enabled the factory to produce more per day. In 1773, John Kay, an English inventor, created the “flying shuttle” which lowered the production time even more.(Encarta) If production had not been speed up, the Industrial Revolution would have not had that big of effect as it did in North America.
One example of a very important technological advancement was the Bessemer Process which was the process of refining iron ore to make steel. The United States could not have built the transcontinental railroad, skyscrapers, and Carnegie could not have created his great steel monopoly. Industrialization brought with it an emphasis in science, not only as engineering machines to perform specialized jobs, but also in management strategies. Frederick Taylor designed a method of production knows as Taylorism. The process of Taylorism involved employers subdividing tasks to decrease need for highly skilled workers which would increase efficiency. The majority of workers in America were now unskilled laborers, opposed to previously when skilled laborers were essential. Newly arriving immigrants were happy to fill these jobs due to their desperate situations, and employers were happy to hire them because their desperate situations equaled lower wages. Technological advancements helped the industrial worker in a few ways, but also hurt them
Imagine the reaction of a couple who received a chilling prophecy from an oracle who declared that their infant was destined to kill his father and marry his mother. Would it be reasonable for a couple murder their child, because of a frightening prophecy? Modern society would be aghast at this disgusting choice, but unfortunately Oedipus’s parents abandoned him, where he was saved by the mercy of others. Fate was against Oedipus, and he inadvertently created a domino effect of tragic choices that would make his parent’s prophecy a reality. Oedipus fled Corinth leading him to kill a disrespectful stranger. He solved the Sphinx’s riddle which gave him kingship and the queen of Thebes. Oedipus went from death row to royalty temporarily, but he would discover a truth that would ruin his life. This idea of fate was conflicted with the Oedipus complex as believed by film producer Pasolini and author Freud who believed that Oedipus’s actions were a result of a sexual bond with his mother. They believed that this sexual bond was the underlying factor that led Oedipus to kill his father Laius and marry his mother Jocasta. To affirm their beliefs, Pasolini changed several scenes from the original play in his film Oedipus Rex, and intertwined the scenes with multiple Freudian theories to construct that Oedipus desired Oedipus complex. However, if Oedipus really wanted to marry his mother and murder his father, then why would he flee Thebes? Why would he blind himself if he received what he desired? An oracle told Oedipus he was fated to commit murder which caused Oedipus to flee Corinth with the intent to avoid this fate, which unfortunately backfired. Oedipus Tyrannous is a play that features a hero’s attempt to deny fate until he has no ...
The steam engine increased productivity and efficiency by assisting individuals in their tasks with machine powered equipment. The system was then put into place in the majority of industries after seeing the beneficial consequences that came along with it. The steam engine revolutionized many industries once engineers started modifying the machines to perform specific tasks. These advancements in the system created a massive growth in the British economy by increasing annual iron production from 17,000 tons in 1740, to 260,000 tons in 1806. The steam engine became the fundamental seed towards the creation of today’s modern
The Factory system was changed forever by the name of one man, Richard Arkwright. Even though Arkwright was not a great inventor, he used other peoples ideas to advocate his own ambitions to the next level. “He was the first who knew how to make something out of other men’s inventions, and who built them up into an industrial system.” (Mantoux 221) Arkwright personally dealt with John Kay’s flying shuttle. However, the invention he patented was not John Kay’s but a more sufficient and effective invention. He worked with the Spinning Jenny, which was invented by James Hargreaves. (Clare 10-13) Arkwrights use of the Spinning Jenny, became the basis on how to use inventions for producing max outputs (Mantoux 224).
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.
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
...age in the development of the organisation had been established, we can focus on the most relevant driving force that led us to modern factory systems. It was in fact Weber who brought in the idea of bureaucracy and this is what has led factories to be more like modern organisations due to more hierarchical control and maximum efficiency. The industrial sector is constantly evolving and this can be seen during the 19th Century when the main driving force was leaning more towards improvements in machinery and technology. This changed during the 20th Century when bureaucracy, hierarchy and control had more influence. Industry will continue to evolve and refine itself due to demand for higher efficiency and productivity. With the ever changing business environment and constant technological advances, it is hard to predict what may influence manufacturing systems next.
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).
Operations – To work out the right layout and work flow process in the company. The manpower resource allocation is also critical in the situation on the right balance of resource to handle the production. If possible, adopt a hybrid model to handle the flexibility in the product nature, make both the production line being able to configure standard and customized so to reduce setup and changeover time and cope with the demands.
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...
The introduction of machinery initiated the Industrial Revolution making factories an important way of life. The machinery in factories used the pow...
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
Within an organization, different types of planning are necessary to help establish the visions and goals a company has. Strategic and operational planning is essential for the success of a business. For example, Sports Authority has recently filed for bankruptcy, which is likely due to a lack of planning skills. With the addition of strategic and operational planning, the risk of going bankrupt could be significantly reduced. The many planning steps and strategies involved in these types of planning are what eventually produce the most success.