What is Operation Management?

Ecommerce , global competition, customer service, productivity and quality are parts of operation
management. All this elements need to work together to create a successful business.

Operation Management is the management of systems or processes that create goods or provide
services.

Goods are defined as physical ítems that include raw materials, parts and sub assemblies and final
products.

Services are activities that provide some combination of time, location, formo or psychological
value.

All business have a supply chain, a process that is put in place by a company in order to gather
materials, produce and distribute their product. Supply chain can include business facilities
solutions in activities that are involved in producing and delivering a producto or service.

A supply chain sequence begins with raw materials and concludes with the final product which the
customer purchases.

There are three types of interrelated processes that businesses are composed of. These include:
Upper-level management, operational processes and supporting processes. All businesses use
these basic processes to produce and provide the products and services that the consumers
desire.

O. M. includes many activities that a company uses to allow it to run more smoothly. These
include: forecasting, capacity planning, facilities and layout, scheduling, managing inventories,
assuring quality, motivating and training employees, locating facilities, purchasing, distribution,
maintenance.

Businesses are created to be profitable and sucessful. Things like forecasting, location planning
and quality assurance are esential to reach this goal.