Escolar Documentos
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By
H.S.Pundle
Operations Management
Definition
An operations system is defined as one in which several
activities are performed
to transform a set of inputs into useful output
using a transformation process
Operations Management
is a systematic approach to
address all the issues pertaining to
the transformation process that converts some inputs into output that
are useful, and
could fetch revenue to the operations system
Operations Management (OM)
Salient Aspects
OM is a systematic approach
using scientific tools & techniques and solution
methodologies to analyze problems
OM is about addressing several issues
varying in terms of time horizon, nature of decisions
Transformation processes are central to Operations
Focusing on keeping costs to the minimum
Developing a set of measures to assess performance
of the system
Operations Management (OM)
Salient Aspects
Locational--transportation
Exchange--retailing
Storage--warehousing
Physiological--health care
Informational--telecommunications
Operations System
System Primary Resources Primary Desired
Input Transformation Output
Function
Differences
Manufacturing Organization Service Organization
Physical, durable product Intangible, perishable product
Output can be inventoried Output can not be inventoried
Low customer contact High customer contact
Long response time Short response time
Regional, National, Intentional Local market
national market
Large facility Small facility
Capital intensive Labour intensive
Quality easily measured Quality not easily measured
Manufacturing & Service
Similarities & Differences
Similarities
Is concerned about quality, productivity & timely
response to its customers
Must make choices about capacity, location, layout
Has suppliers to deal with
Has to plan its operations, schedules and resources
Balance capacity with demand by a careful choice of
resources
Has to make an estimate of demand
Operations Management
Functions
Environmental Issues
When Government of India announced a scheme for special economic
zones (SEZs), it generated controversies and social concerns.
Growing industrialization raises concerns regarding the depletion of natural
resources and the waste generated from production systems and end-of-life
products.
Growing urbanization creates societal problems arising out of scarcity of
available resources and generation of solid wastes.
Consumption of energy and water in countries like India is on the rise. Such
a situation requires better practices and newer methods of addressing these
requirements using better operational practices.
Increasingly, firms are under pressure to take responsibility of restoring,
sustaining, and expanding the planet’s ecosystem instead of merely
exploiting it.
OM practices must address environmental concerns in order to ensure
a sustainable world
Operations Management
Implications & Priorities
Operations
Maintenance PPC
Operations Management:
Trends & Issues - Highlights
Operations Management is a systematic approach to address all
issues pertaining to the transformation process that converts
some inputs into useful output
Globally, India is emerging as an important manufacturing base.
Several recent studies point to emerging opportunities for
Indian manufacturing to grow and attain a global presence.
From an operations management perspective, the notion of a
‘pure product’ and ‘pure service’ is just the two ends of the
spectrum.
In reality, a vast majority of operations share a continuum of
products and services.
Operations Management:
Trends & Issues - Highlights
Despite several important differences between products &
services, from an OM perspective there are several similarities
between the two
Decision context in operations management can be broadly
classified as
Design and operations control issues
Long term and short term decisions
Some of the challenges faced by operation firms include
Need to address increased competition due to economic
reforms
Addressing the growing expectations of the customers
Rapid technological advances
Emerging environmental concerns