Functions Of Operations And Supply Chain

3511 Words Jan 7th, 2015 15 Pages
1. Introduction
Operations Management can be defined as the” process which combines and transforms various resources used in the operations subsystem of the organization into value added services in a controlled manner as per the policies of the organization” [1]. It is clearly a major functional field like marketing or finance and requires adequate planning and operating strategies to ensure efficiency. Operations refer to the manufacturing and service processes that are used to transform the resources employed by a firm into desirable products [2]. Supply chain refers to processes that move information and material to and from the manufacturing and service processes of the firm [2]. The processes in Operations and Supply chain can be categorized as follows
1. Planning
2. Sourcing
3. Making
4. Delivering
5. Returning
2. Traditional Operation Mechanisms
Formal systems for production and operations have existed since ancient times. Public Works projects such as building the Great Wall of China, Egyptian pyramids and the ships of the Spanish Empire are all classic examples of human organization for production systems. Craft Production in the early days was accomplished using simple techniques. Skilled craftsmen and their apprentices produced them in small shops using simple, flexible tools produced according to customer requirements. It was not uncommon for one person to be responsible for finishing
Page 3 of 16 the product. This method had many short comings. Production was…
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