Operation management is the activity managing the resources which are devoted to the production and delivery of products and services (Slack, Brandon-Jones and Johnston, 2016). Operation management is an essential for a production to run successfully. In other words, operation management is the process of managing the resources at the highest level of efficiency possible within an organization to maximize the profit. Operation management inputs such as labour, capital, equipment, land, buildings, materials and information into outputs which are services and goods that increasing the value to consumers.
Transformation process are all input transformation output processes. Staff or facilities will use resources to transform it into a product
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This is to ensure efficient production and also uses less cost of resources. This system uses the right amount of resources to create the product that was ordered and to deliver it on time. They use such system not to only save cost, they would save maintenance cost and reducing the cost of raw materials to create a product. The benefits of JIT are to save cost and also to save time. There are also disadvantages like there are no space for mistakes. Such operation management in Toyota is very efficiently helped reducing their costs and time. The reason is when there’s an order for a product, they will then start the production of the car. They wouldn’t need to create a large amount of car and keep it in a warehouse. Keeping the cars in the warehouse will only cost them more maintenance costs and also affecting their …show more content…
Automobile assembly factory, their operation management uses machines to efficiently assemble products in order to satisfy the customer demands. Physician, they use knowledge to effectively diagnose conditions to treat and heal the patients. Each organization uses different ways to run their operation management. The key to a successful operations management is to use lowest quantity of resources to produce maximize profit to the company.
To break it into a simpler explanation, airlines have their input transformation output processes. Their input will be the pilots, aircraft, air crew, ground crew, passengers and freight. The operation processes will be checking passengers in, board passengers, fly the passengers to their destination safely and provide care and comfort to the passengers on board. The output will be the transported passengers and freight Slack, Brandon-Jones and Johnston
The JIT approach to manufacturing involves timing the delivery of resources so that they arrive just when needed. Inventory optimization models help the firm determine how many of which items in which sizes should be delivered to each specific store during twice-weekly shipments, ensuring that each store is stocked with just what it needs. Trucks serve destinations that can be reached
Operations management refers to all levels of an organisation and how best to efficiently convene, fund, maintain and maximise its services and/or operations, both internal and external. The core goal/objective of operations management it to maximise outputs while reducing and minimising the inputs required to achieve the desired results.
According to Investopedia ULC (2012), " Operations management is concerned with converting materials and labor into goods and services as efficiently as
Operations Management focuses on the design and management of products, processes, services and supply chains (Diemond, 2014). It considers the acquisition, development, and utilization of resources that firms need to deliver the goods and services their clients want (Diemond 2014). Operations Management consists of many topics which are applied on a daily basis at the company I work for. Some of the topics include process control, lean manufacturing, six sigma, and supply chain management. It is the process that controls how inputs (raw materials, labor, and energy) get converted into outputs (finished goods or services).
James, T. (2011) defines Operations Management as the management of the processes which aid production of goods and or services. This implies that all production activities must be coordinated well to ensure a lean process of resource management is adopted.
Operations Management in an organisation is repsonsible for managing and in making decisions concerning the activities that convert inputs into outputs , that is goods and services. This covers both short term actvities as well as longer term activities to meet strategic goals. Inputs can be the raw materaials need to manufacture goods such as furniture or the computers needed to create a service like online shopping site. Operation management’s role is to make decisions to improve how operation activities function, for example, to improve the final quality of the output or to change production methods to be more efficient in terms of cost and in time.
Operations management (OM) is that phase of an organization where inputs are put into operations to acquire required output (services) without compromising on quality. In other words operations management is also described as combining and transforming various resources in the operations sub-system into value added services in line with formulated policies of the organization. (Kumar and Suresh, 2009)
Operation management is the practice of business to create the highest level of efficiency possible within an organization (Investopedia.com, 2010). Through operation management, managers can identify, measure, and improve the efficiency of the operation. To maximize the Bedside Delivery Program, managers can utilize techniques and methodology such a decision tree and Six Sigma to make informed decision.
Operations Management is responsible for designing, operating and improving productive systems or in layman’s terms, systems for getting work done. Operations Managers are found in all walks of life. In anything you basically do or have done there are operations managers. When you go to the store, when you buy gas, in factories, in hospitals, banks even in your government there are operation managers. They are the ones who design systems, who ensure the quality of your
As argued by Lubben (1988), JIT allows businesses to have better management since this ensures that there is no loss as there is sufficient number of clients requiring the equipment. This reduces her to deal with huge deliveries when the clients’ numbers are not increasing. (Lubben, 1988, p.4) also suggested the idea of JIT that “... major elements of manufacturing – capital, equipment and labour are made available only in the amount required and at the time required to do the job.” So it is a good practice by utilising JIT approach as it reduces wastes and ensure the correct amount of equipment is available (Lubben,
Operation management system relates to the concept of how an organization is able to offer their goods and services with satisfying the customer and maintaining quality (Mullins & Gill, 2013). It is a fact that the operation system of any firm is major resources arrangement that is often linked with the production and delivery of its product and services.
Operations management can be defined as managing the available resources in the best possible way that are dedicated to the production process and to have highest level of efficiency in an organization. Operations managers are the people who are responsible for managing the resources and that guide the system by decision making. The operations function of an organization is responsible for understanding customer demands and fulfil their needs through the delivery of products and services.
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 generally described as the planning, arrangement, and control of activities that change raw materials or an organization's input into finished products and services. The overall activities covered by operations management include the creation, development, manufacture, and distribution of products. The concept also relates to various activities such as inventory control, controlling purchases, quality control, logistics, storage, and evaluation ("Operations Management in McDonalds", n.d.). Since operations management covers the entire operations in an organization, it mainly focuses on the efficiency and effectiveness of the firm's processes.
According to [5], Just-in-Time (JIT) inventory management enables an organization to gain competitive advantage by not having a large or excessive amount of inventory in warehouse. The organization only needs to order the parts when they are actually needed and new materials are produced only when old materials have finished. One advantage of adopting this strategy is that there will be no excess of inventory that needs to be stored and hence the inventory levels will be reduced as well as the cost of carrying and storing goods. One major disadvantage of this is that the organization will expose it in the risk of ordering problems for example a supplier is not able to provide parts on time. The result of this is that the organization cannot fulfill the order and contributes to customer dissatisfaction.