What Is Operations Management?

1534 WordsDec 13, 20147 Pages
What is Operations Management? Operations Management is defined as how we deal with the design and management of products, processes, services and supply chains. It considers the acquisition, development, and utilization of resources that organizations need to deliver the goods and services their clients want. All of these steps are part of the strategic, tactical and operational levels. The strategic piece includes areas such as determining the size and location of manufacturing plants, deciding the structure of service or telecommunications networks, and designing technology supply chains. When we look at the tactical items we see plant layout and structure, project management methods, and equipment selection and replacement. Lastly…show more content…
Along with what design systems they use so that they maintain quality services and goods in the demanding arena of big box stores. I start with designing the system, this begins with product development. Product development involves determining the characteristics and features of the good or service to be sold. In the case of Home Depot we will begin with an assessment of their customer needs. The facilities, rental equipment and products that will be supplied, as well as the information systems needed to monitor and control performance, as part of this system design process. For Home Depot this all starts in the main office located in Atlanta, were they have individual groups of cross-functional decision making teams that process the needs of their customers and intern communicate with marketing, financial, and operations to plan the needed steps to successfully launch a new product or store opening. The product design is actually not part of their company but rather comes from outside vendors looking to sell a product. It is up to this team to determine if there is a fit within Home Depot to sell this product and make a profit. It is critical to determine if the characteristics and features of the product, as well as how the product functions. These steps determine a product 's cost and quality, as well as its features and performance. That now becomes important factors on which customers make purchasing decisions.
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