Operation Management: Operations Management Is Defined As The OM Involves Managing Transformation
Operation Management: Operations Management Is Defined As The OM Involves Managing Transformation
Operation Management: Operations Management Is Defined As The OM Involves Managing Transformation
• Operations management (OM) is defined as the design, operation, and improvement of the systems that create and deliver the
firm’s primary products and services.
• OM is management of processes that produce and distribute products and/or services to customers.
• Operations management is defined as the design, operation, and improvement of the systems that create the firm’s primary
products and services. This involves the transformation of inputs to outputs and is the core of any business.
OM Involves Managing Transformation
Input → Transformation process → output
(value adding)
Transformation is enabled by The 5 Ps of OM
:People
Plants
Parts
Processes
Planning and Control
OM of Macdonald strategy
Continuous improvement
Continuous improvement will lead to improved processes, cost reductions, improved market perception and hig
h morale of all stake holders.
• Continual improvement activities include:
-Quality Circles
-Quality improvement programs
-Process reengineering
-Improvements in process/products performances
-Product consistency
-Documentation/quality policy review/update
-Training enhancement
-Automated tools
-Investments in new tools/techniques/methods
-New material
-Lean operation
• Quality culture refers to the degree of awareness, commitment, collective attitude, and
• behavior of the organization with respect to quality
Supply chain excellence has a real impact on business strategy. Supply chain management is a high impact mis
sion that goes to the roots of a company's very competitiveness. High-impact supply chains win market sha
re and customer loyalty, create shareholder value, extend the strategic capability and reach of the business
Implication new- McDonald’s has taken advantage of technology to streamline their processes and improve eff
iciency
technology enhancements such as FPI's Help Desk Service, network and application consolidation, and ot
her technology implementations, operations of the company are greatly improved
Expecting improvement- The advice will help farmers do this by improving their existing farming methods, rela
tively small changes can result in carbon savings on beef farms
• The best technical performers often have the lowest carbon footprint, so being "greener" can benefit the bot
tom line, as well as help satisfy the growing demands of retailers and consumers.
Conclusion
Truly Excellent organizations are those that strive to satisfy their stakeholders by what they ach
ieve, how they achieve it, what they are likely to achieve and the confidence they have that the
results will be sustained in the future. Systems and processes are only part of the quality equati
on, and dedicated people are the key. Around the world, McDonald’s knows how its products
are handled and prepared.