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    Lecture 02 Operations Mangement Objectives

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    Sanskar Agrawal

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    Lecture 02 Operations Mangement Objectives

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    Lecture 02 Operations mangement objectives

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    44 views14 pages

    Lecture 02 Operations Mangement Objectives

    Uploaded by

    Sanskar Agrawal

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    © All Rights Reserved
    Download as PDF, TXT or read online from Scribd
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    of 14

    Lesson 02

    Operations Management
    Operations Management: Objectives

    Dr. Inderdeep Singh


    Department of Mechanical and Industrial Engineering

    1
    Operations Management is:
    The business function responsible for
    planning, coordinating, and controlling the
    resources needed to produce products and
    services for a company
    Source:- 4th Edition © Wiley 2010
    Operations Management
     Systematic direction, control, and evaluation of the
    entire range of processes that transform inputs into
    finished goods or services.
     Environmental factors-culture, political, and market
    influences
     Inputs-HR, capital, materials, land, energy, information,
    customer
    Source:- Heillriegel, Jackson and Slocum copyright @ 1999
    Operations Management
     Outputs-goods or services, and waste
     Customer Contact-customers actively participate in
    transformation processes, self-service
     Performance Feedback-repair records, customer
    comments

    Source:- Heillriegel, Jackson and Slocum copyright @ 1999


    Operations Management

     Refers to the management of the production system


    that transforms inputs into finished goods and services.

     Production system: the way a firm acquires inputs


    then converts and disposes outputs.
     Operations managers: responsible for the
    transformation process from inputs to outputs.
    Source:- Heillriegel, Jackson and Slocum copyright @ 1999
    Production system

    Source:- https://www.google.co.in/search?q=production+system&safe
    Typical Organization Chart

    Source:- https://www.google.co.in/search?safe=active&hl=en&site=imghp&tbm
    Operations Management Concepts

    – Quality: goods and services that are reliable and


    perform correctly.
    – Efficiency: the amount of input to produce a given
    output.
    – Responsiveness to customers: actions taken to
    respond to customer needs.
    Objectives of Operation Management
    • Right Quality
    • Right Quantity
    • Predetermined time
    • Pre established cost (manufacturing cost)
    Intermediate Objectives

    - Helpful to achieve main objective by optimum


    utilization of various inputs like men, material and
    machine.
    Intermediate objectives stated in terms of:-

    • Machinery and equipment


    • Materials
    • Manpower
    • Supporting services
    Operations Management Decision

    • Strategic
    Decisions – set the direction for the entire
    company; they are broad in scope and long-term in nature

    • Tactical decisions: focus on specific day-to-day issues like


    resource needs, schedules, and quantities to produce
    Historical Development of Operations Management
    • Industrial revolution Late 1700s
    • Scientific management Early 1900s
    – Hawthorne Effect 1930s
    • Human relations movement 1930s-
    • Management science 1940s-
    • Computer age 1960s-
    • Environmental Issues 1970s-
    • JIT & TQM 1980s-
    Source:- 4th Edition © Wiley 2010
    Historical Development of Operations Management
    • Reengineering 1990-
    • Global competition 1980-
    • Flexibility 1990-
    • Time-Based Competition 1990-
    • Supply chain Management 1990-
    • Electronic Commerce 2000-
    • Outsourcing & flattening of world 2000-

    Source:- 4th Edition © Wiley 2010

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