Intro to Operations Management .ppt
- 2. 2 OPERATIONS MANAGEMENT IS: The business function responsible for planning, coordinating, and controlling the resources needed to produce products and services for a company
- 3. © Wiley 2010 3 OPERATIONS MANAGEMENT IS: • A management function • An organization’s core function • In every organization whether Service or Manufacturing, profit or Not for profit
- 4. © Wiley 2010 4 TYPICAL ORGANIZATION CHART
- 5. © Wiley 2010 5 WHAT IS ROLE OF OM? • OM Transforms inputs to outputs • Inputs are resources such as • People, Material, and Money • Outputs are goods and services
- 6. © Wiley 2010 6 OM’S TRANSFORMATION PROCESS
- 7. Transformation Process of a Canned Food Processor Inputs Processing Outputs • Cleaning Canned vegetables • Making cans • Cutting • Cooking • Packing • Labeling • Raw vegetables • Metal sheets • Water • Energy • Labor • Building • Equipment
- 8. Transformation Process of a Hospital Inputs Processing Outputs • Doctors, nurses • Examination Healthy patients • Hospital • Surgery • Medical Supplies • Monitoring • Equipment • Medication • Laboratories • Therapy
- 9. © Wiley 2010 9 OM’S TRANSFORMATION ROLE • To add value • Increase product value at each stage • Value added is the net increase between output product value and input material value • Provide an efficient transformation • Efficiency – means performing activities well for least possible cost
- 10. Examples of Various Operations Operations Examples Goods Producing Farming, mining, construction , manufacturing, power generation Storage/ Transportation Warehousing, trucking, mail service, moving, taxis, buses, hotels, airlines Exchange Retailing, wholesaling, banking, renting, leasing, library, loans Entertainment Films, radio and television, concerts, recording Communication Newspapers, radio and television newscasts, telephone, satellites
- 11. Activity 1 Define the purpose of the OM in an organization. (5pts) list down the Input – Transformation process – output of your selected organization. (20 pts) Based on your given organization list down 5 OM’s role in the transformation process. (10 pts)