1-1 Operations Operations Management Management Introduction - Chapter Introduction - Chapter 1 1
1-2 Outline Outline What is Operations Management? Why Study OM? Production vs. Service Organizations. Operations Management Decisions. Heritage of OM. Recent Developments & Challenges. Productivity.
1-3 What Is Operations What Is Operations Management? Management? Book definition (not as good): The set of activities that creates goods and services by transforming inputs into outputs. Operations management is the management of systems that produce goods and provide services. It includes planning , designing and operating systems to achieve goals of the organization.
1-4 Transforming Inputs to Transforming Inputs to Outputs Outputs Production or Service System Land, Labor, Capital, Materials , Equipme nt, Manage ment Goods and Services Inpu ts Process Outp uts
1-5 Examples Examples Auto factories (assembly plants) Job shops (printing) Fast food restaurants Hospitals Airlines Movie theaters Grocery stores Production Production Service Service
1-6 Why Study OM? Why Study OM? OM is one of three major functions of any organization ( Marketing, Finance, and Operations ). We should know how goods and services are produced. OM is such a costly part of an organization. Jobs!
1-7 Organizational Organizational Functions Functions Marketing. Generates demand. Operations. Creates product or service. Finance/Accountin g. Obtains funds & tracks money.
1-8 Characteristics of Characteristics of Goods Goods Tangible product.
- Fall '17
- Management, Operations, Production and manufacturing, Production, Operations Management Decisions