operations prelim

• operations management is the management and control of the functions and operations
• Operations and Supply Chain Management• the process of planning, coordinating, and controlling the operations of an organization
• BP – Business Process• activity or set of activities that accomplish a specific organizational goal
• • Work Flow – system for managing repetitive processes and tasks whichoccur in a particular order
• Inventory – all the items, goods, merchandise, and materials held by abusiness for selling in the market to earn a profit
• Logistics – the processes of moving finished goods, including from themanufacturer a distribution center, and then to the end user
• Planning – the process of optimizing the delivery of goods, services andinformation from supplier to customer, which balances supply and demand
• Principles

  • Operations Planning
  • Production Management
  • Inventory Management
  • Distribution and Logistics
  • Managing Operations
• Concepts

  Quality

  • Efficiency
  • Response to Customers
• Distribution – Physical transport of goods as afulfillment to commerce.
• Logistics – diverse and dynamic function that is flexibleaccording to the constraints and demands impose to itwith respect to the environment
• Inventory mangement- Determines the health of the supply chain and impactsfinancial health of the balance sheet.
• Why we need to maintain good inventory level :

  1.Time – suppliers require certain amounts of

  inventory because of “Lead Time”

  2. Uncertainty – buffers to meet uncertainties in

  demand, supply and movement of goods.

  3. Economies of scale – Due to cost in logistics Bulk

  buying is observed.
• managing operations - It involves managing people, equipment, technology,information, and many other resources.
• Production management - involves the planning,organization, direction and execution of productionactivities.
• Operational planning - is the day-by-day and month bymonth planning for what your organization is doing;strategic planning determines the entire direction ofyour organization, including what it's not doing butshould be doing.
• Quality - allowscustomers to receivethe performancethat they expect.
• Efficiency -Amount of input to produce agiven output.Less input to produce a givenoutput
• Response to customer -React quickly to customer needsas they arise.
• • Design of Goods and Services
  • Service Design
  • Documents
  • Design Issues
  • Product Development Stages
  • Selection
  • Product Strategy
• Four Ethical Standards:• 1. Strive to be fair (vendors, associates and clients)• 2. Assist and urge all stakeholders to develop their abilities, skills andresponsibility.• 3. Make and keep commitments.• 4. Consult others in the decision-making process.
• • QUALITY -MEASURE OF HOW CLOSELY GOODSAND SERVICES CONFORMS TO ASPECIFIC STANDARD.
• • QUALITY MANAGEMENT - A METHOD FOR ENSURING THAT ALLTHE ACTIVITIES NECESSARY FOR THEDESIGN, DEVELOPMENT ANDIMPLEMENTATION OF A PRODUCT ORSERVICE ARE EFFECTIVE AND EFFICIENTWITH RESPECT TO THE SYSTEM AND ITSPERFORMANCE.
• 8 KEY PRINCIPLES

  • COSTUMER FOCUS
  • PROCESS APPROACH
  • PEOPLE INVOLVEMENT
  • LEADERSHIP
  • SYSTEM APPROACH TO MANAGEMENT
  • MUTUALLY BENEFICIAL SUPPLIER RELATIONSHIPS
  • FACTUAL APPROACH TO DECISION MAKING
  • CONTINUAL IMPROVEMENT
• COSTUMER FOCUS -ORGANIZATION DEPENDS ON THEIRCUSTOMERS. UNDERSTANDING THENEEDS, MEETING THEIR REQUIREMENTSAND EXCEED CUSTOMER EXPECTATION.
• LEADERSHIP -LEADERS ESTABLISH UNITY OFPURPOSE AND DIRECTION OF THEORGANIZATION.
• PEOPLE INVOLVEMENT -PEOPLE AT ALL LEVELS ARE THEESSENCE OF AN ORGANIZATION ANDTHEIR FULL INVOLVEMENT ENABLESTHEIR ABILITIES TO BE USED FOR THEORGANIZATION'S BENEFITS.
• PROCESS APPROACH -A DESIRED RESULT IS ACHIEVEDMORE EFFICIENTLY WHEN ACTIVITIESAND RELATED RESOURCES AREMANAGED AS A PROCESS. (PDCA)
• SYSTEM APPROACH TO MANAGEMENT -IDENTIFYING, UNDERSTANDING ANDMANAGING INTERRELATED PROCESSES AS ASYSTEM CONTRIBUTES TO THEORGANIZATION’S EFFECTIVENESS ANDEFFICIENCY IN ACHIEVING ITS OBJECTIVE.
• CONTINUAL IMPROVEMENT - SHOULD BE A PERMANENT OBJECTIVE OFA COMPANY OR ORGANIZATION.
• FACTUAL APPROACH TO DECISION MAKING - EFFECTIVE DECISIONS ARE BASEDON THE ANALYSIS OF DATA ANDINFORMATION.
• MUTUALLY BENEFICIAL SUPPLIERRELATIONSHIPS - THIS ENHANCES THE ABILITY OFBOTH (ORGANIZATION AND SUPPLIER)TO CREATE VALUE.
• COMPONENTS

  • QUALITY IMPROVEMENT
  • QUALITY ASSURANCE
  • QUALITY CONTROL
• QUALITY CONTROL -MAINTAIN THE INTEGRITY OF APROCESS TO MAINTAIN THERELIABILITY OF ACHIEVING ANOUTCOME.
• QUALITY ASSURANCE -THE PLANNED ACTION TO IMPROVEENOUGH CONFIDENCE THAT APRODUCT OR SERVICE WILL SATISFYTHE GIVEN REQUIREMENT OF QUALITY.
• QUALITY IMPROVEMENT -TO PURPOSELY CHANGE A PROCESS TO IMPROVE THE RELIABILITY OF ACHIEVING AN OUTCOME.
• BENCHMARKING -A PROCESS USED TO MEASURE QUALITY ANDPERFORMANCE.DATA GATHERED IS ANALYZED ANDCOMPARED AGAINST A STANDARD.
• KEY PERFORMANCE INDICATOR -MEASUREMENT PERFORMANCE AGAINST STATEDOBJECTIVE
• BENCHMARKING – MEASUREMENT OF QUALITY AND PERFORMANCE OF A PRODUCT / SERVICE.
• KPI – MEASUREMENT OF PERFORMANCE WITHTHE SET OBJECTIVE.