OPMAN 2

• Operations management


  • Managing inventory
  • Controlling quality
  • Designing the jobs to make the product
  • Designing work methods
• Supply chain


  A sequence of organizations - their facilities, functions, and activities that are involved in producing and delivering a product or service
• Value-added


  The difference between the cost of inputs and the value or price of outputs
• Efficiency


  Performing activities well and at the lowest possible cost
• Manufacturing organizations


  • Primarily produces a tangible product (goods) and typically has low customer contact
  • Production of goods that results in a tangible output
• Service organizations


  • Primarily produced intangible products, such as ideas, assistance, or information, and typically have high customer contact
  • Delivery of service that generally implies an act
• Strategic decisions


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


  • What are the unique features of our products?
  • What market do we plan to compete in?
  • What do we believe will be the demand for our products?
• Tactical decisions


  Decisions that are specific and short-term in nature and are bound by strategic decisions
• Tactical decisions


  Focus on more specific day-to-day issues, such as the quantities and timing of specific resources