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Agenda
◼ Defining operations management
◼ ysing operations and challenges in
operations
◼ The transformation process – what do
operations do?
◼ The 4 Vs – defining strategy
◼ Operations processes – implementing strategy
◼ Operations and Quality
◼ Operations and the Supply Chain
◼ Operations and RD
Operations Overview
Operations management
defined
Operations management is the activity
of managing the resources which are
devoted to the production and delivery of
products and services.
Operations are everywhere
The best way to start understanding the nature of
“Operations” is to look around you
Everything you can see around you (except the flesh and
blood) has been produced by an operation
Every service you consumed today (radio station, bus
service, lecture, etc.) has also been produced by an
operation
Operations Managers create everything you buy, sit on,
wear, eat, throw at people, and throw away
Operations management
◼ Operations management is the activities, decisions
and responsibilities of managing the production and
delivery of products and services.
◼ This is done using processes that are:
repeatable – can be done over and over again
consistent – produce the same result every time
reliable – do not break down randomly.
efficient – producing most output for least input
competitive – at least as good as the competition
compliant with erning legislation.
Operations management
◼ Efficiency = profit
◼ Businesses strive for efficiency in
operations management in order to
rease profitability
◼ They also aim to operate to produce
products or services whi atch
customer needs (e.g. high quality/
ethically produced)
Interfunctional relationships between operations and
other functions
Engineering/ Product/ser
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