Operations Management

What is Operations Management? The Input-Transformation-Output Model. Producer of goods and services? The classification of Services & Manufacturing – A Grey Area! Process Management. A Typology of Operations. Simple Process Flow Map. Operation Manager’s Objectives. Questions? Operational Performance Objectives. Performance Measurement. Measures of Quality. Measures of Speed. Measures of Dependability. Measures of Flexibility. Measures of Costs. The relationship between competitive factors& operational performance objectives.

Define Operations ... and their characteristics Classify Types of Operations... Manufacturing Service ... and understand implications for operation’s managers Comprehend the Transformation Model... ... and be able to apply it to operational / organisational processes Identify the 5 Performance Objectives ... and translate them from customer requirements into ... operational actions.

What are the dominant transformation processes? Materials, information or customers?

Performances An act Different degrees 100% intangible- 100% tangible Implication – ?

Of production and consumption Degree of overlap between Quality occurs during service delivery Implication – ?

Potential of variability in performance from service provider to SP from customer to customer from day to day Implication – ?

Goods cannot be stored Production & consumption happen together Once a service is not sold it is lost Implication – ?

Producer of goods and services? The classification of Services & Manufacturing – A Grey Area!

The service process delivery can be standardised behind the scenes.

Examples? Consider degree of: Repetition Systemisation Standardisation Complexity Unit costs Skills required Staff utilisation Stability.

Process as a sequence of actions Transforms inputs to outputs Identifies all tasks & decisions Describes the flow of materials & information.

Satisfy the requirements of all legitimate stakeholders groups... ... by making the most and use of available resources Develop strategies... Design products / services, processes and networks... Plan and control... Measure performance and improve... Review and adjust...