Slides wk 1:
Operations: the activity of managing the resources and processes that produce and deliver
goods and/or services
- Input-transformation-output model
- The input-transformation-output model applies to all activities and functions in an
organization (e.g. finance, marketing, etc.) and has thus a very wide applicability.
The primary process (dominant operations function) of a company includes all the resources
and processes which are directly linked to producing the products and or services that can be
considered as being crucial for a long-term sustainable character of the company
What can we conclude from this?
- In many cases there are several primary processes
- There is not always a clear distinction between primary and secondary processes
- The ‘importance’ of a specific primary process can change over time
This in itself has some important consequences for how
- processes are being controlled
- processes are being organized
Some other conclusions
- The primary process encompasses machines, equipment, technology, knowledge....
- The output of the primary process often is a mix of physical products and a ‘service’
- The reconciliation between markets and available resources is an ongoing process
- A change of strategy can have a (huge) impact on the primary process
- The primary process also can be leading for the overall strategy of a company
, Slides wk 2: department of operations
Perspective of operations management:
- What is the focus of operations management when trying to understand an
organization
- What are the main elements of this focus
- In what sequence are we looking at these elements?
- What is the dominant focus of operations management when redesigning the
primary process
- What is the rationality behind this focus........
Structuring decisions
- Horizontal structure
o location of stockpoints
o Physical processes
o sequence of materials
- Vertical structure
o levels of planning
o decisions that have to be made
o trade-off’s
- Organization structure
o Relates to organizational entities
o allocation of tasks/responsibilities and competences
o how coordination is achieved
Focus of operations management
Operations: the activity of managing the resources and processes that produce and deliver
goods and/or services
- Input-transformation-output model
- The input-transformation-output model applies to all activities and functions in an
organization (e.g. finance, marketing, etc.) and has thus a very wide applicability.
The primary process (dominant operations function) of a company includes all the resources
and processes which are directly linked to producing the products and or services that can be
considered as being crucial for a long-term sustainable character of the company
What can we conclude from this?
- In many cases there are several primary processes
- There is not always a clear distinction between primary and secondary processes
- The ‘importance’ of a specific primary process can change over time
This in itself has some important consequences for how
- processes are being controlled
- processes are being organized
Some other conclusions
- The primary process encompasses machines, equipment, technology, knowledge....
- The output of the primary process often is a mix of physical products and a ‘service’
- The reconciliation between markets and available resources is an ongoing process
- A change of strategy can have a (huge) impact on the primary process
- The primary process also can be leading for the overall strategy of a company
, Slides wk 2: department of operations
Perspective of operations management:
- What is the focus of operations management when trying to understand an
organization
- What are the main elements of this focus
- In what sequence are we looking at these elements?
- What is the dominant focus of operations management when redesigning the
primary process
- What is the rationality behind this focus........
Structuring decisions
- Horizontal structure
o location of stockpoints
o Physical processes
o sequence of materials
- Vertical structure
o levels of planning
o decisions that have to be made
o trade-off’s
- Organization structure
o Relates to organizational entities
o allocation of tasks/responsibilities and competences
o how coordination is achieved
Focus of operations management
