,Week 1
Types of operations
- Information processing operations
- Customer-facing operations in a bank
- Customer processing operations
- Hospital operations
- Materials processing operations
- Car manufacturing operations
What is operations?
- An operation is a transformation process which changes input into outputs which add
value for customers
- Materials, information, customers and transformed
What is operations management
- Is the planning and organizing of the production of goods and the delivery of services
- Operations is one of the core functions within an organization
- HR
- Finance
- Marketing
- Operations
- Operation: systematic way to organize, plan, control and improve processes
Operations long/short term competitive priorities:
- ST/LT considerations
- Low cost
- Quality, consistency, customization
- Flexibility, variety, volume
- Dependability, on time
- Speed, development, delivery
Typical roles and responsibilities of operations managers
- Simple
- Functional
- Simplest and most popular
- Divided by areas of work, activity
- Manufacturer, sales ,HR
Typical manufacturer
, - Head office
- HR
- Finance and accounting
- Sales and marketing
- Operations director
- Production manager
- Process development manager
- Quality manager
- Maintenance manager
- Supply chain manager
4 key issues of a organisation design
- The nature of the hierarchy
- The degree of centralization
- The extent of formalization
- The level of complexity
Activities of operations managers
- Direct responsibility
- Designing the operations products, services and processes
- Understanding the organization's objectives and developing an operations strategy
- Planning and controlling the operations resources ( people, materials, processes )
- Indirect responsibility
- Interacting with other departments as part of the management team
- Broad responsibility
- Social responsibility
- Environmental protection
- Technology awareness
- Globalization issues
Types of operations manager
- Manufacturing operations manager
- Marketing operations manager
- Retail operations manager
- Hotel operations manager
Responsibilities of operations managers
- Developing and maintaining the systems infrastructure
- Selection of a location for operation
- Organizing the physical plant
- Maintaining and assuring the security of the plant equipment and other assets
, - Controlling material inputs within the system
- Determining stock levels
- Organizing material flow
- Assuring the quality of system outputs
- Setting standards
- Manage quality processes
- Monitor output quality
Managing in short term and long term
- Managing system inputs
- Short term:
- Ordering stock
- Managing warehouse and logistics
- Long term:
- Tendering contracts for new suppliers
- Outsourcing decisions
- Controlling material input within the system
- Short term:
- Setting stock levels
- Scheduling speed production
- Long term:
- Adopting new approaches to materials flow such as just in time
Week 2
Characteristics of operations - 4 V’s
- Similarities and differences between products/ processes/ operations
Volume of output
- How many products sold or customers served
Variety of product/services offered
- Does the organization mainly produce one type of product or many different types of
products
Variation in demand
- Is there steady demand or is there a degree of seasonality
Variability in the product/service
Materials and customer processing
- 4 basic features that differentiate customer and materials processing
- Intangibility
Types of operations
- Information processing operations
- Customer-facing operations in a bank
- Customer processing operations
- Hospital operations
- Materials processing operations
- Car manufacturing operations
What is operations?
- An operation is a transformation process which changes input into outputs which add
value for customers
- Materials, information, customers and transformed
What is operations management
- Is the planning and organizing of the production of goods and the delivery of services
- Operations is one of the core functions within an organization
- HR
- Finance
- Marketing
- Operations
- Operation: systematic way to organize, plan, control and improve processes
Operations long/short term competitive priorities:
- ST/LT considerations
- Low cost
- Quality, consistency, customization
- Flexibility, variety, volume
- Dependability, on time
- Speed, development, delivery
Typical roles and responsibilities of operations managers
- Simple
- Functional
- Simplest and most popular
- Divided by areas of work, activity
- Manufacturer, sales ,HR
Typical manufacturer
, - Head office
- HR
- Finance and accounting
- Sales and marketing
- Operations director
- Production manager
- Process development manager
- Quality manager
- Maintenance manager
- Supply chain manager
4 key issues of a organisation design
- The nature of the hierarchy
- The degree of centralization
- The extent of formalization
- The level of complexity
Activities of operations managers
- Direct responsibility
- Designing the operations products, services and processes
- Understanding the organization's objectives and developing an operations strategy
- Planning and controlling the operations resources ( people, materials, processes )
- Indirect responsibility
- Interacting with other departments as part of the management team
- Broad responsibility
- Social responsibility
- Environmental protection
- Technology awareness
- Globalization issues
Types of operations manager
- Manufacturing operations manager
- Marketing operations manager
- Retail operations manager
- Hotel operations manager
Responsibilities of operations managers
- Developing and maintaining the systems infrastructure
- Selection of a location for operation
- Organizing the physical plant
- Maintaining and assuring the security of the plant equipment and other assets
, - Controlling material inputs within the system
- Determining stock levels
- Organizing material flow
- Assuring the quality of system outputs
- Setting standards
- Manage quality processes
- Monitor output quality
Managing in short term and long term
- Managing system inputs
- Short term:
- Ordering stock
- Managing warehouse and logistics
- Long term:
- Tendering contracts for new suppliers
- Outsourcing decisions
- Controlling material input within the system
- Short term:
- Setting stock levels
- Scheduling speed production
- Long term:
- Adopting new approaches to materials flow such as just in time
Week 2
Characteristics of operations - 4 V’s
- Similarities and differences between products/ processes/ operations
Volume of output
- How many products sold or customers served
Variety of product/services offered
- Does the organization mainly produce one type of product or many different types of
products
Variation in demand
- Is there steady demand or is there a degree of seasonality
Variability in the product/service
Materials and customer processing
- 4 basic features that differentiate customer and materials processing
- Intangibility
