Operations & Supply Chain Management Notes
Fleur Bongers
- Group work
- 1 Exam closed book
,Table of Contents
Session 1 .......................................................................................................................... 3
Session 1 Class recap ................................................................................................................ 3
Session 2 .......................................................................................................................... 9
Session 2 Class Recap ............................................................................................................... 9
Session 3 ........................................................................................................................ 17
Session 3 Class Recap ............................................................................................................. 17
Session 6 ........................................................................................................................ 23
Session 5 Class Recap ............................................................................................................. 23
Session 7 ........................................................................................................................ 29
Session 7 Class Recap ............................................................................................................. 29
Session 8 ........................................................................................................................ 34
Session 8 Class Recap ............................................................................................................. 34
Session 9 ........................................................................................................................ 38
Session 9 Class Recap ............................................................................................................. 38
Session 10 ...................................................................................................................... 42
2
,Session 1
Book: Chapter 1 and 2 & Zara mini case
Session 1 Class recap
Transformation process
What is an operation? Value-added. Operation therefore is a transformation where
resources are used to add-value, for example NS that uses train to transport people and
people pay for that service.
o Transformation meganism
▪ Transporting
▪ Repairing
▪ Storing
o Outputs
▪ Products
▪ Services
o Control (monitoring, surveillance etc) to check if there is maximum added
value. Make quality acceptable.
o Inputs
▪ Material
• Manufacturing
• Postal service
• Mining
▪ Information
• Telecoms company
• Bank headquarters
• Accountants
▪ Customers
• Hospitals
• Hotels
• Dentists
▪ Capital
Operations management: management of the transformation process in an effective and
efficient way.
3
, So inputs → transformation → output → control
This will be asked in the exam.
- What are the outcomes of operations?
- Why do we need to manage operations?
- Do all businesses have operation?
o Banking sector: sell investment opportunities
o Manufacturing sector: sell lithography
o Hospitality sector: sell accommodation services
Supply chain is impacted a lot and can impact the economy as a whole.
Why manage it? Because it is en process to operate en you need to find out how to utilize
everything.
Profit = revenue – cost
P = (p*Q) – C
We have to take into account the costs of everything and therefore manage operations.
Within operations there is only one business involved.
Supply chain
SCM as a management philosophy
- A systems approach to viewing the supply chain as a whole (Centralized)
- A strategic orientation toward cooperative efforts (Synchronization)
- A customer focus to create unique and individualized sources of customer value
(Customer-oriented)
There are more than 1 businesses involved, whereas operations there is only one business
involved. Synchronizing the system of all the business involved. Everyone is the system
provides or is connected by supply.
- What if the product is a service? → Then it is value chain and NOT supply chain.
supply chain: A sequence of organizations—their facilities, functions, and activities—that
are involved in producing and delivering a product or service.
The sequence:
- Suppliers → … → Final customer
Facilities:
- Warehouses, factories, processing centers, offices, distribution centers, and retail
outlets.
4
Fleur Bongers
- Group work
- 1 Exam closed book
,Table of Contents
Session 1 .......................................................................................................................... 3
Session 1 Class recap ................................................................................................................ 3
Session 2 .......................................................................................................................... 9
Session 2 Class Recap ............................................................................................................... 9
Session 3 ........................................................................................................................ 17
Session 3 Class Recap ............................................................................................................. 17
Session 6 ........................................................................................................................ 23
Session 5 Class Recap ............................................................................................................. 23
Session 7 ........................................................................................................................ 29
Session 7 Class Recap ............................................................................................................. 29
Session 8 ........................................................................................................................ 34
Session 8 Class Recap ............................................................................................................. 34
Session 9 ........................................................................................................................ 38
Session 9 Class Recap ............................................................................................................. 38
Session 10 ...................................................................................................................... 42
2
,Session 1
Book: Chapter 1 and 2 & Zara mini case
Session 1 Class recap
Transformation process
What is an operation? Value-added. Operation therefore is a transformation where
resources are used to add-value, for example NS that uses train to transport people and
people pay for that service.
o Transformation meganism
▪ Transporting
▪ Repairing
▪ Storing
o Outputs
▪ Products
▪ Services
o Control (monitoring, surveillance etc) to check if there is maximum added
value. Make quality acceptable.
o Inputs
▪ Material
• Manufacturing
• Postal service
• Mining
▪ Information
• Telecoms company
• Bank headquarters
• Accountants
▪ Customers
• Hospitals
• Hotels
• Dentists
▪ Capital
Operations management: management of the transformation process in an effective and
efficient way.
3
, So inputs → transformation → output → control
This will be asked in the exam.
- What are the outcomes of operations?
- Why do we need to manage operations?
- Do all businesses have operation?
o Banking sector: sell investment opportunities
o Manufacturing sector: sell lithography
o Hospitality sector: sell accommodation services
Supply chain is impacted a lot and can impact the economy as a whole.
Why manage it? Because it is en process to operate en you need to find out how to utilize
everything.
Profit = revenue – cost
P = (p*Q) – C
We have to take into account the costs of everything and therefore manage operations.
Within operations there is only one business involved.
Supply chain
SCM as a management philosophy
- A systems approach to viewing the supply chain as a whole (Centralized)
- A strategic orientation toward cooperative efforts (Synchronization)
- A customer focus to create unique and individualized sources of customer value
(Customer-oriented)
There are more than 1 businesses involved, whereas operations there is only one business
involved. Synchronizing the system of all the business involved. Everyone is the system
provides or is connected by supply.
- What if the product is a service? → Then it is value chain and NOT supply chain.
supply chain: A sequence of organizations—their facilities, functions, and activities—that
are involved in producing and delivering a product or service.
The sequence:
- Suppliers → … → Final customer
Facilities:
- Warehouses, factories, processing centers, offices, distribution centers, and retail
outlets.
4
