Operation Management

Operations Management is concerned with the production of goods and services within an organization and strives to ensure the highest level of efficiency and customer satisfaction and to maximize the profits of the organization. A operation is a transforming processes converting a set of raw materials (inputs) into services and goods (outputs). The input resources may be raw materials, information, these resources are then transformed in to goods or services by way of transforming resources, the facilities and staff of the operation. (see diagram appendix 1.1)

The following are the process Characteristics: (See diagram 1.2, in the appendix)

Customers: Without customers the organization will ultimately fail, they generally are the life and soul of the company. The company will strive to meet the customer requirements (internally, externally) as this is extremely vital to ensure a successful business and also to ensure the business continually meets their needs and expectation.

Materials: The organization must ensure that the business has a sufficient amount of materials required for the ‟End‟ product to meet customer demand and if possible conform to customers’ needs, create a vibrant flow of supply and demand, diversify the product line.

Staff: They operate, maintain, plan and manage the organization; they play a vital part in the organization. They ensure product progression of the necessary stages, interaction with the general public/customers, also the innovation of new products. Staff members need to be fully trained in their selected fields.

Time: Is concerned with the duration of time it takes for the product to reach the customer, how long it takes for the product to be produced.

Information Internal and external communication are an essential component to a successful business. All parts of the business hierarchy need to be fully informed so as to access and meet the customers’ needs rapidly and efficiently.

Processes can also be...