MANAGEMENT

Global Operations Management - Product Technology Management

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Global Operations Management - Product Technology Management

Difference between Supply Chain Management and Operations Management

Supply chain management (SCM) is a term applied to a management philosophy and to the practices involved in implementing a SCM philosophy, although it can also be used to describe management processes that are not necessarily rooted in a guiding philosophy. SCM, which gained prominence as outsourcing become prevalent in the 1990s, brings together and extends the concerns of total quality management (TQM) and just-in-time (J-I-T) management techniques that preceded it. As a management philosophy, SCM is a systems approach that involves assembling a team of upstream (suppliers) and downstream (distributors and end users) partners with a common goal of satisfying a particular customer value or set of values. SCM differs from earlier management philosophies in that it necessarily involves establishing sufficiently trustful relationships with the members of the chain to warrant involving them in strategic decisions.

Operational management is all activities related to the deliberate transformation of materials, information or customers. Operating function includes activities that result in manufactured goods and services supplied by the organization to the external environment. Organization may vary greatly in nature operating functions. For example, in industrial raw materials are processed, and the first from the raw produce individual parts and components, then assemble them into finished products. Operations management is the area of ??Business Administration dedicated to both research and application of all these actions tend to higher value added generated by planning, organizing, leading and controlling the production of both goods and services, all focused on increasing quality, productivity, improve customer satisfaction for customers and reduce costs.

Inventory Management

A system for management of inventory in a company is a process for optimal management and location of materials and objects. The aim of inventory management in an organization is to make sure that needs of the organization are met in delivering services or products to customers. Inventory management is a very crucial part of management of a business because companies generally incur a huge amount of money on the management of inventory.

Inventory management, as the name suggests is the control of the inventory, which let the management of sales, purchase, and payment play their roles in maintaining the inventory. Mostly organizations have the software of inventory management, which not only helps in maintaining the invoices, purchase orders, etc, but it also helps in creating the invoices, receiving lists, purchase orders, bar codes, etc. The inventory management controls the operating costs, and it provides a better understanding of the movement of the inventory. The information regarding inventory got maintained through the inventory management software, which is important for all organizations to know as it is the main source of doing their business. The inventory management software system helps in creating the revenue for the company. Thus, it can be said that the management of inventory is very essential for the organization, in order to run a smooth and uninterrupted ...