OPERATIONS MANAGEMENT

Strategic Operations Management

Strategic Operations Management

Introduction

Operations management is the art and science of any organisation. Working effectively with things, people, processes, possibilities and probabilities is the subject concern for management. The science of organisation is to understand processes, tools and techniques. Applying, processing and delivering inputs into outputs are the art of management. Be it a restaurant manager, a plant supervisor or a mother of four children planning meals for her children; each of them are operations manager. They take charge of processing inputs and raw materials into finished goods and services. Operations are the dynamic function of an organisation. They define the cause of success and failure in the organisation. History evident us when we think of great successful organisations. Companies like Nokia (Kulfan, 1979) and Sony (Mishra, 2009) are known for product innovation, Toyoto (Monden, 1981) is the benchmark for reliability in automobiles, Dell (Mishra, 2009) for customizing personal computers with customised requirements or Amazon (Barnes, 2008) high customer service. Operations are the road map that links business to the customer needs of the organisation. Operations management is more process-oriented than turning food into meals (Waters, 2002). Modern management studies it as a functional area like finance, marketing or human resource. Making long-term decisions which support the organisational mission with the use of productive resources are the essence of the operations management. The structure of the assessment of operations management in this paper will include the models that best define the transformation of inputs into outputs, and the important factors that explore the importance of operations management in an organization.

Discussion

Typology of Operations

Companies endeavour their best efforts to product high standard of goods and services. Doing the right thing measures quality. Doing the things right determine its operations. Effective operations management is result of sound operations techniques and corporate strategies. It is therefore necessary to embed management principles and practices with these operations. Chief executives or front line managers, large or medium enterprise, private or public, manufacturing or service, operations are core function for every organisation. The marketing effect of any product or services requires critical analysis of four P's (product, price, promotion and place) and four M's (method, manpower, machines and materials). Likewise, operations management runs through the four basic P's of the organisation and four basic M's of production.

Policies

Policies are unwritten rules, eventually evolved in an organisation. Most of them are usually applicable to non-value added functions of operations. It is very significant that a straight forward policy is essential for the effective manufacturing of a product. Policies define the framework of managing affairs of the organisation. Corporate codes and strategic objectives reflect the policies of an organisation. They are desired state that an organisation wants to achieve. Corporate strategies and mission statement articulates these policies. Strategies are concerned with the roadmap to get the organisation to its desired place. Policies also facilitate to form the ethical climate in the organisation. They provide legal provisions for the ethical conduct of the ...