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What Is The Importance Of Production And OperationManagement?Production and Operations Management involves managing the transformation to create products or

services. This is important as it keeps the business fresh and allows for new products and services

to be created.

The operations manager is responsible for ensuring that the business remains effective by creating

new products and services that will meet the customers' needs. Cost, quality and delivery are all

needs that the customer will be interested in. The operations manager will have some responsibility

in deciding what processes should be used to produce the product. Choices they may face include

technology, process flow and job design. The quality of the product or service is important and

should be continuously improved.

The scheduling of tasks and jobs to ensure that the needed capacity is achieved is another

responsibility the operations manager will need to take on. They will also manage the inventory by

deciding what to order, when to order it and how much to order. The movement of the products willalso be important in this role.

Product management is also important because those in question will be aware of what is needed,

by whom it is needed and how to market the product. They will also know what market the items

should be focused on. Workers need a plan to make them aware what is needed, and when it is

needed, and this is another role of the production management team. Although a product manager

must oversee the entire lifecycle of a particular product, they must also recognise that their main

focus should be on driving forward new product development.

Operations Management is an important field in business which comprises all the aspects of

production, efficiency and production related processes. The practices and theories involved in

Production and Operations Management equally apply to service sector as well. The important part

of Operations Management include forecasting, identifying bottlenecks in operations,

increasing efficiency of business by using various tools such as PERT/CPM,statistical analysis such

as moving averages, exponential smoothing method, Mean Absolute Deviation (MAD) etc. Material

Resource Planning (MRP) is an important part of Operations Management for creating bill of

materials and identifying the needs for units of production.Inventory management, time

management, production plans, layout strategies are important aspects which lead to

higher efficiency and cost effectiveness.

Why Do We Have to Learn OperationsManagement?Arifinfo | April 17, 2011 | 2 comments

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Operations Managementis one of three major functions (marketing, finance, and

operations) of each organization. Which is intact in touch with all other functions. All the

marketing organization, finance and produce, then it is very important to know how Operations

Management activities take place. We want and need to know how the materials and services

produced. The production function is part of the community who create the products we use.

We want to know and understand what is done by the operations manager. By understanding what

is being done by the production manager, we can build the skills needed to become a manager

like that. So that can help you explore the many employment opportunities and lucrative in the

field of Operations Management. Operations Management is a very expensive part of an

organization. Operations Management provides many opportunities to improve profitability and

service to the community.

____Operations Management is basically a field of business that deals with production of

qualitygoods and services. It ensures that all the business operations of a firm are performed in an

efficient and effective manner.

Operations Management is a relatively new field of study. However, it has a very

wideapplication especially in manufacturing concerns. Since this field has a lot of scope so one must

study this subject.Since it applies the concepts of design engineering, industrial

engineering, Management information system, quality management, production management,

inventory management etc. So it has a scope in almost every organization. Employers now

need operations management for efficient use of their resources.

-____Because operational management contains not only to operational process, it also have

the risk management, to know how to react, and how to nullyfy the risks

OPERATIONS MANAGEMENT

One may generally consider that there are three distinct areas inherent in any business:

marketing, finance, and operations; all other business disciplines fit somewhere under

one or more of these areas. For example, finance could include investing, real estate,

insurance or banking. While management is considered an academic discipline unto

itself it is actually a part of all three areas: financial management, marketing

management, and operations management. Operations management is the area

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strategy or a level strategy?), and capacity (how many shifts do we need? Do we need to

work overtime or subcontract some work?).

At the operational level, operations management is concerned with lower-level

(daily/weekly/monthly) planning and control. Operations managers and their

subordinates must make decisions regarding scheduling (what should we process and

when should we process it?), sequencing (in what order should we process the orders?),

loading (what order to we put on what machine?), and work assignments (to whom do

we assign individual machines or processes?).

Today's operations manager must have knowledge of advanced operations technology

and technical knowledge relevant to his/her industry, as well as interpersonal skills and

knowledge of other functional areas within the firm. Operations managers must also

have the ability to communicate effectively, to motivate other people, manage projects,

and work on multidisciplinary teams. Sunil Chopra, William Lovejoy, and Candace Yano

describe the scope of operations management as encompassing these multi-disciplinary

areas:

Supply Chainsmanagement of all aspects of providing goods to a consumer fromextraction of raw materials to end-of-life disposal.

Operations Management/Marketing Interfacedetermining what customers' value priorto product development.

Operations Management/Finance InterfaceCapital equipment and inventoriescomprise a sizable portion of many firms' assets.

Service OperationsCoping with inherent service characteristics such as simultaneousdelivery/consumption, performance measurements, etc.

Operations StrategyConsistent and aligned with firm's other functional strategies. Process Design and ImprovementsManaging the innovation process.

Mark Davis, Nicolas Aquilano and Richard Chase (1999) have suggested that the major

issues for operations management today are:

reducing the development and manufacturing time for new goods and services achieving and sustaining high quality while controlling cost

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integrating new technologies and control systems into existing processes obtaining, training, and keeping qualified workers and managers working effectively with other functions of the business to accomplish the goals of the

firm

integrating production and service activities at multiple sites in decentralizedorganizations

working effectively with suppliers at being user-friendly for customers working effectively with new partners formed by strategic alliances

As one can see, all these are critical issues to any firm. No longer is operations

management considered subservient to marketing and finance; rather, it is a legitimate

functional area within most organizations. Also, operations management can no longer

focus on isolated tasks and processes but must be one of the architects of the firm's

overall business model.

SEE ALSO:Operations Strategy;Product Design ;Production Planning and

Scheduling ;Product-Process Matrix ;Service Operations ;Supply Chain Management

Read more:Operations Management - strategy, levels, manager, model, business,

History of operations

managementhttp://www.referenceforbusiness.com/management/Ob-Or/Operations-

Management.html#b#ixzz1q8jqeha4

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