Operations management refers to the activities, decisions and responsibilities of managing the resources which are dedicated to the production and delivery of products and services. The part of an organisation that is responsible for this activity is called the operations function and every organisation has one as delivery of a product or service is the reason for existence. Operations managers are the people who are responsible for supervision and managing the capital that make up the operations job. The operations function is also responsible for satisfying customer needs through the production and delivery of products and services.
Depending on the type of industry or enterprise, other titles can be used interchangeably, such as "team manager" in the distribution company or the store manager in the retail business. Although the function of the operation is the core of any organization, it is only one of the three core functions of marketing and finance. The marketing function is responsible for communication organizations products and services, market and customer needs and demands. The finance function is responsible for providing information to assist in the overall management of the economic decision-making of financial resources.
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There are also other features, this is not an organization's core, and however, what is the contribution of management is the key to the smooth functioning of any organization.
Normally, there is no clear division of labor between the various functions and one of the greatest difficulties faced by management with the other parts of the organization to work effectively. This is critical to the success of your business functions, and boundaries are not to interfere with effective internal processes.
In operation management, the two general type of operation is human resource and airport operation.
Human resource management is playing an important role in helping organizations gain and keep an advantage over competitors by becoming high-performance work systems. These are organizations that have the best possible fit between their social system and technical system. As the nature of the workforce and the technology available to organizations have changed, so have the requirement for creating a high performance work system. Customer are demand high quality and customized product, employees people's creativity and interpersonal skill. Human resource management can support the creation and maintenance of a high-performance work system.
The first is human resource planning. Human resource planning is an expression of this philosophy in the most important area of all, the effective employment of people. The changes and pressures brought about by economic, technological and social factors require organizations of all kinds to study the costs and human aspects of labour much more seriously and carefully than ever before. In the human resource planning, the general purpose of human resource planning has been described, the first is formative recruitment needs, and an important precondition to the process of recruitment is to avoid problems of unexpected shortage, wastage, blockages in the promotion flow and needless redundancies. Secondly, determining training needs, planning training programmes are very important. These programmes not only improve quantity but also quality in terms of the skills required by the organization. Thirdly, Management development, a succession of trained and experienced managers is essential to the effectiveness of the organization, and this depends on accurate information about present and future requirements in all management posts. The next is balancing the cost between the operation of plant and labour force; Cost balancing includes comparison of costs between these two resources in different combinations and selecting the optimum. While costing projects cost balancing plays an important role. The last is Industrial relation, the businesses plan will, of necessity; make assumptions about output of the human resource. It will have an impact on the organization's industrial relations strategies.
The next scope of human resources is development and tanning. Human resource departments typically conduct activities designed to train and develop company personnel, whether to address performance problems or help prepare an employee for a management role. In addition to formal training courses, we should offer flexible alternatives such as coaching, mentoring and job-rotation experiences. Developing employee capacity involves managing programs such as employee orientation sessions, policy and procedure awareness sessions, leadership development workshops and other options designed to enable the company (and employees) to succeed.
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In human resource management, career development is vital for success. Career development means developing yourself and your skill sets to add value for the organization and for your own career development. Fostering an attitude of appreciation for lifelong learning is the key to workplace success. Continuously learning and developing one's skills requires identifying the skills needed for mobility at Cal, and then successfully seeking out trainings or on-the-job opportunities for developing those skills.
Human Resource Management also includes Quality of work life. Quality Work Life is a technique for improving productivity and quality of work. It involves labour management co-operation, collective bargaining and participative management. Quality work life provides good working conditions, job security, good pay and other facilities such as flexible working hours, freedom to suggest changes or improvements, etc. Quality work life creates a sense of belonging. This benefits the organisation as well as the individual employees.
Production function is 'the part of an organisation, which is concerned with the transformation of a range of inputs into the required outputs (products) having the requisite quality level'. Production is defined as 'the step-by-step conversion of one form of material into another form through chemical or mechanical process to create or enhance the utility of the product to the user'. Thus production is a value addition process. At each stage of processing, there will be value addition.
Production management is 'a process of planning, organising, directing and controlling the activities of the production function. It combines and transforms various resources used in the production subsystem of the organization into value added product in a controlled manner as per the policies of the organization'. 'Production management deals with decision-making related to production processes so that the resulting goods or services are produced according to specifications, in the amount and by the schedule demanded and out of minimum cost'.
The objective of the production management is 'to produce goods and services of Right Quality and Quantity at the Right time and Right manufacturing cost'.
1. Right Quality: The quality of product is established based upon the customers need. The
right quality is not necessarily being the best quality. It is determined by the cost of the product and
the technical characteristics as suited to the specific requirements.