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OVERVIEW AND OPERATIONS STRATEGIES. OPERATION THE PROCESS OF CHANGING INPUTS INTO OUTPUTS AND THEREBY ADDING VALUE.

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Presentation on theme: "OVERVIEW AND OPERATIONS STRATEGIES. OPERATION THE PROCESS OF CHANGING INPUTS INTO OUTPUTS AND THEREBY ADDING VALUE."— Presentation transcript:

1 OVERVIEW AND OPERATIONS STRATEGIES

2 OPERATION THE PROCESS OF CHANGING INPUTS INTO OUTPUTS AND THEREBY ADDING VALUE

3 PROCESS INPUTOUTPUTTRANSFORMATION COMPARISON MONITOR ADJUSTMENT THE PROCESSES CONSUME RESOURCES PROCESS LEADS TO VALUE ADDITION

4 VALUE ADDED PROCESSES ALTER TRANSPORT STORE INSPECT

5 MANAGEMENT PROCESS PLANNING ORGANISING CONTROLLING PRODUCT PROCESS FACILITY LOCATION FACILITY LAYOUT CAPACITY STAFFING JOB AND WORK DESIGN STANDARDS PAYMENT SYSTEM QUANTITY QUALITY TIME INVENTORY COST MAINTENANCE

6 OBJECTIVES IN OPERATIONS MANAGEMENT PERFORMANCE OBJECTIVES EFFICIENCY EFFECTIVENESS QUALITY LEAD TIME CAPACITY UTILISATION FLEXIBILITY COST OBJECTIVES VISIBLEINVISIBLE MATERIALINVENTORY LABOURSHORTAGE REWORKDELAYED DELIVERY MAINTENANCEMATERIAL HANDLING INSPECTION DOWN TIME

7 PRODUCT VERSES SERVICES CHARACTERISTICSPRODUCTSERVICES NATURE OF OUTPUT TANGIBLEINTANGIBLE CONSUMPTIONCAN BE STOREDIMMEDIATE NATURE OF WORKLESS LABOUR MORE EQUIPMENT MORE LABOUR LESS EQUIPMENT CUSTOMER CONTACT LOWHIGH CUSTOMER PARTICIPATION LOWHIGH PERFORMANCE MEASUREMENT SOPHISTICATEDELEMENTRY LOCATIONEASE OF MANUFACTURE LOCATION OF USERS

8 STRATEGIES OF COMPETITION COST LEADERSHIP DIFFERENCIATION MARKET SEGMENTATION

9 COMPONENTS OF OPERATIONS STRATEGY POSITIOING THE PRODUCTIVE SYSTEM CAPACITY AND LOCATION DECISIONS PRODUCT AND PROCESS TECHNOLOGY WORK FORCE AND JOB DESIGN STRATEGIC IMPLICATIONS OF OPERATIONS DECISIONS SUPPLIERS AND VERTICAL INTEGRATION

10 EVOLUTION OF OPERATIONS MANAGEMENT 1764 INVENTION OF STEAM ENGINE JAMES WATT 1776 THEORY OF DIVISION OF LABOUR ADAM SMITH & JOB SPECIALISATION 1913 CONCEPT OF ASSEMBLY LINE HENRY FORD 1919 SCIENTIFIC MANAGEMENT FW TAYLOR # HUMAN WORK AS A SCIENCE # SCIENTIFIC SELECTION & TRAINING # DIVISION OF WORK GANTT CHART HENRY GANTT MOTION STUDY GILBERTH


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