1. 1 Slides used in class may be different from slides in student pack Chapter 1 Overview: Introduction to the Field  Operations Management  Why Study Operations Management?  Production System Defined  Types of Transformations  Objectives of Operations Management  Goods Versus Services  Plan of the Course  OSCM Jobs  OSCM Placement and Salary Statistics

2. 2 Slides used in class may be different from slides in student pack What is Operations Management? Formal Definition Operations management (OM): the design, operation, and improvement of the systems that create and deliver the firm’s primary products and services.

3. 3 Slides used in class may be different from slides in student pack OM involves management of the entire system that produces a good or service

4. 4 Slides used in class may be different from slides in student pack Why Study Operations Management? Operations Management Business Education Systematic Approach to Org. Processes Career Opportunities Cross-Functional Applications

5. 5 Slides used in class may be different from slides in student pack What is a Production System? Defined A production system uses resources to transform inputs into some desired outputs.

6. 6 Slides used in class may be different from slides in student pack Types of Transformations  Physical--manufacturing  Locational--transportation  Exchange--retailing  Storage--warehousing  Physiological--health care  Informational--telecommunications

7. 7 Slides used in class may be different from slides in student pack Core services: basic things that customers/producers want from products they purchase/produce. The 4 Objectives of Operations Management 1. Cost 2. Quality 3. Speed 4. Flexibility

8. 8 Slides used in class may be different from slides in student pack Plan of This Course 1. Gaining a competitive advantage - strategy, project management 2. Product Design and Process Selection - goods, services, quality, analysis 3. Supply Chain design - JIT, ERP, electronic commerce, supply chain strategy, capacity management 4. Planning and controlling the supply chain - forecasting, aggregate planning, MRP, inventory management, TOC

9. 9 Slides used in class may be different from slides in student pack Where Are the OSCM Jobs?  Technology/methods  Facilities/space utilization  Strategic issues  Response time  People/team development  Customer service  Quality  Cost reduction  Inventory reduction  Productivity improvement  Supply chain analyst/management

10. 10 Slides used in class may be different from slides in student pack OM Salaries www.business.iastate.edu/careers/salary/salary_summary www.business.iastate.edu/files/careers/documents/EmploymentReports/2007- 2008_Employment_Report-6_Month_Follow-up.pdf