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© 2016 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part.
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The technical core is the heart of the organization: production of product/service The organization is a value chain Operations management pertains to the daily management of the technical core Operations Management – use of tools and techniques to ensure that goods and services are delivered successfully to customers 2
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© 2016 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part. 3
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Managing the sequence of suppliers and purchasers, covering all stages of processing from obtaining raw materials to distributing finished goods 5
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© 2016 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part. 6
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7 All the equipment and materials that relate to a specific function are grouped together
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© 2016 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part. 8 Machines and tasks are arranged according to the progressive steps in producing a single product
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© 2016 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part. 9 People and equipment are grouped into cells that perform all the tasks needed to serve a particular client
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© 2016 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part. 10 The product remains in one location, and employees and equipment are brought to it
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© 2016 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part. Radio-Frequency Identification (RFID) – identification tags that emit radio signals to track inventory Digital Manufacturing Systems – the use of technology to adapt production processes Lean Thinking – combining advanced technology and effective management to solve problems and cut waste 11
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© 2016 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part. Inventory is the goods that an organization keeps on hand for the production process; types of inventory: Finished-goods inventory Work-in-process inventory Raw materials inventory Inventory management is vital to an organization because it costs money 12
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© 2016 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part. 13
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© 2016 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part. Designed to reduce inventory and associated costs The aim is to push the time that inventory sits on shelves to zero Also called stockless systems, zero inventory systems, or kanban systems Can aid in creating organizational flexibility 14
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© 2016 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part. Information technology consists of: Hardware Software Telecommunications Database management Other data storage devices 15
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© 2016 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part. Information technology has positive implications for the practice of management Can connect people from around the world: Boundaries Dissolve and Collaboration Reigns 16
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© 2016 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part. Knowledge management includes systems to gather and organize knowledge to foster a culture of learning and knowledge sharing Business intelligence software Expert-locator systems Groupware (collaborative work systems) 17
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© 2016 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part. Web 2.0 includes blogs, wikis, and social networks A blog includes individual posts, opinions, and ideas Blogs are simple and informal Large organizations use the micro-blogging service Twitter A wiki uses software to create, share, and edit content Web 2.0 easily supports knowledge sharing 18
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© 2016 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part. ERP integrates and optimizes all the various business processes Provides information to entire enterprise Links all areas of activities Customers and suppliers are linked into the exchange as well ERP can cut costs, shorten cycle time, enhance productivity, and improve relationships with customers and suppliers 19
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© 2016 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part. 20
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© 2016 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part. 21 E-business is any business that takes place digitally over a computer network E-commerce is electronic business exchanges and transactions Intranet is an internal communication system Extranet is an external communications system to share with other organizations
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© 2016 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part. 22
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© 2016 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part. Internet provides a direct link to customers around the clock all over the world Corporations are using Facebook fan pages and applications to engage customers Web sites can help drive more traffic into the stores and expand to new markets 23
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© 2016 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part. 24
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© 2016 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part. E-business strategies can increase productivity and cut costs Companies are using Twitter to forecast sales E-business can prompt significant productivity gains Service organizations are using the Internet to negotiate and save money 25
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