Chapter 1 Flashcards
What is operations
part of a business organization that is responsible for producing goods or services
define operations management
the management of systems or processes that create goods and/or provide services
Goods
physical items that include raw materials, parts, subassemblies, and final products
services
activities that provide some combination of time, location, form or psychological value
supply chain
a sequence of activities and organizations involved in producing and delivering a good or service
which 5 are involved in the supply chain
suppliers’s suppliers
direct suppliers
producer
distributor
final customers
feedback vs control
feedback: measurements taken at various points in the transformation process
control: comparison of feedback against previously established standards to determine if corrective action is needed
Goods-service continuum
products are typically neither purely service or purely goods based
Overlap functions in finance & operations
- budgeting
- economic analysis of investment proposals
- provision of funds
marketing & operations
- demand data
- product and service design
- competitor analysis
- lead time data
operations function consists of all activities directly related to
producing goods or providing services
system design involves
- capacity
- facility location
- facility layout
- product and service planning
- acquisition and placement of equipment
System operation consists:
- management of personnel
- inventory management and control
- scheduling
- project management
- quality assurance
model
an abstraction of reality, a simplification of something
__ information may be emphasized at the expense of _____ information
quantitative, qualitative
