LESSON 1 Flashcards
referring to the activities of
manufacturing goods
PRODUCTION
Are purposeful action (or activities)
methodically done as part of a plan
of work by a process that is
designed to achieve practical ends
and concrete objectives
Operations
Deals with decision making
related to a production process 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.
Production
Management
As the process, whereby resources,
flowing with in a define system, are
combined and transformed by a
controlled manner to add value in
accordance with policies
communicated by management.
Operation Management
Consists of tactics such as scheduling,
work, assigning resources including
people and equipment, managing
inventories, assuring quality standards,
process-type decisions that include
capacity decision, maintenance policies,
equipment selection. Worker training
options, and the sequence for making
individual items in a product-mix set.
Operation Management
is defined as
the design, operation, and
improvement of the systems
That create and deliver the firm’s
primary products and
service
Production & Operations
Management (POM)
as a system/As a conversion or
Transformational process
Nature of Production Mgt.
as an organizational function/as a means
of creating utility
Nature of Production Mgt.
m is the core of a production
system because it consists of processes or
activities wherein workers, materials,
machines and equipment are used to
convert inputs into outputs.
conversion or transformation
subsystem
This is created by
changing the sixe,
shape, form, weight,
color, of inputs in order
to make the outputs
more useful to the
customer.
Form Utility
Changing the place of inputs or transporting the inputs from the source of their availability to the
place of their us to be converted into outputs
Place Utility
This is created by
storage or
preservation of raw
materials or finished
goods so that same
can be used at a later
time.
Time Utility
Created by
transferring the
possession or
ownership of an item
from one person to
another.
Possession
Utility
Created by
rendering some
service to the
customer.
(Ex. Doctor, Lawyer)
Services Utility
Created by
imparting
knowledge to a
person. (Ex. ads,
sales presentation)
Knowledge
Utility
- DYNAMIC
- TRANSFORMATIONAL PROCESS
- CONTINUOUS PROCES
- ADMINISTRATION
Nature of Operation Management
It deals with the
questions such
as “Where our
main operations
should be
based?
Location
Facilities
Deals with
conversion of
ideas into reality.
Introduce new
products as a
survival and
growth strategy
Product
Design
Physical
arrangement of
facilities - that
meets the required
output quality and
quantity most
economically.
Plan layout & Materials Handling
Concerned with the
acquisition, control
and use of materials
needed to flow of
goods and services
connected with the
production process
Materials
Management
Process of
planning the
production in
advance.
Production & Planning Control
A system that is
used to
maintain a
desired level of
quality in a
product r
services.
Quality
Control
- FINANCE
- OPERATION
- PRODUCT DESIGN
- STRATEGY
- MAINTAINING QUALITY
FUNCTIONS OF OPERATIONS
MANAGEMENT
