Lesson 4. Operations Management Flashcards
It is about the enterprise production and delivery system, from sourcing of
raw materials to transformation into final goods and delivery to the end consumers. It is not only
concerned on the goods or services being offered, but also on the clients, quality and price.
Operation management
Includes doing basic research about the customers’ socio-demographic characteristics, income
bracket, geographic characteristics, cultural background, religion.
Client Profiling
Major/ minor characteristics of the product/ service. Insights about what the customers really want, appreciate, buy or pay in the product/ service. Providing information campaigns through advertising, packaging.
Product/ Service Profiling
Customers pay for value, price strategy, product or service must have the competitive advantage by offering unique features.
Quality and Price Determination
Refers to translation of outputs into outcomes (right strategies, programs, activities in accordance to the vision and mission of the enterprise). Product/ service is positioned rightly in the most appropriate market segment.
Delivery System
Otherwise known as the throughput system
Transformation process
Considered efficiency in time,
movement and utilization of resources, planned production capacity to ensure balanced
production line.
Operating work system or operating work flow. (OWS/OWF)
Appropriately designed workplace and shop floor.
Layouting
Main focus of operations management because it is concerned with market demand, capital investment, product line profitability, product and market segmentation
Production Programming and Scheduling (PPS)
Must be in every step of the transformation process. It must also encompass
physical and human resources, procedural requirements from input to output.
Quality Control
Refers to the standard way of running the business. This is based on the conceptual and operational learning of an enterprise.
The Operating Systems and Procedures (OSP)
Based on the principles of efficiency, economy and
effectiveness in the use of machine, men and materials.
Operations supervision and control
Concerned not only within but also the external linkages of the organization, keeping good relations and communication with the agencies
Support services
