operations management Flashcards
two main objectives of operations management
improve productivity, improve business competitiveness
define operations
where the product or service is produced and plays a major role in the achievement of business objectives.
what is productivity
the overall measure of an organisations ability to transform inputs into outputs.
relationship between operations and productivity
the more efficient an organisation is in turning inputs into outputs, the higher the rate of productivity.
how operations improves productivity
operations manager must ensure the most efficient use of the organisations inputs, to get the highest output possible.
what do operations management strategies focus on
tech developments, materials management, quality and waste minimisation.
what is business competitiveness
an organisations ability to match or better its rivals in a given market. they can compete on costs, quality, delivery, speed and flexibility.
relationship between operations and business competitiveness
managers try to gain a competitive advantage by increasing productivity.
how do operations managers compete on cost
eliminating waste
how do operations managers compete on quality
reducing number of defects in production of a good or number of goods and services.
how do operations managers compete on speed
quickly getting the product or service to the customer.
relationship between operations and business objectives
to complete business objectives, operations must produce a product that consumers will purchase, create a quality product at a competitive price, and can be delivered in a timely manner.
strategy to make a profit
implement new technology into the process
strategy to increase market share
check that the products produced are not faulty
strategy to meet shareholder expectations
create a website for customers to purchase goods and services
