Operations Week 2

Question 1

What is the importance of operations performance?

Answer 1

• OM is concerned with doing things better - make operations driver of improvement
• concerned with ‘process’ - relationship between process and outcome, if things go wrong - reputational damage lasts for years

Question 2

OM at the societal level

Answer 2

CSR

Question 3

What is the triple bottom line

Answer 3

Social People:
- customer safety from p+s
- employment impact of operations location
- employment implications of outsourcing
- repetitive or alienating work
- staff safety and workplace stress
- non exploitation of developing country suppliers

Environmental (Planet):

• recyclability of materials, energy consumption
• reducing transport-related energy
• noise pollution, fume and emission pollution
• obsolescence and wastage
• enviro impact of process failures
• recovery to minimise impact of failures

Economic (Profit):
- cost of producing products and services
- revenue from effect of quality, speed, dependability, flexibility
- effectiveness of investment in operations resources
- risk and resilience of supply
- building capabilities for the future

Question 4

Draw the diagram of OM at the strategic level

Question 5

OM at the operational level

Answer 5

Efficient - making best use of the resources at their disposal

Effectiveness - providing their customers with good value from goods and services they produce