MGTA01H3 Chapter 1: MGTA03 Chapter 1.doc

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16 Apr 2013
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MGTA01H3 Full Course Notes
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MGTA01H3 Full Course Notes
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Document Summary

Service operations: production activities that yield tangible and intangible service products. Goods operations: production activities that yield tangible products. Operation (production) management: the systematic direction and control of the processes that transform resources into finished goods. They are ultimately responsible for creating utility for customers. Production managers: managers responsible for ensuring that operations processes create value and provide benefits. As demand increases, they must schedule and control work to produce amount required. Meanwhile they must control costs, quality levels, inventory, and plant and equipment. An example of a production manager who does not work in a factory is a farmer (converting soil, seeds, human labour and gas into agricultural products, livestock and related products (eggs, milk). They have the option of employing many workers to help them with the work, or use automated machinery in order to do most of it for them. Inputs: land, tractors, equipment, labour, buildings, fertilizer, farmer"s management skills.

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