BU385 Chapter 1: Introduction to Operations Management
Document Summary
Operations management the management of activities and resources that create goods and/or provide services. Efficiency operating at minimum cost and time. Effectiveness achieving intended goals quality and timeliness. Functions must interact to achieve goals and objectives. Manages all activities directly related to producing goods or providing services. Responsible for the creation of an organization"s goods/services. Inputs are used to obtain finished goods/services by using one or more transformative processes: process a sequences of activities/operations (i. e. cutting, welding, and assembly) Activities related to securing funds at favourable prices and allocating those funds throughout the organization. Finance and operations management cooperate by exchanging information in activities such as: provision of funds funding of operations and timing of funding, economic analysis of capital investment proposals. Assessing customer wants and needs and communicating this to operations and product design: operations needs info about demand so it can plan accordingly, product design needs info that relates to improving current goods and services/designing new ones.
