B A 360 Chapter Notes - Chapter 1: Operations Management, Human Resources, Knowledge Society
Document Summary
Production: is the creation of goods and services. Operations management (om): the set of activities that creates value in the form of goods and services by transforming inputs into outputs. Three main functions of all organizations: 1) marketing (generates demand) 2) Production/operations (creates the product) 3) finance/accounting (tracks how well the org is doing, pays the bills, and collects the money) Through these three functions, value is created for the customer. Often rely on a variety of suppliers from raw materials to accounting services; together, they make the supply chain: a global network of organizations and activities that supply a firm with goods and services. Specialization along the chain, and collaboration, adds value. 1) one of the three major functions, study how people organize themselves for productive enterprise. 2) we want to know how goods and services are produced. 4) it is such a costly part of an organization.
