According to me, Operation management seems to be a complex and wide subject. Nonetheless, it is precise and very useful. Anyway, it has endured many changes during the past centuries. Operation management concerns every part of the consumption society. It is the link between all the different parts of the process within a firm that makes goods or services. Actually, the Operations Manager must always keep in mind the effectiveness and the efficiency of the different processes in the organization. His goal is to optimize those variables in the organization. It is important not to reduce Operation Management to the simplistic act of creating a good or service. After being created, the product must be designed, rearranged, such as the layouts, the inventory, etc. Therefore, the Operations Manager has to work with different services of its company such as the Account Department or the Marketing Department because the product must be conformed to lots of criteria and match the demand in order to make profits and remain competitive. For those reasons, Operations Management could appear complex to define because it is a vague and wide subject. Today, what are the changes and implications of the Operation Management?
[...] Choosing the location is essential in the development of a company. It enables a certain influence in the country and a competitive advantage. The importance of the plants location depends on the specialization of the firm. For example, it would be vital, for an hotel to be in the most suitable place. Basically, the more powerful the company is, the more plants it would have in several countries. A good location could help the firm to make more profits and to have a strong influence worldwide. [...]
[...] Therefore; it can increase the output price. A higher price will led to more profits and more machines so it gains a better productivity (old machines can be replaced which avoids too much waste and breakdowns). Thus the company becomes efficient. On the long run, a quality strategy is really profitable for everybody: the customer and the supplier. Nevertheless, it is not that simple. Nowadays, it exists lots of quality standards and controls such as the ISO norms which requested an acceptable quality level to allow the product to be on the market. [...]
[...] Through many changes such as globalization, new customers' expectations and the growth of services, Operations Management has had to change deeply and work on the way a company has to be run. What has made the Operations managers to face these different changes? II implications for Operations Management What about quality? After having focused their attention on the production, Operations Managers started to focalize on customer's needs. They started to analyze those needs and realized that the main expectation was the quality. [...]
[...] Changes of Operations Management The concept of Operations Management came into existence with Adam Smith (in 1776) and the division of labor. But it seems that it was Taylor who had really invented Operations Management in the early 1900s with scientific management. Taylor thought that to improve work methods and productivity, the management was the key. He contributed to the reduction of costs and time and the improvement of production with Henry Gantt (who invented the Gantt Chart) and Lillian Gilbreth (who worked on the motion and time science). [...]
[...] It has a huge implication in the changes in Operations Management because it enables more potential customers, more impact of the firm but it means also more competitors, various cultures (hence different customs and different buying approaches), etc. Due to globalization, the firm must readapt itself entirely. It must redefine everything: product, design, customers, buying approaches, place, price . In order to optimize this readjustment, Operations Manager must also be flexible. Customers' expectations Due to globalization, customers' expectations have changed. [...]
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