Download Chapter One Managers and Management

12
Chapter
Operations
Management
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Learning Outcomes
• Define operations management and explain its
role.
• Define the nature and purpose of value chain
management.
• Describe how value chain management is done.
• Discuss contemporary issues in managing
operations.
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15.1
Define operations
management and
explain its role.
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Improving Productivity
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Service Firms vs. Manufacturing
Firms
Manufacturing firms
produce physical goods,
such as cars or food
products
Service firms produce
nonphysical outputs in the
form of services, such as
medical and transportation
services
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Improving Productivity
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Deming: Improving Mangers’
Productivity
The truly effective organization will increase
productivity by successfully integrating people
into the overall operations system.
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Operations Management and
Company Strategy
Successful organizations recognize the crucial
role that operations management plays as
part of the overall organizational strategy to
achieve and maintain global leadership.
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15.2
Define the nature
and purpose of
value chain
management.
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Value Chain Management
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Value Chain
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Goals of Value Chain Management
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Benefits of Value Chain Analysis
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15.3
Describe how value
chain management
is done.
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The Value Chain Management
Process
The dynamic, competitive environment facing
contemporary global organizations demands
new solutions.
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Successful Value Chain
Management
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Organizational Processes and
Leadership
1. Better demand forecasting
2. Select functions done collaboratively with other
partners in the chain
3. New measures needed for evaluating the
performance of various activities along the chain
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Employees and Human Resources
• Flexible job design
• Effective hiring process
• Ongoing training
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Obstacles to Value Chain
Management
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Impact of Cultural Attitudes
• Trust
• Control
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Capabilities and People
Capabilities:
• Coordination and collaboration
• Configuration that satisfies customers and suppliers
• Education of internal and external partners
People:
• Commitment
• Time
• Energy
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15.4
Discuss
contemporary
issues in managing
operations.
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Contemporary Issues
1.
2.
3.
Technology
Quality initiatives
Project management
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Quality Control
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Quality Goals
1.
2.
ISO 9000
Six Sigma
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Project Management
The task of getting project activities done on
time, within budget, and according to
specifications.
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Gantt Charts
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Load Charts
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PERT Network Analysis
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PERT in Action
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PERT in Action (cont.)
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