08MBA33 - OPERATIONS

MANAGEMENT

Presented By

Mrs.Priya .P
Various decisions to be made
for production and operation
management
1.Strategic Decisions
2.Operating Decisions
3.Control Decisions
•
•
Type of Area of Nature of Activities
Decisions
Strategic Involvement
Production Developing long range
Decisions Processes
2. Production production
Selecting and plans
managing
(Planning Technology including
production process design.
Products, 3. Facility Layout Planning thetechnology.
arrangement of
Processes and 4. Allocating facilities.
Planning for the optimal
Facilities) Resources to Strategic
5. Long Range distribution
Answering the of scarce resources
"how much'
Alternatives
Capacity Planning and among product
and "where” lines orabout
questions
Facility Location business
long rangeunits.
production
capacity.
Type of Area of Nature of Activities
Decisions
II. Operating Involvement
1. Production Aggregate planning and
Decisions Planning system Planning
2. Independent master production
and controlling
(Planning 3demand
.Resource scheduling
Inventory finished
Planning goods
materials and
Production to Requirements
system inventories
capacity requirements
. .
Meet Demand) Planning
Systems
4.Shop Floor Short range decisions
Planning and
5.Materials about whatall
Managing tofacts
produce
of and
Control
Management when to produce
materials system.at each
work centre.
Type of Area of Nature of Activities
Decisions
III. Control Involvement
1. Productivity Planning for the
Decisions 2and Employees
. Total Quality effectiveand
Planning and
(Planning and Control
3. Project efficient
controllingusetheof
Planning and
Controlling Planning and human resources
quality of products
controlling in .
projects
Operations) Control operations
and services
. .
4Techniques
. Maintenance Planning for
Management and maintaining the
Reliability machines and
facilities of
production.
 Characteristics of Modern Production and
Operation Function

1.Manufacturing as competitive advantage

2.Service orientation
3.Disappearance of Smokestacks
4.Small has become beautiful
Various steps involved in
strategic management
1.Analyse the opportunities and threats or
constraints that exist in the external
environment
2.Formulating strategies which matches the
organisations strength and weakness with the
environments' threats and opportunities
3.Analyse deviations from acceptable tolerance
limit
4.Execute modifications where ever necessary
 S tra te g y E va lu a tio n
1.Establishing performance targets, standards and
tolerance limits for the objectives, strategies and
implementation plans
2.Measuring the performance in relation to the targets at
a given time
3.Analyse deviations from acceptable tolerance limit
4.Execute modifications where ever necessary
Operation strategies – Part of Business strategies
 Elements of operation strategies
1.Positioning the production system
2.Focus of factories and service facilities
3.Product / service design and development
4.Technology selection and process development
5.Allocation of resources to strategic alternatives
6.Facility planning, capacity, location and layout
 Importance of Strategic Management
1.It allows for identification, prioritisation, and
exploitation of opportunities.
2.It provides an objective view of management problems.
3.It represents a framework for improved co-ordination
and control of activities.
4.It minimises the effects of adverse conditions and
changes.
5.It allows major decisions to better support, established
objectives.
6.It allows more effective allocation of time and resources
to identified opportunities.
7.adhoc decisions.
8.It creates a framework for internal communication
among personnel.
9.It helps to integrate the behaviors of individuals into a
total effort.
10.It provides a basis for the clarification of individual
responsibilities.
11.It gives encouragement to forward thinking.
12.It provides a co-operative, integrated and enthusiastic
approach to tackling problems and opportunities.
13.It encourages a favorable attitude towards change.
14.It gives a degree of discipline and formality to the
management of a business.
Thank You