Introduction To Operations Management

Name: Vargas, Mary Grace L.
Subject Code: CBM 001
Course, Year and Section: BSA 2C

ACTIVITY 1: Introduction to Operations Management
OPERATION MANAGEMENT
Operations management is the branch of management which the

administration applies its best business practices in order to attain the maximize efficacy
and efficiency of the organization's resources. It is involved with transforming materials
and labor as economically as feasible into products and services in order to enhance
an organization's profit. Operations management teams strive to achieve the highest
net operational profit attainable by optimizing expenses and income.
HISTORICAL EVOLUTION OF OPERATION MANAGEMENT
The management of operations and production has been acknowledged as a

significant element in an economic development of the country for more than 200
years now. It was in the 18th century that Adam Smith recognized the economic
advantages of specialization in labor, and that was how the traditional concept of
manufacturing management was established. He advocated for the breaking down of
occupations into sub - tasks and the assignment of employees to specific tasks in which
they'll become highly efficient and productive. During the early 20th century, Frederick
W. Taylor expanded on Smith's ideas and pioneered the development of scientific
management. From then until 1930, several techniques were created that were superior
to the traditional viewpoint. From the 1930s through 1950s, the phrase "production
management" becomes widely accepted. As the work of Frederick W. Taylor became
much more generally acknowledged, managers aim to establish strategies that were
focused on economic efficiency in the manufacturing industry.
Workforce were observed and analyzed in great detail in order to minimize

wasted attempts and increase productivity. At the same time, psychologists, socialists,
and other social scientists started to investigate the behavior of individuals and how
they interact with one another in the workplace. In addition, economists,
mathematicians, and computer socialists made significant contributions that have
been advanced and more comprehensive in their analytical methods than prior eras.
The 1970s signify the beginning of two major shifts in our perspective. This has been
represented in the new classification operations management, which refers to a
change in the economy's manufacturing and service sectors, which was the most
apparent of these changes. As the service industry grew in significance, the change
from the term "production" to "operations" showcased the need to expand our area to
include enterprises that provide services. Further, more relevant shift was the beginning
of a concentrate on synthesizing in management strategies, instead of simply analysis,
which was much more appropriate for the times.
OPERATIONG MANAGEMENT AND SUPPLY CHAIN
Operational management seems to have been accountable for managing

inventory across the supply chain. To be a successful operations management
professional, one must thoroughly understand critical company processes and
guarantee that everything flows smoothly. In order to maximize the efficiency of the
company's operations, a complete analysis of logistics is important. A professional in
operations management is always aware of domestic and international trends,
consumer demands, and manufacturing material availability. Operations management
is concerned with utilizing resources and deploying manpower economically to fulfill
customer demands. A lot of emphasis is held on product availability to avoid overstock.
Operations management is responsible for selecting the most appropriate suppliers that
can delivers exceptional goods at a reasonable price. Distribution of products to
consumers is another essential part of operations management. This involves ensuring
that products are delivered within the stated period. Operations management also
follows up with customers to ensure the product satisfies their performance and
reliability expectations. Furthermore, operations management shares the input to each
department so they can use it to enhance their own processes making good progress.
SCOPES OF OPERATION MANAGEMENT AND DECISION MAKING
Most of the time, operations management is concerned with the processing of input
into material assets that can be used to meet the expectations of the customers. They
must achieve organizational effectiveness, efficiency, and flexibility in order to be
successful. Here are some scopes of operation management:
1. Facility Location
● The location of a facility is significant. Improper facility placement may
waste time and money. The factory's function is therefore based on
company growth. These include strategy, commodity diversity, supplier
change and natural products.
2. Material Handling
● It refers to the movement of materials. This is a manufacturing activity. The
first is specialization and process efficiency. Second, the preservation of
goods. The third benefit is improved distribution performance.
Lastly, reduces innovation and production expenses. New plant growth
and plant management need stock management.
3. Product Design
● Any company's strategy for sustainability and success includes new
product development. Innovating products is an organization's finest
choice. Marketing and branding, plant and creation, and manufacturing
are needed to identify the need for process take of commodities.
4. Process Design, Planning and Control
● Product design and innovation link promotion to customers' needs.
Process design options are crucial part. It assesses the process of
converting raw materials into final goods. After process design, planning is
the next phase where it specifies when or how the product will produced.
It also includes delivering products to the shops and tracks the final
output.
5. Quality Control
● A technique for preserving a product's quality. It is the systematic
monitoring of many variables affecting the output. Controlling quality
prevents issues from occurring. It also requires a strong feedback system
and an appropriate actions procedure.
6. Material and Maintenance Management
● It involves obtaining, controlling, and using resources. It also impacts the
manufacturing cycle distribution of goods and services. Machinery and
equipment play a vital role in the whole utilization. Idleness or downtime
costs a lot. Therefore, appropriate industrial equipment maintenance is
critical.
Making a decision can be characterized as the process of choosing the most

effective and efficient course of action from a set of available alternatives with the aim
of completing a preferred outcome. Decision-making plays a vital role in management.
Every decision may lead to different situations, it can lead your company to the top or
lead your company to its deepest down fall. The more you practice decision-
making skills that aim to reduce risk and increase benefit, the greater of a positive
impact you will have on those around you and the world. The ability to make good
decisions is the key to successful managerial performance.
References:
https://www.investopedia.com/terms/o/operations-management.asp
https://www.cheggindia.com/career-guidance/operations-management-definition-principles-strategies/
https://www.yourarticlelibrary.com/management/decision-making-management/decision-making-definition-
importance-and-principles-management/70038
https://theintactone.com/2018/02/21/om-u1-topic-2-historical-evolution-of-operations-management/

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Name: Vargas, Mary Grace L.

Subject Code: CBM 001

Course, Year and Section: BSA 2C

Operations management is the branch of management which the

HISTORICAL EVOLUTION OF OPERATION MANAGEMENT

The management of operations and production has been acknowledged as a

Workforce were observed and analyzed in great detail in order to minimize

OPERATIONG MANAGEMENT AND SUPPLY CHAIN

Operational management seems to have been accountable for managing

SCOPES OF OPERATION MANAGEMENT AND DECISION MAKING

Making a decision can be characterized as the process of choosing the most

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