OPERATION MANAGEMENT: Reviewer

Operation Management with TQM (Lecture)

(Operation Management) (BSA-1113) | PROF. (Elvin Comia) | SEM 1 2022

human resources and all

Question and Answer the things we need to
produce an output
What is Operations Management? ○ Transformation - in this
➢ a process which we are . able to process, physical change,
oversee and look at the operation chemical change and
or the processes that is occurring interaction with human and
in the business firms. raw materials. (undergo a
➢ to handle, to see, to overlook certain process)
○ Output - (when the process
What are the three primary department is done in transformation) it
that composes a business organization? can be goods or services.
○ marketing department,
operations department, and ➢ Customer’s Feedback - after this
finance department the cycle is repeated.

What is the main role of operations What are the differences between service
management? and manufacturers?
○ responsible in handling all
the operation that is Service - requires talent and skills of a
occurring in the business specific individual or employee.
organization. ➢ More on intangible goods.
➢ No Inventory.
Manufacturers - more on tangible goods.
➢ There’s a recording period for the
natitirang product.

What are the similarities of service and

manufacturers?
○ Both source of income,
beneficial to the customers,
it plays an important role in
○ Input, Process, and the
our lives.
Output.
○ Input - this is where we can
se the raw materials,

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OPERATION MANAGEMENT: Reviewer
Operation Management with TQM (Lecture)
(Operation Management) (BSA-1113) | PROF. (Elvin Comia) | SEM 1 2022

What are the two types of decision? needed and the other resources.
○ Strategic and Tactical While in CRM it’s important to
establish a relationship with the
Example of strategic and tactical consumer of the product because
decision. sila ang tatangkilik. (idk kung tama)
○ Strategic - pangmatagalan Para din maging sustainable ang
na decision. The decision business.
will not change in a short
period of time. It is a long Increase cross-functional decision
term decision. making.
○ Tactical - Quick decision, ○ decision under marketing,
on a day to day basis. finance, and operation
department.
○ These three department is
Customers demand better quality, connected kaya the
greate speed and lower cost. decision of each
department should be
Companies Implementing lean-system consulted with other
concepts. department because every
➢ L-SC - we are making more out of decision can affect each
the less. department The decision
➢ Walang masasayang sa mga with each department
excess na raw materials because should meet halfway.
lahat ay magagamit.
What is the main role of marketing
Recognized needs to better manage department?
information using ERP and CRM systems. ○ They are responsible in
➢ ERP - Enterprise Resource promoting the products in
Planning order para makilala yung
➢ CRM - Customer Relationship product ng business. It’s
Management important to increase sales.
➢ ERP and CRM is important
because in ERP it is hard to What is the main role of the Finance
produce a product if you don’t Department?
know what is the raw materials

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OPERATION MANAGEMENT: Reviewer
Operation Management with TQM (Lecture)
(Operation Management) (BSA-1113) | PROF. (Elvin Comia) | SEM 1 2022

○ They are the one who have ○ paperworks in order for the
the money of the business. business to be legal?
Anything related to money.
What is plant location?
What is the main role of Operations ○ Selection of site for the
Department? business.
○ Overlook in the processes,
operations, transactions Criteria in selecting a location.
that is happening inside the ❖ Natural or Climactic Condition
organization. ➢ Excess heat or cold may let
○ More on processes in order employee feel uncomfy if
to produce a product. the temperature in the
location is not good.
➢ Capital
○ Initial investment or money ❖ Nearness to sources of raw
of a business in order to materials.
start a business. ➢ Distance from the supplier
of raw materials. Because if
➢ Infrastructure malayo there’s a tendency
○ more on building na mabawasan ang quality
ng raw material.
➢ Labor
○ workload of a workers ❖ Transport Cost.
➢ Product ➢ It’s important to consider
○ goods that the businesses this because if you have
is providing that the many things to transport
customers are buying from one location to plant
➢ Location location it’ll be too much
○ where is your business or transportation expense.
entity is located
➢ Supply ❖ Access to market.
○ materials that we uses in ➢ It’s important to find a
order to produce a product. location where it can be
➢ Government Policy easily access by people.
Because kapag wala

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OPERATION MANAGEMENT: Reviewer
Operation Management with TQM (Lecture)
(Operation Management) (BSA-1113) | PROF. (Elvin Comia) | SEM 1 2022

masyadong tao sa place ➢ Choosing the state is an

hindi magiging profitable important factor in order to
ang business. set up in new industries.

❖ Availability of infrastructural ❖ Safety and Security

facilities. ➢ The owner and employees
➢ Basic infrastructure safety can’t be
facilities like power, water, compromised especially if
waste disposal, etc. should the business is operating at
be considered in choosing night.
a location.
➢ Water - should be available ❖ Government Influences
in adequate quantity and ➢ The federal government
proper quality. and state government in
➢ Disposal of waste - our nation provide a
sometime it’s becoming a package of incentives in
problem like sa mga specific places in order to
chemical, so plant location have a balanced regional
have a proper provision for growth of industries.
this daw. ➢ The package may include
soft loan from financial
❖ Availability of skills and institution (?) exemption
non-skilled worker. from sales taxes, and
➢ The skilled and non-skilled subsidy for electricity cost,
worker should be near the etc.
plant location. ➢ Concerning labor laws,
building codes, safety, etc.
❖ Financial Institution Nearby are the factors that demand
➢ In order to attract attention.
investments and large
scale industry at various ❖ Define Plant Layout
scales, offer loans subsidy ➢ refers to the physical
benefits and sales tax arrangement of production
exemption. facilities, floor plan of

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OPERATION MANAGEMENT: Reviewer
Operation Management with TQM (Lecture)
(Operation Management) (BSA-1113) | PROF. (Elvin Comia) | SEM 1 2022

physical facilities na machines that are

ginagamit sa production. performing similar types of
➢ If the plant layout is not operation are grouped in
organized the process of one location in the process
making a product will take layout.
longer than expected.
❖ Combination Layout
❖ What is the primary goal of a ➢ process and product layout
plant layout? ➢ possible where an item is
➢ The primary goal of a plant being made in different
layout is to maximize the types and sizes. Here
profit by arrangement of all machinery is arranged in a
the plant facilities to the process layout but the
best advantage of total process grouping is then
manufacturing of the arranged in a sequence to
product. Less hassle if the manufacture various types
plant layout is good. and sizes of products.

❖ Product Layout ❖ Fixed-Position Layout

➢ In this type of layout, ➢ also called the project type
machines and auxiliary of layout.
services are located ➢ In this type of layout, the
according to the processing material, or major
sequence of the product. components remain in a
fixed location and tools,
❖ It is selected when the machinery, men and other
volume of production of a materials are brought to
product is high such that a this location.
separate production line to ➢ Ex. making an airplane
manufacture it can be
justified. ❖ Service Layout
➢ These service layouts
❖ Process Layout follow conventional layouts
➢ It is recommended for as required.
batch production. All

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OPERATION MANAGEMENT: Reviewer
Operation Management with TQM (Lecture)
(Operation Management) (BSA-1113) | PROF. (Elvin Comia) | SEM 1 2022

➢ For example, for car way as to keep the central

service stations, product nervous system and the
layout is adopted, where internal organs at a
the activities for servicing a constant temperature.
car follows a sequence of
operation irrespective of the ❖ Ventilation
type of car. ➢ Replace the contaminated
air with fresh air so that the
What are the factors that need to be employees will have fresh
considered in physical facilities? air.
❖ Factory Building
➢ most important for every ❖ Work related welfare facilities
industrial enterprise. ➢ Work-related welfare
➢ Building is like the skin and facilities offered at or
bones of a living body for through the workplace can
an organization. It is for be important factors.
these reasons that the Some facilities are very
factory building acquires basic, but often ignored,
great importance. such as drinking-water and
toilets.
❖ Lightning
➢ Does the workplace need
to have good lighting in
order for the employees to
do the job effectively, nicely,
and well? char

❖ Climatic Condition
➢ With excess heat or cold,
workers may feel very
uncomfortable, and their
efficiency drops. In
addition, this can lead to
accidents. This human
body functions in such a