Tata McGraw CHAPTER 1 Introduction to the Field. Chapter 1 Introduction to the Field.

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Presentation transcript:

Tata McGraw CHAPTER 1 Introduction to the Field

Chapter 1 Introduction to the Field

What is Operations and Supply Management? Why Study Operations Management? Transformation Processes Defined Differences between Services and Goods The Importance of Operations Management Historical Development of OM Current Issues in OM OBJECTIVES 1-3

What is Operations and Supply Management? Operations and Supply Management (OM) is defined as the design, operation, and improvement of the systems that create and deliver the firm’s primary products and services 1-4

Why Study Operations Management? Business Education Systematic Approach to Org. Processes Career Opportunities Cross-Functional Applications Operations Management 1-5

What is a Transformation Process? Defined A transformation process is defined as a user of resources to transform inputs into some desired outputs 1-6

Transformations Physical--manufacturing Locational--transportation Exchange--retailing Storage--warehousing Physiological--health care Informational--telecommunications 1-7

Operations and Supply Management Supply Chain Processes Sourcing Processes Manufacturing Processes Service Processes Distribution Processes Logistics Processes Logistics Processes 1-8

What is a Service and What is a Good? “If you drop it on your foot, it won’t hurt you.” (Good or service?) “Services never include goods and goods never include services.” (True or false?) 1-9

The Goods-Services Continuum 1-10

Historical Development of OM JIT and TQC Manufacturing Strategy Paradigm Service Quality and Productivity Total Quality Management and Quality Certification 1-11

Historical Development of OM (cont’d) Business Process Reengineering Six-Sigma Quality Supply Chain Management Electronic Commerce Service Science 1-12

Current Issues in OM Coordinate the relationships between mutually supportive but separate organizations. Optimizing global supplier, production, and distribution networks. Increased co-production of goods and services 1-13

Current Issues in OM (cont’d) Managing the customers experience during the service encounter Raising the awareness of operations as a significant competitive weapon 1-14

End of Chapter