PRODUCTION AND OPERATIONS MANAGEMENT Ch 1 Operations and

PRODUCTION AND OPERATIONS MANAGEMENT Ch. 1: Operations and Productivity SUMMARY POM - J. Galván 1

BASIC POINTS n n Definition of operations management Equilibrium between • Time • Cost • Quality • Flexibility Importance of OM OM managers tasks • Plan • Organize • Staff • Lead • Control POM - J. Galván 2

BASIC POINTS (II) n n n Action areas of OM managers TASKS-AREAS MATRIX OM in different industries Characteristics of goods and services Challenges of OM Productivity • Definitions • Ways to measure it • Productivity in manufacturing and services POM - J. Galván 3

QUESTIONS n n What is production management? Discuss the major shortterm decisions of production management. Which of the following statements would you choose as your own if you are the Op. Man of a company? • I can produce anything you ask me to, with the best quality in the market and at the lower cost • I can produce for tomorrow, with the best quality any number of units you demand • I can produce very quickly at the lower cost any number of units you demand • I can launch a quick production of a limited lot of low cost products with a high quality score n n In relation with human resources, as an area heavily influencing OM, illustrate the tasks of managers when Planning. Organizing, Staffing, Leading and Controlling Imagine you create a new small software company producing computer games. Describe the role of the operations manager POM - J. Galván 4

QUESTIONS (II) n n How could you define the productivity of a student? Could you define any measure of the productivity of educational institutions Unions like to index salaries with the cost of living, but employers like better to index it to labor productivity. Discuss the possible effects and fairness of both alternatives Define production operations management in your own words. Will your definition accommodate both manufacturing and service operations? Consider the potential contribution of information sciences to P/OM. Why is the management of information of such great importance in the management of "production"? POM - J. Galván 5

QUESTIONS (III) n n n The marketing, operations, and finance accounting functions can be outlined. Prepare a chart outlining the same functions for: • a large metropolitan newspaper • a local drugstore • a college library • a local service organization (Boy Scouts, Girl Scouts, Rotary International, Lions, Grange etc. ) • a doctor's or dentist's office • a jewelry factory Identify three disciplines that will contribute in a major way to the future development of P/OM. What departments might you find in the P/OM function of a home appliance manufacturer?

QUESTIONS (IV) n n n Organizations that produce something other than physical products are called • Transformation organizations • Data transfer groups • Service organizations • Cultural organizations Which of the fo llowing is NOT a characteristic of service operations • Intangible output • Perishable products • Labour intensive • Low customer contact What would be the productivity if 9 workers installed 650 square yards of carpeting in 6 hours? • 12. 03 square yards/hr • 72. 20 square yards/hr • 108. 30 square yards/hr • 5850 square yards/hr

THIS IS PRODUCTIVITY! POM - J. Galván 8