Om Flashcards
(44 cards)
Science and art
OPERATION MANAGEMENT
Three Issues at the Core OM
Efficiency
Cost
Quality
What Do Managers Do?
Forecast
Supply Chain
Technology selection
Purchasing
Resource Capacity Management
Process Design
Job Design
Service Encounter Design
Scheduling
Job Positions in OM
Chief Operating Officer
Hotel and Restaurant Manager
Vice President of Manufacturing
Customer Service Manager
Plant Manager
Field Services Manager
Supply Chain Manager
Shelly Decker used OM Skills
Process design
Inventory Management
Scheduling
Quality Management
Ex. 2 Brooke Morgan used skills
Plan and Budgeting
Inventory Management
Scheduling and Capacity
Quality
Goods and Services
Goods- is physical product
Services- skills
Types of goods
Durable goods - last atleast 3 years
Non durable goods - perishable
Differences between Goods and Services
- Goods is tangible, services intangible
- Customers participate in many service processes, activities and transactions
- The demand for services is more difficult to predict than the demand of goods
- Services can’t be stored as physical inventory
- Services management skills paramount to a successful service encounter
- Services Facilities technically need to be closer to the customer
- Patents do not protect services
Integrates marketing
Service Management
Interaction between the customer and service provider
Service Encounter
Set of tangible
Customer Benefit Package
Is the “core”
Primary goods
Not essential to the primary goods
Peripheral goods or services
Ground floor of every organization
Value Creation
Network between company and its suppliers
Supply Chain
Series of businesses
Distribution chain
Business model that describes the full range of activities
Value Chain
General Components of a Value Chain
Primary Activities
• Inbound Logistics
• Operations
• Outbound Logistics
• Marketing sales
• After Sale Service
General Components of a Value Chain
Secondary Activities
• Procurement
• Human Resource Management
• technological Development
• Firm Infrastracture
Operations in the business organization
Primary Activites
Undertaken to support the value chain creation activities
Secondary Activities
Process in which historical sales data is used to develop an estimate of an expected forecast of customer demand.
Demand Forecasting
Types of Demand Forecasting
• Active Demand Forecasting
• Passive Demand Forecasting
• Short term Demand Forecasting
• Medium to Long Term Forecasting
• External Macro Level Demand Forecasting
• Internal business Level Demand Forecasting
