Operations Management in a Firm

Activities related to the creation of goods and services through the transformation of inputs into outputs.

The planning, scheduling, and control of activities that transform inputs into finished goods and services.

A group of interrelated, interdependent, or interacting elements forming a collective entity.

To learn how people organize for production, understand goods/services production, know operations managers' roles, and recognize OM's cost impact.

It is crucial to study Operations Strategy as an interdependent function with the rest of the firm.

Eli Whitney invented machines with interchangeable parts, revolutionizing manufacturing, impacting the North American industry.

Charles Babbage is known for the benefits of division/specialization of labor, building analytical machines with mechanical parts using punch cards.

Frederick W. Taylor's ability helped move immediately to direct workshop machinery, where he acquired the idea of analyzing work, breaking it down into simple tasks, timing these tasks, and demanding workers carry out tasks at the right time.

Henry Gantt focused on controlling & planning productive operations via graphic techniques, including Gantt charts for activity planning.

Henry Ford created the Ford Motor Company and Sequential assembling line. The sequential assembling line led to increased productivity, standardization and cost reduction. Increase of wages, Cheap cars and good quality.

Walter Shewhart is the creator of dashboards, the initial step towards the formulation of a scientific base to ensure economic control.

Edwards Deming developed what is known as the cycle of Deming, which consists of 4 points, which are: "Plan, Do, Check, Act".

Eliyahu M. Goldratt discovered the theory of constraints and popularizing the concept of bottleneck.

William Ouchi studied the differences between Japanese and American companies and management styles, summarizing findings in Theory Z.

Product Design, Process Selection, Logistics, Warehousing, Location of facilities, Capacity, Facility Layout, Purchasing, Inventory, Scheduling Production

The operations field in a firm includes answering: What is operations management, Why study OM, OM history, OM decisions and objectives

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A set of decisions an organization makes regarding the production and delivery oof its goods. Works with its overall business strategy and helps to achieve the business' long term goals and improve competitiveness in the marketplace

1. Designing the production system 2.Inventory operations
2. optimum use of production facilities 4.Technology and process selection
3. Resource allocation 6.Supply chain management