operations management mgt 314management.unk.edu/mgt314/chapter_1_operations...3 ment operations -mgt...

26
1 Operations Management MGT 314 Dr. Ron Konecny West Center 249W Office Hours: M,W 10:00 11:30, 1:30-2:30 Phone: 865-8366 email : [email protected] website: http://management.unk.edu

Upload: haque

Post on 21-Apr-2018

265 views

Category:

Documents


4 download

TRANSCRIPT

Page 1: Operations Management MGT 314management.unk.edu/mgt314/Chapter_1_Operations...3 ment Operations -MGT 334 Intermediate Statistics -MGT 415 Quality Management Concepts and Practice -MGT

1

Operations Management

MGT 314

Dr. Ron Konecny

West Center 249W

Office Hours: M,W 10:00 – 11:30, 1:30-2:30

Phone: 865-8366

email : [email protected]

website: http://management.unk.edu

Page 2: Operations Management MGT 314management.unk.edu/mgt314/Chapter_1_Operations...3 ment Operations -MGT 334 Intermediate Statistics -MGT 415 Quality Management Concepts and Practice -MGT

2

Required Course Materials

Operations & Supply Chain Management 13th Edition or 14th Edition

Chase, Jacobs, Aquilano

McGraw-Hill Publishers

Microsoft Excel 2013 or 2012

Page 3: Operations Management MGT 314management.unk.edu/mgt314/Chapter_1_Operations...3 ment Operations -MGT 334 Intermediate Statistics -MGT 415 Quality Management Concepts and Practice -MGT

3

Man

ag

em

en

t

Operations

-MGT 334 Intermediate Statistics

-MGT 415 Quality Management Concepts and Practice

-MGT 425 Operations Research

-MGT 490 Seminar in Organizational Behavior

Human Resource Management

-MGT 410 Compensation Management

-MGT 411 Labor Relations

-ACC 412 Employment Law

-MGT 485 Seminar in Human Resources Management

Small Business Management

-MGT 370 Small Business Management

-MGT 489 Business Consultantship

-MGT 494 Entrepreneurship

-MGT 485 or BMGT 490

Page 4: Operations Management MGT 314management.unk.edu/mgt314/Chapter_1_Operations...3 ment Operations -MGT 334 Intermediate Statistics -MGT 415 Quality Management Concepts and Practice -MGT

4

Chapter 1

Introduction to

Operations Management

Page 5: Operations Management MGT 314management.unk.edu/mgt314/Chapter_1_Operations...3 ment Operations -MGT 334 Intermediate Statistics -MGT 415 Quality Management Concepts and Practice -MGT

5

Operations Management

Transformation Processes

Operations as a Service

The Importance of Operations Management

Current Issues in OM

OBJECTIVES

Page 6: Operations Management MGT 314management.unk.edu/mgt314/Chapter_1_Operations...3 ment Operations -MGT 334 Intermediate Statistics -MGT 415 Quality Management Concepts and Practice -MGT

6

What is Operations Management?

Operations management (OM) is defined

as the design, operation, and improvement

of the systems that create and deliver the

firm’s primary products and services.

Page 7: Operations Management MGT 314management.unk.edu/mgt314/Chapter_1_Operations...3 ment Operations -MGT 334 Intermediate Statistics -MGT 415 Quality Management Concepts and Practice -MGT

7

What is a Transformation Process?

A transformation process is defined as a

user of resources to transform inputs into

some desired outputs

Inputs Outputs

Page 8: Operations Management MGT 314management.unk.edu/mgt314/Chapter_1_Operations...3 ment Operations -MGT 334 Intermediate Statistics -MGT 415 Quality Management Concepts and Practice -MGT

8

Transformations

Physical--manufacturing

Locational--transportation

Exchange--retailing

Storage--warehousing

Physiological--health care

Informational--telecommunications

Page 9: Operations Management MGT 314management.unk.edu/mgt314/Chapter_1_Operations...3 ment Operations -MGT 334 Intermediate Statistics -MGT 415 Quality Management Concepts and Practice -MGT

9

Healthy Individuals Typical Desired Output

Health care, physiological Primary Transformation

MDs, nurses, medical supplies, equipment Resources

Patients

Primary Inputs

Hospital System

Page 10: Operations Management MGT 314management.unk.edu/mgt314/Chapter_1_Operations...3 ment Operations -MGT 334 Intermediate Statistics -MGT 415 Quality Management Concepts and Practice -MGT

10

Educated Individuals Typical Desired Output

Imparting knowledge and skills Primary Transformation

Professors, library, classrooms, dorms Resources

High School Graduates

Primary Inputs

University System

Page 11: Operations Management MGT 314management.unk.edu/mgt314/Chapter_1_Operations...3 ment Operations -MGT 334 Intermediate Statistics -MGT 415 Quality Management Concepts and Practice -MGT

11

Satisfied Customers Typical Desired Output

Well-prepared, well-served food; pleasant

experience

Primary Transformation

Food, chef, waiters, ambiance Resources

Hungry customers

Primary Inputs

Restaurant System

Page 12: Operations Management MGT 314management.unk.edu/mgt314/Chapter_1_Operations...3 ment Operations -MGT 334 Intermediate Statistics -MGT 415 Quality Management Concepts and Practice -MGT

12

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?)

Page 13: Operations Management MGT 314management.unk.edu/mgt314/Chapter_1_Operations...3 ment Operations -MGT 334 Intermediate Statistics -MGT 415 Quality Management Concepts and Practice -MGT

13

Business/Company

Synergies must exist with other functional areas of

the organization. Operations account for 60-80% of

the direct expenses that burden a firms profit.

The Importance of Operations Management

Page 14: Operations Management MGT 314management.unk.edu/mgt314/Chapter_1_Operations...3 ment Operations -MGT 334 Intermediate Statistics -MGT 415 Quality Management Concepts and Practice -MGT

14

Operations

Plant Manager Operations

Manager

Director

Manufacturing, Production control, Quality assurance,

Engineering, Purchasing, Maintenance, etc

Finance Marketing

OM in the Organization Chart

Page 15: Operations Management MGT 314management.unk.edu/mgt314/Chapter_1_Operations...3 ment Operations -MGT 334 Intermediate Statistics -MGT 415 Quality Management Concepts and Practice -MGT

15

OM Time Horizons

Strategic decisions

Capacity, New facilities/locations

Tactical decisions

What quantity of labor and raw materials are

needed? When needed?

Operational planning and control decisions

Task assignment, job scheduling

Page 16: Operations Management MGT 314management.unk.edu/mgt314/Chapter_1_Operations...3 ment Operations -MGT 334 Intermediate Statistics -MGT 415 Quality Management Concepts and Practice -MGT

16

Basic Concepts of Decision Making

Efficiency

doing something at the lowest possible cost.

“maximum output for minimum input”

Effectiveness

Doing the right things to create the most value

for the company

Value – best quality for the price (quality/price)

Page 17: Operations Management MGT 314management.unk.edu/mgt314/Chapter_1_Operations...3 ment Operations -MGT 334 Intermediate Statistics -MGT 415 Quality Management Concepts and Practice -MGT

17

Basic Concepts of Decision Making

Who determines quality?

The customer

The perception of value is in the eyes of?

The customer

Does price have to be low for value to be high?

No! BMW, Rolex, Harley Davidson, iPhone

Page 18: Operations Management MGT 314management.unk.edu/mgt314/Chapter_1_Operations...3 ment Operations -MGT 334 Intermediate Statistics -MGT 415 Quality Management Concepts and Practice -MGT

18

Core services are basic things that

customers want from products they

purchase.

Core Services Defined

Page 19: Operations Management MGT 314management.unk.edu/mgt314/Chapter_1_Operations...3 ment Operations -MGT 334 Intermediate Statistics -MGT 415 Quality Management Concepts and Practice -MGT

19

Core Services Performance Objectives

Operations

Management

Quality

Price (or cost

Reduction)

Flexibility Speed

Page 20: Operations Management MGT 314management.unk.edu/mgt314/Chapter_1_Operations...3 ment Operations -MGT 334 Intermediate Statistics -MGT 415 Quality Management Concepts and Practice -MGT

20

Mass customization

Page 21: Operations Management MGT 314management.unk.edu/mgt314/Chapter_1_Operations...3 ment Operations -MGT 334 Intermediate Statistics -MGT 415 Quality Management Concepts and Practice -MGT

21

Value-added services differentiate the

organization from competitors and build

relationships that bind customers to the firm

in a positive way

Value-added Services Defined

Page 22: Operations Management MGT 314management.unk.edu/mgt314/Chapter_1_Operations...3 ment Operations -MGT 334 Intermediate Statistics -MGT 415 Quality Management Concepts and Practice -MGT

22

Value-Added Service Categories

Operations

Management

Problem

Solving

Field

Support

Information Sales

Support

Page 23: Operations Management MGT 314management.unk.edu/mgt314/Chapter_1_Operations...3 ment Operations -MGT 334 Intermediate Statistics -MGT 415 Quality Management Concepts and Practice -MGT

23

Supply Chain Management

A total system approach to managing the flow

of information, materials, and services from

raw material suppliers through factories and

warehouses to the end consumer.

Page 24: Operations Management MGT 314management.unk.edu/mgt314/Chapter_1_Operations...3 ment Operations -MGT 334 Intermediate Statistics -MGT 415 Quality Management Concepts and Practice -MGT

24

Current Issues in OM

Coordinate the relationships between mutually

supportive but separate organizations.

(outsourcing)

Optimizing global supplier, production, and

distribution networks.

Increased co-production of goods and services

Page 25: Operations Management MGT 314management.unk.edu/mgt314/Chapter_1_Operations...3 ment Operations -MGT 334 Intermediate Statistics -MGT 415 Quality Management Concepts and Practice -MGT

25

Current Issues in OM (continued)

Managing the customers experience during the

service encounter (call center limbo)

Raising the awareness of operations as a

significant competitive weapon

Page 26: Operations Management MGT 314management.unk.edu/mgt314/Chapter_1_Operations...3 ment Operations -MGT 334 Intermediate Statistics -MGT 415 Quality Management Concepts and Practice -MGT

26

Questions?