An analytical study of the approaches to operations management - Free Essay Example

Sample details Pages: 8 Words: 2448 Downloads: 7 Date added: 2017/06/26 Category Management Essay Type Narrative essay Did you like this example? This report is aimed at comparing and contrasting the approaches to operations management in at different types of organisations. Operations management is a core contributor to a firms success and developing competency is widely recognized as a key factor in determining the strategic and competitive advantage of the firm. The author has chosen two broad categories of organizations i.e. product based and service based to analyse the practises and mutual differences between the approaches. The report begins by identification of different types of operations/transformation process in the chosen organizations and analysis of their suitability and adequacy. This is followed by a critical analysis of principles and concepts in terms of capacity planning, inventory management, supply chain design, performance measures and total quality management. The report concludes with an evaluation of the combination of these factors and its impact on competitiveness, innovation and sustainability of the different types of organizations being studied in this academic exercise. Operations Management an overview Operations management is an important area in managing a firm. It can be defined as the area of management related to design and operation of business processes in production of goods or services. In a nutshell, it is the transformation of resources into product and/or services as depicted in figure 1. The competitive advantage of a firm is directly impacted by the efficiency of utilization of available resources satisfying customer demand. (Slack et al 1995, Voss, 1995) Figure 1: Operations Management ( from sussex.ac.uk) Operations management serves the function of managing the process of converting inputs in terms of materials, labor, and energy into outputs in the form of goods and/or services. It is critical to ensure that the strategic direction of the firm is maintained by executing the tactical decisions of resource utilization to en sure that competitive advantage is maintained (Schmenner et al, 1998). A suitable example of efficient operations management is Apple Inc. Apple is a multinational corporation that designs and markets computers and related products and services. The firm manages its operations in a way that it ensures that the demand is met by the supply but at the same time it doesnt need to stock large quantities of products in warehouses (figure 2) i.e. Apple has a fast inventory turn over rate. (Gamet, 2009) Figure 2: Warehouse solution for a fast inventory turn over organization Operations Management encompasses a number of theoretical concepts, suitability and application of which varies within and across the organizations (Figure 3). Key factors include but are not limited to capacity planning, inventory management, supply chain design, performance measures and total quality management. In goods based organizations the concepts of inventory, supply chain, quality and capacity planning a re highly critical. Where as, in service based organizations factors relating to human resources, performance and quality management are given prime importance. (Bayraktar et al, 2007) Figure 3: Factors in Operations management The concept of operational strategies encompasses the plans for ordering raw material, converting them to finished product, storing and selling to the customer. Its implementation is often mismanaged in the fast changing environment in the highly globalized markets at present. The management problems in the area of operations management comprise of quantitative, social, technical issues and their complex mixtures (Liet al, 2000) Quantitative problems may include factors relating to planning, critical path analysis, supply chain management etc. Technical issues may consist of factors relating to automation, optimization, scheduling etc. Social factors may include human resource management, outsourcing etc. It is worth noting that these issues are not iso lated and independent of each other but they affect the effectiveness of the overall operations management in the business. Therefore it is essential to manage these problem areas to ensure that the overall operations management is not impacted adversely by these factors. To stay competitive a business needs to evolve so as to ensure that alternative course of actions can be adopted as per the available resources while effectively managing change (Volberda, 1999). The Human resources i.e. people in an organization are extremely important in operations, process and performance management process. The success of an organization is directly proportional to the success and satisfaction of its employees. Therefore from an operational point of view it is important for the business to employ and retain the right people for growth, profitability and sustainable business (Pfeffer, 1998). Analysis of operations process in different types of Organizations To understand how operations differ in different types of organization the case of an Aircraft manufacturer versus an airline operator is considered. The basis of this analysis is competitive priority and marketing strategy. The different types of operations process in these organizations will be identified and their adequacy to meet the customers needs assessed to understand the key factors of operations management. The very first and the most basic difference in the organizations chosen in this case study is that the aircraft manufacturer deals in the production of aircrafts and allied services for its customers while the airline operator deals solely in the provision of logistic services. For the purpose of simplicity and ease of understanding, the author has considered only the production of aircraft and provision of logistics to mark a clear distinction between goods based and services based organizations. To maintain competitive advantage both types of companies need to ensure that their operations are managed efficiently for keeping the costs under control and thereby offering the goods and services to their customers at competitive rate while ensuring maximum profitability (Frohlich et al, 2002). The aircraft manufacturer invests heavily in research and design as it needs to do it right the very first time. Due to the scale of operation, the various functions are distributed globally, thus efficient inventory, capacity and supply chain management are essential. Total quality management and performance are also needed to maintain the competitive and marketing advantage (Chow, 2002). The airline operator on the other hand relies on the aircraft supplied by the manufacturer to provide service to its customers. The operator doesnt need to maintain an inventory of planes but it has to ensure that it utilizes its capacity to maximum possible for providing competitive fares to its customers. The performance metrics for the airline are different as it has to ensure timely flight ope ration which again is essential from the marketing strategy point of view (Rae, 2001). The adequacy and suitability of the key theoretical principles and concepts in operations management are discussed in the next section of this case study. Evaluation of Operation Management concepts in different Organizations As discussed in the previous sections of this report, Operation Management is a key function in organizations whether they are product based or service based. In this section we look at the operations management practices in these industries. Product Based Industries We take a look at the operations management practices in a manufacturing company. These practices include utilization of techniques such as Kaizen, Just in Time, Kanban etc for managing operations. Inventory management and capacity planning are of prime importance to ensure that the raw materials and finished goods are maintained at optimum levels. Thus, various functions within the organization in teract with the Operation Management function (Slack et al, 2007). The engineering or technical function interacts in the space of understanding process needs and analyzing the new options available. The Product development function deals with understanding of capabilities and constraints as well as managing and introducing products. The marketing function deals with understanding of market requirements. The information technology function deals with provision of systems for design, planning, control and improvement. The Human resource function interacts in understanding the recruitment, development and training needs as well as employee welfare. The Accounting and finance division deals with cashflow and financial analysis of performance and decisions. Thus it can be noted that operations management sits in the centre of the various functions and thus is essential for the sustainability and growth of the organization (as shown in figure 4). Figure 4: Positioning of Operations Ma nagement in an organizations business functions. Service Based Industries Efficient Operations Management is equally important in service industry. As the inputs in service industry are intangible human resources and intellect the operations management challenges are different. Techniques such as Agile development, collaborative and distributed working are key factors in maintaining the competitive advantage and sustainability. (Johnston, 1999) Like manufacturing, various functions within the organization interact with the Operation Management function. The interactions and interfaces are similar but the relative functions vary due to the nature of industry. The technical function operates in the space of understanding process needs, maintaining intellectual property and analyzing the new options. The Service development function deals with understanding of human resources capabilities and constraints as well as managing and introducing products. The information technology fun ction is of great importance as it forms the backbone of the modern service industry. The relative roles of marketing, human resource and finance function remain the same. Integrated Products and Services This is a new and emerging industry segment, which has been pioneered by industry veterans like Rolls Royce. A fundamental shift is occurring at the firm which is moving away from selling products to the provision of services. Instead of selling engines and then providing maintenance contracts, the company is now offering power by the hour contracts. Under this new system, it leases engines to airlines while remaining responsible for their maintenance. In this sector, lower costs are achievable only by applying service experience of the existing products in the design of next generation of products. (Anon, cam.ac.uk, 2011) Impact on competitiveness, innovation and sustainability Effective operations management practises are vital for maintaining competitive advantage, i nnovating in the market and sustainability of the organization. History is filled with examples of firms that employed novel operations management practises and succeeded in creating a niche of their own in the market space. A prominent example is the Ford Assembly Line. The assembly line was not the brainchild of Henry Ford but he simply adopted and implemented it in a way that mass production of cars became possible. By implementing the Moving Assembly Line, Ford was able to bring production costs to an all time low and at the same time fuel the competition so much that many low volume competitors had to close shop (Womack et al, 1990). A more modern example is of Toyota which has revolutionized the manufacturing industry by pioneering and/or implementing systems like Lean, Six-Sigma, Kaizen, Just in Time to name a few. These systems were conceived primarily due to numerous constraints presented to Toyota in its home country, Japan, where land and resources were scarce and expe nsive (Smith, 2003). Employing these operations management practises has enabled Toyota to become the number one automobile manufacturer in the world, conquering Asian, African, European and American Markets alike. In the Services domain, operations management is playing an equally important role. Due to the differences in the basic nature of end product, the principles and their implementation differs in the domain of operations management. The input in service industry is intellect rather than raw materials. Therefore concepts like inventory management which is a key component in manufacturing operations management does not apply to services. Methodologies like agile development, distributed and collaborative working are of greater importance in service industry (Coram, 2005). International Business Machines (IBM), which is one the worlds oldest services based firms is a pioneer in employing market leading operations management practises in this industry. It makes uses of in novative tools to manage visibility, control and automation needed to deliver quality service, managing compliance and risk, and maximizing return on investments. It also provides software and implementation to firms operating in manufacturing as well as in services space (Johnston, 1999). Conclusion Operations Management is a key business process in any organization, whether it deals in products or in services. The principles or concepts of operations management and their implementation differ in these industries. Manufacturing industries rely on inventory management, capacity planning and production optimization techniques to innovate, maintain competitive advantage and safeguard sustainability. Service industry relies more on efficient utilization of its human resources and technology backbone for its operations management practices. In recent times it has been seen that a clear distinction between products and service industry is blurring and most businesses now offer a co mbination of products and services to their customers. This trend is even evident in more traditional manufacturing industries such as Rolls Royce which is moving away from selling products to offering power by hour contracts in the form of leases. Thus integrated products and services is clearly emerging as a unified entity. Operations management will prove to be an integral business process and a key differentiator between leaders and followers in these changing times. References Slack et al (1995) Operations Management, Pitman Publishing: London. Voss, C.A. (1995) Operations management from Taylor to Toyota and Beyond?, British Journal of Management, Vol.6, Special Issue, S17-S29, December. Schmenner, R.W. and Swink, M.L., On theory in operations management, Journal of Operations Management, Volume 17, Issue 1, December 1998, Pages 97-113, ISSN 0272-6963 Gamet, J., Apple Beats Competitors at Inventory Turn Over, macobserver.com, Mar 2009 Available from: htt ps://www.macobserver.com/tmo/article/apple_beats_competitors_at_inventory_turn_over/ Accessed: 21st February, 2011 Bayraktar, E., Jothishankar, M.C., Tatoglu,E. Wu, T., Evolution of operations management: past, present and future, Management Research News, Vol. 30 Iss: 11, pp.843 871, 2007 Li, H. and Li, L. X. (2000), Integrating systems concepts into manufacturing information systems, Systems Research and Behavioral Science, Volume 17, Issue 2, pages 135-147, 2000 Volberda, H. W., Building the flexible firm: how to remain competitive, Oxford University Press, 1999 Pfeffer, J., The human equation: Building profits by putting people first, Harvard Business Press. 1998 Frohlich, M. T. and Westbrook,R., Demand chain management in manufacturing and services: web-based integration, drivers and performance, Journal of Operations Management, Volume 20, Issue 6, November 2002, Pages 729-745, ISSN 0272-6963, Chow, C. and Shields, M. The importance of national culture in the design of and preference for management controls for multi-national operations, mit.dspace.org, 2002 Rae, D. EasyJet: a case of entrepreneurial management?, Strategic Change, Volume 10, Issue 6, pages 325-336, September/October 2001 Slack, N., Chambers, S. and Johnson, R., Stratgeic Operations Management, 5th Edition: Harlow: FT, Prentice Hall, 2007 Johnston, R., Service operations management: return to roots, International Journal of Operations Production Management, Vol. 19 No. 2, pp. 104-124, 1999 Anon, Integrated Products and Services IPAS, University of Cambridge Available from: https://www-edc.eng.cam.ac.uk/research/knowledgemanagement/km1/ipas/ Accessed: 23rd February, 2011 Womack, J., Jones, D., Roos, D., The Machine That Changed The World, New York : Rawson Associates : Oxford : Maxwell Macmillan International, 1990. Smith, B., Lean and Six SigmaA One-Two Punch, American Society for Quality, 2003. Coram, M.; Bohner, S.; The impact of agile methods on software project management, 12th IEEE International Conference and Workshops on Engineering of Computer-Based Systems, 2005. Don’t waste time! Our writers will create an original "An analytical study of the approaches to operations management" essay for you Create order

Environmental Degradation And Its Effects On Our Environment

We, as humans, have always had a prevalent impact on our environment and our world as a whole. Not only has our societal presence caused negative global impact, but our expedited population growth has also had an extreme physical impact on earth. An example of the effects of our extensiveness is, â€Å"†¦86% of the world s resources are consumed by only the wealthiest one fifth of humanity†¦Ã¢â‚¬  (globalissues.org). this means that 4/5ths of the planet already has limited access to resources that are naturally found on earth. In addition to our excessive consumption of the earth natural resources, environmental degradation is the result of extreme pollution and wastes that have made their way into our atmosphere. Because of our severe impact on nature, it is crucial that we stop the accelerated deterioration of our environment by decreasing our misuse of earth’s natural resources, reducing the use of unnecessary technology in our environment and practicing more ec ologically responsible lifestyles. This â€Å"can help protect the environment and sustain its natural resources for current and future generations† (thrall.org). The earth’s immense population is one of the biggest factors for environmental degradation. In the reading ‘Easter’s End’ by Jared Diamond, he discussed the extinction of the Polynesian people of Easter Island. One of the biggest reasons why they went extinct was because they wiped out their only forest, ran out of life-sustaining soil and turned to cannibalism. ThisShow MoreRelatedPoverty And Poverty1302 Words   |  6 Pagesthat poverty and environmental degradation are connected. These impoverished communities are not only contributors to the pollution, like we all are, but they are victims of pollution (Shah, 2005). Due to constant demand of the wealthy, many areas that are impoverished are used as an area devoted to supplying the needs of those at any cost or a dumping ground of unwanted goods. Many times these actions are taken from a social and economic stance rather than a humane and environmental stance. TodayRead MoreAnimal Endangerment And Extinction Of Habitat925 Words   |  4 PagesIII. Over Farming/Land Misuse IV. Environmental Pollution V. Deforestation I. Animal Endangerment/Extinction A. Destruction of Habitat B. Pollution C. Hunting and Fishing II. Abused/Abandoned Animals A. Confined, Major Culprit Climate Change B. Huge Amounts of Manure, Pollutes Soil C. Dead Animals, Pollutes the quality of life for individuals who live close. III. Over Farmed/Land Misuse A. Soil Erosion B. Land Degradation C. Genetic Erosion IV. Environmental Pollution A. Grave and IrreparableRead MoreA Common Fear Of Population Growth1425 Words   |  6 Pagesindustrial development has stalled and most workers still make a living from survival agriculture. The association between population and the environment is a complicated one, human cultures’ bearings on the environment are a function of three major interrelated essentials: wealth or utilization, technology, and population size. Societies environmental influences take two major forms. First and foremost, we use resources such as land, food, water, soils, and amenities from the ever-wholesome ecosystemRead MoreConsumption Overpopulation and Its Effects on the Environment1082 Words   |  5 Pagesother, and how many people would not have enough food to last the party. Which basically makes it so the guests are down to a certain number. Our planet is a close similarity to the already mentioned party. Just like how a large room can only offer a certain amount of resources. Despite this idea, the concepts of overpopulation, and resource degradation still are at large and are a risk. The concept of the word consumption overpopulation refers to the pollution and decline of the surrounding areaRead MoreThe Negative Impact Of Urbanization In Wildlife, Wildlife And Wildlife1162 Words   |  5 PagesRolando Mascareno Professor Gary Pivo GEOG 256 16 November 2017 Urbanization and Wildlife Biodiversity, the abbreviation of biological diversity, is the set of all beings of the planet, the environment in which they live and the relationship they have with other species. It is composed of living organisms, as well as all ecosystems, and all the relationships they establish with each other and how living organisms can change from one place to another over time. As the human population and technologyRead MoreThe Theory Of God s Glory1200 Words   |  5 Pagescreation may fulfill the purposes God intended for it. We must manage the environment not simply for our own benefit but for God†²s glory (KJV) Some may argue that humans are more important than the rest of the creation, so we should focus our efforts on meeting the needs of people rather than addressing environmental issues. However, many of our environmental problems negatively impact people. If we fail to care for the environment in which we live, God†²s people will suffer as a result. Caring for theRead MoreWater Is An Important Factor That Affects Sorption1584 Words   |  7 Pagesa new location (Rao, 1999). Just as degradation has a measure in the half-life of a compound, sorption also has a measure in the partition coefficient (Koc), which is a ratio of pesticide concentration in a soil bound state versus dissolved in soil-water (Rao, 1999). In fact, â€Å"the solubility of a pesticide and its sorption on soil are inversely related; [in other words], increased solubility results in less sorption† (Rao, 1999). Both sorption and degradation are effected by soil type and pH, bothRead MoreIn The Last 100 Years, The Amount Of Greenhouse Gases In1405 Words   |  6 Pagescausing a phenomenon known as the greenhouse effect. Human activities such as industry, transport, energy generation and deforestation all produce these greenhouse gases. In the last 20 years, concern has grown that global warming is inevitable and now considered most probably caused by man-made increases in greenhouse gas emissions. In this essay, I will analyze Dr. Chukwumerije Okereke’s claims of intersectional oppression and domination of the environment concerning distributional injustices causedRead MoreClimate Change And Its Effects On Our Society1545 Words   |  7 Pagesfact that our global ecological and weather patterns are changing in ways that occur at a much more rapid pace than natural cycles typically allow. According to a 2016 Monmouth University Poll, most Americans acknowledge, at least to some exte nt, that â€Å"the world’s climate is undergoing a change that is causing more extreme weather patterns and the rise of sea levels.† Since humans rely so heavily on their environment to provide a plethora of goods and services, it is crucial to examine our role inRead MoreEnvironmental Conditions Change The Way That Pesticide Moves And Interacts With An Environment1386 Words   |  6 PagesVolatilization and Environmental Conditions Environmental conditions change the way that pesticide moves and interacts with an environment. Rainfall, temperature, and wind can all move pesticides out of their target zone. These environmental factors can also impact the escape of pesticide through volatilization. Volatilization is a means of major pesticide loss and its rate of loss can often exceeds that of degradation, runoff, or leaching (van der Werf, 1996). For example, in an Oregon study, soil

Approaches to Multicultural Counseling free essay sample

A discussion of the Family Systems theory and its use in multicultural counseling approaches. This paper examines the multicultural counseling approaches used in the application of the family systems theory. Family Systems theory is defined, and three counseling approaches that utilize the theory in a multicultural context are reviewed. They include family therapy, family literacy and cross cultural marriage workshops. Family systems theory asserts that people can change behaviors if they are aware of the impact current and historical family behavior has on the definition of his or her choices. In the context of the family systems theory the word Family may be composed of the immediate family that the person presides with, the extended family of relatives and friends, and the community in general. (Bowens Family Systems Theory 2002, 1) The family systems theory was pioneered by Dr. Murray Bowen, and has many characteristics. First and foremost the theory is a way of understanding present situations in terms of past relationships. We will write a custom essay sample on Approaches to Multicultural Counseling or any similar topic specifically for you Do Not WasteYour Time HIRE WRITER Only 13.90 / page The theory seeks to understand the entire family as an emotional unit composed of linked relationships that have existed over different generations. Family system theory claims that an individuals behavior is directly correlated to how that individuals family functions. (Bowens Family Systems Theory, 3)