Productions and Operations Management

1. Productions and Operations Management Presented By Jitendra Rathore PGDM- “B”

2. The Learning Objectives: • Production Management • Operation Management • Concept • History • Jobs and Decisions

3. Production Management • Production = The production activity is the step-by-step conversion of one from of material into another, either chemically or mechanically, • Production is a transformation system where inputs are converted into outputs, the transformation could be physical(manufacturing), locational(transeport), exchange base(retail), storage based(warehousing), informational(telecom).

4. Manufacturing vs. Service !

5. Objectives of Production Management • Primary Objective = 1. Pre-established cost 2. According to specific quality 3. Within the time schedule • Intermediate Objectives = 1. Materials 2. Manpower 3. Machinery andEquipment 4. Manufacturing Services

6. Material Management • Material management is the grouping of management functions related to the complete cycle of material flow, from the purchase and internal control of production materials to the planning and control of work-in-progress, to the warehousing, shipping and distribution of the finished product, • Material management functions includes purchasing, production and inventory control, material handling, packaging and distribution.

7. Operations Management • Operations management (OM)is defined as the design, operation, and improvement of the systemsthat create (transform inputs into outputs) and deliver the firm’s primary products and services, • Operation management involves the responsibility of ensuring that business operations are efficient in terms of using as little resources as needed, and effective in terms of meeting customer requirements

8. Origins of Operation Management • The origins of operations management can be traced back through cultural changes of the 18th, 19th, and 20th including the “industrial revolution”, “scientific management”, “the development of assembly line practice” and “mass production”, industrial engineering, systems engineering, manufacturing engineering, operations research, and Six Sigma, Combined, these ideas allow for the standardization of best practices balanced with room for further innovation through continuous improvement of production processes

9. Operations Interfaces

10. Operation Management Decision • Process = It refers to the physical process used to produce the product or service and decisions about 1. Equipment 2. Technology 3. Process Flow 4. Workforce Polices • Quality = Operations is responsible for the quality of goods and services,quality must be built into the product right from the design stage, and should be sustained at all other stages

11. Conti . . . . . . . . . • Capacity = there should be the right capacity, at the right place, at the right time. • Inventory = There are tow major decisions- 1. what quantity to order and when to order , Inventory control system manage the raw material supplies, work in process and finish goods, inventory managers stores the inventory in warehouses.

12. Functions of POM • Planning = Capacity, Location, Layout, Projects, Products and services ,Make or buy, Scheduling • Organizing = Degree of centralization ,Subcontracting • Staffing = Hiring/laying off , Use of overtime • Directing = Incentive plans , Issuance of work orders , Job assignments • Controlling = Inventory control , Quality control ,Work-in process control ,Process control

13. Thank you