Production and Operations Management - Coursework Example

Production and Operations Management Name Institution Course Date Production and Operations Management Introduction Rationale of starting or maintaining any business in the market involves the process of ensuring that customer’ preferences and interests are fulfilled through the process of production and management of the company (Aveline 2002). A good business must have effective and efficient strategies of ensuring that problems of customers are solved within the shortest time possible by providing quality products, and services. Production process should be directed by the management so that it adds value on available raw materials. It is considered that vibrant production must always entails application of management concepts towards meeting the targets as well as addressing concerns of customers, and or consumers (Chary 2004). In essence a company survives in the production industry if it has a strategic and goal oriented organization structure, management team and production strategy. Production In business, production is defined as a scientific process through which raw materials are transformed into desired service and products by adding an economic value into them. Production can be implemented through different modes depending with the available resources, decision made by the management, and time frames through objectives are to met by the company. Production can be carried out through three major known approaches. First, production can be done through separation. In this category, desired output products and services are achieved by extraction from available raw materials. A good example of this form of production is where by oil is extracted and made available in different products like paraffin, petrol, and gasoline (Nahmias 2008). The second category involves production of goods and services by modifying or improving on the available raw materials. It involves changing mechanical and chemical properties of raw materials without tempering with their physical characteristics. A good example of this type of production is whereby some materials are heated at higher thermal temperatures then cooled later to achieve different forms of the products. Annealing process has a capability of changing the molecular structures of materials and giving them different structures depending with requirements of the company, and customer preferences (Kolli 1999). Production can also be done by assembling separate parts into one structure to form a sustainable, robust, and usable product. Automobile and machinery manufacturing companies use this method to produce cars, trucks, motor bicycles, and all sorts of machineries. Operations management Workability of a business or organization highly depends on the operational management structure and approaches that the management use to address their issues both within and outside the company frameworks. Operation management is an entity of an organization that is essential in designing, overseeing, and controlling the overall process of production. This entity is also of great importance in redesigning cultural business operations in order to produce goods, and services that meets interests, and preferences of customers (Panneerselvam 2005). Combination of operations management concepts in an organization ensures that few available resources are used to produce quality products that meet customer requirements. Effective operations management serves as a key drive of a company because; it ensures that available labor, materials, and energy are utilized in production of products, and services (Starr 2008). Operations management team has a task of controlling and directing all technical and physical functions of an organization especially those that are concerned with manufacturing or production of products. Generally, operations management involves directing production, manufacturing processes, development processes, directing functions of plant management, managing equipments, maintaining the management, controlling production processes, co-coordinating production networks, and supervising human resource. Production and operations management This is defined as the process of transforming and combining different types of resources used in the production subsystem of an organization into value combined services and products by carrying all the processes in a well controlled manner according to the principles and policies of an organization. Transformation process is intended by companies to add value, and quality to services and products. Production and operations management is done by applying the concept of product manufacturing and service provision (Starr, 2008). Most subsystem productions have common characteristics that include production of physical and tangible products, produce products with varying qualities, produces goods that are consumed simultaneously, and in which no major inventory is upheld or accumulated. Executives in an organization are required from time to time to make decisions concerning production of quality of products by controlling effectively the operations entities. Operations and production management decisions are classified into tactical, operations, and production strategic decisions. Production decisions include making and implementation of policies, defining production goals, organizing and determining a company’s production objectives (Stevenson 2008). Tactical decisions include deciding on plant locations, establishments of whether new products should be produced by a company or not, monitoring of a business budget, and determining how a firm will acquire new resources. Similarly, operations decisions are made at the low level of management and they include defining ways through which existing resources and facilities can be utilized to produce quality products, and services within the budget constraints of a company. These approaches ensures that there is a closed lop of management that cross cuts all departments and sectors starting with quality assurance, administration, production, human resources, and production management sectors. Effective and efficient production and operations management of an organization involves application of a matrix of management and functional subsystems towards achieving reliable and best products. Functions and activities at the operational level of the management are required to be detailed, precise, well defined, and largely internal. System concept In production and operations of an organization, there is a collection of entities that are mainstreamed to wards improvement and controlling the workability nature of a company. System concept involves management of transformational procedures and systems by converting inputs into quality, appealing, and sustainable services (Muniz, Neto & Souza 2011). System concept outlines that; inputs that a company should have to compete against the others should include labor, capital, equipments, and raw materials. During the production process, these inputs are converted by a suitable and robust technology to result into new products and services. Different industries and organizations require different types of inputs and therefore, it will be of great benefits if a company’s management will identify an economic process of producing good products using readily available resources. In production industries, system concept dictates that such organization must have the following as their inputs: equipments, machineries, labor, and fabrication tools. This is because in any production sector, materials serve as the main requirement in the production line. It is critical then that the production management and operation management combine their skills to ensure that what their human resources are in working in good environments in order to produce good and quality products (Chary 2004). System concept depicts that there are a lot of deviation that occur during the production process and if not properly managed, they can alter quality of products, shape, size, and even the total number of units produced within specific timeframes. To address these deviations, the production and operations management should devise a method through which these costly deviations will be communicated back to those responsible at the input stage of production. System concepts establish that deviations of any sort are detrimental to a business, and can destroy completely image of a company in the market industry. In response to this, the system outlines that deviations should be addressed by checking on the quality of raw materials being used at the initial stage of production (Nahmias 2008). The concepts further outline that, such deviations can be eliminated completely or minimized by adjusting equipment and machine settings. The rationale of checking settings of machines is that any deviation in specifications can result in production of oversize, undersize or crooked shapes of products. Similarly, deviations can reduce the total number of items produced per every hour considered. The concept further depicts that variations in sizes and shapes of products can be curbed by assigning relevant tools at every stage of production. Effective operations and production management should ensure that they allocate skilled personnel at all stages of production and management in order to meet customer requirements, achieve company objectives, and generate profits for the welfare of the entire company or organization. Criteria of Production and Operations Management Performance Objectives of Production and Process Management There are three main objectives of the production and operations management in any organizations. They include achieving effectiveness in their production of goods and services, meeting efficiency targets in their production and operations line, and satisfying of customer’s requirements and interests as well. Regardless of whether an organization is in private or public sector, manufacturing or service provider, it is essential that it looks at how they can use available resources to achieve an optimal production threshold while meeting a company targets. Effectiveness is a wide entity that looks after fulfilling multiple objectives in during the production (Sallis 2002). This is so because, modern production aspect and operations management has been modified to look after meeting customer requirements, satisfying the community around, satisfy the region within which it operates and building up brand name. For a production and operations system of any organization to survive in any market environment, it must be directed and controlled to meet requirements of many customers within the shortest time possible (Stevenson 2008). This means that production as well as operations system so organization should be organized in such away that they meet long term projections of the organization without showing any point of failure to customers and to workers within. By putting into consideration all these parameters in the POM management of an organization, profits will be generated automatically while workers will be motivated to work to improve performance of their company. Effectiveness of the production and operations system depends upon internal factors and external factors. Paying a close look at principles of management reveals that, these systems depend largely on adaptability nature and flexibility nature of the objectives. Decisions of Process and Production Management There are different categories o decisions that effective production systems, and operations systems can put forth to foster excellent performance of a company. These decisions range from control, planning, monitoring, and implementation decisions (Kolli 1999). All these categories of decisions are essential because they shape operational traditions of an organization. With regard to production and operations system of an organization, long term decisions are concerned about improving product designs, improving quality product policy, selecting appropriate production technology that is more economical compared to others, deciding on the size of the organization, and provision of training to the human resource. Similarly, long term decision looks at selection of a good site that is enough for execution of organizations activity, and deciding on the insurance spares that a firm needs during the operations time. In addition, long term production and operations management decisions are laid forth to design jobs by setting up standards on which operations and production departments will operate (Neely 2007). An effective production and operations management system is mandated to make intermediate decisions that govern intermediate flaws and variations that try to keep off the mainstream of production culture of an organization (Chary 2004). A good intermediate decision making process has a capability of addressing issues of product quality variations, deciding on which machines are to used at what stages of production, and forecasting of sales that a firm can make within certain outlined timeframes. Similarly, a good POM management system ensures has a capability of making sure that production is scheduled reasonably (Nahmias 2008). Short term decisions also involve scheduling of human power, evaluating progress of works, checking on possible breakdown lop holes, and of ensuring that staff members are supervised well to accomplish tasks that they have been assigned on specific days by their team leaders or managers. Technology Selection and General Management Production and operations management should select an appropriate and economical technology that will be easy to maintain and manage. There are different types of technology varied duties and therefore different companies or business firm should select a technology depending with their objectives, available resources, and their mission statement in the industry. Selection of technology is along term decision that any management should focus on, in order to be successful in the business market (Chary 2004). Effective selection of a technology to be used in the production sector saves business from unpredictable losses that can result out of delayed production of units, deviations in producing accurate shapes of products according to the specifications. An appropriate technology has a lot of benefits because it will facilitate the company to meet its objectives, targets and achieve goals in the industry (Aveline J 2002). Overall management should start with management of power, prior assessment of raw materials, and maintenance of machineries. With respect to quality management, proper applications of production and operations management principles have potentials of reducing effects of machinery deterioration, potential production risks, and harmful waste products (Kolli 1999). Technology selection is a critical entity that reduces pollutant generation by machines and equipment used in producing products, and services. Consequently, choosing an appropriate technology is closely related to system maintenance and machine capacity of production. Machines that are reliable and easy to maintain saves the company from spending extra costs on maintenance and repair of machine parts. Capacity Management Operation and production management in an organization should ensure that they intertwine capacity building into their long term frameworks and future projection with regard to objectives. It involves matching demand and available capacity within the frameworks of operating to meet customer preferences, and profit targets (Muniz, Neto, & Souza 2011). Capacity building is done on short and intermediate horizons of a firm and every effort is to be done to direct capacity management towards achievement of organizational objectives of customer service, overall effectiveness, and efficiency objectives. Lower capacity management results into non-fulfillment of customer services and if not properly monitored can compromise the overall effectiveness of an organization. Handling capacity management beyond manageable levels, result into lower utilization of materials and resources. Similarly, it can lead into lower conversions of operations, available resources, and staff members of a considered organization (Kolli 1999). Effective operations and production management systems are required to flexible so that they fit into available capacity management systems at the disposal of the organization. Change of product variety always results into change of operation and production systems. Large volume production of items involves use of machinery and men in an inflexible mode. Massive production of goods depends on the relationship that exists between desired system, available raw materials, flexibility of available resources, and capacity management frameworks. Scheduling and Timing This is an area of operations management that is concerned with timing of activities, phasing of activities depending with the demand at the moment, available resources, and available raw materials at the disposal of the organizations. It also involves phasing and controlling of capacity to meet demand targets within manageable fluctuations (Neely 2007). Fluctuations in variety of products and demanded volume of units make it more difficult for a company to schedule its activities. The problem of timing an scheduling is fatal to a business firm and or organization because, they may result to wastage of time, resources, and raw materials. Proper scheduling of events, activities, and function is an important aspect of management that requires a close evaluation and determination before and after every stage of production (Stevenson 2008). Accordingly, poor scheduling of activities affects effectiveness of an organization and therefore it is of great importance if all activities and undertaking of a firm are scheduled. Scheduling is best done by use of tables and charts. These charts and tables are placed on official notice boards of each department (Nahmias 2008). Effective and reliable scheduling involves assigning of specific machines to carry out specific duties of producing certain number of units. To achieve goals and objectives in business, it will be necessary that specific number of people work on tasks in shifts so that they are not overloaded or overstressed by work. The other advantage is that, scheduling leads to mass production of items and there is no time, staff members can overcrowd at work stations within the organizations. System Maintenance This category of management suggests that the overall management be guarded against surplus production if the demand is low. This concept outlines that outputs should be produced out of available physical resources and that it should be maintained in the future of production unless the demand fluctuates with space and time (Starr 2008). This is achieved by selecting sustainable technology and expertise as well. It is critical that only well organized system maintenance is profitable to a company and any deviation from it results into great losses and damage of the brand name (Panneerselvam 2005). TQM, Forecasting, Production, and Operations Management TQM is an overall term that looks at all aspects of quality during the production process and it is essential that managers consider working with TQM models to serve as guides towards achievement of business goals (Sallis 2002). This ensure that all operations of the management teams are directed at meeting goals, and objectives o companies at various levels depending with the policies and mission statement. Combination of these strategies serves as an accurate tool of predicting the future of production and productivity of the company. Conclusion Operations and production management is critical and of importance to business and other organization that utilizes management skills, and concepts. Good applications of its skills have a double capability of propelling functions of an organization forward and therefore it is of necessity that managers employ knowledge of operations, productions and total quality management in order to meet their objectives, targets, and achieve goals. References Aveline, J, 2002. Production management. Entertainment Technology Press, London. Chary, S.N, 2004. Production and operations management, 3rd edn. McGraw-Hill, New Delhi. Kolli, S, 1999. Production & operations management. Research & Education Association, London. Muniz Jr, J., Neto, AF & Souza S’a, H, 2011, ‘Production organization, work organization and knowledge management: A blue collar perspective in an automaker assembly line’, Journal of Operations and Supply Chain Management, Vol. 4, no.2, pp.99-109. Nahmias, S, 2008. Production and operations analysis, 6th edn. McGraw-Hill, Ney York. Neely, A, 2007, ‘Production/operations management: Research process and content during the 1980s’, Journal of Operations & Production Management, Vol.13, no.1, pp. 5-18. Panneerselvam, R, 2005. Production and operations management, 2nd edn. Prentice-Hall, New Delhi. Sallis, E, 2002. Total quality management, 3rd edn. Routledge, London Starr, M, 2008. Production and operations management, 2nd edn. Atomic dog, New York. Stevenson, W, 2008. Operations management, 10th edn. McGraw-Hill, New York. Read More