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Operations Management
Semester Two - 2014
E mail : julianv.galt@sit.ac.nz
The nature of
planning and
control
Planning and
control
The market
requires products
and services delivered to
requested time, quantity
and quality
The operation
supplies... delivered
products and services
Direct
Design
Operations
management
Deliver
Develop
Organised or not???
Planning
Control
Control Activities
PROJECT MANAGEMENT
Workplace Projects#1
Project
Management
Direct
Design
Project
management
The market requires
specified time, quality and
cost of a project
Operations
management
Deliver
Develop
Workplace Projects#2
If your employer asked you to plan a one-off expoevent to take place in your hotel conference facility,
in order to promote tourism in the region
Roles
Experience
Efficiency
Stability
Projects:
Unique
Finite
Revolutionary change
Transient resources
Unbalanced objectives
Processes based on;
Goals
Risk and uncertainty
Effectiveness
Flexibility
Project
Management;
What is the purpose?
What is the scope of the work to be
completed?
How is the project to be organised
what are the requirements?
Stage
2
Stage
3
Understanding
the project
environment
Changes
Project definition
Project planning
Corrective
action
Stage
4
Technical
execution
Stage
5
Project control
Geo-social
environment
Geography
National culture
The Project
Business
environment
Customers
Competitors
Suppliers/subcontractors
Internal
environment
Company strategy
Resources
Other projects
Project B
Department
1
Department Department
2
3
Project
scope
The project
Phase 1
Phase 3
Phase 4
Phase 2
Milestones
Project
objectives
Time
Cost
Quality
Then define...
Project scope
Project strategy, including milestones and
stagegates
Music festival
Fixed-grant
research project
Cost
Figure 16.5 The project objectives triangle
Time
Keep satisfied
Manage closely
Monitor
Keep informed
Stakeholder
power
Low
Low
Stakeholder interest
High
Do
Project Charter
Scope Statement
Work Breakdown
Monitor against baseline plan
Monitor cost vs. budget; time against schedule
Monitor against product specification
Adjust as
necessary
Identify
the
activities
in the
project
Estimate
the times
and
resources
for
activities
Identify the
relationships
and
dependencies
between the
activities
Identify
time and
resource
schedule
constraints
Fix the
schedule
for time
and
resources
Produce
glass of
orange
drink
Obtain
juice
Produce
boiled
egg in
egg cup
Obtain
glass
Produce
boiled
egg
Obtain
egg
Obtain
egg
cup
Produce
buttered
toast
Produce
toast
Obtain
bread
Obtain
water
Obtain
butter
Arrange
tray
Obtain
plates
and
cutlery
Obtain
tray
Orange
Bread
Toast
Activities requiring
operator time
Butter
Boil egg
Boil water
Water
Bed room
Staff required
Tray
4
3
2
1
0 0
Time (mins)
Figure 16.9 Initial project plan for a simple project, with resources
Orange
Bread
Water
Toast
Activities requiring
operator time
Butter
Boil water
Bed room
Boil egg
Staff required
Tray
4
3
2
1
0 0
Time (mins)
Figure 16.10 Revised plan with levelled resources
Orange
Bread
Toast
Boil water
Water
Butter
Boil egg
Bed room
Staff required
Tray
4
3
Activities requiring
operator time
2
1
0 0
Time (mins)
Figure 16.11 Revised plan with levelled resources and warm toast
Training
Form and
train user
group
Specify
sales
training
Installation
Install
systems
Design
initial
screen
interface
Testing
Test
interface
in pilot
area
Modify
interface
Gantt charts
A Gantt chart for the project to design an information
interface for a new sales knowledge management system in
an insurance company
Activity
a Form and train user group
b Install systems
c Specify sales training
10
20
30
40
Time (days)
50
60
Management
and Control
Work Breakdown
Structure
(WBS)
Hierarchical breakdown
Sub-deliverable
Work-packages
You are then able to control these within your Baseline Plan...
WBS template;
1
Advantage