Production and Operations Management

Atharva School of Business Batch 2011 - 2013 (Sem 1)

--- Parag Rane

Relationship Between

Operations

What is Operations ?
Its a business function that Plans, Organizes, Coordinates and Controls the resources needed to produce a companys goods and services. It involves managing people, equipment, technology, information and many other resources. The role of operations is to transform a companies input into the finished goods or services..

Research & Development

[ R&D ]

What is R&D Process ?

The research and development (R&D) process is a process in which new products are developed. Manufacturers of everything from pharmaceuticals to personal computers use this process to identify new ideas, take those ideas through development, and eventually release them on the open market for sale. Generally, a large field of ideas is generated, and staffers begin to sift through then to identify ideas with potential which should be further explored. This may include research into existing products and technology, to determine how feasible an idea is, whether or not the idea is original, and how well it may be received.

Logistics

What is Logistics ?
Logistics (according to CLM) is the process of planning, implementing and controlling the efficient cost-effective flow and storage of raw materials, in- process inventory, finished goods and related information from point of origin to point of consumption for the purpose of conforming to customer requirements. The mission of logistics is to get the right goods or services to the right place, at the right time, and in the desired condition and quantity in relation to customers order.

Overall Relationship between Operations, R&D and Logistic.

Operations alone cannot bring in additional

flexibility beyond a point unless n until Research & Development functions helps in the process capability, improvement in design process and in the design of new product that can be produced. Once the products logistic comes into the picture, it helps in the overall transportation process which includes the Internal as well as the External Movement.

Example : Tata Motors

Operations includes Production Activities

Bumpers.
Assembly of Engine. Body Parts Doors,

Bonnet, Hood etc. Cutting. Assembling Wheels. Interiors.

R&D includes Discovery or Improvement of a Product.

Planning.
Vision. Crash Test.

Refining the

Mistakes.

Geneva Auto show 2010

Tata Nano PIXEL

The concept car

Logistics includes Internal as well as External Movement.

Internal Movement

Internal logistic dept. works for the internal movement of the goods. It is interlinked with the operations dept. External movement External logistic dept. works to deliver the car from the factory to the various dealers all over the country once the car is fully assembled.

Acquisition by Tata Motors