FLOW OF PRESENTATION

Definition and Meaning of O.M. Difference between production management and O.M. Scope of O.M. History of O.M. Operation and production system

Definition and meaning of O.M.

O.M. is concerned as the process whereby resources or inputs are converted in to more useful products. In the broader sense, O.M. is concerned with the production of goods and services.

Definition
Operation managers are responsible for producing the supply of goods and services in organisation. Operation managers make decision regarding operation functions and transformation system used. Operation management is the study of decision making in the operation functions.

There are3 points in this definition which deserve emphasis-1) FUNCTION :- Operation managers are responsible for managing
those departments or functions in the organisation that produces goods and services

2) System :- O.M. as the management of transformation system

which converts inputs in to goods and services. The system view provides not only a common grounds for defining the service and manufacturing operations as transformation system but also a powerful basis for design and analysis of operation.

3) Decisions :- this decision focus provides a basis for

dividing operation in to part based on major decision types. Five majors decision responsibilities of operations mgmt. as process, capacity, inventory, work force and quality.

Production management
Production management involves the application of planning, organising, directing and controlling to the production process.

Difference between P.M. and O.M.

The P.M. is more used for a system where tangible goods are produced whereas O.M. will cover such services organisation as banks, airlines, educational institutes police department etc. in addition, of course, to manufacturing enterprises. The 2nd relates to the evaluation of the subject. P.M. precedes O.M. in the historical growth of the subject

SCOPE OF O.M.
The scope of O.M. ranges across the organisation. O.M. people are involved in product and service design, process selection, selection and mgmt. of technology, design of work system, location planning, facilities planning and quality improvement of the organisations product or services.

Continues..
The operation function includes many interrelated activities, such as forecasting, capacity planning, scheduling, managing inventories, assuring quality, motivating employees, deciding where to locate facilities, and more.

HISTORY OF O.M.
1) 2) 3) 4) 5) 6) The industrial revolution Scientific Mgmt. The human relation mgmt. Operation research Computers The service revolution

1) The industrial revolution

Prior to 1700s the production system was often referred to as cottage system, because production of goods takes place in home or cottage, where craft man directed apprentices in performing hand work on products. From 1770 1800s series of event took place in England which together are called industrial. Industrial revolution resulted in two major development 1) widespread substitution of machine power for human power 2) establishment of factory system.

Continues..
the events took place from 1770 -1800 are characterised by the great inventions. The great invention were 8 in nos. . 6 of them in England 1in France &1 in U.S.. Hargrevaes spinning jenny arkwrights water frame Cromptons mule Cartwrights power loom Watts steam engine Berthollets chlorine bleaching discovery Mandslays screw cutting lathe Eli Whitneys interchangeable manufacture

1) 2) 3) 4) 5) 6) 7) 8)

2) Scientific Mgmt. 3) The human relation mgmt

4) Operation research
It refers to the use of the mathematical techniques to solve the mgmt. problems

Characteristics of O.R.
O.R. approaches problem solving and decision making from the total system perspective. The primary focus is on decision making. Computers are used extensively. O.R. does not experiment with the system itself, but construct a model of the system upon which to construct experiments.

5) Computers 6) The service revolution

Operation as a productive system

O.M. as the management of transformation system which converts inputs in to goods and services. The system view provides not only a common grounds for defining the service and manufacturing operations as transformation system but also a powerful basis for design and analysis of operation.

Expls. Of product system

OPERATION
BANKS RESTAURENTS

INPUTS
Tellers, computer equipments, Facilities & Energy

PUTPUTS
Financial services (loans, deposits etc.) Meals, entertainments,& satisfied customers Health service Educated students, research & public service Finished goods

Cooks, waitress, foods,

equipments, Facilities & Energy

HOSPITAL UNIVESITY
MANUFACTURI-NG PLANTS

Doctors, nurses, staffs,

equipments,

Faculty, staffs, equipments,

facilities

Labour, equipments, facilities,

raw materials

AIRLINES

Planes, pilots, flight attendants ,labour etc.

Transportation from 1 place to another