Uploaded by Sakib Abdullah

Lecture One-Operations Management

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Production and Operations
Management
Course Code
OMT 8501
Course Instructor
Mohammad Rajib Uddin
Assistant Professor
Dept. of Business Administration-General
FBS, BUP
Discussion Topic –
st
1
Class
 Meet and Greet with the students
 Experience of the last trimester from the students and
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faculty.
Introduction of the course instructor.
Course Description.
Introduction to Operations Management.
Question and Answer Session
Brief Introduction of Instructor
Educational Background:
SSC & HSC: Sylhet Cadet College
Bachelor: Bachelor of Engineering (Computer Systems), Edith Cowan University, Australia
Masters: Master of Engineering Management, Curtin University of Technology, Australia
Professional experience:
Technical Sales Analyst (2005-2006)-Telstra Corporation Limited, Australia
Telecommunication Service Designer (2006-2007)- Telstra Corporation Limited, Australia
Project Co-ordinator (2007-2010)-Telstra Corporation Limited, Australia.
Major Projects: Formula One, MotoGP, Australian Election, Etc.
Teaching Career:
Lecturer (2012-2014)-American International University-Bangladesh (AIUB)
Assistant Professor (2014-2016)- American International University-Bangladesh (AIUB)
Assistant Professor (2016 till Now)-Bangladesh University of Professionals
Publication and Patent:
Number of Publication: Ten (Indian Journal-2, Canadian Journal-1, American Journal-2,
Malaysian Journal-1, Australian Journal-1)
Number of Patent: One Granted (Innovation Patent from IP Australian Government, 2019)
Two Granted (Innovation Patent from IP Australian Government, 2020)
Operations Management
Text: Stevenson, William J., Operations Management, 8th
edition, McGraw-Hill.
Topics
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Introduction to OM
Functions of Business Organization
Goods Vs Service
Characteristics of Goods and Service
Tangible and Intangible Output
Scopes of OM
OM Managers and the Management Process
Decision Making
Why Study OM?
Conclusion
Operations Management
OM is the management of systems or processes that
create goods and/or provide services.
 The creation of goods or services involves transforming
or converting inputs into outputs.
 The essence of the operation function is to add value
during the transformation process: value-added is the
term used to describe the difference between the cost
of inputs and the value of price outputs.
Operations Management
Illustration of the transformation Process
Food Processor
Inputs
Processing
Outputs
Raw Vegetable
Cleaning
Canned Vegetable
Metal Sheets
Making cans
Water
Cutting
Energy
Cooking
Labor
Packing
Equipments
Labeling
Basic Function of Organization
Finance-is responsible for securing financial resources at favorable prices
and allocating those resources throughout the organization.
Marketing- Is responsible for assessing consumer wants and needs and
selling and promoting organization’s goods or services.
Operation-Is primarily responsible for producing the goods or providing
the services offered by the organization.
Organization
Finance
Marketing
Operations
Operations Management
 Tangible Output-Producing of goods results in a
tangible output, such an automobile, eye glasses, a
golf, a refrigerator-anything we can touch or see.
 Intangible Output- Something what we can feel or
value. For example: level of service can be defined as
intangible output.
Scopes of OM
 The scope of operations management ranges across the
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organization.
OM People are involved in product and service design, process
selection, design of work systems, location planning.
Scopes of OMForecasting
Capacity Planning
Scheduling
Managing Inventories
Assuring Quality
Motivating and Training
Locating facilities.
Example of Types of Operations
Types of Operations
Example
Goods Producing
Firming, Mining, Construction,
Manufacturing, Power generating
Storage/Transportation
Warehousing, Trucking, Mail service,
moving, taxis, buses, hotels, airlines.
Exchange
Retailing, wholesaling, financial
advising, renting or leasing, library
loans, stock exchange.
Entertainment
Films, Radio and Television, Plays,
Concerts, Recording
Communication
Newspapers, radio and TV newscasts,
telephone, satellites, the internet.
The Operation Manager
 The Operation Manager is the key figure in the system.
He/She has the ultimate responsibility for the creation
of goods or provision of services.
 The kinds of jobs that operations managers oversee
vary tremendously from organization to organization
largely because of the different products or services
involved.
Characteristics of a Good
Operation Manager
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Commanding Voice.
Good Negotiator.
Leadership quality.
Understanding the need of Business.
Role Model
Example of World Leader:
 Barak Obama-With a Commanding Voice, Good
Negotiator.
 Adlof Hitler-Leadership Quality with commanding
Power
Responsibilities of Operation
Manager
Planning
Organizing
Capacity
Degree of Centralizations
Location
Process selection
Products and services
Staffing
Make or buy
Hiring/laying Off
Layout
Use of Overtime
Projects
Scheduling
Controlling/Improving
Inventory
Quality
Costs
Productivity
Directing
Incentive Plans
Issuance of work Orders
Job Assignments
Decision making
 The chief role of Operation managers is that of
planner and decision maker.
 Operation management professionals make a number
of key decisions that effect the entire organization.
These include
 What: What resources will be needed and in what
amount.
 When: When will each resource be needed? When
should the work be scheduled?
Decision making (Continued)
 Where: Where will the work be done?
 How: How will the product or service be designed?
How will the work be done (Organization, Methods,
Equipments)?
 Who: Who will do the work?
Summary
 OM is the part of a business organization responsible
for planning and coordinating the use of organization’s
resources to convert inputs into outputs. The
Operations function is one of the three primary
functions of business organizations.
 The operations function is present in both serviceoriented and product-oriented organizations.
Questions?
Briefly describe the term operations Management?
2. Identify the three major areas of business
organizations and briefly describe how they
interrelate?
3. Describe the Operations function and the nature of
the Operations manager’s job?
1.
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