PRODUCTION AND
OPERATIONS
MANAGEMENT
Ch. 1: Operations and
Productivity
SUMMARY
POM - J. Galván
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BASIC POINTS
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Definition of operations management
Equilibrium between
• Time
• Cost
• Quality
• Flexibility
Importance of OM
OM managers tasks
• Plan
• Organize
• Staff
• Lead
• Control
POM - J. Galván
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BASIC POINTS (II)
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Action areas of OM managers
TASKS-AREAS MATRIX
OM in different industries
Characteristics of goods and services
Challenges of OM
Productivity
• Definitions
• Ways to measure it
• Productivity in manufacturing and services
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QUESTIONS
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What is production management? Discuss the major shortterm decisions of production management.
Which of the following statements would you choose as
your own if you are the OpMan of a company?
• I can produce anything you ask me to, with the best quality in the
market and at the lower cost
• I can produce for tomorrow, with the best quality any number of units
you demand
• I can produce very quickly at the lower cost any number of units you
demand
• I can launch a quick production of a limited lot of low cost products
with a high quality score
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In relation with human resources, as an area heavily
influencing OM, illustrate the tasks of managers when
Planning. Organizing, Staffing, Leading and Controlling
Imagine you create a new small software company
producing computer games. Describe the role of the
operations manager
POM - J. Galván
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QUESTIONS (II)
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How could you define the productivity of a student? Could
you define any measure of the productivity of educational
institutions
Unions like to index salaries with the cost of living, but
employers like better to index it to labor productivity.
Discuss the possible effects and fairness of both
alternatives
Define production operations management in your own
words. Will your definition accommodate both
manufacturing and service operations?
Consider the potential contribution of information sciences
to P/OM. Why is the management of information of such
great importance in the management of "production"?
POM - J. Galván
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QUESTIONS (III)
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The marketing, operations, and finance accounting
functions can be outlined . Prepare a chart outlining the
same functions for:
• a large metropolitan newspaper
• a local drugstore
• a college library
• a local service organization (Boy Scouts, Girl Scouts,
Rotary International, Lions, Grange etc.)
• a doctor's or dentist's office
• a jewelry factory
Identify three disciplines that will contribute in a major way
to the future development of P/OM.
What departments might you find in the P/OM function of a
home appliance manufacturer?
QUESTIONS (IV)
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Organizations that produce something other than physical
products are called
• Transformation organizations
• Data transfer groups
• Service organizations
• Cultural organizations
Which of the fo llowing is NOT a characteristic of service
operations
• Intangible output
• Perishable products
• Labour intensive
• Low customer contact
What would be the productivity if 9 workers installed 650 square
yards of carpeting in 6 hours?
• 12.03 square yards/hr
• 72.20 square yards/hr
• 108.30 square yards/hr
• 5850 square yards/hr
THIS IS PRODUCTIVITY!
POM - J. Galván
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