Premium Essay

Trends in Operations Management

In: Business and Management

Submitted By JMTermpaper123
Words 2745
Pages 11
Current Trends and Issues in Operations Management
Presented To

Operations Management
Respectfully Submitted

Introduction 3
A Brief History of Operations Management 4
Current Trends and Issues in Operations Management 6
Lean Operations (Just-in-time) 6
Shrinking Product Life Cycles 7
Employee Empowerment and Training 8
Globalization 9
Total Quality Management 9
Advances in Technology 10
Insourcing 10
Conclusion 11
References 12

Introduction Operations is the part of a business organization that is responsible for producing goods and services (Stevenson, 2012, p. 4). In this definition, goods are tangible items. Goods can be finished items that are sold to end consumers such as a chair, a car, a computer, or a house. Goods can also be the raw materials, parts, and subassemblies that comprise the finished goods described above. These raw materials are sold as well, but not to end consumers. They are sold to the producers of the finished products.
Services, for the most part, are not tangible, but are activities that provide some combination of time, location, form, or psychological value (Stevenson, 2012, p. 4). Services such as the ability to place a cell phone call, electricity in a home, advice from a financial planner, traveling on an airline, receiving medical treatment, or staying in a hotel are all considered services directed at an end consumer. One definition for the word management is “the person or persons controlling and directing the affairs of a business, institution, etc.” (, n.d.). Whether a business produces raw materials or purchases raw materials for transformation into a consumable product, or the business provides a service, there are employees that must be directed, processes that must be managed and controlled, and daily decisions that must be made. Operations management directs...

Similar Documents

Premium Essay

Mgs 4010

...Operations Management: Processes and Supply Chains Chapter 1 Using Operations to Compete 1) Operations management refers to the direction and control of inputs that transform processes into products and services. Answer: TRUE Reference: Operations and Supply Chain Management Across the Organization Difficulty: Easy Keywords: operations management, inputs, process, transformation 2) As a functional area of a business, Operations translates materials and services into outputs. Answer: TRUE Reference: Operations and Supply Chain Management Across the Organization Difficulty: Easy Keywords: operations management, inputs, process, transformation 3) The three main line functions of any business include Operations, Finance and Marketing. Answer: TRUE Reference: Operations and Supply Chain Management Across the Organization Difficulty: Easy Keywords: operations management, inputs, process, transformation 4) Support functions in an organization include Accounting, Human Resources and Engineering. Answer: TRUE Reference: Operations and Supply Chain Management Across the Organization Difficulty: Easy Keywords: operations management, inputs, process, transformation 5) A process involves transforming inputs into outputs. Answer: TRUE Reference: A Process View Difficulty: Easy Keywords: process, inputs, outputs 6) Inputs to a process can include human resources. Answer: TRUE Reference: A Process View Difficulty: ......

Words: 6900 - Pages: 28

Premium Essay

Discussion Question

...Manufacturing versus Service Please respond to the following: Compare and contrast the operations management function in manufacturing with the operations management function in service industries with a focus on the roles and responsibilities of the VP of operations. Determine which is the more challenging to manage and why. Manufacturing organizations produce physical, tangible goods that can be stored or processed in advance. Service organizations produce intangible products that cannot be produced ahead of time. They deal with ideas, assistance, or information and are very involved with customer service. More differences between the two; jobs in the service environments are often less structured than in manufacturing environments. Customer contact is usually much higher in services due to the demand of information. In many services, worker skill levels are low compared to those of manufacturing workers. A manufacturing executive manager must fine-tune their production processes to focus on quality, to hold down the costs of materials and labor, and to eliminate all costs that add no value to the finished product. Making the decisions involved in the effort to attain these goals is the job of the operations manager. These responsibilities are deal directly with the planning process, the production control and the quality control. These responsibilities are very important to the organization and can ultimately decide which direction the company will move in. This......

Words: 547 - Pages: 3

Premium Essay


...CHAPTER 1: OPERATIONS AND PRODUCTIVITY TRUE/FALSE 1. Some of the operations-related activities of Hard Rock Café include designing meals and analyzing them for ingredient cost and labor requirements. True (Global company profile, easy) 2. The production process at Hard Rock Café is limited to meal preparation and serving customers. False (Global company profile, easy) 3. All organizations, including service firms such as banks and hospitals, have a production function. True (What is operations management? moderate) 4. Operations management is the set of activities that create value in the form of goods and services by transforming inputs into outputs. True (What is operations management? easy) 5. An example of a "hidden" production function is money transfers at banks. True (What is operations management? moderate) 6. One reason to study operations management is to learn how people organize themselves for productive enterprise. True (Why study OM, easy) 7. The operations manager performs the management activities of planning, organizing, staffing, leading, and controlling of the OM function. True (What operations managers do, easy) 8. "How much inventory of this item should we have?" is within the critical decision area of managing quality. False (What operations managers do, easy) 9. In order to have a career in operations management, one must have a degree in statistics or quantitative methods. False (What operations managers do,......

Words: 5625 - Pages: 23

Premium Essay

Cross Function

...Introduction to Operation Management 1. Define operations management. 
 Operations management is the business function that is responsible for managing and coordinating the resources needed to produce a company’s products and services. Without operations management there would be no products or services to sell. 2. Explain the role of operations management in business. 
 The role of operations management is to transform organizational inputs—human resources, facilities, materials, technology, and information—into a company’s finished goods or services. 3. Describe decisions that operations managers make. 
 Operations management is responsible for a wide range of decisions, ranging from strategic decisions, such as designing the unique features of a product and process, to tactical decisions, such as planning worker schedules. 4. Describe the differences between service and manufacturing operations. 
 Organizations can be divided into manufacturing and service operations, which differ in the tangibility of the product and the degree of customer contact. Manufacturing and service operations have very different operational requirements. 5. Identify major historical developments in operations management. 
 A number of historical milestones have shaped operations management into what it is today. Some of the more significant of these are the Industrial Revolution, scientific management, the human relations movement, management......

Words: 1663 - Pages: 7

Premium Essay

Boeing Company Comparison

...2.4. Ratio and Trend Analysis 3. Lockheed Martin Financial Statement and Analysis 3.1. Background and Product Lines 3.2. Consolidated Balance and Income Statements 3.3. Divisional Financial Statements 3.4. Ratio and Trend Analysis 4. Financial Comparison between the Two Companies 4.1. Consolidated Comparisons 4.2. Military Aircraft and Space Divisions Comparisons 5. Summary/Conclusions 6. Bibliography 7. List of Tables 8. List of Figures List of Tables T-1: Consolidated Financial Balance Sheet-The Boeing Company T-2: Consolidated Income Statement-The Boeing Company T-3: Divisional Financial Summary-The Boeing Company T-4: Consolidated Financial Ratio Analysis-The Boeing Company T-5: Consolidated Financial Balance Sheet-Lockheed Martin T-6: Consolidated Income Statement- Lockheed Martin T-7: Divisional Financial Summary- Lockheed Martin T-8: Consolidated Financial Ratio Analysis- Lockheed Martin List of Figures F-1: Total Assets Divisional Trend Analysis-The Boeing Company F-2: Sales Divisional Trend Analysis-The Boeing Company F-3: Net Earnings Divisional Trend Analysis-The Boeing Company F-4: Net Capital Expenditures Divisional Trend Analysis-The Boeing Company F-5: Total Liabilities Divisional Trend Analysis-The Boeing Company F-6: Research and Development Divisional Trend Analysis-The Boeing Company F-7: Liquidity Ratio Trend Analysis-The Boeing Company F-8: Asset Management Ratio Trend Analysis-The......

Words: 4739 - Pages: 19

Premium Essay

Business Communication Trends

...Business Communication Trends Business communications is a critical element required for a business to be successful. Businesses that choose to operate without open lines of communication are setting themselves up for failure. Making mistakes, lack of productivity, goodwill or legal concerns are just some of downfalls of unsuccessful operations (Locker & Kienzler, 2008, pg. 8.) Business communication must continually progress to keep up with advances in technology. Communication plays an important role within the workplace both internally and externally. Internal communication involves interaction between associates and management. External communication provides interactions with customers, vendors, community organization, and investors. Understanding day-to-day communication in the business world, time management, trends and results from these trends will help guide businesses additional tools for success. Understanding day-to-day operations; businesses must communicate with all internal and external participants. Reputable managers interact with associates. Businesses interact with customers, community organizations, and investors. Successful communication within a business offers associates a chance to understand tasks assigned and how to anticipate. For any business, communication practices enhance success by the associate, builds up consumer satisfaction and revenue. Successful communication occurs only if the......

Words: 900 - Pages: 4

Premium Essay

Stategic Audit Outline

...with the internal and external environments? v. Policies: What are the corporation’s policies? Are they consistent with each other, with the mission, objectives, and strategies, and with the internal and external environment? vi. Do the current mission, objectives, strategies, and policies reflect the corporation’s international operations, whether global or multi-domestic? II. Corporate Governance a. Board of Directors i. Who is on the board? Are they internal or external members? ii. Do they own significant of stock? iii. Is the stock privately held or publicly traded? Are there different classes of stock with different voting rights? iv. What do the board members contribute to the corporation in terms of knowledge, skills background, and connections? If the corporation has international operations, do board members have international experience? v. How long have members served on the board? vi. What is their level of involvement in strategic management? Do they merely rubberstamp top management’s proposal, or do they actively participate and suggest future directions? b. Top Management i. What person or group constitutes top management?...

Words: 2745 - Pages: 11

Premium Essay

Operation Business Studies Essay

...Assess strategies that management may use to respond to influences on operations 1. Executive summary: Operations management is the planning, organising, coordinating and controlling the transformation of inputs to outputs to maximize profitability, while meeting the requirement of customers and maximising quality of the good and service. Operating since 1983, Bob and Pete’s 100% Yum is a family owned, authentic bakery wholesaler. Operating for 25 years, Simon Johnson is a wholesaler of luxury and high end foods, valuing the experience and quality of foods. Both in the food industry, the businesses respond to these influences through the variety of similar and different strategies. The operations process is influenced by technology, quality expectations and globalisation. Similarly, B&P and SJ respond to these influences by the strategies of using leading edge and established technology, inventory management quality management outsourcing and the design and development of new products. 2. Technology Technology is the design, construction and application of innovative devices, methods and machinery upon the operations process. If technology is responded to efficiently, businesses applying efficient strategies to improve efficiency and quality, as machines make manufacturing more accurate. SJ strategically use leading edge technology, which is the most advanced or innovative technology at any point in time. For example, SJ use new technologies of temperature......

Words: 1075 - Pages: 5

Premium Essay


...1-1 Introduction to Operations Management Operations Management William J. Stevenson 8th edition 1-2 Introduction to Operations Management CHAPTER 1 Introduction to 
 Operations Management McGraw-Hill/Irwin Operations Management, Eighth Edition, by William J. Stevenson Copyright © 2005 by The McGraw-Hill Companies, Inc. All rights reserved. 1-3 Introduction to Operations Management Operations Management Figure 1.1 The management of systems or processes 
 that create goods and/or provide services 1-4 Introduction to Operations Management Value-Added Figure 1.2 The difference between the cost of inputs 
 and the value or price of outputs. 1-5 Introduction to Operations Management Goods-service Continuum Figure 1.3 1-6 Introduction to Operations Management Food Processor Table 1.2 Inputs Raw Vegetables Metal Sheets Water Energy Labor Building Equipment Processing Cleaning Making cans Cutting Cooking Packing Labeling Outputs Canned 
 vegetables 1-7 Introduction to Operations Management Hospital Process Table 1.2 Inputs Doctors, nurses Hospital Medical Supplies Equipment Laboratories Processing Examination Surgery Monitoring Medication Therapy Outputs Healthy 
 patients 1-8 Introduction to Operations Management Manufacturing or Service? Tangible Act 1-9 Introduction to Operations Management Production of Goods vs. Delivery of Services......

Words: 976 - Pages: 4

Free Essay

Team Paper

...learning team reflection is a discussion focused on the differences and usages for comparative and ratio analysis. The use of multiple sets of data for comparison to detect trends is comparative analysis. Comparative analysis demonstrates trends within an organization. With continued use, Comparative analysis can identify diminishing trends through the use of quarterly data analysis. Ratio analysis also helps to establish trends, and make financial comparisons that assist management in making healthy financial decisions. Also, ratio analysis identifies strengths and weaknesses within an organization that allows management to make strategic decisions that benefit the success of the operation. According to Wiley (2013), “Information from financial statements can be gathered by examining relationships between items on the statements and identifying trends in these relationships” (Chapter 13). The relationships are numerically expressed in percentages or ratios, then trends can be recognized with a comparative analysis. With comparative analysis, the exact same data is provided for two or more different periods so similar data can be compared. Ratio analysis only provides a glimpse, due to the analysis being for a single given period. With comparative analysis a company can determine whether a trend is diminishing or growing from year to year and by what proportion. According to Lohrey (2015), “Comparative analysis is the item by item comparison of two or more......

Words: 522 - Pages: 3

Premium Essay

Unit 35: the Entertainment Industry and Venue Management

...UNIT 35: THE ENTERTAINMENT INDUSTRY AND VENUE MANAGEMENT Get assignment help for this unit at LO1 Understand the contribution of the entertainment industry to the economy Data: analysis of data from the entertainment and venue industry eg Department for Culture, Media and Sport (DCMS) Annual Reports, Leisure Tracking Survey; the Henley Centre; Target Group Index, BMRB International; General Household Survey Economy: ways the entertainment and venue industries have contributed to the national economy; the development and distribution of different activities Agencies: comparison of funding agencies (local, regional and national); their impact on the entertainment and venue industries;postID=7145972173407995657 LO2 Understand types of activities offered by the entertainment industry Activity: by performers eg professional, semi-professional, amateur; by venue eg venuespecific, touring, festivals; by art forms eg live music, opera, theatre, dance, cabaret, comedy, visual arts (exhibitions, film and video) Audiences: national data usage figures; age and socio-economic breakdown; spectator and participatory activity; widening choice Venues: major entertainment venues eg arenas, stadia, exhibition centres; dedicated spaces eg theatres, concert halls, arts centres, clubs, cinemas, galleries; non-dedicated spaces eg streets, schools, pubs, homes, outdoor spaces, community...

Words: 785 - Pages: 4

Free Essay


...Conference papers School of Hospitality Management and Tourism 2011 Trends in the Food and Beverage Sector of the Hospitality Industry Detta Melia Dublin Institute of Technology, Follow this and additional works at: Recommended Citation Melia, D.:Trends in the Food and Beverage Sector of the Hospitality Industry. EuroCHRIE Conference, Dubrovnik, Croatia, October 2011. This Conference Paper is brought to you for free and open access by the School of Hospitality Management and Tourism at ARROW@DIT. It has been accepted for inclusion in Conference papers by an authorized administrator of ARROW@DIT. For more information, please contact, This work is licensed under a Creative Commons AttributionNoncommercial-Share Alike 3.0 License Paper Title: TRENDS IN THE FOOD AND BEVERAGE SECTOR OF THE HOSPITALITY INDUSTRY Detta M. Melia School of Hospitality Management and Tourism Dublin Institute of Technology Cathal Brugha Street Dublin 1 Key Words: Trends, Food and Beverage Sector, Hospitality Industry, Drivers for Success 1 Abstract The hospitality sector in Ireland represents an important part of the tourism industry and comprises hotels, restaurants, pubs and clubs, guesthouses and self-catering operations. The largest component within the Irish hospitality sector is hotels. In addition to hotels, food and beverage operations comprise a significant proportion of......

Words: 5054 - Pages: 21

Premium Essay


...Name : Operations Management Course Code : GSM 5113 Credit : 3 (3+0) Semester/Trimester : Second Trimester 2012/2013 Pre-Requisite : None Course Objectives : The course has several objectives: • Introducing the functional area of operations and demonstrating how operations interface with an organization’s other functional areas. • Highlighting the various issues and problems that traditionally arise in the management of operations within both manufacturing and service organizations. • Building a familiarity with the terminology, modeling, and methodology often employed in the operations function. • Presenting recent technological advances that directly affect operations management. Synopsis : Operations management goes by many names: Production, Production Management, or simply Operations. For our purposes we will define it as the production and delivery of goods and services. It encompasses designing the product and its accompanying production process, acquiring and organizing the necessary resources, and planning and executing production. With such a broad scope, the operations function plays an integral role in the ability of an organization to achieve its goals. A well-trained manager must be familiar and conversant with the many issues and concepts that arise within this functional area. In this course we will study the management......

Words: 546 - Pages: 3

Premium Essay


...chain management: theory, practice and future challenges 754 John Storey and Caroline Emberson The Open University Business School, Milton Keynes, UK, and Janet Godsell and Alan Harrison Cranfield School of Management, Cranfield, UK Abstract Purpose – The purpose of this paper is to critically assess current developments in the theory and practice of supply management and through such an assessment to identify barriers, possibilities and key trends. Design/methodology/approach – The paper is based on a three-year detailed study of six supply chains which encompassed 72 companies in Europe. The focal firms in each instance were sophisticated, blue-chip corporations operating on an international scale. Managers across at least four echelons of the supply chain were interviewed and the supply chains were traced and observed. Findings – The paper reveals that supply management is, at best, still emergent in terms of both theory and practice. Few practitioners were able – or even seriously aspired – to extend their reach across the supply chain in the manner prescribed in much modern theory. The paper identifies the range of key barriers and enablers to supply management and it concludes with an assessment of the main trends. Research limitations/implications – The research presents a number of challenges to existing thinking about supply strategy and supply chain management. It reveals the substantial gaps between theory and practice. A number of trends......

Words: 9407 - Pages: 38

Premium Essay

Strategic Plan Part Ii

...synopsis that the author will analyze seven of the forces and trends that Lusti Laundromat must take into consideration including economic, legal and regulatory. The author will describe how the company adapts to changes, and analyze the supply chain operations. By identifying the major issues or opportunities that the company faces with the synopsis, the author can generate a hypothesis surrounding each issue and research questions. The author will conclude by identifying the circumstances surrounding each issue, classifying the circumstances; attributing the importance of each classification; and test the accuracy of the importance for each classification. Strategic Planning is a tool the organizations use to concentrate its energy, to ensure that the workforce and all members of the company are working towards the same goal previously establish. The primary purpose of strategic planning is to assess and adjust the organization’s direction in response to a changing environment. Strategic planning is necessary to allow the firm to keep its competitive advantage, and that is what makes the difference on successful companies. For Lusti Laundromat, a coin laundry store in South Florida, the administration understand the importance of strategic planning to pursue the goals previously set and to make sure the workforce meets the standards of the organization. Given the success achieved so far Lusti Laundromat management decided to expand and open more stores throughout South......

Words: 1433 - Pages: 6