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Production and Operations Management Function

Production and operations management (POM) concerns itself with the conversion of inputs into outputs using physical resources so as to meet its criteria of performance.
Criteria

of Performance
Customer satisfaction Effectiveness Efficiency

Inputs = Transformation = Outputs

INPUTS

PROCESS

OUTPUTS

PERFORMANCE MANAGEMENT

Short & long Term costs

Order Loser value Delivered Performance

The value seesaw

Feedback

Inputs: Materials Capital Equipment People Power Information Processes Output

suppliers

customers
Goods Or Services

Operation management

Determine needs

Determine functional requirements and constraints

specifications

Identify essential problems , propose functional structure, evaluate technical and economic criteria

Concept

Develop preliminary configurations , introductory analysis , select best preliminary Design refine tech. and economic criterion

Preliminary design

Refine complete configuration, conduct detail analysis ,review cost, prepare drawings

Definite design Finalize details , conduct final analysis Documentations Prototype Test and evaluate Solutions

Continuous flow Mass production Batch production Job-shop production

People-centric:
HR (Employees)
Supply (Associates) Timing (Customer) Spatial (all)

Product-centric:
Technology Capacity Scheduling System maintenance

Individual efficiency
Work study

Collective efficiency
Production control, Assembly line

Quality and materials


Statistical quality control, Inventory control

Operations Research Computer era Service & Relationships era


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The basic effort, historically speaking, has been to ensure: Swift and even flow of materials achieved through Reducing variability within the system
output, flows, quality, supplies and delivery

Market variability is handled by further reducing systemic variability

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Past trend has been:


Product Services Techniques Relationships

What will the future be?


More services New services Softer services Psychological services

POM will have to meet its criteria of performance in the new/unforeseen services

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