Operation Management Mid Exam- answer sheet

Spring semester/2021
26-4-2021

Question 1

Operation management is the activity of managing the resources which are devoted to the production
and delivery of products (tangible) and services (intangible). The role of operations management is to
execute to the process by which the product or service is delivered to customers and it can be external
(final customers) or internal (employees within the company).

Operations can be analyzed at different levels of management.

The first one: the level of supply network (Macro level perspectives). It is flow between many operations
in your organization and it is concerned with the flow of transformed resources between operations for
example Wholesaler and retailers and farms and the main factory. In Real life I give you an example of
an organization that have all of these Daher Foods and it is Lebanese company for food and it has its
own farms and factory and its own supply chain system that link all parts of organization together and
link supplier with customer.

The second one: The level of the operation. It is the flow of internal processes to form between
functional areas and if we take one operations of them we have different processes for example
packaging, marketing, and transportation.

The third one: the level of the process (micro level perspective).processes forms an internal supply
network and become each other’s customers and suppliers. In this level we take one process of them so
we have different resources and material it is part of resources for example equipment, energy,
information customers.

Question 2

Operations are the resources and processes that create products and services. While operational is the
opposite of strategic it means day by day activities and especially detailed activities.

Operations management operation strategy

The time scale is longer short- term from one to 12 For the long –term ,example
months for example capacity capacity decisions
decision.

The level of aggregation is Detailed (every single action) for Aggregated (what happened all
higher instance number of customer the year) for example evolution of
orders on a specific day customer orders over the previous
 12 months

The level of abstraction is Concrete for example how do we Philosophical for example should I
higher improve our purchasing develop strategic issue with
procedures? suppliers.

The level of analysis is higher Micro level of the process (department) Macro level of the
total operation (company)

Question3

Gap model of quality in operation

Previous experience word of mouth communications image of good or service

customerdomain

Customer expectations Gap4

Concerning a product or service GAP? Customer perception concerning

Product or service

Customer own specification of quality The actual product or service

Gap1 Gap3 operation domain

Management concept of Organization specification of quality

Product or Gap2

Daher Foods is a Lebanese company for foods and it has many products that deliver and must meet the
expectation of customer all of this it needs a successful operation management system and good SCM.

Since we have talking about quality so quality is customer satisfaction and any business have to be a
success business must fill the gap and have a good total quality management system between his
department and across overall organization.so to link between customer domain and operations domain
by filling the gap.

First by ensuring consistency between internal quality specification and the expectations of customers
by the marketing department (surveys to customers to get this information and opinion)
Second by ensuring internal specification meet its concept of design and it happen by the marketing and
development department.

Third by assure that the actual product conforms to internally specified quality level and this is done by
the operations mangers.

And finally ensure that promises made to customers can really delivered at same time by expected
quality and these expectations must meet the needs and wants of each customer.

Question 4

There are 5 stages of product and service design

1- Concept generation in this stage we talk about what exactly this product ?and ideas from
customers by doing marketing research also it is some ideas from competitors(reverse
engineering) and ideas from internal staff and employees since they in direct touch with
customers.
2- Concept screening means product itself and customer expectation about this product .The
criteria of product and service:feasibility and acceptability and vulnerability. Concept screening
has a design funnel to filter all concepts and get a right one and overall evaluation.
3- Preliminary design and it is initial design of product.
4- Design evaluation and improvement (evaluation of preliminary stage) and it has done by trying
to reduce unnecessary costs before production and test the product by lab test in extreme
condition also ensure that this design of product meet the customer needs.
5- Prototyping and final design and this come in various forms: card model and clay model and
computer simulations so products and services can be tested.