PRODUCTION AND OPERATION MANAGEMENT

FROM MAYURI BHARGAVA AND PREETI SRIVASTAVA

INTRODUCTION OF MANAGEMENT 

MANAGEMENT IS THE ART AND SCIENCE OF PLANNING ,DIRECTING AND CONTROLLING HUMAN EFFORT SO THAT THE ESTABLISHED OBJECTIVES OF AN ENTERPRISE MAY BE ATTAINED IN ACCORDANCE WITH ACCEPTED POLICIES.

CONCEPT OF PRODUCTION  

PRODUCTION IS DEFINED AS the step by step conversion of one form of material into another form through chemical or mechanical process to create or enhance the utility of the product of the user ACCORDING TO EDWOOD BUFFA a process by which goods and services are created.

SCHEMATIC PRODUCTION SYSTEM
INPUTS: MEN MATERIAL MACHINES MONEY METHOD TRANSFORMATION PROCESS: PRODUCT DESIGN PROCESS PLANNING PRODUCTIONCONTROL MAINTENENCE

OUTPUT:
PRODUCTS SERVICES

CONTINUOUS:
INVENTORY QUALITY

environment

COST

Feedback information

CLASSIFICATION OF PRODUCTION SYSTEM

Continuous
Production Operation volume

production Mass production Batch production Job-shop production

Output/product variety

INTRODUCTION TO PRODUCTION MANAGEMENT 

The word production management has two parts:parts:-

Production + management = production management 



Production:Production:- it is an intentional act of producing something in a specific manner. Management:Management:- it is an art & science concerned with planning , controlling the human beings towards common aim with agreed policies.

PRODUCTION MANAGEMENT  

In the words of Mr. E.L. Btech: production management is the process of effective planning and regulating the operations of that section of an enterprise which is responsible for the actual transformation of materials into finished products. E.S. Buffa defines production management as, Production management deals with decision making related to production processes so that the resulting goods or services are produced according to specifications, in the amount and by the schedule demanded and out of minimum cost.  

Production management deals with decision making related production process. So that the resulting goods and services are produced in accordance with the quantitative specification and demand schedule with minimum cost. Production management is a set of general principle s for production economies facility design ,job design. Schedule design ,quality control , inventory control ,work study and cost and budgetory control.

PRODUCTION PROCESS SYSTEM 

INPUT:
INFORMATION TRANSFORMATION MANAGEMENT MATERIAL&LAND LABOUR, CAPITAL TECHNOLOGY PROCESS ORGANIZATION TRANSFORMATION

GOODS

SERVICE

OPERATION MANAGEMENT   

 

Operation management may be defined as the design ,operation ,and improvement of the production system that the firm·s products or services. Concerned with the operations performed during the production process system. It is called as the core activity of the management. It is often used with the production management in literature. It is defined as the process where by resources or inputs are converted into more useful products.

OPERATION MANAGEMENT   

Operation management is more frequently used where various inputs are transformed into tangible services. Operation management covers the services like banks, airlines, pollution control, consultancies firms, and hospitals. Operation management includes the activities such as managing purchase , invetory control , storage, logistics, measurement and analysis of internal process.

FIVE P S OF OPERATION MANAGEMENT 
   

PEOPLE ( Are the direct and indirect work force ) PLANTS (includes factories where production is carried out) PARTS (includes materials which go into the system) PROCESS (includes equipment and steps by which production is accomplished.) PLANNING AND CONTROL SYSTEM (procedures and information to operate system )

GENERAL MODEL FOR MANAGING OPERATIONS

PLANNING PLANNING CONVERSION SYTEM OPERATIONS STRATEGY FORECASTING PRODUCT AND PROCESS CHOICES SCHEDULING CONVERSION SYSTEM: OPERATIONS SCHEDULING SCHEDULING SYSTEM AND AGGREGATE PLANNING CONVERSION MODELS

ORGANISING: ORGANISING FOR CONVERSION JOB DESIGN,PRODUCTION/OPERATIONS STANDARDS,WORK MEASUREMENT PROJECT MANAGEMENT

BEHAVIOUR

CONTROLLING MATERIAL CONTROL INVENTORY CONTROL MANAGING FOR WORLD-CLASS COMPETITION MANAGING FOR QUALITY

Scope of production and operation management
Location Of facilities Maintenance management Plant layout & Material handling

Material control

Production/ Operation management

Product design

Quality control Production Planning and control

Process design

SCOPE OF PRODUCTION AND OPERATION MANAGEMENT
(A)

Product selection and design

1.Choosing the right product by keeping the objective of the organization. 2. Design of the product must be attractive, aesthetic and functional. 3.Product design must be made in such way to face competitor. 4.Unnecessary cost must be eliminated.

(B) Process selection and planning
1.Selection of the process involves taking decision as technology, machines and equipments. 2.First thing is that we have to optimize the output from the given process. 3.Planning includes the stages of the process and automation and mechanization 4. Alternatives , evaluation and judging factors must be there.

(C) Facilities location
1. 2. 3.

Includes where we can locate our operation. In this wrong decision may prove disastrous. Location should be in way that the cost of transportation is minimized. Arrangement of machines and plant facilities. Over-lapping and no interruption should be there OverSequence of machines How to handle the material and in which manner so that the cost of material handling is minimized. Factor of flexibility should be there to adapt changes.

(D) Facilities layout and material handling
1. 2. 3. 4. 5.

(F) Capacity planning
1. 2.

3.

Estimating the capacity of manpower , man , machines. Capacity refers to a level of output of the conversion process over a period of time. The Transformation process.

OPERATIONS: A TRANSFORMATION PROCESS
feedback

input performance Workers Managers Equipment Material Land Energy Operations And processes

output

Goods Goods services services

EXAMPLE: FOOD PROCESSOR 

INPUTS

PROCESSING
Cleaning Making cans Cutting Cooking Packing labeling

OUTPUT
Canned vegetable

Raw material Metal sheets Water Energy Labor Building equipment

Consumer feedback

EXAMPLE: HOSPITAL
INPUTS
Doctors, nurses Hospital Medical supplies Equipment laboratories

PROCESSING
Examination Surgery Monitoring Medication Therapy

OUTPUT
Healthy Patients

Improvement of patients health condition

END

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