PART ONEIntroduction to operations management includes two chapters: - Introduction to Operations Management, Chapter 1
- Competitiveness, Strategy, and Productivity, Chapter 2
IntroductionChapter 1 introduces you to the field of operations management. It describes the nature and scope of operations management, and how operations management relates to other parts of the organization. Among the important topics it covers are a comparison of manufacturing and service operations, a brief history of operations management, and a list of trends in business that relate to operations. After you have read this chapter, you will have a good understanding of what the operations function of a business organization encompasses. Chapter 2 discusses operations management in a broader context, and presents the issues of competition, strategy, and productivity. After you have read Chapter 2, you will understand the importance of the operations function relative to the goals of a business organization. This chapter also describes time-based strategies, which many organizations are now adopting as they seek to become more competitive and to better serve their customers.
| LEARNING OBJECTIVES | | After completing this chapter, you should be able to: | | 1 | Define the term operations management. | | 2 | Identify the three major functional areas of organizations and describe how they interrelate. | | 3 | Compare and contrast service and manufacturing operations. | | 4 | Describe the operations function and the nature of the operations manager’s job. | | 5 | Differentiate between design and operation of production systems. | | 6 | Describe the key aspects of operations management decision making. | | 7 | Briefly describe the historical evolution of operations management. | | 8 | Identify current trends in business that impact operations management. |
|
 <![CDATA[<a onClick="window.open('/olcweb/cgi/pluginpop.cgi?it=jpg::::/sites/dl/free/0073041912/ste41912_p0101.jpg','popWin', 'width=NaN,height=NaN,resizable,scrollbars');" href="#"><img valign="absmiddle" height="16" width="16" border="0" src="/olcweb/styles/shared/linkicons/image.gif"> (K)</a>]]>
© Getty Images.
In the late 1970s, Wal-Mart was a niche marketer, with about 200 stores, mostly in the South. At the time, Sears, JC Penney, and Kmart dominated the retail market. Over the years, Wal-Mart gained market share at the expense of the previous market leaders, and it has now become the largest and most profitable retailer in the world! In the 1990s, the Boeing Company ran into trouble when it could not meet production deadlines. As a result, Boeing lost some orders, which had a negative impact on earnings and its stock price. Why do some companies thrive while others struggle or fail? There are a variety of reasons, to be sure. However, an important key in a company’s success or failure is how well it manages its operations. |
This book is about operations management. The subject matter is fascinating and timely: Productivity, quality, e-business, global competition, and customer service are very much in the news, and all are part of operations management. This first chapter presents an introduction and overview of operations management. Among the issues it addresses are: What is operations management? Why is it important? What do operations management professionals do? The chapter also provides a brief description of the historical evolution of operations management and a discussion of the trends that impact operations management. |
