GROUP # 9

INTEGRANTS:

DIANA MENDOZA
EVELYN VERA
KAREM BELTRAN
ANGELA REINOSA
BRENDA RODRIGUEZ
VANESSA ZAMBRANO

OM AND STRATEGIC PLANNING

WHAT IS OPERATIONS
MANAGEMENT?
Operations Management refers to the administration
of business practices to create the highest level of
efficiency posible within an organization.

IMPORTANCE OF OPERATIONS
MANAGEMENT
An effective operation can give four types of advantages
to the business:
OM can reduce the cost of products and services by
being efficient
OM can increase revenue through increased customer
satisfaction in producting quality godos and services.
OM provides the basis for innovation by building a solid
base of operations and knowledge.

OMs Contributions to
Society
Higher Standard of Living
Ability to increase productivity
Lower cost of goods and services
Better Quality Goods and Services
Competition increases quality
Improved Working Conditions
Better job design and employee participation

Linking OM to Customers and Suppliers

Benefits of Buffering the Transformation Process
The process was often more efficient than input and distribution
processes
Productivity was maximized when processes operated at continuous rates
Process management skills were different from those of other functional
activities
. Disadvantages of Buffering the Transformation Process
Information lag in interaction with other functional activities
Lack of communication between customers and the shop floor for
problem solving.

OM AND STRATEGIC PLANNING

STRATEGY
Is a pattern or
plan that
integrates an
organization
major goals.

STRATEGIC PLANNING

Is the process of determining

long-term goals, policies, and
plans for an organization.

LEVELS OF STRATEGY
Corporate Strategy

Is necessary to
define
the
business in which
the
corporation
will
participate
and develop plans
for the acquisition
and allocation of
resources among
those businesses.

BUSINESS STRATEGY
The
major
decisions involve
which markets to
pursue and how
best to compete
in
those
markets.

FUNCTIONAL STRATEGY
Is the set of decisions that each functional
area (marketing, finance, operations, and
so on) develops to supports its particular
business strategy.

OPERATIONS STRATEGY
An operations strategy defines how an organization will
execute its chosen business strategies.

A FRAMEWORK FOR
OPERATIONS STRATEGY
This framework defines the essential elements of an
effective operations strategy which are:
Operations
design
choices

Building the
right
infrastructure
.

OPERATIONS DESIGN CHOICES

Operations design choices are the

decisions management must make as
to what type of process structure is
best suited to produce goods or
create services.

INFRASTRUCTURE
WORKFORCE
OPERATING PLANS AND CONTROL SYSTEMS
QUALITY CONTROL

ORGANIZATIONAL STRUCTURE
COMPENSATION SYSTEMS

LEARNING AND INNOVATION SYSTEM

SUPPORT SERVICES

INFRASTRUCTURE
The infrastructure must support process
choice and provide managers with accurate
and timely information to make good
decisions, which lie at the core of organization
effectiveness