Opera&ons management is the administra&on of business prac&ces

aimed at ensuring maximum efficiency within an organiza&on, which

in turn helps to improve profitability. It involves planning, organizing,
and supervising the processes, as well as making necessary
improvements for higher efficiency. Here's a detailed overview of
opera&ons management:

Key Components of Opera0ons Management

1 Product Design and Development:

• Objec7ve: Create products that meet customer needs and

can be produced at a compe&&ve cost.
• Process: Involves market research, concept development,
prototype tes&ng, and final design.
2 Process Design and Improvement:

• Objec7ve: Develop efficient processes to produce goods and

services.
• Process: Includes workflow analysis, process mapping, and
con&nuous improvement methodologies like Lean and Six
Sigma.
3 Supply Chain Management:

• Objec7ve: Manage the flow of materials and informa&on

from suppliers to customers efficiently.
• Process: Encompasses procurement, logis&cs, inventory
management, and coordina&on with suppliers and
distributors.
4 Quality Management:

• Objec7ve: Ensure products and services meet quality

standards and customer expecta&ons.
• Process: U&lizes tools like Total Quality Management (TQM),
quality control, and quality assurance prac&ces.
5 Capacity Planning:

• Objec7ve: Determine the produc&on capacity needed to

meet changing demands for products or services.
• Process: Involves analyzing current capacity, forecas&ng
future demand, and making adjustments as necessary.
6 Inventory Management:

• Objec7ve: Maintain op&mal inventory levels to meet

customer demand while minimizing costs.
• Process: Includes techniques like Just-In-Time (JIT), Economic
Order Quan&ty (EOQ), and ABC analysis.
7 Scheduling:

• Objec7ve: Plan and control the produc&on process to ensure

&mely delivery of products and services.
• Process: Involves crea&ng schedules for workforce,
machinery, and project &melines.
8 Maintenance Management:

• Objec7ve: Ensure that equipment and facili&es are in good

working condi&on.
Process: Includes preven&ve maintenance, predic&ve maintenance,
and repair strategies.