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Summarising Essay Operations Management

Chapter 1: Introduction

The first chapter introduces the reader to exactly what operations management is and
attempts to illustrate how important operations management is in any organisation.
Central questions arise from this chapter as it assists in furthering the understanding
of what operations management comprises of. Some of these questions include the
following: what is meant by the input-transformation-output process as well as what is
meant by the process hierarchy (Slack, 2016:3). Feeding from the previous questions,
the different characteristics of operations processes will be analysed and evaluated
(this analysis and evaluation will continue for all the summarised chapters) as well as
understanding what it is operations managers do.

Slack (2016:2) writes that operations management is concerned with how


organisations go about creating and delivering services and products.

Operations and management can be divided in to two sects as even though it serves
as a unit of study in its name, broken up, these two terms have different meanings
(Slack, 2016).

It is noteworthy that the operations management serves as one of three of the


business’ core functions (Slack, 2016:6) the other two being marketing & sales as well
as product/ service development. An example that can be used here is in the fast-food
chains/restaurant business where the operations task would be to prepare the food
(this could be labelled as a ‘transformer’ in the input-transformation-output process
which will be expanded upon at a later stage) as well serving customers as well as
attempting to create an ambiance as it is vital to create a memorable and extraordinary
experience for the customer.

In evaluating this, I echo why this must be strived for going over and above for one’s
customer and even doing this unreasonably so. The book by Will Guidara (2024)
‘Unreasonable Hospitality’ give countless examples as to they went above and beyond
for their customers by personalizing their experience where the server in the restaurant
overheard a family from China stating they want to experience the snowfall outside
(restaurant is based in New York) as they have never seen snow before but were not
certain they could as they were to leave the next day. The server reported this to the
operations manager and quickly the manager had organized for appropriate gear and
sleighs for the family to experience the snow. Actions such as this, amongst others,
allowed Guidara’s then restaurant, Eleven Madison Park, being rated as the worlds
best restaurant in 2017.

The input-transformation-output (ITO) process is a fundamental concept in operations


management, describing how inputs are transformed into outputs through a series of
processes. This process involves converting raw materials, labor, and other resources
into finished goods or services. The ITO can be explained as follows: Inputs: These
are the resources, materials, information, and energy required for the production
process. Inputs can include raw materials, labor, technology, capital, and information.
Transformation: This stage involves converting inputs into outputs through various
processes. Transformation can include manufacturing, assembly, processing, or
service delivery, depending on the nature of the operation. Outputs: These are the
final products or services generated by the transformation process. Outputs can be
tangible goods (e.g., cars, computers) or intangible services (e.g., consulting,
education).

Chapter 2- Operations Performance

This chapter speaks to Operations performance. Central components making up


performance (and its importance) consist of quality, speed, dependability as well as
costs. Importantly, the success or failure of an operations’ performance is measured
is measured in terms of its economic, social and environmental impact. This is where
the triple bottom line enters. One of operations most tasks is to ensure that economic
gains are balanced as well as being socially responsible coupled with creating an
environment that is sustainable and therewith, the organisation obtains its license to
operate in society. It is argued that this triple bottom line is utopian in nature and
therewith, not universally accepted. Its effectiveness may be limited across the board
due to a multitude of factors, such as divergent organisational objectives, industry
intricacies, and stakeholder demands. Below is an explanation with a case study
example:

Organisational Priorities: Various organisations may assign different levels of


importance to various components of the triple bottom line, depending on their values,
mission, and business model. Certain companies may prioritise financial performance
over ethical or environmental considerations, particularly if they operate in fiercely
competitive or financially limited industries. This could result in a scenario where the
triple bottom line is not universal.

Illustrative Case Study: A multinational corporation in the oil and gas industry might
prioritize financial performance and shareholder value maximization due to the capital-
intensive nature of its operations and the expectations of investors. Although the
corporation recognises the significance of social and environmental responsibility, its
main emphasis may lie in profitability and expansion, thus constraining the efficacy of
the Triple Bottom Line (TBL) approach in promoting sustainable practices.

Operations performance objectives are the precise targets that organisations strive to
accomplish in their operations. These objectives are crucial to the organisation
because they provide a clear direction and purpose for their operations. These aims
may encompass: Cost: Reducing expenditures related to production, encompassing
materials, labour, and overhead charges. Quality: Providing products or services that
satisfy or surpass client expectations and adhere to applicable standards and
specifications. Speed refers to the act of reducing the duration required to provide
clients with products or services, encompassing both production lead periods and
delivery timeframes. Flexibility refers to the ability to promptly adjust to shifts in client
needs, market conditions, or manufacturing requirements. Dependability refers to the
ability to offer products or services, including delivering them consistently and reliably
on time and ensuring their reliability.

These operational performance objectives frequently involve making trade-offs with


one another. For instance, enhancing the quality could lead to higher expenses
because of allocating resources towards superior materials or refining methods.
Enhancing velocity may necessitate compromising a certain degree of adaptability, as
swift manufacturing may restrict the capacity to personalise products. Seeking to
reduce costs may potentially undermine quality if less expensive materials or methods
are employed. Improving flexibility might lead to higher costs or slower production
times because of the requirement for adaptable manufacturing systems.
Organisations must meticulously manage these compromises by considering their
strategic aims, market conditions, and competitive positioning. For instance, in a
fiercely competitive market, a corporation may give greater importance to minimising
costs and maximising speed, whereas a luxury brand may prioritise delivering
excellent quality and maintaining flexibility, even if it means sacrificing some cost and
speed advantages.

Chapter 3: Operations Strategy

Strategy is a word deriving of Greek origin strategos which means to lead an army.
These are some similarities to this militant metaphor to business strategy in that both
attempt to set broad objectives (if implemented properly) direct an enterprise to its
goals as well as pathways that will assist in the business in achieving its goals. Both
importantly too emphasise long-term rather than short-term objectives.

Operations strategy is a component of the broader company strategy that explicitly


concentrates on the planning and control of operations and processes inside an
organisation. The objective is to synchronise operations with wider corporate goals
and objectives, enhancing processes to generate a competitive edge and provide
customer value. Operations strategy includes decisions regarding production
processes, capacity planning, supply chain management, quality management,
technology adoption, and resource allocation within operations. The four perspectives
of operations strategy namely the top- down perspective, bottom-up perspective,
operations resources perspective as well as market requirements are briefly evaluated
below.

In a top-down approach, the operations strategy is formulated by senior management


at the organisational level and then passed down to lower levels of the organisation.
The process entails establishing overarching strategic goals and objectives, followed
by formulating operational plans to effectively accomplish them.
In a bottom-up approach, the operations strategy is formulated by gathering insights
and input from lower levels of the organisation, such as frontline personnel or middle
management. This process entails recognising operational opportunities and
difficulties at the local level and subsequently consolidating them into more
comprehensive strategic initiatives. Market Requirements and Operations:
Market Requirements emphasises the synchronisation of operations with customer
requirements and market expectations. The process includes comprehending client
expectations, market trends, and competitive dynamics to establish operational
capabilities that not only meet but surpass consumer requirements.
The concept of operations resources perspective focuses on utilising internal
resources, talents, and competencies to achieve operational excellence. It entails the
enhancement of procedures, technologies, and personnel inside operations to
accomplish strategic goals and objectives.

It is crucial that operations principles are adhered to meaning that that the operations
strategy ideally must mirror the requirements of the business’s markets. For example,
if the customer values a low price (which is a competitive factor) a performance
objective of the business would be that it has to excel at costs. The same can be used
in the example with speed (as discussed in chapter 2), if the customer wants fast
delivery (another competitive factor, speed will have to be the operations performance
objective. This paragraph then shows how the market greatly can influence
performance objectives and this is why it is of importance to study, acclimatise and
find gaps in the market when drawing up the operations strategy as well as to stay up
to date with latest trends and ever developing the operations strategy as the market is
never static.

Linking to the above, an operations strategy (known as ‘the process’) can be put
together following the four stages known as formulation, implementation, monitoring
as well as control.

Formulation deals with the process of clarifying different objectives and decisions
making up the strategy as well as links between them. Coherent and comprehensive
strategies should be aimed to be produced (see bottom-up approach on
comprehensive strategies). Implementation: Execution is key here. Three issues often
arise here that are crucial to achieve successful implementation- strategic clarity,
nature of leadership of the top management as well as effective project management.
Monitoring takes a more quantitative approach as here ongoing performance and
diagnosing of data is tracked. This ensure that changes are proceeding as planned as
well as showing any early indications of deviation of the plan if any. Finally, control
involves a mixture of the monitoring and implementation as it is here where the
evaluation of the abovementioned takes place.
Chapter 4- Process Design

Process design in operations management is a critical aspect that involves the


creation and optimization of processes to achieve efficiency and effectiveness in
production. It encompasses the identification of activities, resources, and constraints
within a process, and the development of strategies to improve overall performance.

One key element of process design is the analysis of current processes to identify
areas of inefficiency or bottlenecks. This involves mapping out the steps involved in a
process, evaluating the flow of materials and information, and identifying areas where
delays or errors occur. By analysing these processes, managers can identify
opportunities for improvement, such as automating repetitive tasks, streamlining
decision-making processes, or reallocating resources to optimize performance.

Another important aspect of process design at is the use of quantitative and qualitative
tools to model and simulate processes. Tools such as simulation software,
mathematical models, and statistical analysis can help managers predict the impact
of changes to a process before implementation. By using these tools, managers can
test different scenarios, evaluate potential risks, and identify the most effective
solutions.

In conclusion, process design is a crucial component of operations management that


requires a combination of analytical skills, strategic thinking, and a deep understanding
of organizational dynamics. With this, professionals must be able to analyze complex
processes, identify areas for improvement, and implement strategies to enhance
overall performance. By mastering process design, professionals can drive innovation,
optimize resources, and improve customer satisfaction within their organizations.

Chapter 5- Innovation and design in services and products

Innovation plays a critical role in determining the success of services and products in
operations management. It impacts design by pushing boundaries and driving
creativity to develop solutions that meet the ever-changing demands of consumers.
Good service and product design is essential because it directly influences customer
satisfaction, operational efficiency, and ultimately the bottom line of businesses.

Innovation in design leads to the creation of services and products that are more
efficient, user-friendly, and cost-effective. By incorporating new technologies,
materials, and processes, companies can stay ahead of the competition and meet the
evolving needs of their customers. For example, the introduction of AI-driven chatbots
in customer service has revolutionized the way companies interact with their clients,
providing quick and personalized responses around the clock.

The stages in service and product design typically involve ideation, conceptualization,
prototyping, testing, and implementation. Each stage is crucial in ensuring that the
final output meets the desired specifications and fulfils customer expectations.
Collaborative efforts between design teams, engineers, and end-users are essential
to gather insights, feedback, and iterate on the design to achieve optimal results.

Interactive design, where users can customize and personalize their experience, offers
numerous benefits in service and product design. It enhances user engagement,
creates a sense of ownership, and increases customer loyalty. For instance, online
platforms that allow customers to tailor their products to suit their preferences have
seen a surge in popularity due to the personalized experience they offer.

In conclusion, innovation and design are integral components of operations


management that drive the success and sustainability of businesses. By embracing
new ideas, technologies, and methods, companies can create services and products
that are not only functional but also aesthetically pleasing and user centric. Good
service and product design are essential for meeting customer expectations, achieving
operational efficiency, and gaining a competitive edge in the market. In today's fast-
paced and ever-evolving business landscape, companies must continuously strive for
innovation in design to stay relevant and meet the needs of their customers. By
focusing on interactive design and incorporating user feedback throughout the design
process, businesses can create services and products that resonate with their target
audience and drive success in operations management.
Chapter 6- Supply Network Design

Supply network design in operations management is a critical component for


organisations seeking to optimise their operations and achieve competitive advantage
in today's global marketplace. Taking a total supply network perspective allows
organisations to consider the entire supply chain, from suppliers to customers, in order
to create a streamlined and efficient network that delivers products and services to the
market.

Configuring a supply network involves a careful analysis of various factors, including


the location of operations, the sourcing of materials, transportation modes, inventory
management, and distribution channels. By strategically designing the supply network,
organisations can reduce costs, improve lead times, enhance service levels, and
increase overall customer satisfaction.

When determining where operations should be located, organisations should consider


factors such as proximity to suppliers and customers, infrastructure availability, labour
costs, transportation facilities, and regulatory requirements. Assessing the capacity of
operations involves determining the optimal level of production or service capacity
needed to meet current and future demand, while also considering factors such as
seasonality, market trends, and potential disruptions.

In conclusion, taking a total supply network perspective, configuring the supply


network, determining optimal operation locations, and assessing capacity are crucial
aspects of supply network design in operations management. By carefully considering
these factors, organisations can create a responsive and efficient supply network that
enables them to effectively meet customer demand and achieve sustainable
competitive advantage in the marketplace.

Chapter 7- Forecasting (Supplement from Chapter 6) and Layout & Flow

Operations management is an essential component of any business, responsible for


overseeing the production of goods and services. Two critical aspects of operations
management are forecasting and layout & flow. Forecasting involves predicting future
demand for products or services, while layout & flow focuses on designing the physical
layout of a facility to optimize efficiency and productivity.
In operations management, layout refers to the physical arrangement of resources
such as machines, equipment, and workstations within a facility. There are several
basic layout types that are commonly used in operations management, including
process layout, product layout, cellular layout, and fixed-position layout.

Process layout, also known as functional layout, groups similar resources together
based on their function. For example, all machining operations may be in one area,
while assembly operations are located in another. Process layout is suitable for
businesses that produce a wide variety of products and offer customization options,
as it allows for flexibility in production.

Product layout, on the other hand, arranges resources in a line or sequence based on
the production process. This layout is ideal for businesses with high volumes of
standardized products, as it enables a smooth and efficient flow of work through the
production process.

Cellular layout combines elements of both process and product layouts by grouping
resources into cells that are dedicated to specific product families or processes. This
layout is beneficial for businesses that produce a moderate volume of standardized
products with some customization options.

Fixed-position layout is used when the product is too large or complex to move through
the production process. In this layout, resources are brought to the product, rather
than moving the product through the facility. This layout is common in construction or
shipbuilding industries.

When choosing a layout type for an operation, it is essential to consider the nature of
the products or services being produced, production volume, customization
requirements, and the flow of work through the facility. Each basic layout type should
be designed in detail to optimize the use of space, minimize unnecessary movement
of resources, and enhance the overall efficiency of the operation.

In conclusion, forecasting and layout & flow are vital components of operations
management that play a significant role in the success of a business. By accurately
predicting future demand and designing an optimal layout for the facility, businesses
can improve efficiency, reduce costs, and enhance customer satisfaction.
Understanding the various basic layout types and designing them appropriately is
crucial for effective operations management.

Chapter 8 and 9: Process Technology and People, Jobs & Organisation

Operations managers play a critical role in ensuring that processes are optimized for
efficiency and effectiveness. Process technology is a key aspect of operations
management that operations managers need to understand in order to make informed
decisions and improve operational performance. In this essay, we will discuss what
operations managers need to know about process technology, how process
technologies are evaluated and implemented, the importance of people issues in
operations management, the contribution of operations managers to human resource
strategy, different forms of organization designs, job design, and work time allocation.

Operations managers need to have a deep understanding of process technology to


effectively manage and improve operations. Process technology encompasses the
tools, techniques, and equipment used to design, analyze, implement, and control
production processes. Operations managers need to be aware of the latest
advancements in process technology to identify opportunities for improvement and
innovation in their operations.

Process technologies are typically evaluated based on their impact on key


performance metrics such as cost, quality, delivery, and flexibility. Operations
managers need to consider factors such as the complexity of implementation, potential
benefits, and risks associated with adopting a new process technology. Evaluation
techniques such as cost-benefit analysis, return on investment, and total cost of
ownership are commonly used to assess the value of process technologies.

Once a process technology has been evaluated and selected, operations managers
are responsible for overseeing its implementation. Implementation involves planning,
organizing, leading, and controlling the activities required to integrate the new process
technology into the existing operations. Operations managers need to ensure that
employees are adequately trained, processes are redesigned to accommodate the
new technology, and performance metrics are monitored to track progress and identify
areas for improvement.

People issues are crucial in operations management because people are the driving
force behind any organization. Operations managers need to consider human factors
such as motivation, communication, teamwork, and leadership in order to achieve
operational excellence. People issues can impact productivity, quality, innovation, and
customer satisfaction, making them a top priority for operations managers.

In addition to managing people issues, operations managers also play a key role in
contributing to human resource strategy. Operations managers are responsible for
recruiting, training, and developing employees, as well as designing job roles and
organizational structures that support the overall business strategy. By aligning
operational goals with human resource strategy, operations managers can create a
more cohesive and effective work environment.

Organizational designs can take various forms depending on the nature of the
business, market conditions, and strategic goals. Common organizational designs
include functional, divisional, matrix, and network structures. Operations managers
need to carefully evaluate the strengths and weaknesses of each design and select
the one that best aligns with the organization's objectives.

Job design is another important aspect of operations management that operations


managers need to consider. Job design involves determining the tasks,
responsibilities, and duties associated with a particular job role. Operations managers
need to ensure that job designs are well-defined, structured, and aligned with the skills
and capabilities of employees in order to maximize efficiency and productivity.

Work time allocation refers to how work hours are assigned and organized within an
organization. Operations managers need to carefully plan and allocate work time to
ensure that resources are utilized effectively, tasks are completed on time, and
employee workload is balanced. By optimizing work time allocation, operations
managers can improve operational performance and achieve better outcomes.

In conclusion, process technology and people issues are key components of


operations management that operations managers need to understand in order to
drive organizational success. By effectively evaluating, implementing, and managing
process technologies and people issues, operations managers can improve
operational efficiency, enhance performance, and achieve strategic objectives.
Additionally, operations managers play a critical role in contributing to human resource
strategy, designing organizational structures, job roles, and allocating work time
effectively. By leveraging their knowledge and skills in these areas, operations
managers can make a significant impact on the overall success of the organization.

Chapter 10 and 11: The nature of planning and control & Capacity management

Introduction: In the complex realm of operations management, the key to


organisational success lies in the efficient coordination of planning, control, and
capacity management. This essay examines the characteristics of planning and
control, clarifies the fundamental aspects of capacity management, and investigates
how the interaction between supply and demand dynamics influences operational
methods.

Comprehending Planning and Control: Planning involves the creation of goals,


strategies, and activities to accomplish organisational objectives. It encompasses
predicting future events, distributing resources, and creating a plan for decision-
making. Control involves the process of overseeing performance in relation to
predetermined plans, detecting any deviations, and taking corrective actions to
guarantee alignment with objectives. Planning establishes the course, while control
guarantees compliance with the plan and allows for necessary modifications.

The primary differentiation between planning and control is in their time orientation
and focus. Planning is a forward-looking process that seeks to predict and get ready
for potential situations, whereas control is a current-focused activity that concentrates
on making immediate modifications to uphold performance criteria. Planning sets the
structure in which control functions, serving as the plan for distributing resources and
carrying out operations.

The impact of supply and demand on planning and control in operations management
is substantial. Changes in supply and demand require quick and flexible reactions to
ensure efficient operations. For example, a rise in demand may entail modifications in
production schedules or resource allocation, whereas a decline in demand may
require inventory management methods to avoid excessive stock.

The activities of planning and control cover a range of functions, such as predicting,
organising, managing inventories, and ensuring quality. Forecasting facilitates the
anticipation of future demand patterns, allowing for proactive planning and allocation
of resources. Scheduling is the process of coordinating the schedule and order of
operations in order to maximise the use of resources. Inventory management assures
the presence of sufficient stock quantities while minimising the expenses associated
with storing inventory. Quality control ensures the integrity of the product and customer
satisfaction by maintaining strict standards during production.

Capacity management is the process of strategically allocating resources to effectively


meet varying demand while ensuring optimal performance. Capacity is the highest
level of production that a system can maintain within a defined timeframe. It includes
tangible assets such as machinery and infrastructure, as well as intangible assets such
as labour and experience.

Capacity is quantified using many indicators such as utilisation rate, efficiency rate,
and throughput rate. The utilisation rate is a measure of how much of the available
capacity is being used, whereas the efficiency rate is a measure of the actual output
compared to the maximum possible output. Throughput rate refers to the speed at
which units of output are processed during a specific period.

Managing Demand Fluctuations: Organizations utilise a range of tactics to effectively


manage demand fluctuations, such as implementing flexible production systems,
outsourcing some tasks, maintaining inventory buffers, and accurately forecasting
demand. Flexible production systems allow for quick reorganisation of resources to
accommodate shifts in demand patterns. Outsourcing utilises external partners to
increase capacity during periods of high demand. Inventory buffering is the practice of
keeping extra stock to minimise the effects of unpredictable changes in demand,
whereas demand forecasting uses statistical models to predict future demand
patterns.

Capacity planning involves aligning the projected demand with the capacity levels in
order to effectively manage operations and avoid queuing problems. This entails
evaluating the existing capacity, projecting future demand, and pinpointing
discrepancies between supply and demand. Capacity planning and queuing theory
are related as they both study the behaviour of waiting lines and service systems.
Queuing problems occur when the amount of demand is greater than the available
capacity, resulting in delays and inefficiency. By comprehending queuing principles,
operations may optimise service levels, minimise waiting times, and boost customer
happiness.

Conclusion: In summary, good planning, control, and capacity management are crucial
components of operations management, allowing organisations to successfully
navigate intricate operational environments and accomplish strategic goals. Market
fluctuations and operational efficiency depend on the interplay between supply and
demand dynamics, as well as the implementation of responsive planning and control
mechanisms. Organisations can improve their competitiveness and resilience in a
dynamic business environment by adopting capacity management principles and
implementing effective coping techniques.

Chapter 12- Inventory Management

Inventory describes the accumulation of materials, customers or information as they


flow through processes or networks.

Inventory it may well be argued falls under the planning and control section of the
operations function. This is because the adequate amount of product or service to
supply is dependent on market conditions stem from inventory management coupled
with forecasting (see chapter 6-7) to help make predictions and calculation to assist
with coming as close as possible to deliver the product or service at a proper and
timeous manner. Note that forecasting is essential here as inventory planning
techniques rely on the forecast made. It is worth noting that effective inventory
management ensures the presence of suitable products in the right quantities at the
right time and place.

It is much harder to achieve the abovementioned practically speaking as a problem


exists within inventory management: although there are expenses and other
drawbacks related to keeping the stock, they do contribute to the stabilisation of supply
and demand.
The importance of inventory stems from its function as a safeguard against
uncertainties in supply and demand, enabling businesses to meet consumer needs
efficiently and promptly. Maintaining an adequate inventory level minimises the risk of
stockouts, order fulfilment delays, and production interruptions. This ultimately
enhances consumer satisfaction and loyalty. Moreover, inventory plays a pivotal role
in attaining economies of scale in both production and procurement. This allows
organisations to benefit from volume savings and reduce costs linked to inventory
management.

When managing inventory, it is important to carefully analyse the amounts and timing
of orders. Various approaches, such as Economic Order Quantity (EOQ) and Just-In-
Time (JIT) inventory systems, help optimise the quantities and timing of orders.

The Economic Order Quantity (EOQ) model calculates the optimal order quantity that
minimises total inventory costs, including factors such as ordering costs, holding costs,
and demand variability. Organisations can determine the optimal order quantity that
maximises cost efficiency by carefully analysing and controlling these expenses.

In contrast, Just-in-Time (JIT) inventory systems (further notes) aim to minimise


inventory levels by synchronising output with demand. Orders are exclusively placed
when required, therefore preventing excess inventory and the associated costs of
storage. However, Just-in-Time (JIT) requires strict coordination with suppliers and
efficient production procedures to ensure a consistent supply.

Inventory control systems are essential for managing inventory levels and ensuring
operational efficiency. Inventory management can be accomplished using different
methods, including ABC analysis, Just-In-Time (JIT) inventory systems, as well as
inventory tracking technology.

ABC analysis categorises inventory items based on their importance and value,
allowing companies to allocate resources effectively and focus on products with
significant worth. Items are classified into categories (A, B, and C) based on criteria
such as sales volume, profitability, or significance to operations.
Inventory tracking technology, such as barcode systems and radio frequency
identification (RFID), enables real-time and uninterrupted monitoring of inventory
levels and movements. These technologies provide the capability to monitor the real-
time state of stocks, streamline the procedures associated with order fulfilment, and
facilitate accurate forecasts of demand.

Conclusion: To summarise, effective inventory management is essential for optimising


operational efficiency and meeting customer demand. Effective inventory
management may enhance customer happiness, minimise costs, and improve overall
organisational performance. Efficient inventory management approaches rely on
determining the most advantageous order numbers and timing, along with
implementing efficient control mechanisms. Through meticulous planning,
synchronisation, and use of state-of-the-art technologies, businesses can achieve
optimal inventory management and establish a competitive edge in the market. A good
case study to supplement the above can be found when applying the South African
Blood Services as a shortage of inventory (supply) of blood can result in lives being
lost, hence SANBS has been observing the market and adapting to positive
technological advancements to preserve supply (as the study shows there is generally
always a shortage meaning more demand for blood than a supply) by freezing red
blood cells as well as technology testing donor blood (Nucleic Acid Testing) which
allowed for the narrowing of the detection period for certain types of blood
contamination from 11 to five days. Furthermore, to assist with the inventory function
here, many marketing campaigns have been raised as well as public awareness
campaigns illustrating the importance of operations in practice when it comes to blood
donation.

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