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OPM 01.1 Operations Management
OPM 01.1 Operations Management
Unit 16:
Operations and Project Management
LO1
(1)
Slack, Brandon-Jones and Johnston, Operations Management PowerPoints on the Web, 7th edition © Nigel Slack, Alistair Brandon-Jones and Robert Johnston 2014
Part one
Slide 1.2
Introduction
Chapter 1
Operations management
Source: Shutterstock.com/toria
Operations Operations
performance strategy
Direct
Operations
Design management Develop
Deliver
Slack, Brandon-Jones and Johnston, Operations Management PowerPoints on the Web, 7th edition © Nigel Slack, Alistair Brandon-Jones and Robert Johnston 2014
Slide 1.4
Slack, Brandon-Jones and Johnston, Operations Management PowerPoints on the Web, 7th edition © Nigel Slack, Alistair Brandon-Jones and Robert Johnston 2014
Slide 1.5
Slack, Brandon-Jones and Johnston, Operations Management PowerPoints on the Web, 7th edition © Nigel Slack, Alistair Brandon-Jones and Robert Johnston 2014
Slide 1.6
Source:Shutterstock/Turner
Source: Nigel Slack
Retail operation
Take-out/restaurant operation
Maintain
cleanliness and Monitor and enhance
safety of storage Arrange for fast quality of service to
area replenishment of customers
products
Source: Shutterstock.com/Diego cervo
Slack, Brandon-Jones and Johnston, Operations Management PowerPoints on the Web, 7th edition © Nigel Slack, Alistair Brandon-Jones and Robert Johnston 2014
Slide 1.9
Financial Marketing/sales
6 2
Organizational
design
Operations and process
11
management
31
Benefits/actuarial
16
Slack, Brandon-Jones and Johnston, Operations Management PowerPoints on the Web, 7th edition © Nigel Slack, Alistair Brandon-Jones and Robert Johnston 2014
Slide 1.10
Everything you can see around you (except the flesh and
blood) has been produced by an operation.
Slack, Brandon-Jones and Johnston, Operations Management PowerPoints on the Web, 7th edition © Nigel Slack, Alistair Brandon-Jones and Robert Johnston 2014
Slide 1.11
Interfunctional relationships
Engineering/ Product/service
technical Understanding of development
the capabilities and
function constraints of the function
operations process
Analysis of new
technology options Understanding of
process technology
needs New product and
Accounting service ideas
and finance Provision Understanding of the
of relevant capabilities and
function data
Operations constraints of the
Financial analysis function operations process
for performance
and decisions Market
requirements Marketing
Understanding of function
human resource needs Understanding Provision of systems for
of infrastructural design, planning and
Recruitment and system control and improvement
development needs
and training
Human Information
resources technology
function (IT) function
Figure 1.2 The relationship between the operations function and other core and support functions of the
organization
Slack, Brandon-Jones and Johnston, Operations Management PowerPoints on the Web, 7th edition © Nigel Slack, Alistair Brandon-Jones and Robert Johnston 2014
Slide 1.12
Product/service
development
Marketing Operations
Slack, Brandon-Jones and Johnston, Operations Management PowerPoints on the Web, 7th edition © Nigel Slack, Alistair Brandon-Jones and Robert Johnston 2014
Slide 1.13
Slack, Brandon-Jones and Johnston, Operations Management PowerPoints on the Web, 7th edition © Nigel Slack, Alistair Brandon-Jones and Robert Johnston 2014
Slide 1.14
Nutritional ‘mechanical’
and aesthetic design of
the sandwiches and
Product/ snacks
Service
Developmen
t
Design, location
and management
Marketing Operations
of stores and in-
store processes
Promotional and the network
activities, that supplies them
market
research, etc.
Slack, Brandon-Jones and Johnston, Operations Management PowerPoints on the Web, 7th edition © Nigel Slack, Alistair Brandon-Jones and Robert Johnston 2014
Slide 1.15
Part 1 https://www.youtube.com/watch?v=8_lfxPI5ObM
Source: Nataliya Hora /Shutterstock.com
Part 2 https://www.youtube.com/watch?v=TEReFPI4jSc
Slack, Brandon-Jones and Johnston, Operations Management PowerPoints on the Web, 7th edition © Nigel Slack, Alistair Brandon-Jones and Robert Johnston 2014
Slide 1.16
Washington Hospital
https://www.youtube.com/watch?v=EBlhQ0IdAmE
https://www.youtube.com/watch?v=SnodqxFgqnE
Slack, Brandon-Jones and Johnston, Operations Management PowerPoints on the Web, 7th edition © Nigel Slack, Alistair Brandon-Jones and Robert Johnston 2014
Slide 1.17
Slack, Brandon-Jones and Johnston, Operations Management PowerPoints on the Web, 7th edition © Nigel Slack, Alistair Brandon-Jones and Robert Johnston 2014
Slide 1.18
Source: Shutterstock/Zurijeta
Slack, Brandon-Jones and Johnston, Operations Management PowerPoints on the Web, 7th edition © Nigel Slack, Alistair Brandon-Jones and Robert Johnston 2014
Slide 1.19
Slack, Brandon-Jones and Johnston, Operations Management PowerPoints on the Web, 7th edition © Nigel Slack, Alistair Brandon-Jones and Robert Johnston 2014
Slide 1.20
Figure 1.3 Operations management uses resources to appropriately create outputs that fulfil defined market
requirements
Slack, Brandon-Jones and Johnston, Operations Management PowerPoints on the Web, 7th edition © Nigel Slack, Alistair Brandon-Jones and Robert Johnston 2014
Slide 1.21
Table 1.2 Changes in the business environment are shaping a new operations agenda
Slack, Brandon-Jones and Johnston, Operations Management PowerPoints on the Web, 7th edition © Nigel Slack, Alistair Brandon-Jones and Robert Johnston 2014
Slide 1.22
Slack, Brandon-Jones and Johnston, Operations Management PowerPoints on the Web, 7th edition © Nigel Slack, Alistair Brandon-Jones and Robert Johnston 2014
Slide 1.23
Transformed
resources
• Materials
• Information
• Customers
Input Output
resources
Transformation process products and Customers
services
Transforming
resources
• Facilities
• Staff Outputs are products and services
that add value for customers
Slack, Brandon-Jones and Johnston, Operations Management PowerPoints on the Web, 7th edition © Nigel Slack, Alistair Brandon-Jones and Robert Johnston 2014
Slide 1.24
Transformin
g resources
Equipment
Fittings
Staff
What are the Processes?
Slack, Brandon-Jones and Johnston, Operations Management PowerPoints on the Web, 7th edition © Nigel Slack, Alistair Brandon-Jones and Robert Johnston 2014
Slide 1.25
Input Produced
resources and satisfied Customers
customers
Transformin
g resources
Slack, Brandon-Jones and Johnston, Operations Management PowerPoints on the Web, 7th edition © Nigel Slack, Alistair Brandon-Jones and Robert Johnston 2014
Slide 1.26
Slack, Brandon-Jones and Johnston, Operations Management PowerPoints on the Web, 7th edition © Nigel Slack, Alistair Brandon-Jones and Robert Johnston 2014
Slide 1.27
Management consultancy
Pure services – outputs
Mwagusi Safari
that are exclusively
Psychotherapy clinic Lodge
intangible
The output from most operations is a mixture of products and services. Some general examples are
Figure 1.5
shown here together with some of the operations featured as examples in this chapter
Slack, Brandon-Jones and Johnston, Operations Management PowerPoints on the Web, 7th edition © Nigel Slack, Alistair Brandon-Jones and Robert Johnston 2014
Slide 1.28
Department Products for sale Source and store products Customers and products
store Sales staff Display products ‘assembled’ together
Information systems Give sales advice
Customers Sell products
Police Police officers Crime prevention Lawful society, public with
Computer systems Crime detection a feeling of security
Information systems
Public (law-abiding and Information gathering
criminals) Detaining suspects
Frozen food Fresh food Source raw materials Frozen food
manufacturer Operators Prepare food
Processing technology Freeze food
Cold storage facilities Pack and freeze food
To Discuss on 29/9/21
Business Some of the operation’s Some of the operation’s Some of the operation’s
inputs processes outputs
Nike
DHL
Table 1.4 Some operations described in terms of their processes
Slack, Brandon-Jones and Johnston, Operations Management PowerPoints on the Web, 7th edition © Nigel Slack, Alistair Brandon-Jones and Robert Johnston 2014
Slide 1.30
Operations and process management requires analysis at three levels: the supply network,
Figure 1.6
the operation and the process
Slack, Brandon-Jones and Johnston, Operations Management PowerPoints on the Web, 7th edition © Nigel Slack, Alistair Brandon-Jones and Robert Johnston 2014
Slide 1.31
Operations and process management requires analysis at three levels: the supply network,
Figure 1.6
the operation and the process
Slack, Brandon-Jones and Johnston, Operations Management PowerPoints on the Web, 7th edition © Nigel Slack, Alistair Brandon-Jones and Robert Johnston 2014
Slide 1.32
Programme and
video operation
Operations and process management requires analysis at three levels: the supply network,
Figure 1.6
the operation and the process
Slack, Brandon-Jones and Johnston, Operations Management PowerPoints on the Web, 7th edition © Nigel Slack, Alistair Brandon-Jones and Robert Johnston 2014
Slide 1.33
The operation –
flow between
processes
Operations and process management requires analysis at three levels: the supply network,
Figure 1.6
the operation and the process
Slack, Brandon-Jones and Johnston, Operations Management PowerPoints on the Web, 7th edition © Nigel Slack, Alistair Brandon-Jones and Robert Johnston 2014
Slide 1.34
Engineering
Programme
Programme finance Programme Programme
marketing and
and accounting production unit post
sales
production
Programme and
Programme set and
props manufacture
video maker
Music video
finance and
Music video accounting
marketing and Music video Music video
sales production post
Music video set unit production
and props
manufacture
The television and video company divided into two ‘end-to-end’ business processes, one dedicated to
Figure 1.7
creating programmes and the other dedicated to creating music videos
Slack, Brandon-Jones and Johnston, Operations Management PowerPoints on the Web, 7th edition © Nigel Slack, Alistair Brandon-Jones and Robert Johnston 2014
Slide 1.36
Slack, Brandon-Jones and Johnston, Operations Management PowerPoints on the Web, 7th edition © Nigel Slack, Alistair Brandon-Jones and Robert Johnston 2014
Slide 1.37
Implications Implications
• Low repetition
• Each staff
member Low Volume High • High repeatability
performs more of • Specialization
each task
• Less • Capital intensive
systemization • Low unit costs
• High unit costs
Slack, Brandon-Jones and Johnston, Operations Management PowerPoints on the Web, 7th edition © Nigel Slack, Alistair Brandon-Jones and Robert Johnston 2014
Slide 1.38
Implications Implications
Slack, Brandon-Jones and Johnston, Operations Management PowerPoints on the Web, 7th edition © Nigel Slack, Alistair Brandon-Jones and Robert Johnston 2014
Slide 1.39
Implications Implications
• Changing • Stable
capacity Variation in
High High
Low • Routine
• Anticipation demand
• Predictable
• Flexibility
• High utilization
• In touch with
• Low unit costs
demand
• High unit costs
Slack, Brandon-Jones and Johnston, Operations Management PowerPoints on the Web, 7th edition © Nigel Slack, Alistair Brandon-Jones and Robert Johnston 2014
Slide 1.40
Slack, Brandon-Jones and Johnston, Operations Management PowerPoints on the Web, 7th edition © Nigel Slack, Alistair Brandon-Jones and Robert Johnston 2014
Slide 1.41
Transformed Direct
resources Steering
• Materials operations and
• Information processes
• Customers
Operations
Design Develop
management Output
Shaping Improving the Value-
Input processes, products
resources operation’s added for
products and and
capabilities customers
services services
Deliver
Transforming
Planning and
resources
controlling
• Facilities ongoing
• Staff operations
Slack, Brandon-Jones and Johnston, Operations Management PowerPoints on the Web, 7th edition © Nigel Slack, Alistair Brandon-Jones and Robert Johnston 2014
Slide 1.43
Design house
partnerships at Concept
Design Services
Slack, Brandon-Jones and Johnston, Operations Management PowerPoints on the Web, 7th edition © Nigel Slack, Alistair Brandon-Jones and Robert Johnston 2014
Slide 1.45
Appearance
Quality conformance
Customer relationship
Speed of service
On-time delivery
Wide range of products/services
Frequent new products/services
Price/cost
Slack, Brandon-Jones and Johnston, Operations Management PowerPoints on the Web, 7th edition © Nigel Slack, Alistair Brandon-Jones and Robert Johnston 2014
Slide 1.47
Market/customer/client
positioning?
Operations/process
performance objectives
Slack, Brandon-Jones and Johnston, Operations Management PowerPoints on the Web, 7th edition © Nigel Slack, Alistair Brandon-Jones and Robert Johnston 2014
Slide 1.48
Fast volume
changes Quality
conformance
Slack, Brandon-Jones and Johnston, Operations Management PowerPoints on the Web, 7th edition © Nigel Slack, Alistair Brandon-Jones and Robert Johnston 2014
Slide 1.50
Concept
Joint ventures
Focus
Slack, Brandon-Jones and Johnston, Operations Management PowerPoints on the Web, 7th edition © Nigel Slack, Alistair Brandon-Jones and Robert Johnston 2014
Slide 1.51
How do we characterize
these conditions?
Slack, Brandon-Jones and Johnston, Operations Management PowerPoints on the Web, 7th edition © Nigel Slack, Alistair Brandon-Jones and Robert Johnston 2014
Slide 1.52
Slack, Brandon-Jones and Johnston, Operations Management PowerPoints on the Web, 7th edition © Nigel Slack, Alistair Brandon-Jones and Robert Johnston 2014
Slide 1.53
Thank you
Slack, Brandon-Jones and Johnston, Operations Management PowerPoints on the Web, 7th edition © Nigel Slack, Alistair Brandon-Jones and Robert Johnston 2014