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5.1 THE ROLE OF OPERATION MANAGEMENT (Nature of opoerations (efficiency of…
5.1 THE ROLE OF OPERATION MANAGEMENT
Nature of opoerations
efficiency of production
quality
flexibility and innovation
Relationship between operation and other business functions
marketing
ensure appropriate quantity of the good/service is available to sell it profitably
human resource
appropriate number of qualified workers are employed
finance
expanding capacity which requires funding
Production process
design of product / nature of the service
efficiency with which the input resources are combined and managed.
being able to convince consumers to pay more for the good/service than the cost of inputs
Resources
Land
Labour
Capital
Role of OM
ecological sustainability
reducing waste at all levels of organisation
use less energy & use renewable energy
reducing & recycling use of water
design products that use recyclable material
design product that does no harm
social sustainability
design production systems that are safe and healthy for employees
design work and workplace for social interaction
create jobs in low-income areas
reduce -ve impact of production on community
economic sustainability
manage & maintain operational assets
increase efficiency of production process to improve business competitiveness
research and develop products and processes that create value and customer interest