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OPERATIVE ADMINISTRATION - Coggle Diagram

- - - - Universities, churches or synagogues and various businesses perform these functions. Even groups of volunteers like the Boy Scouts of America are organized to perform these three basic functions.
        
        Successful implementation of each of these decisions requires planning, organization, staffing, direction, and control. Operations management helps to effectively manage and control a company's resources to keep customers satisfied.
- - - - • The industrial Revolution. In the 18th century in England a development called the Industrial Revolution occurred. This advance included two main aspects: the general replacement of human, animal and hydraulic power by machines; that originates the second aspect as was the establishment of the factory system.
        • Division of labor With the publication in 1776 of the work The Wealth of Nations by Adam Smith, in which he places in an important place the Division of labor, also known as the specialization of tasks, which basically consisted of the division of the elaboration of the products in small specialized tasks assigned to the workers through the production lines.
        • The Standardization of Interchangeable Parts Eli Whitney an American inventor in 1790 developed the principle of interchangeable parts in the production of rifles for the United States government. Before his time, musket parts, and even ammunition, were tailored to each individual musket.
        • Scientific management A small group of engineers, businessmen, consultants, educators and researchers developed the methods and thoughts called as scientific management.
        • Impact of the Computer The decade of the 1950s witnessed the development of the computer (Babbage had already described it for the first time a hundred years earlier) and was the beginning of the information technology age.
      - Knowledge is today the main input in the transformation process of companies, both in the service sector and in the manufacturing sector.
      - Production and Operations Management has been transformed and continues to do so. Making production and operations one of the most interesting areas of a company.
- - - - The end result of an operating system is to increase value by improving or ordering inputs so that they can do something that would not be possible if they were separate.
        Inputs: Labor, Information, Material.
        Conversion or transformation of processes: Plant, Means and Equipment.
        Total Production: Goods and / or Services.
    - - The operating system is broken down into three subsystems: physical, financial, and human.
        
        The global or decision-making system, also called Management, which corresponds to the piloting function of the total system, has two subsystems: the administration subsystem at the strategic level, which includes the mission, culture, values of the organization and the management subsystem at the tactical level.
      - The production subsystem deals with all the plans, decisions, activities and controls that allow the process of converting inputs into outputs. The factors of production or inputs can be defined as those elements, whether or not they are goods and services, that intervene in the production process in a variable way or susceptible to variation and whose alteration causes modifications in the result of said process, until it is in the place and right time and with the quality levels expected by the client.
- - - - Productivity variables.
        Increases in productivity depend on three vital variables or factors:
        
        Work, which contributes 10% of the annual increase.
        
        Capital, which contributes 38% of the annual increase.
        
        Management, which contributes 52% of the annual increase.
        
        Job.
        The improvement in the contribution of work to productivity is a consequence of having a healthier, better trained and better fed staff.
        Capital.
        Human beings are beings who use tools. Equity investments provide these tools. The difference between the total capital invested and the depreciation is known as the net investment.
        Direction.
        Management is a factor of production and is an economic resource. It is responsible for ensuring that labor and capital are used effectively to increase productivity.