Buad 311 Process Analysis Notes
311 OPERATION MANAGEMENT INFORMATION AND OPERATIONS MANAGEMENT MARSHALL SCHOOL OF BUSINESS
TEACHING NOTES ON PROCESS ANALYSIS
Business strategy is the determination of the basic long-term goals and objectives of an enterprise, and the adoption of course of action and the allocation of resources necessary for carrying out these goals.
1. Introduction: Definitions and Examples
- Alfred Chandler.
While business strategy involves choosing product attributes and markets on which to compete, operations strategy focuses on enabling and executing the business strategy. Business strategy is concerned with selecting external markets and operational strategy involves designing internal processes. Operations strategy must establish objectives that are consistent with the overall business goals and develop appropriate processes. Process is a collection of tasks (or activities) that consume some resource and transform inputs to outputs. Processes are the main building block of a business. There are many different types of resources that are consumed in the transformation process including: Labor Capital Energy Material Data It is possible to measure each of these entities by physical units like man-hours for labor, weight for material, bytes for data, and so on. We also measure the cost of these resources. The output of a process can be a good, information or a service. Often a process will define a sequence in which the tasks or activities are carried out. The process flow chart is used to depict the flows. Elements of a process flow chart are Activities Resources consumed by an activity Duration of an activity Flows Storage
PAGE 1
311 OPERATIONS MANAGEMENT
The following is a process flow chart for the production of cookies. The steps are mixing of the dough, putting the dough on to a tray, loading the oven, baking, cooling and packing. Associated with each task are set of resources that are required and the time. The flow chart also depicts the sequence.
TEACHING NOTES ON PROCESS ANALYSIS
Business strategy is the determination of the basic long-term goals and objectives of an enterprise, and the adoption of course of action and the allocation of resources necessary for carrying out these goals.
1. Introduction: Definitions and Examples
- Alfred Chandler.
While business strategy involves choosing product attributes and markets on which to compete, operations strategy focuses on enabling and executing the business strategy. Business strategy is concerned with selecting external markets and operational strategy involves designing internal processes. Operations strategy must establish objectives that are consistent with the overall business goals and develop appropriate processes. Process is a collection of tasks (or activities) that consume some resource and transform inputs to outputs. Processes are the main building block of a business. There are many different types of resources that are consumed in the transformation process including: Labor Capital Energy Material Data It is possible to measure each of these entities by physical units like man-hours for labor, weight for material, bytes for data, and so on. We also measure the cost of these resources. The output of a process can be a good, information or a service. Often a process will define a sequence in which the tasks or activities are carried out. The process flow chart is used to depict the flows. Elements of a process flow chart are Activities Resources consumed by an activity Duration of an activity Flows Storage
PAGE 1
311 OPERATIONS MANAGEMENT
The following is a process flow chart for the production of cookies. The steps are mixing of the dough, putting the dough on to a tray, loading the oven, baking, cooling and packing. Associated with each task are set of resources that are required and the time. The flow chart also depicts the sequence.