Business Operations Notes
Key:
Big Blue Heading = syllabus italics
Underlined blue = syllabus points
Underlines Light blues = syllabus sub h
Light blues = headings
Bold Purple = definitions
Normal = general info
Key:
Big Blue Heading = syllabus italics
Underlined blue = syllabus points
Underlines Light blues = syllabus sub h
Light blues = headings
Bold Purple = definitions
Normal = general info
Operations Notes
Role of Operations Management
Operations refers to the business processes that involve transformation or, more generally – ‘production’
Combining aspects of the following: * The production of goods and services * The production controls and associated quality controls. Included in this are input management and capacity (volume of output) decisions. * Inventory controls * Supply chain management * Logistics and distribution * Management decision making in terms of operational processes
Strategic Role of Operations Management
The ‘strategic role of operations refers to the role that operations plays within the strategic direction of a business.
Or how does the operations center contribute to meeting the goals of the business?
Strategic means ‘affecting all key business areas’; that is, the strategic role of the operations management involves operations managers contributing to the strategic direction or strategic plan of the business.
* Operations are a cost centre as it incurs costs rather than creates revenue.
Cost Centre: those aspects of the business that do not directly derive income
Profit Centre: those aspects of the business that directly derive income
Costs that are features of the operations function
Input capital, land resources, leases on machinery, testing
Labour employees, sub-contractors, overtime, training, rostering
Processing machinery maintenance, electricity, product design, prototyping
Inventory back order, logistics and distribution, storage, theft, damaged goods
Big Blue Heading = syllabus italics
Underlined blue = syllabus points
Underlines Light blues = syllabus sub h
Light blues = headings
Bold Purple = definitions
Normal = general info
Key:
Big Blue Heading = syllabus italics
Underlined blue = syllabus points
Underlines Light blues = syllabus sub h
Light blues = headings
Bold Purple = definitions
Normal = general info
Operations Notes
Role of Operations Management
Operations refers to the business processes that involve transformation or, more generally – ‘production’
Combining aspects of the following: * The production of goods and services * The production controls and associated quality controls. Included in this are input management and capacity (volume of output) decisions. * Inventory controls * Supply chain management * Logistics and distribution * Management decision making in terms of operational processes
Strategic Role of Operations Management
The ‘strategic role of operations refers to the role that operations plays within the strategic direction of a business.
Or how does the operations center contribute to meeting the goals of the business?
Strategic means ‘affecting all key business areas’; that is, the strategic role of the operations management involves operations managers contributing to the strategic direction or strategic plan of the business.
* Operations are a cost centre as it incurs costs rather than creates revenue.
Cost Centre: those aspects of the business that do not directly derive income
Profit Centre: those aspects of the business that directly derive income
Costs that are features of the operations function
Input capital, land resources, leases on machinery, testing
Labour employees, sub-contractors, overtime, training, rostering
Processing machinery maintenance, electricity, product design, prototyping
Inventory back order, logistics and distribution, storage, theft, damaged goods