Project Report on Working Capital Managment
Operations Management
Session I
- Introduction - Operation Strategy - Competitive Advantage - Time Based Competition
By
D.G. Mehta B.E., DMS, MMM
PPT 1 / 9
[pic]
PRODUCTION MANAGEMENT (TRADITIONAL APPROACH)
BASIC FUNCTIONAL ROLE (Objectives)
1) Fully utilise man & machine.
2) Low Production Cost (Maximum Profit)
3) Production Planning & Control.
4) Control and reward people
5) Wastage Control.
DETAIL FUNCTIONS
1) Inventory Control
2) Scheduling production run
3) Maintenance Programme
4) O & M
5) People Assessment & Award
6) Plant Layout
7) Locations
PPT 3/9
[pic]
REASONS OF NEW APPROACH
(Shift from Production Management to Operation Management)
In 1993, Prime Minister Narasim Rao’s Government signed the General Tariffs & Trade Agreement (GATT) with W.T.O. USA.
Due to this, Government took the following measures for liberalisation of Industry in our country.
1) Heavy Reduction in Import Duty.
2) Foreign Equity Participation.
3) Elimination of Industrial Licensing System.
4) Encouraging Monetary and fiscal policy.
5) Introduction of SEBI and other financial measures.
All above resulted into import of equipment, raw materials, components etc. very low prices. Also their features, specification quality etc. are far superior than indigenous products. Products are readily available with goods service back up.
Above has totally changed the business environment of the Country. This has compelled indigenous manufacturer for quick changing of products with very low prices as well as competitive quality. Hence the traditional production system was required to be re-oriented to fast moving demand for the products. This alignment of production system viz-a-viz realignment of HR Finance Marketing is called operation management.
PPT 5/9
Strategies of Operation
Due to the total change in the environment manufactures were required to compete the good products with low
Session I
- Introduction - Operation Strategy - Competitive Advantage - Time Based Competition
By
D.G. Mehta B.E., DMS, MMM
PPT 1 / 9
[pic]
PRODUCTION MANAGEMENT (TRADITIONAL APPROACH)
BASIC FUNCTIONAL ROLE (Objectives)
1) Fully utilise man & machine.
2) Low Production Cost (Maximum Profit)
3) Production Planning & Control.
4) Control and reward people
5) Wastage Control.
DETAIL FUNCTIONS
1) Inventory Control
2) Scheduling production run
3) Maintenance Programme
4) O & M
5) People Assessment & Award
6) Plant Layout
7) Locations
PPT 3/9
[pic]
REASONS OF NEW APPROACH
(Shift from Production Management to Operation Management)
In 1993, Prime Minister Narasim Rao’s Government signed the General Tariffs & Trade Agreement (GATT) with W.T.O. USA.
Due to this, Government took the following measures for liberalisation of Industry in our country.
1) Heavy Reduction in Import Duty.
2) Foreign Equity Participation.
3) Elimination of Industrial Licensing System.
4) Encouraging Monetary and fiscal policy.
5) Introduction of SEBI and other financial measures.
All above resulted into import of equipment, raw materials, components etc. very low prices. Also their features, specification quality etc. are far superior than indigenous products. Products are readily available with goods service back up.
Above has totally changed the business environment of the Country. This has compelled indigenous manufacturer for quick changing of products with very low prices as well as competitive quality. Hence the traditional production system was required to be re-oriented to fast moving demand for the products. This alignment of production system viz-a-viz realignment of HR Finance Marketing is called operation management.
PPT 5/9
Strategies of Operation
Due to the total change in the environment manufactures were required to compete the good products with low