BUSN 1101 Chapter Notes - Chapter 11: Electronic Data Interchange, Manufacturing Operations Management, Master Production Schedule
Document Summary
Operations management - management of the process that transforms resources into products. Operations managers - manage the process that transforms inputs into outputs. Manufacturers transform resources into finished goods, they do this by striving to improve operational efficiency. They must fine-tune their production processes to focus on quality, to hold down the costs that add no value to the finished product. Production planning: managers determine how goods will be produced, where production will take place, and how manufacturing facilities will be laid out. Production control: managers must continually schedule and monitor the activities that make up that process. They must solicit and respond to feedback and make adjustments where needed. At this stage, they also oversee the purchasing of raw materials and the handling of inventories. Quality control: the operations manager is directly involved in efforts to ensure that goods are produced according to specifications and that quality standards are maintained. Make-to-order: products are made to customer specification.