Summary
Summary + lecture + examples Operations Management & Logistics
- Course
- Institution
This document contains a summary + lecture notes and calculation questions of the course Operations Management and Logistics
[Show more]
Seller
Follow
ievewillems
Reviews received
Content preview
Summary Operations Management and LogisticsLecture 1 (08-11-22)
Introduction and sustainable strategy
Chapter 1:
Operations refer to the transformation of inputs (material, human and asset
resources) into outputs (products)
Operations involve the workflow ordering of activities to produce the product.
- Functional-based workflow in the technical system
Logistics: the materials inputs and product output need to be physically moved and
warehoused and stored
Supply chain: the processes that move information and material to and from firms,
ranging from raw materials to consumers.
Operations and logistics are considered primary (production process) activities as
part of a value chain within an organization:
- A supply chain may consist of multiple value chains
The success of producing at low costs while meeting (mass) customer demand
depends on clever integration of:
- A great operations-related strategy
- The processes to produce and deliver products and services
, - Analytics to support the decisions needed to manage the firm
The design of transformation processes is guided by basic principles:
How different types of processes are organized
How to determine the capacity of a process
How long it should take to make a unit
How to quality of a process is monitored
How information is used to make decisions
But the improvement of the processes and systems that create and deliver the firm’s
primary products and services is also part of operations supply chain management
(OSCM)
- Change of OSC strategies
- New production technologies and modes of transport
- Optimizing the processes of production and logistics activities
- Improvements in date analytics and how to use them in decision making
Designing and improving operations often require changes in workflow ordering and
organizational structure
Operations and supply chain processes are interlinked so require analytics (based on
metrics) to steer
Producing and delivering goods is different compared with services:
,Various OSC processes reflect different job positions and career perspectives:
- Plant manager
- Supply chain manager
- Hospital administrator
- Purchasing manager
- Branch manager
- Quality control manager
- Department store manager
- Business process improvement analyst
- Call centre manager
- Lean improvement manager
- Project manager
- Production control analyst
- Facilities manager
- Chief operating officer
Various OSCM have become popular through time:
, Current issues in operation and supply chain management:
Coordinating the relationship between mutually supportive but separate
organizations
Optimizing global supplier, production, and distribution networks
Managing customer touch points
Raising senior management awareness of OSCM as a significant competitive
weapon
Uncertainty in global tariffs and regulations
Difficulty in hiring and keeping employees
Adapting to change in business technology and infrastructure
Sustainability and the triple bottom line (life cycle analysis)
Servitization, digitalization, big data, artificial intelligence
Evaluating operations and supply chain processes on efficiency and effectiveness:
Efficiency: doing something at the lowest possible cost (is doing things right)
Effectiveness: doing the right things to create the most value for the company
- Value: quality divided by price
- Quality: the attractiveness of the product, considering its features and
durability
- Price: costs plus margin
Customer value: from a marketing point of view, customer value is the benefits
perceived by the customer minus the costs of acquisition and use of a product
Use efficiency ratios to benchmark over time with self and with competitors:
- Receivable turnover = annual credit sales / average account receivable
firms prefer cash over credits
- Inventory turnover = cost of goods sold / average inventory value firms
prefer low inventory costs
- Asset turnover = revenues (or sales) / total assets firms prefer low asset
value compared with revenues, higher the better.
Summary chapter 1:
Various processes are associated with OSCM and used to implement the
strategy of the firm
Analytics are used to support the ongoing decisions needed to manage the
firm
OSCM hands-on-people specialize in managing the production and delivery of
goods and services
Firms face increasing pressure on mass customization and quality in
combination with efficiency and speed that is reflected in OSCM
Currently, supply chain control, servitization, sustainability, and industry 4.0
are of paramount importance
Efficiency ratio’s help benchmarking firm practices to meet goals
Chapter 2:
The benefits of buying summaries with Stuvia:
Guaranteed quality through customer reviews
Stuvia customers have reviewed more than 700,000 summaries. This how you know that you are buying the best documents.
Quick and easy check-out
You can quickly pay through credit card or Stuvia-credit for the summaries. There is no membership needed.
Focus on what matters
Your fellow students write the study notes themselves, which is why the documents are always reliable and up-to-date. This ensures you quickly get to the core!
Frequently asked questions
What do I get when I buy this document?
You get a PDF, available immediately after your purchase. The purchased document is accessible anytime, anywhere and indefinitely through your profile.
Satisfaction guarantee: how does it work?
Our satisfaction guarantee ensures that you always find a study document that suits you well. You fill out a form, and our customer service team takes care of the rest.
Who am I buying these notes from?
Stuvia is a marketplace, so you are not buying this document from us, but from seller ievewillems. Stuvia facilitates payment to the seller.
Will I be stuck with a subscription?
No, you only buy these notes for $6.51. You're not tied to anything after your purchase.
Can Stuvia be trusted?
4.6 stars on Google & Trustpilot (+1000 reviews)
78252 documents were sold in the last 30 days
Founded in 2010, the go-to place to buy study notes for 14 years now