An 300 Exam 1 Study Guide

AN 300 Exam 1 Study Guide

Basic Functions of the Business Organization

Marketing and Operations are a re Line Functions Finance is a Staf Function Line Function !er"orms core #usiness acti$ities% direct&y in$o&$ed 'it( re$enue)pro*t generation+ Staf Function Supports a Line Function in '(at it does+ •

Operations Management ,(at is operations- The part of a business organization that is responsible for producing goods or delivering services services .o' can 'e de*ne operations management- The management of systems and associated processes that produce goods and/or deliver services Operations as a Transformation Process

Feed#ack Feed#ack / measurements measurements taken at $arious points in t(e trans"ormation process ontro& / t(e comparison o" "eed#ack against pre$ious&y esta#&is(ed standards to determine i" correcti$e action is needed+ Outputs are directed at “Customers.” A Customer may be an Eternal Customer or an !nternal Customer. Customer. !n some circumstances" a Customer may be part of the !nput to and Output from the

Transformation #rocess. “Transformation” does not necessarily imply “physical” transformation •

Process Variation

ariations can #e disrupti$e to operations and supp&y c(ain processes+  2(ey may resu&t in additiona& costs de&ays and s(ortages poor 4ua&ity and ine5cient 'ork systems+ •

Supply Chain Supp&y (ain 6 a se4uence o" organi7ations and acti$ities in$o&$ed in producing and de&i$ering a good or ser$ice

Examp&e supp&y c(ain "or #read

•

•

Manufacturing vs. Service Manu"acturing and Ser$ice Operations)Organi7ations difer c(ie8y #ecause manu"acturing is goods9oriented and ser$ice is act9 oriented+ Goos vs. Services Goods are p(ysica& items t(at inc&ude ra' materia&s parts su#assem#&ies and *na& products+ :automo#i&e computer o$en s(ampoo; Ser$ices are acti$ities t(at pro$ide some com#ination o" time &ocation "orm or psyc(o&ogica& $a&ue+ :air tra$e& education (aircut &ega& counse&;

Managing ser$ices is c(a&&enging+

•

!ole of the Operations Manager  2(e Operations Function consists o" a&& acti$ities directly  re&ated to producing goods or pro$iding ser$ices+

!rimary "unction o" t(e operations manager 99 guide t(e system #y making decisions System