Name (SN, GN, MN) Degree Program Year and Section Contact Number Subject Instructor Date of Submission

BACHELOR OF SCIENCE IN ACCOUNTANCY

1. Define the term operations management. Operations management refers to the administration of business practices to create the highest level of efficiency possible within an organization. Operations management is concerned with converting materials and labor into goods and services as efficiently as possible to maximize the profit of an organization. 2. Explain the decisions operations managers make and give three examples The decisions that operations managers make are concern on the production. They are responsible for orchestrating all the resources needed to produce the final product. This includes designing the product; deciding what resources are needed; arranging schedules; and designing work methods. Basically, operations management is responsible for all aspects of the process of transforming inputs into outputs. 3. Describe the transformation process of a business. Give three examples. What constitutes the transformations process at an advertising agency, a bank, and a TV station? The transformation process of a business is the processing of inputs and transforming it to outputs. At a factory the transformation is the physical change of raw materials into products, such as transforming leather and rubber into sneakers, denim into jeans, or plastics into toys. At an airline it is the efficient movement of passengers and their luggage from one location to another. At a hospital it is organizing resources such as doctors, medical procedures, and medications to transform sick people into healthy ones. An advertising agency would transform the time of its staff into an advertising campaign. A bank may use the time of a teller, an input computer, and a bank branch to accept a deposit. A TV station could use the time of its production crew, the video equipment, and the studio to produce a news story. 4. What are the three major business functions, and how are they related to one another? Give specific examples. The three major functions of a business are finance, marketing, and operations. The finance function of a business is responsible for securing and distributing funds for operations. This function also is typically in charge of purchasing goods, supplies, and services that are necessary to carry out marketing and operational activities. The marketing function of a business is ultimately responsible for ensuring the business has customers. The marketing activities and efforts of a company must focus on ensuring that the products and or services of the business are able to meet the needs and wants of the customer. Operation is the function of a business that is responsible for cresting the goods and services of a business. 5. What are the differences between strategic and tactical decisions, and how are they related to each other? Strategic decisions are decisions that set the direction for the entire company; they are broad in scope and long-term in nature. Tactical decisions are decisions that are specific and short-term in nature and are bound by strategic decisions. 6. Find an article that relates to operations management in either the Wall Street Journal, Fortune, or Business Week. Come to class prepared to share with others what you learned in the article. There are recent articles discussing the struggle airlines are having to reduce their costs in producing their main output: revenue passenger miles. 7. Examine the list of Fortune magazines top 100 companies. Do most of these companies have anything in common? Are there industries that are most represented?

While the top 100 contain firms in many different industries, Oil, Finance, Retail, and Automobiles are heavily represented. 8. Identify the two major differences between service and manufacturing organizations. Find an example of a service and manufacturing organizations. Find an example of a service and manufacturing company and compare them. The two primary distinctions between these categories are first, manufacturing organizations produce physical, tangible goods that can be stored in inventory before they are needed. By contrast, service organizations produce intangible products that cannot be produced ahead of time. Second, in manufacturing most customers have no direct contact with operations. However, in service organizations the customers are typically present during the creation of the service. Example of a service company is Jollibee and in manufacturing company is Zest-O Corporation. 9. What are the three historical milestones in operations management? How have they influenced management? Three historical milestones are the industrial revolution, total quality management and global competition. Industrial revolution brought innovations that changed production by using machine power instead of human power. Total quality management sought to eliminate causes of productions defects. Global competition designed operations to compete in the global market. 10. Identify three current trends in operations management and describe them. How do you think they will change the future of OM? The lean system is a current trend in today operations management. It is a concept that takes a total system approach to creating efficient operations. Another is the enterprise resource planning (ERP). It is large sophisticated software systems used for identifying and planning the enterprise-wide resources needed to coordinate all activities involved in producing and delivering products. Third is cross-functional decision making. It is the coordinated interaction and decision making that occurs among the different functions of the organization. 11. Define the terms total quality management, just-in-time, and reengineering. What do these terms have in common? TQM is the continuous process of reducing or eliminating errors in manufacturing, streamlining supply chain management, improving the customer experience and ensuring that employees are up-to-speed with their training. Total quality management aims to hold all parties involved in the production process as accountable for the overall quality of the final product or service. Just-intime is an inventory strategy companies employ to increase efficiency and decrease waste by receiving goods only as they are needed in the production process, thereby reducing inventory costs. Reengineering is redesigning a companys processes to make them more efficient. 12. Describe todays OM environment. How different is it from that of a few years ago? Identify specific features you think characterize todays OM environment. Todays OM environment is very different from what it was just a few years ago. Customers demand better quality, greater speed, and lower costs. In order to succeed, companies have to be masters of the basics of operations management. 13. Describe the impact of e-commerce on operations management. Identify the challenges posed by ecommerce on operations management. The quick development of information industry including computers, communications and Internet provides enterprises with electronic commerce. Electronic Commerce does not only change enterprises' management methods, but also change their operation means. The impact of electronic commerce on managing enterprise is studied from the enterprise operation perspective to improve enterprise operation efficiency. 14. Find a company you are familiar with and explain how it uses its operations management function. Identify what the company is doing correctly. Do you have any suggestions for improvement? The book mentioned the U.S. Postal Service as an example of a quasi-manufacturing type of company. It provides a service; speedy, reliable delivery of letters, document, and packages. Its output is intangible and cannot be stored in inventory. Yet most operations management

decisions made at the Postal Service are similar to those that occur in manufacturing. It is important to understand how to manage both service and manufacturing operations.