BUMA 20013 OPERATIONS MANAGEMENT (TQM)

Patricialy Angel C. Navia BSENTPLE 3-2 March 3, 2022

1. Discuss the importance of operations management in an organization.
» The field of operations management is concerned with how businesses create
goods and services. It is the activity of overseeing the allocation of resources to
the production and delivery of goods and services. Because it is involved with
controlling processes, operations management is vital in a company. Internal
customers and suppliers are present in all processes. Processes, on the other
hand, are managed by all management departments.
a) HELPS IN ACHIEVEMENT OF OBJECTIVES - It guarantees that all actions are
carried out according to plan by regularly monitoring the organization's
operations.
b) IMPROVES EMPLOYEE PRODUCTIVITY - To get the best results, operations
management ensures that personnel are properly matched to resources.
Effective operations management is the only way to assure productivity.
c) ENHANCES GOODWILL - Operations management is responsible for ensuring
the quality of products or items delivered to clients, both during and after delivery.
They are vital to the organization's success, and they must be treated with
respect in every manner imaginable.
d) UTILIZES RESOURCES - A effective operations management ensures that the
exact quantity or size of items is produced as desired, resulting in higher income.
e) MOTIVATES EMPLOYEES - It assists their staff in carrying out their
responsibilities and creates a more pleasant environment for them.
2. Describe the meaning of productivity. Why is it important?
» Productivity is defined as the ratio of total output (production) to total input (input)
(inputs). Productivity is a measure of how efficiently a process operates and how
effectively it uses resources in control management. Productivity is a metric that
measures how efficient a company's output is. Increased productivity can result
in more profits for corporations and higher income for individuals. It's crucial
because supplying more goods and services to customers means greater
earnings.
3. What are the advantages and disadvantages of employee involvement in decision
making?
 BUMA 20013 OPERATIONS MANAGEMENT (TQM)
Patricialy Angel C. Navia BSENTPLE 3-2 March 3, 2022
» People are given the authority to make decisions, and everyone is included in the
process. The personnel is considered as a long-term asset, with continual
training and a sense of security and belonging to the firm.
4. What is supply chain management and its related activities?
» The core role of a firm is supply chain management, which organizes and
controls all supply chain operations, including coordinating and managing
suppliers, transporters, internal departments, third-party organizations, and
information systems. These tasks include obtaining raw materials and parts,
manufacturing and assembling the items, warehousing, order entry and tracking,
channel distribution, and client delivery. The application of a set of approaches to
effectively integrate the activities of suppliers, manufacturers, warehousing
providers, and retailers so that goods are produced and distributed in the right
quantities, to the exact locations, and at the right time, in order to reduce overall
costs while meeting customer service expectations, is known as supply chain
management. It also gives you a long-term competitive edge, such as quicker
reaction times, lower costs, higher design quality, and so on.
5. What is the Input–Transformation–Output Process?

6. Describe the core beliefs of the JIT philosophy.

a. Eliminate Waste - Waste is anything that does not add value, such as excess
inventory, equipment, time, energy, space, or human activity. To eliminate
waste, the company must practice the 5S from Japan: SEIRI (Sort), SEITON
(Straighten), SEISO (Shine), SEIKETSU (Standardize), & SHITSUKE (Sustain).
b. Broad View of Operations - It involves understanding that all employees are
ultimately responsible for serving the customer. Working towards the same
goal---serving the customers.
c. Simplicity - It encourages employees to think about problems and come up with
simple solutions. Seems easy and crude, yet quite difficult.
d. Continuous Improvement - It emphasis on quality; "kaizen" in every aspect of
the operation is a cornerstone of this philosophy; "kaizen blitz" improvement tool
that utilizes cross-functional teams to plan and deliver the improvements to
 BUMA 20013 OPERATIONS MANAGEMENT (TQM)
Patricialy Angel C. Navia BSENTPLE 3-2 March 3, 2022
specific processes during two- or three- day marathon sessions. This process
allows a small group of people to concentrate on a bite sized chunk of the
problem for a short period of time. It can quickly deliver dramatic and low-cost
improvements to processes.
e. Visibility - It allows us to readily see waste, so that we can come up with a
simple solution to eliminate it. When waste is hidden, we forget about it which
creates problems.
f. Flexibility - It can mean being able to make changes in the volume of a product
produced to adapt to changes in the environment and the design operations
that are highly efficient but flexible to accommodate changing customer
demands. A company can be flexible by being able to produce a wide variety of
products.
7. Give three examples showing why a business needs to forecast.
i. It will give you valuable insights to plan for future demand. Forecasting can
assist you in developing short- and long-term strategy. It will show you how to
forecast future demand using real-time data from the past. Consequently, you'll
be able to forecast demand variations more accurately.
ii. It can assist you in deciding where to invest your funds. You don't have to start
again after each forecast since it provides you a place to start even if your
prediction was completely incorrect. Instead of blowing your money at the
roulette table, you'll develop the habit of reflecting on your entire performance,
which will aid you in selecting the greatest investment options. Self-reflection
might also be a great motivator for business progress.
iii. It can assist in predicting market changes. Forecasts can help you anticipate
market moves, allowing you to be proactive instead than reactive. In response to
market developments, you may update your sales predictions, reducing or
increasing inventory as needed. When done effectively, demand forecasting may
help you fine-tune your operations and improve supply chain efficiency. By being
better able to predict what consumers might want and when they will get it, you
may be able to reduce excessive inventory levels and so increase total income.
 BUMA 20013 OPERATIONS MANAGEMENT (TQM)
Patricialy Angel C. Navia BSENTPLE 3-2 March 3, 2022
8. What is total quality management (TQM)? Why is Total Quality Management (TQM)
important in operations management?
» Total Quality Management (TQM) is a step forward from traditional corporate
practices. It's a tried-and-true strategy for surviving in the face of world-class
competition. Only through altering management's behaviors can a whole
organization's culture and activities be modified. It focuses on consumers and
the generation of goods and services that match and exceed their expectations.
TQM provides the quality assurance that customers will get what they expect,
as well as a process for managing unsatisfied customers, make needed
corrections and prevent similar reoccurrences. Improved customer focus and
satisfaction. Increased customer loyalty and retention. Increased job security.
Improved employee morale. The critical success factors of TQM are
management commitment and leadership; continuous improvement; total
customer satisfaction; employee involvement; training; communication and
teamwork.
9. Pick one (1) quality guru and explain his contribution in achieving total quality in the
workplace.
- Dr. Edwards Deming’s Fourteen Obligations of Top Management

1) Create constancy of purpose for improvement of product and service.

Instead than focusing on short-term profits, allocate resources to meet long-
term requirements.
2) Adopt the new philosophy. We can no longer live with commonly accepted
levels of delays, mistakes, defective materials, and defective workmanship.
3) Cease dependency on mass inspection to achieve quality. Quality is
achieved by building quality into the product in the first place.
4) End the practice of awarding business on the basis of price tag
alone. The aim is to minimize total cost, not merely initial cost. Establish long
term relationship with suppliers to develop loyalty and trust.
5) Improve constantly and forever every process for planning, production, and
service. It is management’s job to work continually on improving total system.
 BUMA 20013 OPERATIONS MANAGEMENT (TQM)
Patricialy Angel C. Navia BSENTPLE 3-2 March 3, 2022
6) Institute training on the job for all, including management, to make better
use of every employee. New skills are required to keep up with changes in
products and processes.
7) Adopt and institute leadership aimed at helping people do a better job.
Management must ensure that immediate action taken on issues that are
detrimental to quality.
8) Drive out fear so that everybody may work effectively and more productively
for the company.
9) Break down barriers between departments and staff areas. Everyone must
work together to tackle problems that may be encountered with products or
service.
10) Eliminate slogans and exhortations for the work force as they create
adversarial relationships. Also, bulk of the causes of low quality & productivity
belong to the system and lie beyond the power of the work force.
11) Eliminate arbitrary numerical targets for the workforce and management.
Substitute aids and helpful leadership in order to achieve continual
improvement.
12) Remove barriers that rob people of pride of workmanship. This includes
the annual appraisal of performance and Management by Objective.
13) Encourage education. Institute a vigorous program of education and self-
improvement for everyone
14) Clearly define top management’s permanent commitment to ever
improving quality and productivity. Put everybody in the company to work to
accomplish the transformation. Support is not enough, action is required.

10. How will this course help you in good decision-making in your future business?
- This course helps me do good decision-making in my future business through
learning the proper management in operating a business.