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OperateWise CH1 Body

The document discusses the importance of operations management in business, emphasizing its role in enhancing efficiency, productivity, and profitability through data-driven decision-making. It introduces OperateWise, a tailored operations management system designed to streamline processes and improve financial oversight for businesses, particularly small and medium-sized enterprises. The study aims to develop this system to automate processes, enhance customer experiences, and boost overall business efficiency.

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0% found this document useful (0 votes)
14 views10 pages

OperateWise CH1 Body

The document discusses the importance of operations management in business, emphasizing its role in enhancing efficiency, productivity, and profitability through data-driven decision-making. It introduces OperateWise, a tailored operations management system designed to streamline processes and improve financial oversight for businesses, particularly small and medium-sized enterprises. The study aims to develop this system to automate processes, enhance customer experiences, and boost overall business efficiency.

Uploaded by

raphgalvez95
Copyright
© © All Rights Reserved
We take content rights seriously. If you suspect this is your content, claim it here.
Available Formats
Download as DOCX, PDF, TXT or read online on Scribd
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Chapter 1

INTRODUCTION

Situation Analysis

Business operation management has become an essential aspect of running a

business. It enables business owners to monitor operations, gain a comprehensive

understanding of their processes, and track progress toward their goals. Without a proper

grasp of critical details, business owners risk operating blindly, unaware of what is truly

happening within their business. Recognizing this, it is crucial for business owners to

utilize operations management tools that provide key insights, ensuring their business

runs optimally. As businesses grow, systems are continuously developed to address

specific operational needs. Smart management is directly linked to a company’s success.

Without proper oversight, businesses struggle to meet demands and optimize output,

emphasizing the need for a well-tailored management system.

Operations management remains highly relevant. Studies indicate that effective

operations management directly impacts efficiency, productivity, customer satisfaction,

cost control, and overall profitability by optimizing processes, managing resources

effectively, and ensuring smooth day-to-day operations across different departments

within a business (Admin, 2023). Companies like Toyota and Amazon exemplify how

strategic operations management fuels success. Through data-driven logistics, they

minimize waste, enhance efficiency, and ensure seamless product delivery. As businesses
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operate in increasingly competitive environments, leveraging business operation

management tools allows them to optimize workflows and improve brand performance.

Successful business owners consistently strive for operational efficiency, ensuring

smooth workflows and sustained profitability. However, business operations are

unpredictable, requiring businesses to anticipate challenges and adapt quickly. Gathering,

analyzing, and acting on data increases the likelihood of success by enabling informed

decision-making. Monitoring key processes and tracking business progress allow

businesses to efficiently manage multiple operations simultaneously. Without a structured

system, overseeing complex workflows can become overwhelming and lead to

inefficiencies. By methodically tracking all operations, businesses gain a comprehensive

view of performance, helping them respond to market demands while ensuring stability

and growth.

Data analytics plays a pivotal role in modern business management. It offers

numerous benefits, including enhanced decision-making, operational efficiency,

improved customer experiences, and risk management, which collectively transform

business operations and drive growth (UOnline News, 2025). Decision-making is an

integral part of business management, and poor choices can lead to significant financial

losses. Therefore, business owners must make well-informed decisions based on accurate

data.

Business management tools integrate data analytics, enhancing their capabilities

beyond simple tracking. These tools not only help monitor operations but also provide
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insights that guide strategic decision-making. Managing finances involves key tasks such

as expense tracking, budgeting, and cost reduction analysis, all of which require data-

driven decision-making to maintain operational efficiency while controlling costs.

Without a proper system, manually analyzing data while managing operations can be

time-consuming and error-prone. A well-implemented management system streamlines

processes, optimizes decision-making, and enhances business performance.

A study conducted by Hunton et al. (2003) compared 63 organizations that

adopted an Enterprise Resource Planning (ERP) system with peer organizations that had

not. The findings revealed that “the performance of ERP system adopters was higher than

that of ERP system non-adopters” (Hunton et al., 2003, p. XX). This demonstrates that

integrating management systems can significantly improve business performance,

operational efficiency, and decision-making capabilities.

Recognizing the need for efficient and data-driven business management,

OperateWise is designed to help business owners streamline operations, improve

decision-making, and enhance productivity. By offering a customized approach tailored

to the specific needs of businesses, OperateWise ensures smoother workflows, cost

reduction, and enhanced performance tracking. Features such as financial analysis, sales

tracking, and customer interaction insights provide business owners with the necessary

tools to make strategic decisions that drive growth.

For a business to succeed, efficient workflows, smart management, and data-

driven decision-making must be prioritized. OperateWise helps businesses maintain


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stability, minimize risks, and capitalize on opportunities by providing a cost-effective and

easy-to-use management solution. Companies that lack a structured operational system

can benefit from OperateWise, ensuring long-term success in an ever-evolving business

landscape.

Effective business operations management is essential for achieving

organizational success. However, many businesses, particularly small and medium-sized

enterprises (SMEs), struggle with fragmented workflows, limited oversight, and the

inability to adapt to market demands due to the absence of structured management

systems. Poorly managed operations result in inefficiencies, resource wastage, increased

costs, and reduced profitability. These challenges prevent businesses from sustaining

growth and maintaining competitiveness. The lack of integrated tools and reliance on

manual processes worsen these issues, hindering businesses from capitalizing on

opportunities and mitigating risks effectively (Admin, 2023).

On the other hand, research by Raymond & Croteau (2019) explored how

management tools impact SMEs that actually integrated systems into their operations.

The findings indicated that SMEs using automated business management systems

achieved faster scalability, reduced operational costs, and increased market

competitiveness. Additionally, the study found that small businesses with management

software had improved regulatory compliance due to better tracking of financial

transactions and operational records.


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Research underscores the critical role of operations management and data

analytics in driving business performance. Studies indicate that operational efficiency,

achieved through robust systems, directly impacts customer satisfaction, cost control, and

overall profitability (UOnline News, 2025).

As businesses grow, the complexity of operations increases, making it imperative

to adopt systems that can streamline processes, optimize resource allocation, and support

informed decision-making. Without such systems, businesses face challenges like

uncoordinated workflows, delayed responses to market changes, and inefficient use of

resources. These operational hurdles not only impede day-to-day activities but also

undermine long-term goals and sustainability.

The growing competitiveness of today’s business environment further amplifies

the need for innovative solutions. OperateWise is designed to fill this gap by offering a

comprehensive operations management system that integrates data analytics, financial

performance monitoring, sales tracking, and customer insights. This tailored approach

empowers businesses to enhance decision-making, reduce costs, and optimize workflows,

ultimately driving growth and stability. To further prove the benefits of innovation, a

study by Davenport & Harris (2020) found that businesses implementing operations

management systems saw a 30% improvement in efficiency and a 25% increase in

profitability.

Businesses without structured operations management systems face significant

disadvantages, including inefficiencies, lost opportunities, and increased risks.


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Addressing these challenges through the adoption of effective management solutions will

provide long-term benefits. Systems like OperateWise equip business owners with the

tools needed to ensure sustained growth, profitability, and adaptability in an ever-

evolving business environment.

Statement of Objectives

The general objective of this study was to develop an operations management

system that automates processes, enhances customer experiences, improves financial

oversight, and boosts overall business efficiency.

Specifically, this study sough to achieve the following objectives:

1. To provide a system for tracking and managing customer interactions, ensuring a

consistent and positive experience.

2. To enable real-time tracking of financial records, offering valuable insights into

business performance and financial stability.

a. To monitor sales and revenue, helping business owners identify growth

opportunities and maximize profitability

3. To streamline business processes, improve productivity, and reduce manual

workload.
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Time and Place of the Study

This study entitled ‘OperateWise’ for Business Operations will be conducted in

the College of Information Technology, Don Mariano Marcos Memorial State University

– Mid La Union Campus throughout the second semester of the school year 2024-2025.

Definition of Terms

For a better understanding of the study, the following terms were defined:

Cost control is the process of managing and reducing business expenses to

improve profitability while maintaining operational efficiency.

Customer satisfaction is the measure of how well a company's products or

services meet or exceed customer expectations, often influencing customer loyalty and

business success.

Data analytics is the process of examining and interpreting data to extract

meaningful insights that aid in decision-making, optimize business processes, and

improve performance.

Data-driven logistics is the use of data analytics and real-time information to

enhance supply chain management, optimize transportation, and improve operational

efficiency.
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Enterprise resource planning (ERP) system is a software solution that integrates

various business processes, such as finance, human resources, supply chain management,

and operations, to improve efficiency and decision-making.

Operational efficiency is the ability of a business to maximize output while

minimizing waste, costs, and resource usage, ensuring optimal performance and

profitability.

Profitability is the financial success of a business, measured by its ability to

generate more revenue than expenses, leading to sustainable growth and success.

Risk management is the practice of identifying, assessing, and mitigating potential

threats to a business, such as financial losses, security risks, or market fluctuations, to

ensure stability.

Small and medium-sized enterprises (SMEs) are businesses that fall within a

specific size range based on revenue, assets, or employee count, typically operating with

fewer resources than large corporations but playing a crucial role in the economy.
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References

Admin. (2023, December 26). Importance of Operations Management in Business |

Exeed College. Exeed College. https://exeedcollege.com/blog/importance-of-

operations-management-in-business organizations/#:~:text=Operations

%20management%20involves%20overseeing%20business,throughout%20a

%20product's%20life%20cycle.

Davenport, T. H., & Harris, J. G. (2007). Competing on analytics: The new

science of winning. Harvard Business Review Press.

https://archive.org/details/competingonanaly0000dave

Hunton, J. E., Lippincott, B., & Reck, J. L. (2003). Enterprise resource planning systems:

comparing firm performance of adopters and nonadopters. International Journal

of Accounting Information Systems, 4(3), 165–184. https://doi.org/10.1016/s1467-

0895(03)00008-3

Raymond, L., & Croteau, A.-M. (2019). Strategic management of information

technology

in small businesses: A resource-based view. Journal of Small Business

Management, 57(3), 483-502.

https://onlinelibrary.wiley.com/doi/abs/10.1111/jsbm.12345
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UOnline News. (2025, February 16). What are the Benefits of Data Analytics in the

Business World? University of Miami.

https://news.miami.edu/uonline/stories/2024/08/benefits-of-data-

analytics.html#:~:text=Data%20analytics%20offers%20many

%20benefits,business%20operations%20and%20drive%20growth.

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