Scribd
Upload
81 views11 pages

Operation Management: Mahr Irfan Ahmad Tahir B.SC., ACFMA (Pak), MIPA (Aus) Afa (Uk)

The document discusses various concepts in operations management including market analysis to identify customer needs, competitive priorities and capabilities, trends and challenges in productivity improvement, designing and operating efficient processes and supply chains, and includes examples calculating productivity ratios and solving operations management problems.

Uploaded by

Rehan Ahmad
Copyright
© © All Rights Reserved
We take content rights seriously. If you suspect this is your content, claim it here.
Available Formats
Download as PPTX, PDF, TXT or read online on Scribd
81 views11 pages

Operation Management: Mahr Irfan Ahmad Tahir B.SC., ACFMA (Pak), MIPA (Aus) Afa (Uk)

The document discusses various concepts in operations management including market analysis to identify customer needs, competitive priorities and capabilities, trends and challenges in productivity improvement, designing and operating efficient processes and supply chains, and includes examples calculating productivity ratios and solving operations management problems.

Uploaded by

Rehan Ahmad
Copyright
© © All Rights Reserved
We take content rights seriously. If you suspect this is your content, claim it here.
Available Formats
Download as PPTX, PDF, TXT or read online on Scribd
You are on page 1/ 11

Operation Management

Mahr Irfan Ahmad Tahir


B.Sc., ACFMA(Pak), MIPA(Aus)
AFA(UK)
OM-Market Analysis
• Market analysis divides customer into market segment and
identifies the needs of each market segment
– Market segmentation is the process of identifying groups of customers
with enough in common to warrant the design and provision of
services or product that the group wants and needs
– Identifies the needs of each segment and assesses how well
competitors are addressing those needs
– Market needs may be grouped
• Service or product needs(attributes such as price, quality and degree of
customization)
• Delivery system needs(attributes of processes and supporting system and
recourses needed to deliver such as availability, convenience, courtesy, safety,
accuracy, reliability)
• Volume needs(attributes of demand such as high/low volume, degree of
variability in volume, degree of predictability in volume)
• Other needs(other attributes such as reputation, no of years in business, after
sale technical support, ability to invest, competent legal services)
Competitive priorities and capabilities
• Competitive priorities are the critical
operational dimensions a process or supply
chain must to satisfy internal or external
customers, both now and in future
• Competitive capabilities(cost, quality, time
and flexibility dimensions that a supply chain
or process actually possesses and able to
deliver)
Order winner and qualifier
• Order winner- a criterion customers to
differentiate the services or products of one
firm from others
• Order qualifier-minimal level from a set of
criteria for a firm to do business in a particular
market segment.
Trends and challenges in OM
• Productivity Improvement (value of output
produced divided by the value of input)
– Productivity=output/input
– Measuring productivity
OM-Productivity calculation
• Three employees process 600 insurance
policies in a week. They work 8 hrs/day,
5days/week.
• A team make 400 units, market price@$10
each. Job costs are $400 labor, $1000
material, $300 overheads.
OM-Trends and challenges
• Role of management (how addressed)
• Global competition
comparative cost advantage (china& india
have low cost)
disadvantage of globalization (quality,
technology, training etc)
strong global competition affects
industries everywhere)
Designing & operating Process and SC
• Managing processes
– Process strategy and analysis
– Quality & performance
– Capacity planning
– Constraint management
– Lean systems
– Project management
Designing & operating Process and SC
• Managing customer demand
– Forecasting
– Inventory management
– Operations planning &scheduling
– Resource planning
• Managing supply chains
– Supply chain design
– Supply chain logistic networks
– Supply chain integration
– Supply chain sustainability
OM-problems
• Student tuition at university is $150 per semester
credit hour. The supplements school revenue by
$100 per semester credit hour. Average class size
of 3-credit hour is 50 students. Labor costs are
$4,000/class, material costs $20per student per
class and overhead costs are $25,000 per class.
– Calculate multifactor productivity ratio for this course
process
– If instructor work an average of 14 hours per week for
16 weeks for each 3-credit class of 50 studens, what is
labor productivity ratio?
OM-problem
• NA makes garments. In a week, employees
worked 360 hours for batch of 132 garments,
of which 52 were “seconds”. Seconds are sold
@ $90 each. Rest are sold @$200 each. What
is the labor productivity ratio?

You might also like