Evaluation of the Role of Operations Management in Strategic Management Formulations and Supply Chain
Discuss about the Process map for manufacturing process as per customer.
The report aims to create an operations plan for the process map for a product or service including the suitable mechanism/methodology for presenting the relevant information on the outcomes of the plan and process map. The primary discussions will be able to state the critical evaluation of the role of operations management in terms of the strategic management formulations and supply chain. The application of the different concepts of the operations management in the given case is considered to bring effective measure of strategic measures as per the application of the optimisation of the process.
The factors critical to evaluate the performances and techniques important for the growth and improvement in the organization is seen with five performance objectives. These objectives are lower cost, best quality product, error free and speed which relates to the response as per the demands reaching with effective time scale. In addition to this, the dependability is considered with promising the customer for the delivery of the products and services. Lastly, operations management also seeks to maintain the flexibility by adapting to the changes as per the nature of the organization (Heizer, 2016).
The discourse of the study has created a process map based on the flow of the processes. This map has been based on the manufacturing process as per customer customization in automobile sector. This process map is seen to discuss on the main components of the decision making from placing a purchase order to delivery of quality product to the customer. This chart has shown the sequence of the steps needed for deciding on the best method for decision making in the operations of the company. The relationship to decision making and value chain as per the flow chart is seen to be taken into consideration with the evaluation of the activities in the given flow chart. The important aspects of the value chain in the research has shown how the placing of order is relied on activity if/else operation all along the value chain of the automobile company. This consideration is seen to be evident with the various types of decisions as per the checking of the acceptability of customer terms and conditions. The process of this model can ensure about the confirmation of the order about the postprocessing requirements with various types of the conditional statements. In addition to this, the ordering of the tooling is seen to be based on the material vendor, tooling vendor with fail or pass order (Slack, 2015).
The important considerations are seen to be based on aspects adding to the value of the supply chain. These are based on supply of the goods and services, quality management, capacity design, location, job design and overall supply chain management. The flow chart is further able to show the inventory control which is seen to be considered as per strategizing the remodelling steps for providing highest form of quality. The process model is also able to depict configuration procedure of the operations aspect for the automobile company (Jacobs Chase & Lummus, 2014).
Application of Different Concepts of Operations Management in Optimizing Processes
The most prominent operational model which needs to be implemented in the given study is related to the application of the JIT and MRP systems. These will be able to bring major improvement to implement the control strategy. In addition to this, the main principles are based on the application of the push and pull strategy which will be able to bring in better supervision over the flow of the raw materials. Some of the various types the other improvements as per the quantitative methodologies needs to be considered as per the BOM, offsetting and netting strategies. The application of MRP and JIT system will not only able to compare among the pull and push strategies but also able to bring in major number of changes to the optimised hybrid control principles. This is observed to be mainly evident in case the manufacturing process implementing simpler control techniques (Jay & Barry, 2016).
The performance comparison in the different types of the other control approach is based on the implementation of various types of simulation tools and mathematical analysis. This will be able to compare the other aspect which are seen to be related to the manufacturing system performance ranging from “simpler systems” with limited process to a more intricate manufacturing environment. The optimization of the manufacturing environment will be able to outperform the simpler control principles in the various dimensions of the inventory performance and level of service. The multistage production quantities at each stage is based on the understanding of the other aspects of quantitative model such as following of a multistage “production-inventory system” with different inventory level and production quantities at each stage based on the performance criteria. The changes in the demand fluctuation may however be able to affect the best configurations between the pull in the downstream and push-pull in the value chain of the supply process (Hitt, Carnes & Xu, 2016).
The optimization of the different elements of supply needs to be evaluated as per the integration of push-pull hybrid production system in the serial production line constructed within the value chain. The planning through the MRP will significantly contribute to the JIT, which will be able to control the tardiness control thereby reducing the scope of higher delivery costs and delivery tardiness. The model needs to be solved based on the application of the various types of the other method which is identified as per the delivery costs (Stevenson & Sum, 2015).
In general, organizations are observed to adopt different improvement methodologies for the enhancement in the business performance. Operations management is seen to be considered as a crucial factor to the companies for obtaining competitive edge. Moreover, under the operations management the role of logistics and the supply chain is identified with a wider aspect of similar objects such as value chain management, sourcing of network, value chain management and management of the supply pipeline (Smith, Maull & CL Ng, 2014).
The application of the different concepts of the operations management in the given case is considered to bring effective measure of strategic measures as per the application of the optimisation of the process. The important form of the optimization control is evident with the various types of the methods which is based on application of cost optimization, process optimization, material requirement planning and inventory planning. The role of operations management in logistics management is considered to have a pivotal role on the resources managed as per the inclusion of the physical items. The operations management contributes to simplification of the complex process by maintaining a better strategy for the flow of goods from the point of origin to the point of destination. This aspect has further enhanced the storage, transportation, distribution, processing and packaging. The business logistics may involve several activities which are based in the field of inventory planning, logistics facility and planning of the inventory (Holweg, Davies, De Meyer & Schmenner, 2018).
Importance of Supply Chain’s Value-Added Aspects
Some of the main contribution of the operations management model is based on the consideration of other processes which needs to be considered as per other elements of supply chain. In the selected operational model, the operations management can strategize the concepts of the inventory management modelling. This has been able to significantly contribute to any instance of deteriorating inventory models. The application of the JIT system will be further able to contribute to the development of the “bi-objective optimization model to plan and manage intermodal shipments to represent the current practice” (Knoppen et al., 2015). The management will be able to take the important decisions associated to the delivery process which are seen to be specified to the customers. The other advantages of the implementation of the operations model is considered with tracking of the variations in the demand of the final product demand. Marketing science is also another sector which massively gets benefited from the application of the operations management concept (Walker et al., 2015).
Conclusion
The important consideration for the identification of the critical operations management function based on the process map is seen to be built on the main components of the decision making from placing a purchase order to delivery of quality product to the customer. This chart is has shown the sequence of the steps needed for deciding on the best method for decision making in the operations of the company. The relationship to decision making and value chain as per the flow chart is seen to be taken into consideration with the evaluation of the activities in the given flow chart. It needs to be also considered that the critical evaluation of the role of operations management in the strategic management of the organizations are observed with the crucial factor to the companies for obtaining competitive edge.
Moreover, under the operations management the role of logistics and the supply chain is identified with a wider aspect of similar objects such as value chain management, sourcing of network, value chain management and management of the supply pipeline. The content analysis is further identified to be considered with the optimization of the different elements of supply needs which is evaluated as per the integration of push-pull hybrid production system in the serial production line constructed within the value chain. The planning through the MRP will significantly contribute to the JIT, which will be able to control the tardiness thereby reducing the scope of minimizing the delivery costs and delivery tardiness. The disruptive measures are further seen to be considered with the technological aspect which will be further able to contribute to the potential changes in the industrial development. The decision makers need to be particularly aware of the potential to the change an industry adopts with the customer needs and small-scale innovation to the new market.
Reference
Bamford, D., Moxham, C., Kauppi, K., & Dehe, B. (2015). Going the distance: Sport operations management in the public and third sectors. Public Sector Operations Management, Routledge, 13-29.
Heizer, J. (2016). Operations Management, 11/e. Pearson Education India.
Hitt, M. A., Carnes, C. M., & Xu, K. (2016). A current view of resource based theory in operations management: A response to Bromiley and Rau. Journal of Operations Management, 41(10), 107-109.
Holweg, M., Davies, J., De Meyer, A., & Schmenner, R. (2018). Process Theory: The Principles of Operations Management. Oxford University Press.
Jacobs, F. R., Chase, R. B., & Lummus, R. R. (2014). Operations and supply chain management (pp. 533-535). New York, NY: McGraw-Hill/Irwin.
Jay, H., & Barry, R. (2016). Operations Management. Pearson India.
Knoppen, D., Ate?, M. A., Brandon-Jones, A., Luzzini, D., Van Raaij, E., & Wynstra, F. (2015). A comprehensive assessment of measurement equivalence in operations management. International Journal of Production Research, 53(1), 166-182.
Slack, N. (2015). Operations strategy. John Wiley & Sons, Ltd.
Smith, L., Maull, R., & CL Ng, I. (2014). Servitization and operations management: a service dominant-logic approach. International Journal of Operations & Production Management, 34(2), 242-269.
Stevenson, W. J., & Sum, C. C. (2015). Operations management. New York: McGraw-Hill Education.
Walker, H., Chicksand, D., Radnor, Z., & Watson, G. (2015). Theoretical perspectives in operations management: an analysis of the literature. International Journal of Operations & Production Management, 35(8), 1182-1206.
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