Operations Management

Operation management entails designing, controlling process of producing and redesigning operations of goods and services (Reid & Sanders, 2019). In business resources of the firm are low, and it requires that activities are adequately managed to ensure that the available resources are used efficiently and effectively to meet customer requirements. Therefore, operation management involves planning, organizing and supervising to ensure that there is optimization in the use of resources in delivering what the firm wants. The operation management puts production systems as the centre of delivery of customer requirements. The operation process of the production system, which entails the conversion of inputs into outputs and delivery of products (Hitt et al., 2016). The method of production system ensures that production is done. That is achieved by allowing resources to flow within a defined system though combined and transformed in a manner that adds value. The management plays a part in the production operations where they communicate the policies to be followed.

The production system process contains three main components that are the inputs, conversion process and output. The inputs include raw materials, machines, paperwork, working hours that are well organized to get to the second part of the product design process (Hitt et al., 2016). After the acquisition and organization of input, they are directed into the second phase, which involves a conversion process. In the conversion, businesses need to design their systems depending on the specifications of the outputs. Also, the process entails modelling and deciding to provide products and services.

Operations management require critical decision making to enable efficient production system. There are different decisions made between a firm that offer services and those that focus on manufacturing (Ivanov et al., 2017). Both the internal design office and paper manufacturing, it requires thinking critically about the goods or services to be produced and the quality to be provided to customers. Through the decision making it ensures that the costs, quality and resources are consistent throughout the production process. Quality management is another decision that is critical in the services and goods industry where it entails analyzing the customers demand and assuring the goods and services meet the customers’ expectations (Ivanov et al., 2017). More so, it requires thinking carefully about the process and the capacity design to produce quality services. The capacity is the technological and resource availability and ensuring that they run efficiently. Goods need to be sent in places where customers can get them; therefore, the strategy of supply chain and movement of products internally need be considered by decision-makers.

Additionally, both paper manufacturing and internal design office skill and competence play a significant role in the production design process since the workforce is required in the implementation of the operation process (Ivanov et al., 2017). The management should ensure that they have critical guidelines put in place for continuous improvement and training of employees to achieve the success area. Further, for paper manufacturing, inventory control decision helps in coming up with a plan where the firm does not hold a lot of inventory as well, the production is not below the demand. That requires market analysis and prediction of demand to decide on the inventory control plan. Lastly, paper manufacturing requires maintenance of people and machines ensure continuous smooth flow of resources and production process (Ivanov et al., 2017). The ability to improve the reliability and stability of the system is determined by proper maintenance structures put in place by the organization.

Batch to an assembly-line process

Batch processing goods are produced in groups while the assembly line ensures a continuous stream (Burks, n.d). The change is likely to affect the organization operates in several ways. In marketing, it requires that the volume of production increases. More so, the pricing of the goods will be higher, unlike in the batch process. The distribution channels need to be more efficient to supply the increased volume of products (Burks, n.d). Therefore, it is required identifying market segment their needs to focus on the supply. The assembly line requires the availability of capital to ensure the continuous production and efficiency of the conversion process.

Further, it requires adjustment in human resource management to engage in training of employees so that they can organize productive team works and improve skills. Each worker will be required to perform a specific task; thereby, the human resource should equip all workers with relevant skills to perform various tasks. In account, the net present value and cash flow will improve from the high volume of production. The information systems will require to be developed so that they are user-friendly.

Soap Factory

Marius Fabre takes the certified organic oil and put them into kettles. They are allowed to cool a bit then water and alkaline are added. More glycerin is directed to the mixture where they mix perfectly with the other blend. On the completion of mixing all the ingredients, the content is poured on container and level correctly that it appears smooth on the top. Then the material is left to cool until it solidifies. Then the solid soaps are cut into blocks then slices into smaller pieces. The bar soaps are stamped and later packed in the boxes. The final output all the process is a bar of soaps that is presented to the market.

Reid, R. D., & Sanders, N. R. (2019). Operations management: an integrated approach. John Wiley & Sons.

Hitt, M. A., Xu, K., & Carnes, C. M. (2016). Resource-based theory in operations management research. Journal of Operations Management, 41, 77-94.

Ivanov, D., Tsipoulanidis, A., & Schönberger, J. (2017). Global supply chain and operations management. A Decision-Oriented Introduction to the Creation of Value.

Burks, F., (n.d). Assembly Line vs Batch Process https://smallbusiness.chron.com/assembly-line-vs-batch-process-39317.html#:~:text=Batch%20processing%2C%20or%20batch%20production,production%20lines%20between%20batch%20runs.