Operations Strategy and Productivity
Production Planning and Inventory Management
Abstract: A working knowledge of operations management is critical to success in business. Operations management information underlies most strategic and operational decisions made by management. The purpose of this package is to supply managers with a knowledge of the objectives of operations management and to provide the tools necessary to make sound management decisions.
Operations Management begins with a discussion of the operations function and its responsibility for creating the products or services that the organization provides to satisfy the customers. needs. Five main topics are addressed in…
Chapter 1: Operations in the Service Environment, Operations Strategy, Operations Productivity, Operations Efficiency, and Factors that Affect Productivity.
Chapter 2 Project Management, introduces the three phases of project management which include planning, scheduling, and controlling. Gantt charts and the Critical Path Method (CPM) are also discussed in this chapter as well as Variability in Activity Times and Time- Cost Trade- Offs for Projects.
Chapter 3 Forecasting, introduces methods of forecasting including both qualitative and quantitative methods. Time series methods, averaging methods (both moving and weighted averaging), exponential smoothing techniques (including trend-adjusted exponential smoothing) are covered in this chapter. Forecast accuracy is also discussed in Chapter 3.
Chapter 4 Quality Management, defines quality and discusses the dimensions of quality. The costs of quality and the tools used to identify and solve quality issues are discussed in this chapter. Pareto, histogram, cause-and-effect, and scatter diagrams are introduced along with control charts including R-charts.
Chapter 5 Production Planning and Inventory Management, presents three levels of production planning: Long Range (APP), Intermediate Range (MPS) and Short range (MRP). Inventory management’s role in an organization’s successful operations is outlined using the Economic Order Quantity (EQQ)