Answer to Question #200928 in Management for Bongani

Question

Describe the essence of operations management to non-expert board members (what is it and how does it work?).

Answer 1

Operations management serves as the engine room of the organization, planning and driving manufacturing or services. To compete in an ever-changing market, operations managers must maximize efficiency, productivity, and profit, which have always been vital to a company’s survival.

Operations management is concerned with controlling the production process and business operations in the most efficient manner possible, and comprises the set practices companies use to increase efficiency in production.

The field of operations management includes a diverse set of functions and roles, which can differ among industries and different-sized companies: 

• Planning and implementing manufacturing plants
• Managing projects
• Planning information systems
• Helping to design and develop products and services
• Managing inventory through the supply chain
• Managing delivery to customers in a timely manner