Operations management is a critical component of any organization, as it covers the processes and practices that create goods and services. It involves overseeing and controlling the manufacturing process, from material planning to capital requirements and human capital. An operations manager must be able to plan, execute, and monitor projects while also understanding how to integrate resources, activities, and time to ensure the proper use of resources to achieve the organization's objectives. Additionally, they must be able to manage fine lines with other colleagues by knowing how to communicate, listen, and relate to them on a professional and personal level.
Operations management applies to industries such as banking systems, hospitals, businesses, working with suppliers, customers, and the use of technology. It is one of the primary functions of an organization, along with supply chains, marketing, finance, and human resources. Poor business operations can threaten the survival of a company, so operations management must ensure that processes are efficient, that the right personnel are employed, that the equipment is right for its purpose, and that the company's physical locations are cost-effective, ethical, and safe. The 10 principles of operations management were presented by Randall Schaeffer at an APICS conference.
These principles include planning, organizing, monitoring, and ensuring greater profitability and improved efficiency within a manufacturing operation. A career in operations management can come in many forms from general business operations roles to more specialized and niche options. MBAs focus on leadership as well as finance, management, and marketing; some offer specialized classes in logistics and operations. Management experience is also crucial to this role; business operations managers tend to have at least five years of experience before taking on this job. When implementing operations management key adjustments are made to help the company achieve its strategic objectives.
A properly managed supply chain process will result in an efficient production process, low overall costs, and timely delivery of products to consumers. The operations manager must also be able to receive customer feedback if they are not satisfied with the product or complain about certain product features. Because workplaces are made up of people from diverse cultures, the operations manager must show tolerance and understanding to others. They must also rely on past and present data on the acceptance of the company's products to determine future trends in consumption.