operation administration

 Essay in operation management

enzer twelve Critical Decision Area intended for OM

12 Critical Decision areas of procedure management

I. Goods and service design. Relating to Henzer (2004), design of goods and design identifies much of the modification process. The factors of cost, top quality and recruiting must be made during the stage. Operation administration of product and services is also several because due to different characteristic and touchable / intangible feature.

II. Quality. Buyer has a very high quality standard today and procedure management decision in top quality must be very clear and tight for its users to understand and comply. It should set a good, standard and operating treatment to meet consumers' high requirement.

III. Method and potential design. Production of physical products might have larger importance on process and capacity style than companies operation. Procedure management (product) should decide what process this, what type of technology and to what extent, human resources, quality and maintenance that determines the basic price structure. Solutions operation decision on this area is much less complicated and it can determine by customers who immediately involved in the method. For example , consumer will request tailor to create specific style clothes. Ability design concern is critical pertaining to services as it will try to lower waiting time and avoid dropped of product sales due to not enough capacity. For manufacturing ability design is dependent on firms economic capability, prediction for long term and marketplace demand.

4. Location is usually an area for operation management to decide and with globalization of organization, operation managers too must think global. For physical goods, position selection can be determined by swimming pools of qualified human resources, technology, raw material, access to market and government policy. To get services since it is direct to customers, the location is determined by market accessibility or near to customer as possible.

Sixth is v. Layout design and style. Material flow, process...