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operations process

Operations

Influence of variety

The products range is the mix of products made, of services delivered through the operations function

Low variety example

Car factory with a small variation of a standard model

High variety example

Financial advice

There is often an inherent trade-off between variety and volume, with greater volumes usually being associated with less variety

The more complex the number of products and variation of products the more complicated the operations process with be ensure there is no cross-contamination

It raises key questions about whether the transformation process is capable of being flexible enough to alter its various settings and characteristics during this stage of production.

Influence of variation in demand

Variation in demand will require the operations manager to cope with changes in the demand for the product which may increase/decrease due to seasonal changes or changes in consumer tastes.

There is a need to have a strong interdependence with marketing to ensure that operations are aware of potential sales promotions which could drive peak production

influences on operations management

Globalization refers to the removal of barriers of trade between nations

Globalisation is characterised by an increasing integration between national economies and a high degree of transfer of:

Capital

Labour

Intellectual capital and ideas

Financial resources

Technology

Globalisation and operations management global business seeks to target global markets

Product designs must meet the needs of:

Global consumers

The choice of location of manufacturing facilities

The quality management

The production of services on a global scale include:

Financial services

travel and tourism services

Software development

Telecommunications

The large-scale- service-based business will seek to standardise services as far as possible.

Supply chain management and the global web

Supply chain refers to the range of suppliers of business has and the nature of its a relationship with those supplier s

Predictable

Reliable

Highly responsive

Adaptable to change in demand