Page 8 - DMGT501_OPERATIONS_MANAGEMENT

Operations Management

Notes State differences between services and manufacturing
Explain competitiveness and productivity
Discuss computing productivity

Introduction

Man started engaging in the activity of production soon after its existence. Agriculture was the
first production activity. Since then the range of production and manufacturing activities has
expanded in terms of capacity and efficiency. Today, machines have replaced men in basic
production activities. Men only supervise machines and are supervised by them as well. Thus,
production is a much more complex function. Also, it is one of the most critical functions of
modern management.

1.1 Definition

Operations Management is the management of an organisation's productive resources or its
production system, which converts inputs into the organisation's products and services.
There are basically three schools of thought:
1. Classical
2. Behavioural

3. Modelling

Classical Management

Classical management emphasizes:
1. Economic efficiency as the overall production effectiveness of the organisation: Scientific
management.

2. Management as a continuous process of planning, organising and controlling: Process
management.

Behavioural Management

Behavioural management emphasises:
1. Human Relationship: Behavioural scientists recognise that people are complete and have
multiple needs and that the subordinate-supervisor relationship directly affects
productivity.
2. Behavioural Science: The science which explored how human behaviour is affected by
leadership, motivation, communication, interpersonnel relationships and attitude change.

Modelling as Management

Modelling as management emphasises:

1. Decision-making
2. System Management
3. Mathematical Modelling

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