MB 501-Manufacturing System

Analysis & Management

Assignment -1

Name – Manish Shekhar

Roll No. – 2401res78

Program Name – E-MBA

Semester – 1

Subject - Manufacturing System Analysis & Management

Submission Date – 28-March-2024

Assignment-1

a) Why the name of subject changed from production to operations management?

b) Explain the complementary role of productivity and activity in effectively utilizing resources.

c) What are the social issues involved in operations management?

d) What are the beneficial effects of industrial operations?

e) Justify that operations management is a multi-disciplinary function.

a) Why the name of subject changed from production to operations management?

Answer- The shift from Production to Operations management occurred as the field
broadened to include service organizations. The term production management was more
associated with manufacturing organizations, dealing with the creation of physical products
like cars or computers.

However, as the service sector grew in prominence, the need for a more encompassing term
became apparent. Operations management covers both the production of goods and the
provision of services. It involves identifying customer needs, converting them into specific
products or services, and managing the supply chain.

This evolution reflects the changing nature of industries and the need for management
practices to adapt accordingly. It signifies a shift from focusing solely on the manufacturing
process to a more holistic view of all operations within an organization.

b) Explain the complementary role of productivity and activity in effectively

utilizing resources.

Answer- Productivity and activity play complementary roles in effectively utilizing resources
within an organization. Productivity refers to the efficiency with which resources are used to
produce outputs. It is a measure of how well an organization can convert inputs (like labor,
materials, and capital) into outputs (like goods and services). High productivity implies that
resources are being used efficiently, leading to more outputs for the same number of inputs.

Activity, on the other hand, refers to the actions taken to implement strategic choices and
achieve organizational objectives. This includes coordinating the implementation of the
organization's activities. Effective activity management ensures that resources are allocated
optimally and used in a way that aligns with the organization's strategic goals.

The two concepts are complementary because improving productivity often involves
enhancing activities. For example, a company might streamline its processes (an activity) to
reduce waste and increase output, thereby boosting productivity. Conversely, efforts to
enhance activities often rely on productivity improvements. For example, a company might
invest in innovative technology to automate a process (increasing productivity), freeing up
staff to focus on other value-adding activities.

In summary, productivity and activity are intertwined. Effective management of both is crucial
for optimizing resource utilization and achieving organizational objectives.

c) What are the social issues involved in operations management?

Answer- Operations management, while primarily concerned with optimizing processes and
resources, also grapples with several social issues:

1. Corporate Social Responsibility (CSR): Organizations are increasingly interested in

managing CSR as part of their operations management. This involves considering the social
impacts of their operations and making decisions that benefit not just the company, but also
its employees, customers, and the broader community.

2. Sustainability: Sustainability is a significant issue, particularly for manufacturing operations.

Operations managers need to consider the social, environmental, and economic impacts of
their activities. This includes managing resources responsibly to ensure future availability and
minimizing negative environmental impacts.

3. Globalization: Globalization has led to increased interactions between different populations

around the globe. This brings challenges related to managing diverse workforces, ensuring
fair labor practices, and navigating diverse cultural norms.

4. Effective Communication: Consistency and effectiveness of communication is extremely

difficult within organizations. Operations managers need to communicate effectively with all
internal and external stakeholders.

5. Worker Well-being: The well-being of workers is a key social issue in operations

management. This includes ensuring safe working conditions, fair wages, and respectful
treatment.

6. Community Impact: Operations can have significant impacts on local communities. This
includes issues related to local employment, environmental impacts, and contributions to local
economies.

In summary, social issues in operations management are multifaceted and require careful
consideration and management.
d) What are the beneficial effects of industrial operations?

Answer- Industrial operations have these beneficial effects:

- Economic Growth: Industrial operations often lead to an increase in employment

opportunities and wages across various sectors. This can stimulate economic growth and
development.

- Improved Living Standards: Large-scale operations have boosted living standards and
provided richer choices. This includes access to a wider variety of goods and services, often
at more affordable prices.

- Increased Productivity: Industrial automation in manufacturing has led to gains in efficiency,

productivity, and profitability.

- Improved Quality of Life: Industrialization improves the quality of life for each person and
household. This includes advancements in medical care and other essential services.

- Sustainability: Emerging opportunities for industrial operators to help lead the way to a
lower-carbon future are on the rise. This includes introducing hybrid-electric equipment, fully
electrifying operations, boosting efficiency through digitization, advanced analytics, and
artificial intelligence.

- Innovation: Industrial operations often drive innovation, leading to the development of

innovative technologies and processes.

- Urban Development: Industrial operations can lead to increased demand for housing in cities,
subsequently improving the overall city layout, planning, and education systems.

In summary, industrial operations can have significant positive impacts on the economy,
society, and the environment.

e) Justify that operations management is a multi-disciplinary function.

Answer- Operations management is indeed a multi-disciplinary function, as it involves

coordinating and overseeing various departments and aspects within an organization. Here is
why:

- Interdepartmental Coordination: Operations management connects multi-disciplinary

departments, including sales, marketing, finance, business development, and customer
services. It ensures that all these departments work in harmony towards the organization's
goals.

- Strategic Planning: It involves operational planning, which is the foundational function of

operations management. This includes monitoring daily production of goods, managing and
controlling inventory, and tracking team member performance.
- Financial Management: Finance is an essential function of operations management. As an
operations manager, you ensure company leaders keep the budget in consideration when
they make important decisions.

- Product Design and Quality Control: Operations management is involved in product design
and maintaining the quality of products or services.

- Supply Chain Management: It also involves managing the supply chain to ensure the efficient
delivery of goods or services.

- Forecasting and Strategy: Operations management plays a crucial role in forecasting future
trends and formulating strategies accordingly.

In summary, operations management is a multi-disciplinary function as it involves managing

all aspects of an organization's operations. It ensures that materials, labor, and other inputs
are used in the most effective and efficient way possible within an organization, thus
maximizing the output.

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