What are most important concepts in this Operations Management?

Business & Management
#1

Operations Management is a vast field and it is not possible for any one individual to know every concept but there are some concepts that are expected to be known by candidates when they are trying to join an Operations role. Such concepts will help them know the basics and will make them able to interact with industry people in a refined way. Some of the concepts which are most important are:

• Total Quality Management (TQM)
• Just in Time Inventory Management
• MUDA
• Forecasting Techniques
• Economic Order Quantity
• Six Sigma
• Bottleneck
• Assemble-to-Order Strategy
• Kaizen Principles

#2

The field of business practice known as operations management is concerned with the production of goods and services. It entails ensuring that business processes are efficient by utilizing as little resources as feasible, as well as ensuring that client requirements are met in a timely and effective manner.

The key concepts that should be known within Operations Management are:

  1. TQM (Total Quality Management) – It is a continuous process of eliminating errors after their detection in the manufacturing process, thereafter streamlining the supply chain and ultimately improving the customer experience.
  2. Just-in-Time Inventory (JIT) Management – In this method, the goods are demanded from the suppliers only as the demand from these goods arise from the customers.
  3. MUDA – MUDA typically translates into waste. It is of two-types – 1. Non-value-added activities that are necessary, like inspection for safety of the customers; 2. non-value-added activities that are unnecessary for even the customers.
  4. Economic-order-quantity – This takes care of reducing the holding and storing costs for the organization.
  5. Forecasting techniques – The more the accuracy in forecasting future demand of the customers, the lesser will be the cost to be borne for storing and warehousing.

2022-02-05T18:30:00Z