Operation management Essay Example | Topics and Well Written Essays - 1000 words

Operation management - Essay Example But one thing we wouldn’t like to do is to pay much for such services. To be able to deliver quality services and goods to the customers, there are management skills that are needed. Operations management therefore focuses on such management skills that lead to higher productivity and increase responsiveness, providing more choice to customers and delivering quality standards. In short, operations management involves analyzing business processes and how to improve them (Investopedia, 2013). Progressing further, operations, management can be defined as the administration of business practices in order to create the highest level of efficiency in an organization. It is thus concerned with converting materials and labor into goods and services in an efficient way in order to maximize the profit of an organization. Therefore, the operational management team is concerned with designing the inputs (materials, labor, and overhead) conversion methods, into outputs (goods, services and value added products), that brings benefits to the organization. Arguably, one would say that high level efficiency in an organization may be attained without employing certain administrative practices; hence operational management has no importance in making the business attain efficiency or maximize profit. This paper is meant to find out the solution between either using operation management or no operation management to achieve organizational efficiency. Nonetheless, one would wonder if firms that do not employ proper operations management techniques would also be able to maximize on their profits as they improve on the efficiency of the firms. This is as opposed to those firms that are keen about the kind of operations management techniques that are employed in their daily operations. Obviously, it becomes very necessary for all types of organizations to consider operations management since they all produce a mixture of some goods and services. In smaller organizations, many o perations management activities are done by the other employees who are involved in many other operations of the firm such as marketing staff and accountants. Operations management is considered important in any organization as it aids in making the decisions that would impact the costs of producing the products and services that the firm is involved in. It also aids in making a decision that would impact how well the products and services are delivered, which then is critical to the revenue that the organization receives. This would then mean that, when good operations management programs are put in place, the cost of production would be less while the products and services delivered would be of high quality, hence the resulting revenue that would be received by the organization will be high. When poor operations management programs are put in place, less revenue will be earned, hence good operations techniques are essential for profit maximization in any organization. Following th at, to illustrate this fact, a certain restaurant has employed two different operations management techniques in order to compare the cost of operations involved in running the restaurant. For the first three months, the restaurant hired excess workers and used to purchase materials in excess so that extra material could be given to the workers to avoid going bad. After the here months, a new management was put in place and there was a difference in the