Operations management contributes to organizational efficiency through the streamlining of its goals and objectives. The proprietors of profit making venture establish businesses in the hope of maximizing revenue. However, the organization can only realize returns if there is proper structure. Many ventures are created with goals and objectives that are stated through company vision and mission. In operations management, the executive utilizes the tenets of the OM in administrative and management areas which include planning, coordination, staffing and direction to realize efficiency. OM enables the organization to establish long-term strategy what in most instances is referred to as strategic plans. An establishment that is premised on a sound strategic plan is efficient in its operations. Areas that require efficiency in an organization include human resource management and supply chain. However, OM ensures that the HR department properly coordinates the organization’s employees in a manner that ensures efficiency in service delivery (Heizer & Render, 2011).
Operations management also enable institutions to achieve efficiency through quality control. Consumers desire quality regarding the goods and services that a business is selling. Rationally, a potential buyer would anticipate goods and services that proportionately meet their standard and evidentially show value for their resources and money that they spend in acquiring them. However, to realize such, OM not only ensures that the goods and services of an organization meet brand expectation but also the consumers’ expectations. OM focuses on how the welfare of the employee regarding job security and a fringe benefit is dealt with so as to retain them. When workers are sure that their job is protected they concentrate on ensuring quality to the clients thus enabling an organisation to achieve efficiency in service delivery to the consumers. Quality control also addresses issues of wastages either through outright theft by the employees or excessive spending in salaries and remuneration. Therefore, as OM brings in issues of quality control in the organization, it accelerates its efficiency in waste management and prudent utilization of resources (Gong, 2013).
Operations management positively affects many areas in an establishment like in procurement and inventory management. In company management, most executives normally fail to file returns promptly and correctly due to mismanaged processes in various areas like in procurement. However, OM ensures that organization incorporate the use of technology to monitor all the activities in the organisation including procurement of goods and services in the institution. Inventory control is another area where OM positively impact in an organization. Entities are premised on the foundation of the availability of other resources which must be well taken care of, and the business must also establish things that are lacking within and outsource them. However, it can only be realised through sound inventory which is only possible with the use of OM (Heizer & Render, 2011).
Methods of operations management include lean management in which the organization is premised on the maximization of the limited resources that it has like employees. Lean management is the most effective and efficient method of OM which is normally applied in the management of employees. In lean management, the use of technology is prominent while recruitment of workers is based on the persisting need for such a man power. For instance, while applying lean management as a method of OM, the manager can double as a secretary and company driver. Organizations’ that are premised on the sound application of OM and its methods outsource employees that have other complimenting qualifications other than the primary qualification for the job (Anderson, Anderson & Parker, 2013).
References
Anderson, M. A., Anderson, E., & Parker, G. (2013). Operations Management for Dummies. Hoboken: Wiley.
Gong, Y. (2013). Global operations strategy: Fundamentals and practice. Berlin: Springer.
Heizer, J., & Render, B. (2011). Operations management. Upper Saddle River, N.J: Prentice Hall.
