History of Operation Managt
History of Operation Managt
History of Operation Managt
POINTS TO BE COVERED
Management
Industrial Revolution Scientific Management The Human Relations Movement
Operations Management (OM) is defined as the Design, Operation, and Improvement of the System that create & deliver the firms primary products and service. Like Finance, Marketing, OM is a functional field of business with clear line management responsibilities.
Operation
Finance
Marketing
1776 1790 1911 1911 1912 1913 1915 1930 1935 1940 1947 1951 1950s 1960s 1975 1980s 1990s 2000s
Division of Labor Interchangeable parts Principles of Scientific Management Motion study; use of industrial psychology Chart of scheduling activities Moving assembly line Mathematical model for inventory management Hawthorne studies on worker motivation Statistical Procedures for sampling and Quality control Operations research application in warfare Linear Programming Commercial digital Computers Automation Extensive development of quantitative tools Emphasis on manufacturing strategy Emphasis on quality, Flexibility, time-based Competition, lean Production. Internet, supply chain management Application service providers and Outsourcing
Adam Smith Eli Whitney Frederick W. Taylor Frank & Lillian Gilbreth Henry Gantt Henry Ford F.W.Harris Elton Mayo H.F.Dodge,H.G.Romig,W.shew hart,L.H.C.Tippett Operations research groups George Dantzing Sperry Univac,IBM Numerous Numerous W.Skinner Japanese Manufacturers, Toyota and Taiichi Ohno Numerous Numerous
Samuel Slater
Scientific Management
Brought widespread changes to the management of factories.
The move was spearheaded by the efficiency engineer and inventor Frederick Winslow Taylor, referred as Father of Scientific Management.
Believed based on observation, measurement, analysis and improvement of work methods in great deal to identify the best method of doing each job. Believed that the management should be responsible for planning, carefully Selecting and training workers.
Scientific Management
Taylors methods emphasized maximizing output. Other pioneers also contributed heavily to this movement Frank Gilbreth - Frank Gilbreth developed principles of motion economy that could be applied to incredibly small portions of a task.
- Henry Gantt recognized the value of momentary rewards to motivate workers and developed a widely used system for scheduling, called Giant Charts.
Henry Gantt -Harrington Emerson applied Taylors ideas to Organization structure and encouraged the use of experts to improve Organizational efficiency.
Scientific Management
Henry Ford, the Great industrialist, employed scientific management techniques in his factories. Fords T model was introduced and it had trouble keeping up with orders for the car.. Ford adopted the scientific management principles exposed by Frederick Winslow Taylor. In 1913, Ford introduced the Moving assembly line. Henry Ford
Scientific Management
Ford also introduced the mass production to the automotive industry. Key concept of mass production was interchangeable parts. Eli Whitney American inventor who applied this concept to assembling muskets in late 1770s. Tremendous decrease in assembly time and cost. Ford accomplished this by standardizing the gauges used to measures parts during production.
Eli Whitney
Scientific Management
The another concept used by Ford was the Division of Labor which Adam Smith wrote in The wealth of Nations in 1776.
Adam Smith
William Ouchi
MANUFACTURING MANAGEMENT
MAIN FUNCTIONAL AREAS IN BUSINESS
ORGANISATION
MARKETING
PRODUCTION
FINANCE PERSONNEL
minimum resources inputs Effectiveness objectives: Producing right kind of goods & services that satisfy customers need. Quality objective: Ensuring that goods & services produced conform to pre-set quality specifications. Lead time objective: Minimizing through put time by reducing delays, waiting time & idle time. Capacity utilization objective: Maximizing utilization of manpower, machine etc. Cost objective: Minimizing cost of producing goods or rendering a service.
Planning: Planning the conversion process & planning the use of this process. Product selection & Design Process selection & planning Plant location Plant layout & materials handling Capacity planning Forecasting Production Planning Organizing: Organizing for conversion Work study & job design Controlling: Controlling the conversation process.. Production Control Inventory Control Quality Assurance & Control Maintenance & replacement Cost reduction & cost control.
the boundaries of the nation. As information technology plays a vital role in the business.
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