¶ … Integrated Management Framework
The notion of Operations Management (OM) resembles that of a tree with various branches attached to it; although each of the branches represents a separate icon, their roots are linked. Here, the various branches stand for Logistics, Purchasing, Supply Chain Management (SCM), Management Information Systems (MIS), Accounting, Engineering and Marketing. All have a different persona but play a significant role in the implementation of Operations Management and therefore the executor is required to have adequate knowledge of these functions.
OM is not only about the different operations of a business, it affects every facet of the organization starting from the core business activities to the tiniest detail applicable. For that reason, the traditional approach to encourage the operational point-of-view regarding the OM enterprise is not appropriate. Also, other factors such as reporting lines, performance measures, budgets and reward structures accompanied by the cultural aspects continue to sway these functions and the organization as a whole. The failure of Operations Management initiatives to incorporate these factors in the process of implementation reduces its effectiveness. This point has been validated by previous research (discussed below) which states that to avail the maximum benefits derived from Operations Management procedure, we need to work towards reducing the gap between the organization and the different operations, as both normally run on parallel roads with different ideologies. Along with this a thorough understanding of the OM concept and factors influencing its success and failure is vital to its success; otherwise the execution of Operations Management process will go down the tube (Stevenson, 2012).
Suggestions for Operations Manager at Johnson and Johnson Company
Four OM Capability Domains
For Johnson and Johnson Company, the structure of OM can be designed in various ways, but the elements that make up this structure will remain unchanged. The most important element relates to the factors that spur the Operations Management initiatives. These factors are covered under the umbrella of OM capability domains and are classified as forecasting and designing, planning, coordination, understanding, improvement, scheduling and inventory. The way this umbrella influences the OM implementation in various situations is recapitulated and explained below.
Forecasting, design and planning process
As explained earlier, Operations Management is not about a single entity or function. For forecasting and design, the key concept talks about linking activities in a manner such that the output of one activity becomes the input of another. This liaison between different activities or organizations is termed as planning and coordination. For example, we can use collaborative planning and forecast replenishment (CPFR) to reach to a ballpark figure for planned shipments to a customer, in the same way, expected output of one activity can be altered to meet the specifications of another entity's requirements. This topic has proved to be popular amongst researchers, as each one of them analyzed it from a different perspective and reached to rational conclusions. There is a profuse collection of editorials (Barratt & Oliveira 2001: Dewett & Jones 2001: Frohlich & Westbrook 2001: Frohlich & Westbrook 2002: Hill & Scudder 2002: Lejeune & Yakova 2005: Mentzer, Foggin & Golicic 2000: Shah, Meyer-Goldstein & Ward 2002: Tang & Tang 2002) to evaluate the affiliation between strong coordination and competitiveness. Amongst other researchers, work of Gattiker and Goodhue (2005) is worth mentioning as they focused on manufacturing industry and established the way in which ERP can assist in forecasting, designing and planning to bring a company in line with customer expectations.
Scheduling and Waiting lines
The operational manager needs to understand that every entity has certain boundaries, which limits their ability to improve and be successful. An integrative Operation Management framework can only be effective if an entity is responsive to other entities competence, aptitude and precincts. For example, doubt over supplier's ability to live up to customer's expectation can be reduced through introduction of supplier certification programs. An initiative to understand other entity's potential is demonstrated through SCOR model. SCOR model is based on building blocks used to manuscript the requirements, capabilities and limitations of each department in the company and each organization in the supply chain. Another attempt was the introduction of quality model by Beamon and Ware (1998). Along with this, other researchers (Lejeune & Yakova 2005: Spekman et al. 1998) also emphasize on the significance of understanding requirements, potential and capacity.
The key concepts here are "Understanding" and "Coordination," which are similar to the extent that both talk about information sharing, and therefore...
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