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Operations And Supply Chain Management Case Study

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Operation is a function that converts inputs into greater value of outputs to maximize the profit of organization. Operation management is defined as the process of constantly improving the system to make and deliver firm’s primary goods and services (Investopedia, 2010). Supply chain is the movement of materials, information and finances from supplier to end users. Hence, operations and supply chain management (OSCM) can be described as the design, operation and improvement of the system that manufacture and transfer the firm’s primary products and services to final users. Operations and supply chain management is a functional area of business with clear line management obligations (Scribd, 2015).
The 1970s
Manufacturing strategy
In the …show more content…
To meet this challenge, manufacturers changed their management system into quality improvement (QI). Reason for applying this strategy was to fulfill the needs of customers and manage the problem between costs, productivity, competition and profit (Google Books, 2015). Federal Express has incorporated this strategy successfully. After improving the express parcel shipments, it developed computerized tracking system that was able to give near real-time information about the delivery. Drivers was able to know a shipment's status by bringing small handheld …show more content…
It was delivered by Michael Hammer in his article with title “Reengineering Work: Don’t Automate, Obliterate.” This management technique searched for making revolutionary changes to evolutionary changes. It was the analysis and reorganization of workflow in organization to remove non-value-added steps and computerizing the remaining ones to get the desired results. During mid-1990s, business process reengineering became common for downsizing. Organizations used this strategy to reduce costs and cycle time by decreasing the management layers, speeding up information flow and removing the mistakes caused by handoffs. Besides, business process reengineering was able to improve quality of products by decreasing fragmentation of work and building up clear ownership of processes. Ford was one of the organizations that apply business process reengineering successfully for its accounts payable system. It implemented an invoice-less process that information will be updated to online database so payment can be made automatically without waiting for the invoice to be collected from vendor. By changing this business process, Ford was able to reduce 75% of employees in administration department (Alameemi,

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