Tuesday 25 October 2016

Evolution of Operations Management



The roots for the evolution of operations management is Industrial Revolution. Production systems started well before during construction of Great Wall of China, Egyptian pyramids.

1.      Industrial Revolution:
                         
                        



           It gave rise to craftsmen. They have following features:
a)      Highly skilled
b)      Small scale production( No economies of scale)
c)      Slow production
d)      High cost

Small companies evolution. They have following features:
a)      Standardisation of process
b)      Creation of employment opportunities
c)      High growth

2.      Scientific Management:
Winslow Taylor, who is father of scientific management believed in planning, training of employees, co-operation. Scientific management gave rise to:

a)      Maximizing output
b)      Division of labour
c)      Work design
d)      Mass production
e)      Spare parts

3.      Human Resource Management:
This era gave rise to motivational theory like Abraham Maslow motivational theory, Douglas McGregor theory X and theory Y. it gave rise to:

a)      Rewarding employees/Punishment
b)      Short-term employment
c)      Individual decision making
d)      Hierarchy structure

4.      Decision models and Management science:
It has development of several quantitative techniques and mathematical models for inventory management. It resulted in:

a)      Forecasting
b)      Inventory management
c)      Project management
d)      Other areas of operations management that is supply chain management, Quality management etc.,
e)      Wide spread of technology in production process


5.      Influence of Japanese manufacturers:
Japanese manufacturers developed many management practices to improve the efficiency and productivity. They introduced:

a)      Just –in- Time production
b)      Continuous improvement
c)      Kaizen
d)      Lean manufacturing etc.,

Japanese Car manufacturers



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