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Imporatance of Strategic Operations Management

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Imporatance of Strategic Operations Management
There is a very famous saying by Benjamin Franklin, “If you fail to plan, you are planning to fail”. Strategic Operations Management acts on this by giving the organization a sense of direction, motivation and unity among people in working towards the overall mission and vision.

In this paper, the aim will be to find out if strategic operations management is important for an organizations overall development. The answer can be a “yes” or a “no” depending on how one perceives the issue and understands it. To draw to a conclusion on this, it is better to first briefly outline the various topics that I will be attempting to cover. Firstly, I will discuss in short about Operations Management and then strategy and finally how strategy fits into operations management to achieve the organizations overall goals.

Operations Management:
Operations are jobs or tasks which may constitute of many elements and sub elements.
Slack et al (2008) states that operations management stands for those activities that are to produce and to deliver those products and services. In short, all activities that happen on a day to day basis can be classified as operations management. Operations Management is a process where inputs like manpower, equipment etc are converted to outputs which deliver value and satisfaction to the customers.

The main objectives of operations management can be categorized into Customer Utilization and Resource Utilization. (Kumar,A & Suresh,N. 2009). They stated that the main aim of any organization would be to have happy customers. Hence, achieving customer satisfaction is the key objective of any operation management. The 3 main factors in determining customer satisfaction are price, quality and time.

The second main objective is resource utilization. An efficient operations management system would be able to manage their resources usefully by causing the minimal damage to protect the sustainability of the environment.

It should be mentioned



References: Covey, Stephen.(1989) The seven habits of highly effective people. 1st Edition. New York:Free Press Hayes, R. H. . (2002). ‘Challenges Posted to Operations Management by the “New Economy”’. Production & Operations Management, 11(1), pp. 21-32. Johnson, Gerry & Scholes, Kevan. (2008). Exploring Corporate Strategy. 8th Edition. FT:Prentice Hall Kumar, S.A. & Suresh,N.(2006). Operations Management. 1st Edition. New Delhi: New Age International (P) Limited Markides, C. (2004). ‘What is Strategy and How Do You Know If You have One?’. Business Strategy Review, 15(2), pp. 5-12. Mintzberg, H., Lampel, J.(1999). ‘Reflecting on the Strategy Process’. MIT Sloan Management Review, 40(3), pp. 21-30. Porter, M. E.(1996). ‘What Is Strategy?’. Harvard Business Review, 74(6), pp. 61-78. Rankin, S. (2004). ‘A Mini Case Study of Product Strategy: The Cypher Sent From Cordis (A Johnson & Johnson Company)’. Marketing Review, 4(2), pp. 211-224. Slack, N & Lewis, M (2008) Operations Strategy. 2nd Edition. New Jersey: Prentice Hall. pp. 6 Wheelen, Thomas & Hunger, David. (2005). Strategic Management. 7th edition. Pennsylvania: Addison-Wesley

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