MGT370_Effective Layoffs
Effective Operations Management during Layoffs
Final Research Paper
Effective Operations Management during Layoffs
Western International University
MGT 370 – 5413
Operations Management
1
Effective Operations Management during Layoffs
2
Introduction
Operations management is the area concerned with the efficiency and effectiveness of the operation in support and development of the firm 's strategic goals. Other areas of concern to operations management include the design and operations of systems to provide goods and services. To put it briefly, operations management is the planning, scheduling, and control of the activities that transform inputs (raw materials and labor) into outputs (finished goods and services). Obstacles facing companies in today 's hyper-competitive global markets are seemingly more complex than ever, to the point that managers must rethink many of the basic principles of good operations management. This shift is the result of an increasing competitive environment due to the introduction of new manufacturing and information technologies, the focus on the customer, the growth of worldwide markets, and the introduction of new forms of management organization. These factors can lead a company to adopt a strategic approach to cost reduction that generates near-term cost savings while at the same time builds a more efficient operating model over the long term. Organizations that use cost reduction to create a leaner, more efficient organization will not only survive the current difficult economic conditions, but will also prosper throughout all phases of the business cycle.
Cost management systems are important, but equally important is to know how and when to apply them to achieve long-term success. Cost management systems help managers understand cost structure and behavior. Therefore, they can make decisions that will enable the organization to achieve or exploit a strategic competitive advantage.
Final Research Paper
Effective Operations Management during Layoffs
Western International University
MGT 370 – 5413
Operations Management
1
Effective Operations Management during Layoffs
2
Introduction
Operations management is the area concerned with the efficiency and effectiveness of the operation in support and development of the firm 's strategic goals. Other areas of concern to operations management include the design and operations of systems to provide goods and services. To put it briefly, operations management is the planning, scheduling, and control of the activities that transform inputs (raw materials and labor) into outputs (finished goods and services). Obstacles facing companies in today 's hyper-competitive global markets are seemingly more complex than ever, to the point that managers must rethink many of the basic principles of good operations management. This shift is the result of an increasing competitive environment due to the introduction of new manufacturing and information technologies, the focus on the customer, the growth of worldwide markets, and the introduction of new forms of management organization. These factors can lead a company to adopt a strategic approach to cost reduction that generates near-term cost savings while at the same time builds a more efficient operating model over the long term. Organizations that use cost reduction to create a leaner, more efficient organization will not only survive the current difficult economic conditions, but will also prosper throughout all phases of the business cycle.
Cost management systems are important, but equally important is to know how and when to apply them to achieve long-term success. Cost management systems help managers understand cost structure and behavior. Therefore, they can make decisions that will enable the organization to achieve or exploit a strategic competitive advantage.
References: No Author Noted, (2001), Effective Downsizing Enables Corporate Re-Recruiting, Retrieved April 15, 2008, http://www.inc.com/articles/2001/07/23101.html Heathfield, S.M., (2003) Downsizing Survivors: Motivating the Employees Who Remain after Layoffs, Retrieved April 15, 2008, http://ourworld.compuserve.com/homepages/gately/pp15s165.htm Comer, M., (n.d.), Restoring Productivity and Morale After Layoffs, Retrieved April 18, 2008, 18, 2008, http://www.networkworld.com/news/2008/031808-what-managers-employeesneed-to.html Krell, E., ( 2002), Defusing Downsizing, Retrieved April 21, 2008, Retrieved April 21, 2008, http://www.employee-assessment.info/Articles/WorkforceReduction.asp