Operations Management Diploma
About this course
The field of operations management is such a varied and diverse one that it can be difficult and even misleading to give a simple definition which adequately sums up all of the activities and responsibilities involved.
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In this first module, we have aimed to provide you with a solid overview of the management discipline of operations management, in order to lay the foundations of knowledge that you will need for the more detailed information ahead in the subsequent nine modules of the course.
We defined what operations management is, the purpose of it in an organisational setting and some of the main principles involved in its implementation in a business.
As part of this, we covered a little of the history of the field, including how it made its roots in the industrial revolution and has continued to evolve ever since.
We also looked at some key tips or strategies to help you to be successful in the field. You should now be familiar with the main accountabilities of an Operations Manager and will also better understand which skills and personal characteristics are required for those who work in this area, as well as some of the best routes into a career in operations management.
Please refer back to this module as you progress through the course, to check your understanding of some of the more detailed concepts that will follow.
In this module, we have introduced you to the concept of supply chain management, a theme that we will continue across the next module, such is its importance to operations management.
We began by explaining the key terms of supply chain management and logistics, before breaking them down into key areas.
Firstly, we covered the area of purchasing, specifically the importance of creating and implementing a plan or strategy for the purchase of the materials and other products that are required for the manufacture of the product or service that your business creates.
We discussed the reasons why a purchasing strategy is important and the main steps that form the purchasing process.
As part of this, we covered some important documentation in the purchasing process, such as purchase orders and invoices, as well as some important principles for you to consider when choosing suppliers and how to negotiate effectively with them in order to get the best deal possible.
We also looked at things that can go wrong as part of the purchasing process.
Finally, we moved on to focusing on the stock control and inventory process of your business and you learned some different techniques of managing your inventory and the importance of doing so.
This module continued on the theme of supply chain management that we began in Module 2 and expanded it further, to look at the areas of product development and production.
First of all, we discussed the importance of identifying the target market for your product or service, in order to ensure that your development and marketing activities are appropriately targeted to the potential customers who will purchase your product.
We looked at the importance of market research, covering both primary and secondary research and some of the most common methods, including direct mail, telephone and face to face interviews.
Following this, we broke down the product development process into different parts, being the identification of your design criteria, analysis of ideas, prototyping and market strategy. We looked at a case study of McDonald's Restaurants and their product development strategy which has the objective of retaining a core, familiar menu, but also adding lots of seasonal and geographical variation to appeal to different segments of the population.
The final part of Module 3 covered the production and scheduling process, where we talked about the characteristics of different production types, including job, batch and flow production. As part of this, we explored Just in Time or Lean production in more depth.
Module 4 concludes our three part section on the supply chain management part of your role as an Operations Manager.
We built further on what we learned in the previous two modules and took a look at two important areas of the supply chain - distribution/logistics and marketing.
First of all, we defined the concept of product distribution, before looking at different types of distribution channel and also different methods of distribution, such as intensive, selective and exclusive.
Following this, we explored the key parties that you are likely to come into contact with in your distribution channel, from distributors to wholesalers and retailers to agents.
We then moved on to looking at the decision making process, in relation to the packaging and presentation of your final product and the practical and emotive impact that this can have on your potential customers. As part of this, we looked at the different delivery options that are available and how to choose the right strategy for your target market. This included an examination of the pros and cons of working with a fulfilment warehouse to store your stock.
To conclude the unit, we moved on to the important area of marketing and covered how a clever brand awareness and general marketing strategy can make all the difference, in generating sales for your new product or service.
In this fifth module, we have looked at the key role of an Operations Manager in controlling and reducing costs in the organisation in which you work.
First of all, we took some time to define what we mean by financial management and some of the important terminology, concepts and roles that you are likely to be exposed to in this field, as well as taking a closer look at some of the financial documents that you are likely to come across, such as budgets, balance sheets and asset registers and how to draw them up.
We also covered the concept of depreciation, which is an important area to be aware of when drawing up or reading a balance sheet and particularly, if your company owns a high volume or high monetary value of equipment.
Following this, we moved on to the concept of cost management and looked at some tips on how to look for opportunities to save costs in your business.We summarised some of the more common, tried and tested approaches to cost cutting that you may wish to consider implementing in the event that you are asked to undertake a cost cutting review across your business.
The purpose of this module was to explore your role as a people manager further, as this is likely to be an important part of your overall Operations Manager role.
Our first objective was to provide an overview of some of the different types of individuals that may work for you - be them employed staff, contractors, sub-contractors, agency workers, or those on zero hours agreements. The differing nature of these worker relationships give your business flexibility, to ensure that you have the right mix of skills and experience in your teams.
We went on to look at employment contracts in more detail, specifically some of the key legal clauses and also the statutory entitlements that your employees may be entitled to, such as sick pay or maternity leave.
Following this, we covered the role of contractors and subcontractors in more detail, including the advantages and disadvantages of these types of agreement and the factors to consider in relation to hiring, pre-work checks, etc.
Finally, we took a look at your role as a manager and some common issues that may arise in your team, such as communication and performance problems, including some good tips on how to lead and support your team to overcome problems and disputes.
Our work in Module 7 has focused on the important area of project management and the links that it has to the role of an Operations Manager.
We began the module by defining what project management is and the ways in which it differs from the business as usual aspects of your role.
We then took a detailed look at the five key phases of project management that are generally universal across project management methodologies and different industries - these being project conception and initiation, project definition and planning, project launch or execution, project performance and control and project close.
As part of this, we looked more specifically at the area of operations management and some of the types of specific project that you may have involvement in during your career.
Following this, you learnt about SMART objectives and some of the key criteria that you should use when writing targets and objectives for your project, to ensure maximum success.
Finally, we looked in some detail at both the planning and scheduling phases of a project, including tools and software to help you in these processes and some step by step guidance for how to create well-structured and efficient plans and schedules.
Following Module 7 where we took an introductory look at project management, we have delved deeper in this module to look in some more detail at two particular project methodologies which have achieved great renown and success across the modern business world - that of Six Sigma and Kaizen.
We began with a definition of Six Sigma, looking in detail at its main principles and what it stands for as a concept, including its growth over the last couple of decades.
We covered, in some detail, some of the most commonly used tools that form part of the methodology, including DMAIC, DMADV and the Five Whys and discussed the fact that the circumstances of your own business will largely dictate which tools are most appropriate for you to use.
Following this, we covered some of the main advantages and disadvantages of using Six Sigma as an approach and some of the situations that you are most likely to achieve success in, along with some great tips for its implementation.
Secondly, we looked at the growth of Kaizen or continuous improvement as a project concept, giving you its purpose and main principles, as well as some advice on how to implement it in your organisation.
Our work in this module has centred around the concept of quality within operations management.
We have focused particularly on the two main areas where quality is paramount - the design phase and the production phase, covering some generic ways for your business to promote maximum quality in these areas.
We defined quality assurance and quality control, including the importance of carrying out in-house testing on products regularly during the production process as a means of picking up defects or issues promptly.
As part of this, we broke down the concept of quality defects into three main areas - minor, major and critical - and gave you some examples of defects which may fall under each category across different industries and product types.
We then took a look at the ISO 9000 international standards for quality and the principles underpinning them, as well as whether to use such standards in your own organisation. We also considered the use of consumer product testing as a way of garnering further feedback and improving quality prior to the product going out fully to market.
Finally, we looked at situations in which conflict can arise in the operations process and some potentially useful ways in which to resolve it, including informal resolution, mediation and arbitration.
This final module of your course on Operations Management explored the concept of corporate social responsibility and environmentally friendly initiatives and how such programmes can benefit both your organisation and the wider society.
We began by defining the idea of corporate social responsibility, some of the reasons why it is so important and why you should consider implementing a CSR strategy in your business.
We covered some of the main aspects to think about when drawing up a CSR programme and some great tips to set you up for success in this area.
More specifically, we looked at a case study of a successful CSR scheme in practice - that of Marks & Spencer's Plan A - and some of the main strands of the initiative, such as responsible sourcing and community involvement.
Following this, we covered the definition of a green business, as well as the ISO standards and bodies, such as the Environment Agency, who have an important role in this area.
The biggest part of this section was devoted to a detailed look at ways in which to improve the sustainability of the company that you work for, considering key areas such as waste, staff engagement, reducing the energy footprint and water use and recycling, giving you lots of suggestions to consider in each area.