Operations are business processes that transform inputs into outputs with value-adding.
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Operations are business processes that transform inputs into outputs with value-adding. They overlap and work with marketing, finance, and human resources functions.
– Inputs are raw material, lands, humans, technology, capital, information, time, and skill while outputs are products, goods, and services. Value-adding describes cutting, drilling, welding, designing, and assembling.
Specific examples of inputs depend on the project but in an example of making a car, it will be rubber, steal, cars, and engineers. Transforming and value-adding is cutting, drilling, welding, designing, and assembling. The output of this particular example is the Holder Astra car.
– Operations need to work with marketing, finance, and human resources functions.
-The customers are described as priorities who drive the operations, and they always need to be put first. Customers need the operations to operate at low cost, minimize waste, have environmental awareness, have good working conditions and fair pay for employees, and reflect changes in customer needs as a given example of smaller phones like Apple.
The video got me thinking about a real-life experience at my workplace. The company I work for is a manufacturer and a hardware wholesaler. An example of input operations in my place would be a raw material wood that we have. We engage in value-adding by cutting and laminating the wood with ABS colors. Then our retail customers create the output product which is a flight case or a road case that they then sell to their end-user customers. These are the customers that always need to be put first and they are the ones who care about the good working conditions and fair pay of the workers who assembled the product. They hope for low-cost and environmental friendly conditions. The company needs to make sure to fulfill these requirements.
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