Operational management is a kind of business practice to create the highest level of efficiency possible within an organization. It is concerned with converting materials and labor into goods and services as efficiently as possible to maximize the profit of an organization

It is the department of tactical policies to make a high level of proficiency conceivable inside an association. It is worried about changing over materials and works into merchandise and ventures as effectively as conceivable to augment the benefit of an association.

Tasks supervisory crews endeavor to offset costs with income to accomplish the most elevated networking benefit conceivable. It is the administration of entrepreneur practices to gain the highest level of productivity one can. The main purpose is to convert raw materials into finished products which can be useful for the company and help in getting and generating higher revenue.

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Understanding

Operational management includes using assets from staff materials hardware and innovation. tasks supervisors gain to create and convey products to a consumer dependent on consumer needs and the capacities of the department.

It handles different vital issues including deciding the size of assembling plants and venture the executive’s strategies and actualizing the structure of data innovation systems. Other achieve issues incorporate the administration of stock levels remembering work-for process levels and crude materials procurement quality control materials taking care of and support approaches.

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Functioning 

Operational management has a lot of working and each organization has a separate department to handle it. This department has to function and work upon the different perspectives to gain the highest productivity and manage to generate high revenue.

• The basic working of this department identifies with the management of stock through the inventory network. To be a viable proficient one must have the option to comprehend the procedures that are fundamental to what an organization does and get them to stream and work together consistently. The coordination associated with setting up business forms in a proficient manner requires a strong comprehension of coordination.
• This proficient get nearby and worldwide patterns client request and the accessible assets for creation. It moves toward the procurement of materials and the utilization of work in a convenient savvy way to convey client desires. Stock levels are observed to guarantee exorbitant amounts are close by. They are answerable for discovering merchants that supply the fitting merchandise at sensible costs and can convey the item when required.
• Another huge feature of this department includes the conveyance of products to clients. this incorporates guaranteeing items are conveyed inside the concurred time duty. They likewise normally catch up with clients to guarantee the items meet quality and usefulness needs. At long last, they take the input got and appropriates the important data to every division to use in process improvement.
• An MBA in this field can give somebody a worldwide viewpoint on industry patterns and attention to any monetary guidelines and political vulnerabilities that can influence an association. It additionally gives somebody a strong handle on the natural complexities and the instruments expected to react well to change.

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Benefits

Operational management has a lot of working and they are very essential for the proper growth of the company they have a lot of benefits which are listed below:

• It includes comparative management for each industry or business regardless of their temperament of the operation. Arranging sorting out staffing checking controlling coordinating and inspiring are its critical components. It is required for associations to deal with the everyday exercises consistently.
• With its assistance, an association can utilize its assets like work crude material cash and different assets. It is imperative to improve the general efficiency. The proportion of contribution to yield is named as profitability. It gives a proportion of the productivity of the supervisor just as the representatives. Since the control centers around utilizing the accessible assets in the most ideal manner to accomplish ultimate objectives so it improves the general profitability.
• Under them, there is the ideal use of assets prompting gigantic benefits of the association. The endeavors of the workers and the different crude materials are productively used and changed over into the administrations and merchandise required by the association. It assumes a significant job in an association as it handles issues like plan operations and support of the framework utilized for the creation of products.

Management is the process of administering or controlling a firm or a group of its staff. Management is defined as a set of activities that are aimed or directed at the effective and efficient utilization of company resources so as to meet a goal or various goals. Management is an art, as well as a science. The principles of management include planning, organizing, directing, controlling, and supervising the activities of a firm or team in the firm. 

Operations management is explained as follows – 

1. Operations management focuses on converting labor and materials to the final service and/or product in an efficient manner.
2. The aim of operations management is to create and ensure the highest degree of efficiency in the firm.
3. The goal of operations management is to maximize net operating profit while balancing costs with revenue. 

The efficiency with respect to management is nothing but the optimum utilization of resources such that there is minimum wastage of resources. 

Effectiveness with respect to management is nothing but the extent to which the problems were solved, or the goals were met. 

Operational Management – MBA

Operations Management focuses on converting inputs into outputs in an efficient manner. An MBA in Operations Management is a common specialization across various universities around the globe. The duration of the course is 2years. The admission process and criteria, eligibility, fees, structure, etc., of the program, may vary across different universities. Operations management has firm foundations in the fields of logistics and supply chain management. It provides in-depth knowledge and skill about business process management, quality analysis, vendor management, among other things. The job designation is called the Chief Operating Officer (COO).

Key points about this course –

1. It allows students a global perspective on specific industry needs and trends. 
2. It creates an awareness about the political uncertainties and financial laws/regulations that could affect the firm. 
3. It focuses on teaching students strategic thinking.
4. It also teaches students about risk management, such that students can identify risks, calculate their effect on the firm, and take necessary actions.
5. Students are taught to create sustainable and ethical solutions to problems, allowing them to benefit society too.
6. A degree in operations management can lead to high salaries and career flexibility. 

Production and Operational Management 

Operations management focuses on converting labor and materials to the final service and/or product in an efficient manner. The goal of operations management is to maximize net operating profit while balancing costs with revenue. The aim of operations management is to create and ensure the highest degree of efficiency in the firm.

Difference between production and operations management –

1. Production / Operations Management is an umbrella term, and are actually more same than different. 
2. If the organization’s focus is on manufacturing, the term production management is used.
3. If the organization’s focus is on providing a service, the term operations management is used. 
4. However, the difference between a product and a service firm is slowly diminishing; for example, car manufacturers are also providing service facilities. 

Operational Management – Job Description

Operations management focuses on converting labor and materials to the final service and/or product in an efficient manner. The goal of operations management is to maximize net operating profit while balancing costs with revenue. The aim of operations management is to create and ensure the highest degree of efficiency in the firm. An MBA in Operations Management is a common specialization across various universities around the globe. A degree in operations management can lead to high salaries and career flexibility. The job designation is called the Chief Operating Officer (COO).

The job description is as follows –

1. The manager will have to work with senior stakeholders.
2. He will have to make important planning, policy, and strategy decisions.
3. He will have to identify and assess opportunities and problems for the organization.
4. He will have to work with the Board of Directors to plan for short-term and long-term goals, vision, and mission of the firm.
5. He will have to ensure that the firm is complying with all relevant and applicable laws and regulations.
6. He has to monitor production KPIs and perform quality controls. 
7. He will have to ensure that the regulatory and legal documents are filed on a timely basis.
8. He will have to review the existing operational policies and procedures and develop ways to improve the same, if applicable, among many other responsibilities. 

Operational Management – Jobs

Operations management focuses on converting labor and materials to the final service and/or product in an efficient manner. The goal of operations management is to maximize net operating profit while balancing costs with revenue. The aim of operations management is to create and ensure the highest degree of efficiency in the firm. An MBA in Operations Management is a common specialization across various universities around the globe. A degree in operations management can lead to high salaries and career flexibility. The job designation is called the Chief Operating Officer (COO).

The jobs roles are as follows –

1. Process Managers
2. Area Operations Manager 
3. Technical Operations Manager
4. Inventory Control Manager
5. Operations Manager
6. Plant Manager, among various others. 

Operational Management – Functions

Operations management focuses on converting labor and materials to the final service and/or product in an efficient manner. The goal of operations management is to maximize net operating profit while balancing costs with revenue. The aim of operations management is to create and ensure the highest degree of efficiency in the firm. An MBA in Operations Management is a common specialization across various universities around the globe. A degree in operations management can lead to high salaries and career flexibility. The job designation is called the Chief Operating Officer (COO).

The main functions of the Operation Manager are as follows –

1. Forecasting for planning
2. Managing logistics
3. Managing projects
4. Conducting ERP (Enterprise Resource Planning)
5. Optimizing quality control
6. Analyzing the value chain
7. Execution of the firm’s strategic plan, among various other functions. 

Operational Management – Definition

“Operations Management as the process whereby resources, flowing within a defined system, are combined and transformed by a controlled manner to add value in accordance with policies communicated by management” – Joseph G .Monks.

“Operations management researches efficiencies in planning, organizing, and supervising in production and manufacturing. It is delivery-focused, ensuring that an organization successfully turns inputs to outputs in an effective manner. The inputs themselves could represent anything from materials, equipment, and technology to human resources such as staff or workers.” – MIT Sloan School of Management.

“Operations management is the administration of business practices to create the highest level of efficiency possible within an organization. It is concerned with converting materials and labor into goods and services as efficiently as possible to maximize the profit of an organization. Operations management teams attempt to balance costs with revenue to achieve the highest net operating profit possible.” 

Operational Management – Meaning

Management is the process of administering or controlling a firm or a group of its staff. Management is defined as a set of activities that are aimed or directed at the effective and efficient utilization of company resources so as to meet a goal or various goals. Management is an art as well as science. The principles of management include planning, organizing, directing, controlling, and supervising the activities of a firm or team in the firm. 

Operations management is explained as follows – 

1. Operations management focuses on converting labor and materials to the final service and/or product in an efficient manner.
2. The aim of operations management is to create and ensure the highest degree of efficiency in the firm.
3. The goal of operations management is to maximize net operating profit while balancing costs with revenue. 

The efficiency with respect to management is nothing but the optimum utilization of resources such that there is minimum wastage of resources. 

Effectiveness with respect to management is nothing but the extent to which the problems were solved, or the goals were met. 

Operational Management – Role 

Operations management focuses on converting labor and materials to the final service and/or product in an efficient manner. The goal of operations management is to maximize net operating profit while balancing costs with revenue. The aim of operations management is to create and ensure the highest degree of efficiency in the firm. An MBA in Operations Management is a common specialization across various universities around the globe. A degree in operations management can lead to high salaries and career flexibility. The job designation is called the Chief Operating Officer (COO). 

The roles of an Operations Manager is as follows – 

1. He will have to make important planning, policy, and strategy decisions.
2. He will have to identify and assess opportunities and problems for the organization.
3. He will have to ensure that the firm is complying with all relevant and applicable laws and regulations.
4. He will have to ensure that the regulatory and legal documents are filed on a timely basis.
5. He will have to review the existing operational policies and procedures and develop ways to improve the same, if applicable.
6. The manager will have to work with senior stakeholders.
7. He will have to work with the Board of Directors to plan for short-term and long-term goals, vision, and mission of the firm.
8. He has to monitor production KPIs and perform quality controls, among various other roles.

Operational Management – Scope

Operations management focuses on converting labor and materials to the final service and/or product in an efficient manner. The goal of operations management is to maximize net operating profit while balancing costs with revenue. The aim of operations management is to create and ensure the highest degree of efficiency in the firm. An MBA in Operations Management is a common specialization across various universities around the globe. A degree in operations management can lead to high salaries and career flexibility. The job designation is called the Chief Operating Officer (COO).  

The scope of operations management is based on the inter-relationships between the following – 

1. Environmental factors, stakeholder groups outside the firm, such as the government, community, society, and economy as a whole, among others.
2. Structural factors, inputs required to produce the service or product, such as machines, formulas, raw materials, among others. 
3. Functional processes, connecting and linking the inputs with the principles of management. 

Various firms such as Accenture, JP Morgan Chase, L&T, Flipkart, Amazon, among others, are the top recruiters hiring Operations Managers across the world. The scope of Operations Managers, in terms of both education and jobs, is increasing worldwide. 

Operational Management and Supply Chain 

Supply chain management basically involves the collection of the raw materials or inputs, manufacture of the product, and delivery to the final consumer. It includes coordination with the suppliers, customers, logistics team, warehouse managers, and purchase teams. Supply chain management includes security, cybersecurity, and risk evaluation in the supply chain. It also involves coordination with other departments, such as sales, marketing, and finance. 

Operations management is explained as follows – 

1. Operations management focuses on converting labor and materials to the final service and/or product in an efficient manner.
2. The aim of operations management is to create and ensure the highest degree of efficiency in the firm.
3. The goal of operations management is to maximize net operating profit while balancing costs with revenue. 

The efficiency with respect to management is nothing but the optimum utilization of resources such that there is minimum wastage of resources. 

Effectiveness with respect to management is nothing but the extent to which the problems were solved, or the goals were met. 

Operational Management – Courses

Operations Management focuses on converting inputs into outputs in an efficient manner. Operations Management is taught at the undergraduate, graduate, and postgraduate levels across various universities and schools worldwide, along with various online courses too. An MBA in Operations Management is a common specialization across various universities around the globe. The admission process and criteria, eligibility, fees, structure, etc., of the program, may vary across different universities. Operations management has firm foundations in the fields of logistics and supply chain management. It provides in-depth knowledge and skill about business process management, quality analysis, vendor management, among other things. The job designation is called the Chief Operating Officer (COO).

The courses are as follows –

1. Postgraduate Diploma in Business Management – Operations Management, NMIMS, Mumbai.
2. Certificate program – Operations Management, NMIMS, Mumbai.
3. Bachelor of Business Administration – Operations Management, University of Cincinnati, USA.
4. Bachelors in Operations and Supply Chain Management, Indiana State University, USA.
5. MBA – Operations and Business Analytics, University of Alberta, Canada, among various courses across the globe. 

Operational Management – Resume 

A resume should be crisp and precise. It should describe why the applicant is suitable for that particular role. The resume should ideally be of 1page. The work experience should be described clearly. Applicants should not include unnecessary items in their resume, only items that are relevant and add value should be included. Applicants are advised to keep the font the same throughout the resume and check for spelling and formatting errors.

The link to a sample resume –  https://images.app.goo.gl/mCUZLeKQZRT8vgEu7

Operational Management – Salary 

Operations Management focuses on converting inputs into outputs in an efficient manner. Operations Management is taught at the undergraduate, graduate, and postgraduate levels across various universities and schools worldwide, along with various online courses too. An MBA in Operations Management is a common specialization across various universities around the globe. A degree in operations management can lead to high salaries and career flexibility. The salaries offered to Operations Managers vary with their experience, education, organization, location, among other things. 

The salaries offered in India are as follows –

1. An entry-level Operations Manager can earn about Rs 3,60,000 per year.
2. An Operations Manager with 1-4years of work experience can earn about Rs 4,50,000 per year.
3. An Operations Manager with 5-9years of work experience can earn about Rs 7,00,000 per year.
4. An Operations Manager with 10-19years of work experience can earn about Rs 10,00,000 per year.
5. Operations Managers working in Bangalore earn 26.8% more than the national average, whereas those working in Chennai earn 18.7% more than the national average. Operations Managers working in Delhi earn 9.4% less than the national average. 

In the USA, a Business Operations Manager can earn in the range of $65,000 – $158,000 per year. 

Operational Management – Responsibilities 

Operations management focuses on converting labor and materials to the final service and/or product in an efficient manner. The goal of operations management is to maximize net operating profit while balancing costs with revenue. The aim of operations management is to create and ensure the highest degree of efficiency in the firm. 

The major responsibilities of an Operations Manager are as follows –

1. Managing the organization’s assets, which include its stock, equipment, properties, plants, among others, such that there is minimum wastage of resources. 
2. Managing the organization’s human resources, this includes the employees of the firm and other supporting staff/people. The training, skill, and knowledge have to be updated so that they can produce the best results at the lowest costs.
3. Managing the organization’s costs, such that the quality of products/services provided is not comprised at all. 
4. The Operations Manager will be responsible for managing, monitoring, developing, and improving the operations systems in the organization. 

Operational Management – Interview Questions 

Operations Management focuses on converting inputs into outputs in an efficient manner. Operations Management is taught at the undergraduate, graduate, and postgraduate levels across various universities and schools worldwide, along with various online courses too. An MBA in Operations Management is a common specialization across various universities around the globe. A degree in operations management can lead to high salaries and career flexibility. The salaries offered to Operations Managers vary with their experience, education, organization, location, among other things. 

The interview questions asked are as follows –

1. Tell me about yourself. 
2. Why did you choose this particular firm?
3. Tell us the daily responsibilities and roles of an Operations Manager. 
4. Tell us about your experience in making presentations.
5. What was the size of the team you last worked with, and what challenges did you face?
6. Explain to us as to how you are an ethical manager
7. Tell us your experience of negotiating contracts with vendors and suppliers.
8. Which statistical tools with respect to cost analysis are you familiar with?
9. Which was the last MIS (Management Information System) you use? , among various other questions. 

Operational Management – Books

Operations Management focuses on converting inputs into outputs in an efficient manner. Operations Management is taught at the undergraduate, graduate, and postgraduate levels across various universities and schools worldwide, along with various online courses too. An MBA in Operations Management is a common specialization across various universities around the globe. The admission process and criteria, eligibility, fees, structure, etc., of the program, may vary across different universities. 

The books that can be used/referred to are as follows –

1. Operations Management: An Integrated Approach – Reid and Sanders
2. Operations Management for MBAs – Meredith, Shafer
3. Operations Management for Dummies – Mary Ann Anderson, Dr. Edward Anderson, and Dr. Geoffrey Parker
4. Operations Strategy: 1st Edition – Nigel Slack and Michael Lewis 
5. Managing Process Innovation: From Idea Generation to Implementation – Thomas Lager 
6. Execution: The Discipline of Getting Things Done – Larry Bossidy and Ram Charan with Charles Burick, among various other books.

Operational Management – Skills 

Operations management focuses on converting labor and materials to the final service and/or product in an efficient manner. The goal of operations management is to maximize net operating profit while balancing costs with revenue. The aim of operations management is to create and ensure the highest degree of efficiency in the firm. 

The main skills that an Operations Manager should possess are as follows –

1. He should have good communication skills as he will be communicating with various employees across all levels and with external stakeholders. He has to ensure that his instructions are understood clearly by everyone. 
2. He should have good negotiation skills, so as to get the best quality materials and inputs at the lowest or competitive prices. 
3. He should have good organizational skills as he will be coordinating various activities across different departments of the firm. He has to ensure that there is no confusion and wastage of resources. 
4. He should have good motivational skills as he will have to motivate and push employees to do their best, especially during tough situations. 
5. He should understand the needs of his customers and act accordingly. All activities are directed towards attaining customer satisfaction. The goal is to get new customers while having the existing customers on board throughout. 

Operational Management – Strategy 

Operations management focuses on converting labor and materials to the final service and/or product in an efficient manner. The goal of operations management is to maximize net operating profit while balancing costs with revenue. The aim of operations management is to create and ensure the highest degree of efficiency in the firm. Operations Strategy is a process in which important operational decisions are made, which are in line with the organization’s overall strategic objective. 

The major strategic options for operational management are as follows –

1. Process – the manager may wish to amend, remove, or add processes to the existing processes of the firm, so as to ensure efficiency in the processes. Hence, the existing processes may not be consistent or identical in the future. 
2. Product Portfolio – the manager, may plan to amend the existing product portfolio by adding new products or removing existing products. This may be done to meet the ever-changing needs of the customers in an efficient and effective manner. 
3. Capacity – the manager may plan to change the maximum number of units produced in a certain period of time or the maximum service provided for a particular duration. This can directly affect the cost of goods sold. These changes may be done for the overall benefit of the firm. 
4. Technology – the manager may decide to update existing technologies and get rid of outdated technologies so that the processes take lessor time and are more cost-effective. Technological advancements allow firms to meet customer needs faster and gain a competitive advantage. 

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