Course Instructor: Dr.

Swati Singh Course: MBA II Amity Business School

Dr. Swati Singh

Production is the creation of goods and services It concerns itself with the conversion of inputs into outputs, using physical resources, so as to provide the derived product to the customers while meeting the other organizational objectives of effectiveness, efficiency and adaptability

It is defined as the application of scientific methods, tools and techniques to problems involving the operations of systems so as to provide those in control of the operations with optimum solutions to the problems

It is the set of activities that create value in the form of goods & services by transforming inputs into outputs It is the management of direct resources like machine, material, manpower etc. through planning, organizing, controlling, directing and coordinating, to produce desired output. It also deals with design of products and processes, acquisition of resources, transformation of resources i.e. inputs to outputs and distribution of goods and services. It also refers to the systematic design, direction and control of processes that transform inputs into services and products for internal as well as external customers..

Commercial Bank Operations

Teller Scheduling Check Clearing Collection Transaction processing Facilities design/layout Vault operations Maintenance Security

Finance
Investments Security Real estate Accounting

Marketing
Loans Commercial Industrial Financial Personal Mortgage Trust Department

Auditing

Manufacturing Operations
Facilities
Construction; maintenance Scheduling; materials control

Finance/ accounting
Disbursements/ credits Receivables Payables General ledger Funds Management Money market International exchange Capital requirements Stock issue Bond issue and recall

Marketing
Sales promotion Advertising Sales Market research

Production and inventory control Quality assurance and control Supply chain management Manufacturing
Tooling; fabrication; assembly

Design

Product development and design Detailed product specifications Efficient use of machines, space, and personnel Development and installation of production tools and equipment

Industrial engineering Process analysis

 It

is defined as a user of resources to transform inputs into some desired outputs

Quality of Inputs Monitored

Random Disturbances

Quality of Outputs Monitored

Inputs

Transformation Process

Output

Feedback Mechanisms

Quality of Inputs Monitored

RANDOM DISTURBANCES
*Strikes of Students, teachers or staff *Undue interference of Govt.

Quality of outputs Monitored

INPUTS *Raw Minds (Students), *Teachers, *Administrative staff, *Classrooms, *Computer Lab, *OHP

Transformation Process

OUTPUTS
*Enlightened Students with: *Good Communication Skills *Pleasant Personalities *Leadership Qualities *Team Spirit *Decision Making Abilities

FEEDBACK MECHANISM success at placement Interviews Grades obtained in exams Ratings of Surveys No. of applications for admission in institute
Dr. Swati Singh

Quality of Inputs Monitored

RANDOM DISTURBANCES *High turnover of Chefs, waiters etc. *Inflation *Govt. taxation policy

Quality of outputs Monitored

INPUTS *Customers *Waiters *Chef *Manager *Furniture *Building *Food

Transformation Process

OUTPUTS Customers satisfied with: *Good preparation of food *Pleasant behavior and personality of the waiters *Appropriate prices charged

FEEDBACK MECHANISM Rising revenues Repeat customers Appreciation of customers

Dr. Swati Singh

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Quality of Inputs Monitored INPUTS

*Machines & Equipment *Components, parts, Sub-assemblies etc. *Office Infrastructure (Computers furniture etc.) *Capital *Building *Workers *Managers

RANDOM DISTURBANCES *High Turnover of workers & managers *Govt. tax policy *Strikes by trade union

Quality of outputs Monitored

Transformation Process

FEEDBACK MECHANISM Rising sales volume Lesser customer complaints Positive response of customers in the feedback forms
Dr. Swati Singh

OUTPUTS Refrigerators with: *Good cooling performance *Less consumption of electricity *Good after sales service *Genuine prices *New advanced features

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Cost or Price: Make the product at low cost which eventually decreases price but also increases competition OR High priced products generally associated as premium, good quality ones. Quality: Improve design quality of product or service i.e. enhance features, looks etc. This helps in commanding higher price in market due to special features OR Improve process quality i.e. enhance reliability of product or service to provide defect-free products (Using TQM, Six Sigma techniques, Lean Manufacturing etc.)
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Delivery Speed: Make the product quickly than competitors to gain an edge

Take advantage over competing firms through speedy service and on-site repair Delivery Reliability: Deliver the product or service on or before a promised delivery due date

OR

Coping with changes in Demand: Companys ability to respond to increases and decreases in demand is important to its ability to compete Investment in new technologies also help in beating competition

e.g. Tyre supplier should deliver manufacturing, Courier service

before

time

for

car

Flexibility and New-product Introduction Speed: It refers to the ability of a company to offer a wide variety of products to its customers

Other dimensions: It includes support provided in terms of: After-sales service Product mix options Providing technical assistance

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