Every business the operation manger and the operation department has to perform a greater role within the business operations. As such, the operation manager performs the following activities in relation to its operational background. (Wood & Britney, 2005)
Management of organizational resources
Operation manager makes the important decision related to the initial material required to complete the production, efficient use of resources, successful machine maintenance as well as guiding of staff within the business.
Set the goals and objectives
Business operations required set of goals and objectives in order to make every task under a certain standard and guidelines. Therefore, the operation manager has to create certain objectives and goals to make the business operations successful and influence the employees to drive them to the goals. (Handfield & Nichols, 2011)
Set and manage financials in operations
Managing and controlling the financials resources in another vital factor within the company as to utilize organizational funds with more effective way. Further, this required effective management of cost and controlling of wastages with inefficient operations.
Coordination of all the business activities in different departments as well as the other parties external and internal to the company is another task of the operation manager. As such, he has to command all the parties and guide them in order to address the issues and communicate the ideas. (Handfield & Nichols, 2011)
Determine policies and procedures
Operation manager considers on the policies and procedures of the different activities and in relation to employees and managing other organizational resources within the firm. As such, it is a role of the operation manger to determine and create policies and standards in managing operational processes. (Wood & Britney, 2005)
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There is a considerable difference in between manufacturing and service organizations and the role that has to perform by the operation manger in both of these organizations. As such, these changes will significantly affect to the customer relationship with the company as especially in service organizations the connection between the customers are relatively high. According to that, the following is given the variances in between both company types with some examples.
Tangibility of the offered item
Manufacturing companies supplied tangible products, which
is made before as per the market demand. But in the service industry, the
service is offered directly to the customer, which is not ready-made product. As such the service
quality of the staff must be coordinated by the operation manager as to give
the better satisfaction to its customers and retain them with the company.
In the production process of XY Jam, source, and etc, they
make the product under the operations
in their factories. However, in
organizations who providing service such as education, banking, they are directly connected with the customers,
where there is more required to have a sound
relationship with final customers.
the production companies, the raw
materials, of goods and the working progress and final goods can be stored to
use them when they needed. As such there won’t be an issue to address the unexpected
demand from the customers.
in service industry they cannot keep the service within the stores and they
have to perform he task when only after
the customer ask. According to that in the service
industry, it is the service providers
must be already available in the company as to give a better service to its
customers on time. As such the operation manger
plays a vital role in handling this kind of service industry than the
production processes at XY, they are keeping enough raw fruits as well as
processed canned jam and sauce products within the stores. But when compared
with service industry it is not
tangible and cannot be stored.
Manufacturing businesses mainly consider on delivering the
products to the market and get the customers feedback for the products. But
considering on the service supplying
companies they first identify the requirement and ideas of the customers and
then try to serve what they want. As such,
there is direct contact in between the customer and the service provider,
which is customer attraction can be achieved
highly through the quality supply of
the service and the ability of the service provider.
Products are same in features and attributes, where in the service
industry the services are not equal and it is
differ from time to time and service provider. Further, as per the requirement of the customers, the service type can be
can be specialized and also most of the tasks are done through machines in
production lines. Therefore, the handling of labors or employees can be easy.
Consider on the service industry the staff
must have suitable skills and experience to cope up with customers and to
serve them with best quality service by adding value more than they expected.
Then the customers will be more loyal for
the company as well.
The production process of XY
products can be mainly done through the use of machines and automated
systems. As such there is lower no of labor is required.
the other hand in service industry such as education, banking, insurance, and
etc, the direct contact between the employees and the customer is there, as
the clear communication, coordination, satisfaction of the need is important
to consider by the operation manager
Important to have a physical
location for conducting the manufacturing process, operations, distribution
and etc. As such the proper management of the location is important for the
operation manager with the help of the other parties involved in the production.
However, in the service industry,
there is no much inventories are held
in certain warehouses. But the place that the customers are offered the
services is important to decide, as it must be closer to the customers and
the place must be convenient to reach.
Warehouses and factory
of the product manufacturing companies are considered, service stations, and
locations are required to identify by the operation managers to give more