Welcome to week 9.

This week, we cover the production side of business. Remember to refer to the lecture for additional material that is helpful in understanding the textbook.

Chapter 10: Operations Management. What is production? Watch the video on slide 4 on Peeps to explore how operations management works with physical goods. The purpose of manufacturing or service business is to provide utility to customers. A company needs to also determine the process for creating a product in order to convert the inputs (raw materials) into outputs (final product). This can be for a product, like a sweater, or a service, like a haircut.

Supply Chain Management is important to ensure goods are flowing through from securing inputs to delivering to the customer.
Think about operations control or all the elements that go into making sure that a product or service can be implemented successfully. What needs to be purchased and from where for what cost? How do you manage inventory and how much should be on hand? Who keeps track of where items need to be and when? How do you ensure quality control measures are in place so the product meets expectations?
To ensure a company produces high-quality products and services, total quality management should be implemented. One method is Six Sigma, which helps a company make corrections until all errors are eliminated. Think about a problem you have and use slides 33 & 34 to get to the root cause and come up with corrections.

Have a great week!