Operations management

Operations management consists of all the activities that man­agers engage in to create products (goods, services, and ideas). Operations are as relevant to service organizations as to manu­facturing firms. In fact, production is the conversion of resources into goods or services.

1. A technology is the knowledge and process the firm uses to convert input resources into output goods or services. Conver­sion processes vary in their major input, the degree to which inputs are changed, and the number of technologies employed in the con­version.

2. Operations management often begins with the research and product development activities. The results of R&D may be entirely new products or extensions and refinements of existing products. The limited life cycle of every product spurs companies to invest continuously in R&D.

3. Operations planning is planning for production. First, de­sign planning is needed to solve problems related to the product line, required production capacity, the technology to be used, the design of production facilities, and human resources. Next, opera­tional planning focuses on the use of production facilities and re­sources. The steps in this periodic planning are (1) selecting the appropriate planning horizon, (2) estimating market demand, (3) comparing demand and capacity and adjusting output to demand.

4. The major areas of operation control are purchasing inventory control, scheduling and quality control. Purchasing involves selecting suppliers and planning purchases. Inventory con­trol is the management of stocks of raw materials, work process, and finished goods to minimize the total inventory cost. Scheduling ensures that materials are at the right place at the right time — for use within the facility or for shipment to customers. Quality con­trol ensures that products meet their design specifications.

5. Automation, the total or near-total use of machines to do work, is rapidly changing the way work is done in factories and offices. A growing number of industries are using programmable machines called robots to perform tasks that are tedious or haz­ardous to human beings. The flexible manufacturing system com­bines robotics and computer-aided manufacturing to produce smaller batches of products more efficiently than the traditional assembly line.

III. Find the English equivalents:

в действительности, преобразование ресурсов в товары и услуги, расширение или улучшение имеющейся продукции, ограниченный срок службы, постоянно инвестировать в исследование и развитие, решать проблемы, иметь отношение к, сосредоточиться на чем-либо, выбирать поставщиков, планировать покупки, запас сырья, инвентаризационный контроль, уменьшить общую стоимость инвентаризации в нужном месте, в нужное время, отправка товаров заказчику, контроль качества, соответствовать инструкции по обращению, почти полное использование оборудования, менять способы работы, растущее количество отраслей промышленности, программные устройства, утомительный или опасный, сочетать робототехнику с компьютерным производством, производить меньшие партии, более эффективно.

IV. Complete the sentences.

1. A technology is the knowledge and …

1. Conversion processes vary in their …

1. The result of R & D may be …

1. First, design planning is needed …

1. Next, operational planning focuses …

1. Inventory control is the management …

1. Scheduling ensures that …

1. A flexible manufacturing system …

V. Agree or disagree to the following.

1. Production is the conversion of resources into goods and services.

2. Conversion processes cannot vary.

3. Operation management begins with planning purchases.

4. The results of R & D may be entirely new products or extensions and refinements of existing products.

5. Because of the limited life cycle of every product, companies never invest in R & D.

6. Operation planning is planning for production.

7. There are 7 steps in periodic planning.

8. Scheduling ensures that materials are at the right place at the right time.

9. Automation is rapidly changing the way work is done in factories and offices.

10. Robots can’t perform tedious or hazardous tasks.

VI. Find the right word order:

1. conversion, services, production, is, the, of, into, resources, or, goods.

2. continuously, companies, in, R & D, invest.

3. robots, tasks, perform, that, tedious, are, or, hazardous, to, beings, human.

VII. Match the adjectives in the right-hand column with the nouns in the left-hand column:

1. human	1. input
2. major		2. life cycle
3. entirely new		3. use
4. limited		4. products
5. total		5. beings
6. near-total		6. number
7. growing		7. machines
8. programmable		8. inventory cost

VIII. Choose from the 3^rd item of the text all words with – s. Divide them into:

1) verbs in the Present Simple Tense, 2) nouns in Plural.

IX. Answer the questions.

1. What does operations management consist of?

2. What does operations management often begin with?

3. What spurs companies to invest continuously in R & D?

4. What are the steps in operational planning?

5. What’s the use of scheduling?

6. What does quality control ensure?

7. Why do flexible manufacturing systems combine robotics and computer-aided manufacturing?

8. What kind of work can robots do?

X. Retell in short the above text.

Lesson XI

I. Read and translate the following international words without using a dictionary:

marketing, process, planning, conception, promotion, distribution, idea, individual, organizational, product, business, organization, concept, information, industrial, firm, to control, element, combination, ingredient, type, segment, design, to maximize, model, automobile, strategy, transportation, to focus, form, controllable.

II. Remember the following words:

dual - двойной

implementation - осуществление

marketing mix – комплекс маркетингов

target market – целевой рынок

warranty - гарантия

discount – скидка с исходной цены

rebate – скидка, уступка

to boost - ускорять

intermediary - посредник

publicity – широкое освещение, реклама