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How can operations impact a company’s competitiveness, strategy and productivity? Why is operations management important?

How can operations impact a company’s competitiveness, strategy and productivity? Why is operations management important?

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Operations management deals with the planning, managing, supervising and controlling of process leading to production and delivery of products/services

Betters operations can lead to greater competitiveness due to more efficient or effective service delivery. Strategy of a company relies on policies and plans for utilization of resources in a way that are aligned to the strategy. Moreover, strategy is also derived by taking into consideration organizations capability or intent to use the resources in a particular way. Since operations also deals with using the resources in best possible way, it enhances productivity as well.

Operations management is important for the following reasons

  • Quality: Operation management enforces processes that produces durable and reliable products/services
  • Customer satisfaction: Operation management ensures that the products/services are produced and delivered in a way that maximizes customer satisfaction
  • Waste reduction: Operation management optimizes resource usage by minimizing wastes
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