Processes fall into four different categories for operations management based on the nature of their function. Some processes relate primarily to a product’s cost structure; others address the company’s product standardization needs, output volume, or production flexibility. Take a look at processes that focus on these types of business considerations and review general guidelines on how to best select a process to meet the requirements of your product.
At SLANG Operations management handles various strategic issues including determining the size of manufacturing plants and project management methods, and implementing the structure of information technology networks. Other operational issues include the management of inventory levels, including work-in-process levels and raw materials acquisition; quality control; materials handling; and maintenance policies. Product Operations management entails studying the use of raw materials and ensuring minimal waste occurs. Managers utilize numerous formulas such as the economic order quantity formula to determine when and how large of an inventory order to process and how much inventory to hold on hand.