The operations department of a company is responsible for maintaining the efficiency of the production process and helps teams make smart decisions. The seven functions of operations management are operational planning, finance, product design, quality control, forecasting, strategy, and supply chain management .
Operational planning is the foundational function of operations management. It involves monitoring daily production of goods, managing and controlling inventory, keeping tabs on team member performance and well-being, and production planning .
Finance is an essential function of operations management because every company strives to reduce costs and increase profits. As an operations manager, youll ensure company leaders keep the budget in consideration when they make important decisions. Some of your tasks may include creating budgets to meet production goals .
Product design is another important function of operations management. It involves designing products that meet customer needs while also being cost-effective to produce .
Quality control is the process of ensuring that products meet the required standards of quality. This function involves testing products at various stages of production to identify defects and ensure that they are corrected before the final product is released .
Forecasting is the process of predicting future demand for products or services. This function helps companies plan their production schedules and ensure that they have enough inventory to meet customer demand .
trategy is the process of developing long-term plans for a company. This function involves analyzing market trends and identifying opportunities for growth .
upply chain management is the process of managing the flow of goods and services from suppliers to customers. This function involves coordinating with suppliers to ensure that they deliver goods on time and in the right quantity .