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<li id="toc-Industrial_Revolution" class="vector-toc-list-item vector-toc-level-2"> <a class="vector-toc-link" href="#Industrial_Revolution"> <div class="vector-toc-text"> <span class="vector-toc-numb">1.1</span> <span>Industrial Revolution</span> </div> </a> <ul id="toc-Industrial_Revolution-sublist" class="vector-toc-list"> </ul> </li> <li id="toc-Second_Industrial_Revolution_and_post-industrial_society" class="vector-toc-list-item vector-toc-level-2"> <a class="vector-toc-link" href="#Second_Industrial_Revolution_and_post-industrial_society"> <div class="vector-toc-text"> <span class="vector-toc-numb">1.2</span> <span>Second Industrial Revolution and post-industrial society</span> </div> </a> <ul id="toc-Second_Industrial_Revolution_and_post-industrial_society-sublist" class="vector-toc-list"> </ul> </li> <li id="toc-Operations_management" class="vector-toc-list-item vector-toc-level-2"> <a class="vector-toc-link" href="#Operations_management"> <div class="vector-toc-text"> <span class="vector-toc-numb">1.3</span> <span>Operations management</span> </div> </a> <ul id="toc-Operations_management-sublist" class="vector-toc-list"> </ul> </li> </ul> </li> <li id="toc-Topics" class="vector-toc-list-item vector-toc-level-1 vector-toc-list-item-expanded"> <a class="vector-toc-link" href="#Topics"> <div class="vector-toc-text"> <span class="vector-toc-numb">2</span> <span>Topics</span> </div> </a> <button aria-controls="toc-Topics-sublist" class="cdx-button cdx-button--weight-quiet cdx-button--icon-only vector-toc-toggle"> <span class="vector-icon mw-ui-icon-wikimedia-expand"></span> <span>Toggle Topics subsection</span> </button> <ul id="toc-Topics-sublist" class="vector-toc-list"> <li id="toc-Production_systems" class="vector-toc-list-item vector-toc-level-2"> <a class="vector-toc-link" href="#Production_systems"> <div class="vector-toc-text"> <span class="vector-toc-numb">2.1</span> <span>Production systems</span> </div> </a> <ul id="toc-Production_systems-sublist" class="vector-toc-list"> <li id="toc-Classification" class="vector-toc-list-item vector-toc-level-3"> <a class="vector-toc-link" href="#Classification"> <div class="vector-toc-text"> <span class="vector-toc-numb">2.1.1</span> <span>Classification</span> </div> </a> <ul id="toc-Classification-sublist" class="vector-toc-list"> </ul> </li> </ul> </li> <li id="toc-Operations_systems" class="vector-toc-list-item vector-toc-level-2"> <a class="vector-toc-link" href="#Operations_systems"> <div class="vector-toc-text"> <span class="vector-toc-numb">2.2</span> <span>Operations systems</span> </div> </a> <ul id="toc-Operations_systems-sublist" class="vector-toc-list"> <li id="toc-Classification_2" class="vector-toc-list-item vector-toc-level-3"> <a class="vector-toc-link" href="#Classification_2"> <div class="vector-toc-text"> <span class="vector-toc-numb">2.2.1</span> <span>Classification</span> </div> </a> <ul id="toc-Classification_2-sublist" class="vector-toc-list"> <li id="toc-Service_operations" class="vector-toc-list-item vector-toc-level-4"> <a class="vector-toc-link" href="#Service_operations"> <div class="vector-toc-text"> <span class="vector-toc-numb">2.2.1.1</span> <span>Service operations</span> </div> </a> <ul id="toc-Service_operations-sublist" class="vector-toc-list"> </ul> </li> </ul> </li> </ul> </li> <li id="toc-Metrics:_efficiency_and_effectiveness" class="vector-toc-list-item vector-toc-level-2"> <a class="vector-toc-link" href="#Metrics:_efficiency_and_effectiveness"> <div class="vector-toc-text"> <span class="vector-toc-numb">2.3</span> <span>Metrics: efficiency and effectiveness</span> </div> </a> <ul id="toc-Metrics:_efficiency_and_effectiveness-sublist" class="vector-toc-list"> </ul> </li> <li id="toc-Configuration_and_management" class="vector-toc-list-item vector-toc-level-2"> <a class="vector-toc-link" href="#Configuration_and_management"> <div class="vector-toc-text"> <span class="vector-toc-numb">2.4</span> <span>Configuration and management</span> </div> </a> <ul id="toc-Configuration_and_management-sublist" class="vector-toc-list"> </ul> </li> <li id="toc-Optimization_modeling" class="vector-toc-list-item vector-toc-level-2"> <a class="vector-toc-link" href="#Optimization_modeling"> <div class="vector-toc-text"> <span class="vector-toc-numb">2.5</span> <span>Optimization modeling</span> </div> </a> <ul id="toc-Optimization_modeling-sublist" class="vector-toc-list"> </ul> </li> <li id="toc-Safety,_risk_and_maintenance" class="vector-toc-list-item vector-toc-level-2"> <a class="vector-toc-link" href="#Safety,_risk_and_maintenance"> <div class="vector-toc-text"> <span class="vector-toc-numb">2.6</span> <span>Safety, risk and maintenance</span> </div> </a> <ul id="toc-Safety,_risk_and_maintenance-sublist" class="vector-toc-list"> </ul> </li> </ul> </li> <li id="toc-Organizations" class="vector-toc-list-item vector-toc-level-1 vector-toc-list-item-expanded"> <a class="vector-toc-link" href="#Organizations"> <div class="vector-toc-text"> <span class="vector-toc-numb">3</span> <span>Organizations</span> </div> </a> <ul id="toc-Organizations-sublist" class="vector-toc-list"> </ul> </li> <li id="toc-Journals" class="vector-toc-list-item vector-toc-level-1 vector-toc-list-item-expanded"> <a class="vector-toc-link" href="#Journals"> <div class="vector-toc-text"> <span class="vector-toc-numb">4</span> <span>Journals</span> </div> </a> <ul id="toc-Journals-sublist" class="vector-toc-list"> </ul> </li> <li id="toc-See_also" class="vector-toc-list-item vector-toc-level-1 vector-toc-list-item-expanded"> <a class="vector-toc-link" href="#See_also"> <div class="vector-toc-text"> <span class="vector-toc-numb">5</span> <span>See also</span> </div> </a> <ul id="toc-See_also-sublist" class="vector-toc-list"> </ul> </li> <li id="toc-References" class="vector-toc-list-item vector-toc-level-1 vector-toc-list-item-expanded"> <a class="vector-toc-link" href="#References"> <div class="vector-toc-text"> <span class="vector-toc-numb">6</span> <span>References</span> </div> </a> <button aria-controls="toc-References-sublist" class="cdx-button cdx-button--weight-quiet cdx-button--icon-only vector-toc-toggle"> <span class="vector-icon mw-ui-icon-wikimedia-expand"></span> <span>Toggle References subsection</span> </button> <ul id="toc-References-sublist" class="vector-toc-list"> <li id="toc-Further_reading" class="vector-toc-list-item vector-toc-level-2"> <a class="vector-toc-link" href="#Further_reading"> <div class="vector-toc-text"> <span class="vector-toc-numb">6.1</span> <span>Further reading</span> </div> </a> <ul id="toc-Further_reading-sublist" class="vector-toc-list"> </ul> </li> </ul> </li> <li id="toc-External_links" class="vector-toc-list-item vector-toc-level-1 vector-toc-list-item-expanded"> <a class="vector-toc-link" href="#External_links"> <div class="vector-toc-text"> <span class="vector-toc-numb">7</span> <span>External links</span> </div> </a> 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Available in 21 languages" > <label id="p-lang-btn-label" for="p-lang-btn-checkbox" class="vector-dropdown-label cdx-button cdx-button--fake-button cdx-button--fake-button--enabled cdx-button--weight-quiet cdx-button--action-progressive mw-portlet-lang-heading-21" aria-hidden="true" ><span class="vector-icon mw-ui-icon-language-progressive mw-ui-icon-wikimedia-language-progressive"></span> <span class="vector-dropdown-label-text">21 languages</span> </label> <div class="vector-dropdown-content"> <div class="vector-menu-content"> <ul class="vector-menu-content-list"> <li class="interlanguage-link interwiki-ar mw-list-item"><a href="https://ar.wikipedia.org/wiki/%D8%A5%D8%AF%D8%A7%D8%B1%D8%A9_%D8%A7%D9%84%D8%B9%D9%85%D9%84%D9%8A%D8%A7%D8%AA" title="إدارة العمليات – Arabic" lang="ar" hreflang="ar" data-title="إدارة العمليات" data-language-autonym="العربية" data-language-local-name="Arabic" class="interlanguage-link-target"><span>العربية</span></a></li><li class="interlanguage-link interwiki-da mw-list-item"><a href="https://da.wikipedia.org/wiki/Driftsledelse" title="Driftsledelse – Danish" lang="da" hreflang="da" data-title="Driftsledelse" data-language-autonym="Dansk" data-language-local-name="Danish" class="interlanguage-link-target"><span>Dansk</span></a></li><li class="interlanguage-link interwiki-de badge-Q17437798 badge-goodarticle mw-list-item" title="good article badge"><a href="https://de.wikipedia.org/wiki/Produktionswirtschaft" title="Produktionswirtschaft – German" lang="de" hreflang="de" data-title="Produktionswirtschaft" data-language-autonym="Deutsch" data-language-local-name="German" class="interlanguage-link-target"><span>Deutsch</span></a></li><li class="interlanguage-link interwiki-el mw-list-item"><a href="https://el.wikipedia.org/wiki/%CE%94%CE%B9%CE%BF%CE%AF%CE%BA%CE%B7%CF%83%CE%B7_%CE%BB%CE%B5%CE%B9%CF%84%CE%BF%CF%85%CF%81%CE%B3%CE%B9%CF%8E%CE%BD" title="Διοίκηση λειτουργιών – Greek" lang="el" hreflang="el" data-title="Διοίκηση λειτουργιών" data-language-autonym="Ελληνικά" data-language-local-name="Greek" class="interlanguage-link-target"><span>Ελληνικά</span></a></li><li class="interlanguage-link interwiki-es mw-list-item"><a href="https://es.wikipedia.org/wiki/Administraci%C3%B3n_de_la_producci%C3%B3n" title="Administración de la producción – Spanish" lang="es" hreflang="es" data-title="Administración de la producción" data-language-autonym="Español" data-language-local-name="Spanish" class="interlanguage-link-target"><span>Español</span></a></li><li class="interlanguage-link interwiki-fa mw-list-item"><a href="https://fa.wikipedia.org/wiki/%D9%85%D8%AF%DB%8C%D8%B1%DB%8C%D8%AA_%D8%B9%D9%85%D9%84%DB%8C%D8%A7%D8%AA" title="مدیریت عملیات – Persian" lang="fa" hreflang="fa" data-title="مدیریت عملیات" data-language-autonym="فارسی" data-language-local-name="Persian" class="interlanguage-link-target"><span>فارسی</span></a></li><li class="interlanguage-link interwiki-fr mw-list-item"><a href="https://fr.wikipedia.org/wiki/Management_des_op%C3%A9rations" title="Management des opérations – French" lang="fr" hreflang="fr" data-title="Management des opérations" data-language-autonym="Français" data-language-local-name="French" class="interlanguage-link-target"><span>Français</span></a></li><li class="interlanguage-link interwiki-ko mw-list-item"><a href="https://ko.wikipedia.org/wiki/%EC%83%9D%EC%82%B0_%EA%B4%80%EB%A6%AC" title="생산 관리 – Korean" lang="ko" hreflang="ko" data-title="생산 관리" data-language-autonym="한국어" data-language-local-name="Korean" class="interlanguage-link-target"><span>한국어</span></a></li><li class="interlanguage-link interwiki-id mw-list-item"><a href="https://id.wikipedia.org/wiki/Manajemen_operasi" title="Manajemen operasi – Indonesian" lang="id" hreflang="id" data-title="Manajemen operasi" data-language-autonym="Bahasa Indonesia" data-language-local-name="Indonesian" class="interlanguage-link-target"><span>Bahasa Indonesia</span></a></li><li class="interlanguage-link interwiki-it mw-list-item"><a href="https://it.wikipedia.org/wiki/Gestione_operativa" title="Gestione operativa – Italian" lang="it" hreflang="it" data-title="Gestione operativa" data-language-autonym="Italiano" data-language-local-name="Italian" class="interlanguage-link-target"><span>Italiano</span></a></li><li class="interlanguage-link interwiki-he mw-list-item"><a href="https://he.wikipedia.org/wiki/%D7%90%D7%A1%D7%98%D7%A8%D7%98%D7%92%D7%99%D7%94_%D7%AA%D7%A4%D7%A2%D7%95%D7%9C%D7%99%D7%AA" title="אסטרטגיה תפעולית – Hebrew" lang="he" hreflang="he" data-title="אסטרטגיה תפעולית" data-language-autonym="עברית" data-language-local-name="Hebrew" class="interlanguage-link-target"><span>עברית</span></a></li><li class="interlanguage-link interwiki-kn mw-list-item"><a href="https://kn.wikipedia.org/wiki/%E0%B2%95%E0%B2%BE%E0%B2%B0%E0%B3%8D%E0%B2%AF%E0%B2%BE%E0%B2%9A%E0%B2%B0%E0%B2%A3%E0%B3%86%E0%B2%97%E0%B2%B3_%E0%B2%A8%E0%B2%BF%E0%B2%B0%E0%B3%8D%E0%B2%B5%E0%B2%B9%E0%B2%A3%E0%B3%86" title="ಕಾರ್ಯಾಚರಣೆಗಳ ನಿರ್ವಹಣೆ – Kannada" lang="kn" hreflang="kn" data-title="ಕಾರ್ಯಾಚರಣೆಗಳ ನಿರ್ವಹಣೆ" data-language-autonym="ಕನ್ನಡ" data-language-local-name="Kannada" class="interlanguage-link-target"><span>ಕನ್ನಡ</span></a></li><li class="interlanguage-link interwiki-nl mw-list-item"><a href="https://nl.wikipedia.org/wiki/Operations_management" title="Operations management – Dutch" lang="nl" hreflang="nl" data-title="Operations management" data-language-autonym="Nederlands" data-language-local-name="Dutch" class="interlanguage-link-target"><span>Nederlands</span></a></li><li class="interlanguage-link interwiki-ja mw-list-item"><a href="https://ja.wikipedia.org/wiki/%E3%82%AA%E3%83%9A%E3%83%AC%E3%83%BC%E3%82%B7%E3%83%A7%E3%83%B3%E3%83%BB%E3%83%9E%E3%83%8D%E3%82%B8%E3%83%A1%E3%83%B3%E3%83%88" title="オペレーション・マネジメント – Japanese" lang="ja" hreflang="ja" data-title="オペレーション・マネジメント" data-language-autonym="日本語" data-language-local-name="Japanese" class="interlanguage-link-target"><span>日本語</span></a></li><li class="interlanguage-link interwiki-pt mw-list-item"><a href="https://pt.wikipedia.org/wiki/Administra%C3%A7%C3%A3o_da_produ%C3%A7%C3%A3o" title="Administração da produção – Portuguese" lang="pt" hreflang="pt" data-title="Administração da produção" data-language-autonym="Português" data-language-local-name="Portuguese" class="interlanguage-link-target"><span>Português</span></a></li><li class="interlanguage-link interwiki-ru mw-list-item"><a href="https://ru.wikipedia.org/wiki/%D0%A3%D0%BF%D1%80%D0%B0%D0%B2%D0%BB%D0%B5%D0%BD%D0%B8%D0%B5_%D0%BE%D0%BF%D0%B5%D1%80%D0%B0%D1%86%D0%B8%D1%8F%D0%BC%D0%B8" title="Управление операциями – Russian" lang="ru" hreflang="ru" data-title="Управление операциями" data-language-autonym="Русский" data-language-local-name="Russian" class="interlanguage-link-target"><span>Русский</span></a></li><li class="interlanguage-link interwiki-sk mw-list-item"><a href="https://sk.wikipedia.org/wiki/Opera%C4%8Dn%C3%BD_mana%C5%BEment" title="Operačný manažment – Slovak" lang="sk" hreflang="sk" data-title="Operačný manažment" data-language-autonym="Slovenčina" data-language-local-name="Slovak" class="interlanguage-link-target"><span>Slovenčina</span></a></li><li class="interlanguage-link interwiki-ta mw-list-item"><a href="https://ta.wikipedia.org/wiki/%E0%AE%9A%E0%AF%86%E0%AE%AF%E0%AE%A9%E0%AF%8D%E0%AE%AE%E0%AF%81%E0%AE%B1%E0%AF%88%E0%AE%95%E0%AE%B3%E0%AF%8D_%E0%AE%A8%E0%AE%BF%E0%AE%B0%E0%AF%8D%E0%AE%B5%E0%AE%BE%E0%AE%95%E0%AE%AE%E0%AF%8D" title="செயன்முறைகள் நிர்வாகம் – Tamil" lang="ta" hreflang="ta" data-title="செயன்முறைகள் நிர்வாகம்" data-language-autonym="தமிழ்" data-language-local-name="Tamil" class="interlanguage-link-target"><span>தமிழ்</span></a></li><li class="interlanguage-link interwiki-th mw-list-item"><a href="https://th.wikipedia.org/wiki/%E0%B8%81%E0%B8%B2%E0%B8%A3%E0%B8%88%E0%B8%B1%E0%B8%94%E0%B8%81%E0%B8%B2%E0%B8%A3%E0%B8%81%E0%B8%B2%E0%B8%A3%E0%B8%94%E0%B8%B3%E0%B9%80%E0%B8%99%E0%B8%B4%E0%B8%99%E0%B8%87%E0%B8%B2%E0%B8%99" title="การจัดการการดำเนินงาน – Thai" lang="th" hreflang="th" data-title="การจัดการการดำเนินงาน" data-language-autonym="ไทย" data-language-local-name="Thai" class="interlanguage-link-target"><span>ไทย</span></a></li><li class="interlanguage-link interwiki-vi mw-list-item"><a href="https://vi.wikipedia.org/wiki/Qu%E1%BA%A3n_tr%E1%BB%8B_v%E1%BA%ADn_h%C3%A0nh" title="Quản trị vận hành – Vietnamese" lang="vi" hreflang="vi" data-title="Quản trị vận hành" data-language-autonym="Tiếng Việt" data-language-local-name="Vietnamese" class="interlanguage-link-target"><span>Tiếng Việt</span></a></li><li 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.mbox-text{border:none;padding:0.25em 0.5em;width:100%}.mw-parser-output .ambox .mbox-image{border:none;padding:2px 0 2px 0.5em;text-align:center}.mw-parser-output .ambox .mbox-imageright{border:none;padding:2px 0.5em 2px 0;text-align:center}.mw-parser-output .ambox .mbox-empty-cell{border:none;padding:0;width:1px}.mw-parser-output .ambox .mbox-image-div{width:52px}@media(min-width:720px){.mw-parser-output .ambox{margin:0 10%}}@media print{body.ns-0 .mw-parser-output .ambox{display:none!important}}</style><table class="box-More_footnotes_needed plainlinks metadata ambox ambox-style ambox-More_footnotes_needed" role="presentation"><tbody><tr><td class="mbox-image"><div class="mbox-image-div"><span typeof="mw:File"><span><img alt="" src="//upload.wikimedia.org/wikipedia/commons/thumb/a/a4/Text_document_with_red_question_mark.svg/40px-Text_document_with_red_question_mark.svg.png" decoding="async" width="40" height="40" class="mw-file-element" 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citations.</span> <span class="date-container"><i>(<span class="date">July 2024</span>)</i></span><span class="hide-when-compact"><i> (<small><a href="/wiki/Help:Maintenance_template_removal" title="Help:Maintenance template removal">Learn how and when to remove this message</a></small>)</i></span></div></td></tr></tbody></table> <figure class="mw-default-size mw-halign-right" typeof="mw:File/Thumb"><a href="/wiki/File:LongBeachFord.jpg" class="mw-file-description"><img src="//upload.wikimedia.org/wikipedia/commons/thumb/6/68/LongBeachFord.jpg/220px-LongBeachFord.jpg" decoding="async" width="220" height="165" class="mw-file-element" srcset="//upload.wikimedia.org/wikipedia/commons/thumb/6/68/LongBeachFord.jpg/330px-LongBeachFord.jpg 1.5x, //upload.wikimedia.org/wikipedia/commons/thumb/6/68/LongBeachFord.jpg/440px-LongBeachFord.jpg 2x" data-file-width="698" data-file-height="524" /></a><figcaption><a href="/wiki/Ford_Motor_Company" title="Ford Motor Company">Ford Motor Company</a> assembly line: the classical example of a manufacturing production system.</figcaption></figure> <figure class="mw-default-size mw-halign-right" typeof="mw:File/Thumb"><a href="/wiki/File:HK_Central_%E4%B8%AD%E7%92%B0%E4%B8%AD%E5%BF%83_The_Center_mall_shop_interior_service_counters_queue_line_barrier_visitors.jpg" class="mw-file-description"><img src="//upload.wikimedia.org/wikipedia/commons/thumb/d/d8/HK_Central_%E4%B8%AD%E7%92%B0%E4%B8%AD%E5%BF%83_The_Center_mall_shop_interior_service_counters_queue_line_barrier_visitors.jpg/220px-HK_Central_%E4%B8%AD%E7%92%B0%E4%B8%AD%E5%BF%83_The_Center_mall_shop_interior_service_counters_queue_line_barrier_visitors.jpg" decoding="async" width="220" height="165" class="mw-file-element" srcset="//upload.wikimedia.org/wikipedia/commons/thumb/d/d8/HK_Central_%E4%B8%AD%E7%92%B0%E4%B8%AD%E5%BF%83_The_Center_mall_shop_interior_service_counters_queue_line_barrier_visitors.jpg/330px-HK_Central_%E4%B8%AD%E7%92%B0%E4%B8%AD%E5%BF%83_The_Center_mall_shop_interior_service_counters_queue_line_barrier_visitors.jpg 1.5x, //upload.wikimedia.org/wikipedia/commons/thumb/d/d8/HK_Central_%E4%B8%AD%E7%92%B0%E4%B8%AD%E5%BF%83_The_Center_mall_shop_interior_service_counters_queue_line_barrier_visitors.jpg/440px-HK_Central_%E4%B8%AD%E7%92%B0%E4%B8%AD%E5%BF%83_The_Center_mall_shop_interior_service_counters_queue_line_barrier_visitors.jpg 2x" data-file-width="3264" data-file-height="2448" /></a><figcaption>Post office <a href="/wiki/Queueing_theory" title="Queueing theory">queue</a>. 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href="/wiki/Partnership" title="Partnership">Partnership</a></li> <li><a href="/wiki/Privately_held_company" title="Privately held company">Privately held company</a></li> <li><a href="/wiki/Sole_proprietorship" title="Sole proprietorship">Sole proprietorship</a></li> <li><a href="/wiki/State-owned_enterprise" title="State-owned enterprise">State-owned enterprise</a></li></ul></div></div></td> </tr><tr><td class="sidebar-content"> <div class="sidebar-list mw-collapsible mw-collapsed"><div class="sidebar-list-title" style="text-align: center;;color: var(--color-base)"><a href="/wiki/Corporate_governance" title="Corporate governance">Corporate governance</a></div><div class="sidebar-list-content mw-collapsible-content"> <ul><li><a href="/wiki/Annual_general_meeting" title="Annual general meeting">Annual general meeting</a></li> <li><a href="/wiki/Board_of_directors" title="Board of directors">Board of directors</a></li> <li><a href="/wiki/Supervisory_board" title="Supervisory board">Supervisory board</a></li> <li><a href="/wiki/Advisory_board" title="Advisory board">Advisory board</a></li> <li><a href="/wiki/Audit_committee" title="Audit committee">Audit committee</a></li></ul></div></div></td> </tr><tr><td class="sidebar-content"> <div class="sidebar-list mw-collapsible mw-collapsed"><div class="sidebar-list-title" style="text-align: center;;color: var(--color-base)"><a href="/wiki/Corporate_law" title="Corporate law">Corporate law</a></div><div class="sidebar-list-content mw-collapsible-content"> <ul><li><a href="/wiki/Commercial_law" title="Commercial law">Commercial law</a></li> <li><a href="/wiki/Constitutional_documents" title="Constitutional documents">Constitutional documents</a></li> <li><a href="/wiki/Contract" title="Contract">Contract</a></li> <li><a href="/wiki/Corporate_crime" title="Corporate crime">Corporate crime</a></li> <li><a href="/wiki/Corporate_liability" title="Corporate liability">Corporate liability</a></li> <li><a href="/wiki/Insolvency_law" class="mw-redirect" title="Insolvency law">Insolvency law</a></li> <li><a href="/wiki/International_trade_law" title="International trade law">International trade law</a></li> <li><a href="/wiki/Mergers_and_acquisitions" title="Mergers and acquisitions">Mergers and acquisitions</a></li></ul></div></div></td> </tr><tr><td class="sidebar-content"> <div class="sidebar-list mw-collapsible mw-collapsed"><div class="sidebar-list-title" style="text-align: center;;color: var(--color-base)"><a href="/wiki/Corporate_title" title="Corporate title">Corporate title</a></div><div class="sidebar-list-content mw-collapsible-content"> <ul><li><a href="/wiki/Chairman" class="mw-redirect" title="Chairman">Chairman</a></li> <li><a href="/wiki/Chief_business_officer" title="Chief business officer">Chief business officer</a>/<a href="/wiki/Chief_brand_officer" class="mw-redirect" title="Chief brand officer">Chief brand officer</a></li> <li><a href="/wiki/Chief_executive_officer" title="Chief executive officer">Chief executive officer</a>/<a href="/wiki/Chief_operating_officer" title="Chief operating officer">Chief operating officer</a></li> <li><a href="/wiki/Chief_financial_officer" title="Chief financial officer">Chief financial officer</a></li> <li><a href="/wiki/Chief_human_resources_officer" title="Chief human resources officer">Chief human resources officer</a></li> <li><a href="/wiki/Chief_information_officer" title="Chief information officer">Chief information officer</a>/<a href="/wiki/Chief_marketing_officer" title="Chief marketing officer">Chief marketing officer</a></li> <li><a href="/wiki/Chief_product_officer" title="Chief product officer">Chief product officer</a>/<a href="/wiki/Chief_technology_officer" title="Chief technology officer">Chief technology officer</a></li></ul></div></div></td> </tr><tr><td class="sidebar-content"> <div class="sidebar-list mw-collapsible mw-collapsed"><div class="sidebar-list-title" style="text-align: center;;color: var(--color-base)"><a href="/wiki/Economics" title="Economics">Economics</a></div><div class="sidebar-list-content mw-collapsible-content"> <ul><li><a href="/wiki/Commodity" title="Commodity">Commodity</a></li> <li><a href="/wiki/Public_economics" title="Public economics">Public economics</a></li> <li><a href="/wiki/Labour_economics" title="Labour economics">Labour economics</a></li> <li><a href="/wiki/Development_economics" title="Development economics">Development economics</a></li> <li><a href="/wiki/International_economics" title="International economics">International economics</a></li> <li><a href="/wiki/Mixed_economy" title="Mixed economy">Mixed economy</a></li> <li><a href="/wiki/Planned_economy" title="Planned economy">Planned economy</a></li> <li><a href="/wiki/Econometrics" title="Econometrics">Econometrics</a></li> <li><a href="/wiki/Environmental_economics" title="Environmental economics">Environmental economics</a></li> <li><a href="/wiki/Open_economy" title="Open economy">Open economy</a></li> <li><a href="/wiki/Market_economy" title="Market economy">Market economy</a></li> <li><a href="/wiki/Knowledge_economy" title="Knowledge economy">Knowledge economy</a></li> <li><a href="/wiki/Microeconomics" title="Microeconomics">Microeconomics</a></li> <li><a href="/wiki/Macroeconomics" title="Macroeconomics">Macroeconomics</a></li> <li><a href="/wiki/Economic_development" title="Economic development">Economic development</a></li> <li><a href="/wiki/Economic_statistics" title="Economic statistics">Economic statistics</a></li></ul></div></div></td> </tr><tr><td class="sidebar-content"> <div class="sidebar-list mw-collapsible mw-collapsed"><div class="sidebar-list-title" style="text-align: center;;color: var(--color-base)">Finance</div><div class="sidebar-list-content mw-collapsible-content"> <ul><li><a href="/wiki/Financial_statement" title="Financial statement">Financial statement</a></li> <li><a href="/wiki/Insurance" title="Insurance">Insurance</a></li> <li><a href="/wiki/Factoring_(finance)" title="Factoring (finance)">Factoring</a></li> <li><a href="/wiki/Cash_conversion_cycle" title="Cash conversion cycle">Cash conversion cycle</a></li> <li><a href="/wiki/Insider_dealing" class="mw-redirect" title="Insider dealing">Insider dealing</a></li> <li><a href="/wiki/Capital_budgeting" title="Capital budgeting">Capital budgeting</a></li> <li><a href="/wiki/Commercial_bank" title="Commercial bank">Commercial bank</a></li> <li><a href="/wiki/Derivative_(finance)" title="Derivative (finance)">Derivative</a></li> <li><a href="/wiki/Financial_statement_analysis" title="Financial statement analysis">Financial statement analysis</a></li> <li><a href="/wiki/Financial_risk" title="Financial risk">Financial risk</a></li> <li><a href="/wiki/Public_finance" title="Public finance">Public finance</a></li> <li><a href="/wiki/Corporate_finance" title="Corporate finance">Corporate finance</a></li> <li><a href="/wiki/Managerial_finance" title="Managerial finance">Managerial finance</a></li> <li><a href="/wiki/International_finance" title="International finance">International finance</a></li> <li><a href="/wiki/Liquidation" title="Liquidation">Liquidation</a></li> <li><a href="/wiki/Stock_market" title="Stock market">Stock market</a></li> <li><a href="/wiki/Financial_market" title="Financial market">Financial market</a></li> <li><a href="/wiki/Tax" title="Tax">Tax</a></li> <li><a href="/wiki/Financial_institution" title="Financial institution">Financial institution</a></li> <li><a href="/wiki/Capital_management" title="Capital management">Capital management</a></li> <li><a href="/wiki/Venture_capital" title="Venture capital">Venture capital</a></li></ul></div></div></td> </tr><tr><td class="sidebar-content"> <div class="sidebar-list mw-collapsible mw-collapsed"><div class="sidebar-list-title" style="text-align: center;;color: var(--color-base)">Types of management</div><div class="sidebar-list-content mw-collapsible-content"> <ul><li><a href="/wiki/Asset_management" title="Asset management">Asset</a></li> <li><a href="/wiki/Brand_management" title="Brand management">Brand</a></li> <li><a href="/wiki/Business_intelligence" title="Business intelligence">Business intelligence</a></li> <li><a href="/wiki/Business_development" title="Business development">Business development</a></li> <li><a href="/wiki/Capacity_management" title="Capacity management">Capacity</a></li> <li><a href="/wiki/Capability_management_in_business" title="Capability management in business">Capability</a></li> <li><a href="/wiki/Change_management" title="Change management">Change</a> <ul><li><a href="/wiki/Innovation_management" title="Innovation management">innovation</a></li></ul></li> <li><a href="/wiki/Commercial_management" title="Commercial management">Commercial</a> <ul><li><a href="/wiki/Marketing_management" title="Marketing management">Marketing</a></li></ul></li> <li><a href="/wiki/Communications_management" title="Communications management">Communications</a></li> <li><a href="/wiki/Configuration_management" title="Configuration management">Configuration</a></li> <li><a href="/wiki/Conflict_management" title="Conflict management">Conflict</a></li> <li><a href="/wiki/Content_management" title="Content management">Content</a></li> <li><a href="/wiki/Customer_relationship_management" title="Customer relationship management">Customer relationship</a></li> <li><a href="/wiki/Distributed_management" title="Distributed management">Distributed</a></li> <li><a href="/wiki/Earned_value_management" title="Earned value management">Earned value</a></li> <li><a href="/wiki/Electronic_business" title="Electronic business">Electronic business</a></li> <li><a href="/wiki/Enterprise_resource_planning" title="Enterprise resource planning">Enterprise resource planning</a>  <ul><li><a href="/wiki/Management_information_system" title="Management information system">management information system</a></li></ul></li> <li><a href="/wiki/Financial_management" title="Financial management">Financial</a></li> <li><a href="/wiki/Human_resource_management" title="Human resource management">Human resource</a>  <ul><li><a href="/wiki/Human_resources" title="Human resources">development</a></li></ul></li> <li><a href="/wiki/Incident_management" title="Incident management">Incident</a></li> <li><a href="/wiki/Knowledge_management" title="Knowledge management">Knowledge</a></li> <li><a href="/wiki/Enterprise_legal_management" title="Enterprise legal management">Legal</a></li> <li><a href="/wiki/Materials_management" title="Materials management">Materials</a></li> <li><a href="/wiki/Network_management" title="Network management">Network</a> <ul><li><a href="/wiki/Network_administrator" title="Network administrator">administrator</a></li></ul></li> <li><a href="/wiki/Office_management" title="Office management">Office</a></li> <li><a class="mw-selflink selflink">Operations</a>  <ul><li><a href="/wiki/Operations_management_for_services" title="Operations management for services">services</a></li></ul></li> <li><a href="/wiki/Performance_management" class="mw-redirect" title="Performance management">Performance</a></li> <li><a href="/wiki/Power_management" title="Power management">Power</a></li> <li><a href="/wiki/Business_process_management" title="Business process management">Process</a></li> <li><a href="/wiki/Product_life-cycle_management" class="mw-redirect" title="Product life-cycle management">Product life-cycle</a></li> <li><a href="/wiki/Product_management" title="Product management">Product</a></li> <li><a href="/wiki/Project_management" title="Project management">Project</a></li> <li><a href="/wiki/Property_management" title="Property management">Property</a></li> <li><a href="/wiki/Quality_management" title="Quality management">Quality</a></li> <li><a href="/wiki/Records_management" title="Records management">Records</a></li> <li><a href="/wiki/Resource_management" title="Resource management">Resource</a></li> <li><a href="/wiki/Risk_management" title="Risk management">Risk</a>  <ul><li><a href="/wiki/Crisis_management" title="Crisis management">crisis</a></li></ul></li> <li><a href="/wiki/Sales_management" title="Sales management">Sales</a></li> <li><a href="/wiki/Security_management" title="Security management">Security</a></li> <li><a href="/wiki/Service_management" title="Service management">Service</a></li> <li><a href="/wiki/Strategic_management" title="Strategic management">Strategic</a></li> <li><a href="/wiki/Supply_chain_management" title="Supply chain management">Supply chain</a></li> <li><a href="/wiki/Systems_management" title="Systems management">Systems</a> <ul><li><a href="/wiki/System_administrator" title="System administrator">administrator</a></li></ul></li> <li><a href="/wiki/Talent_management" title="Talent management">Talent</a></li> <li><a href="/wiki/Technology_management" title="Technology management">Technology</a></li></ul></div></div></td> </tr><tr><td class="sidebar-content"> <div class="sidebar-list mw-collapsible mw-collapsed"><div class="sidebar-list-title" style="text-align: center;;color: var(--color-base)">Organization</div><div class="sidebar-list-content mw-collapsible-content"> <ul><li><a href="/wiki/Organizational_architecture" title="Organizational architecture">Architecture</a></li> <li><a href="/wiki/Organizational_behavior" title="Organizational behavior">Behavior</a></li> <li><a href="/wiki/Organizational_communication" title="Organizational communication">Communication</a></li> <li><a href="/wiki/Organizational_culture" title="Organizational culture">Culture</a></li> <li><a href="/wiki/Organizational_conflict" title="Organizational conflict">Conflict</a></li> <li><a href="/wiki/Organization_development" title="Organization development">Development</a></li> <li><a href="/wiki/Organizational_engineering" title="Organizational engineering">Engineering</a></li> <li><a href="/wiki/Hierarchical_organization" title="Hierarchical organization">Hierarchy</a></li> <li><a href="/wiki/Organizational_patterns" title="Organizational patterns">Patterns</a></li> <li><a href="/wiki/Organizational_space" title="Organizational space">Space</a></li> <li><a href="/wiki/Organizational_structure" title="Organizational structure">Structure</a></li></ul></div></div></td> </tr><tr><td class="sidebar-content"> <div class="sidebar-list mw-collapsible mw-collapsed"><div class="sidebar-list-title" style="text-align: center;;color: var(--color-base)"><a href="/wiki/Trade" title="Trade">Trade</a></div><div class="sidebar-list-content mw-collapsible-content"> <ul><li><a href="/wiki/Business_analysis" title="Business analysis">Business analysis</a></li> <li><a href="/wiki/Business_ethics" title="Business ethics">Business ethics</a></li> <li><a href="/wiki/Business_plan" title="Business plan">Business plan</a></li> <li><a href="/wiki/Business_judgment_rule" title="Business judgment rule">Business judgment rule</a></li> <li><a href="/wiki/Consumer_behaviour" title="Consumer behaviour">Consumer behaviour</a></li> <li>Business operations</li> <li><a href="/wiki/International_business" title="International business">International business</a></li> <li><a href="/wiki/Business_model" title="Business model">Business model</a></li> <li><a href="/wiki/International_trade" title="International trade">International trade</a> <ul><li><a href="/wiki/Trade_route" title="Trade route">Trade route</a></li></ul></li> <li><a href="/wiki/Business_process" title="Business process">Business process</a></li> <li><a href="/wiki/Business_statistics" class="mw-redirect" title="Business statistics">Business statistics</a></li></ul></div></div></td> </tr><tr><td class="sidebar-below"> <ul><li><span class="nowrap"><span class="noviewer" typeof="mw:File"><a href="/wiki/File:Emblem-money.svg" class="mw-file-description"><img alt="icon" src="//upload.wikimedia.org/wikipedia/commons/thumb/f/f3/Emblem-money.svg/16px-Emblem-money.svg.png" decoding="async" width="16" height="16" class="mw-file-element" srcset="//upload.wikimedia.org/wikipedia/commons/thumb/f/f3/Emblem-money.svg/24px-Emblem-money.svg.png 1.5x, //upload.wikimedia.org/wikipedia/commons/thumb/f/f3/Emblem-money.svg/32px-Emblem-money.svg.png 2x" data-file-width="48" data-file-height="48" /></a></span> </span><a href="/wiki/Portal:Business_and_economics" class="mw-redirect" title="Portal:Business and economics">Business and economics portal</a></li></ul></td></tr><tr><td class="sidebar-navbar"><link rel="mw-deduplicated-inline-style" href="mw-data:TemplateStyles:r1129693374"><style data-mw-deduplicate="TemplateStyles:r1239400231">.mw-parser-output .navbar{display:inline;font-size:88%;font-weight:normal}.mw-parser-output .navbar-collapse{float:left;text-align:left}.mw-parser-output .navbar-boxtext{word-spacing:0}.mw-parser-output .navbar ul{display:inline-block;white-space:nowrap;line-height:inherit}.mw-parser-output .navbar-brackets::before{margin-right:-0.125em;content:"[ "}.mw-parser-output .navbar-brackets::after{margin-left:-0.125em;content:" ]"}.mw-parser-output .navbar li{word-spacing:-0.125em}.mw-parser-output .navbar a>span,.mw-parser-output .navbar a>abbr{text-decoration:inherit}.mw-parser-output .navbar-mini abbr{font-variant:small-caps;border-bottom:none;text-decoration:none;cursor:inherit}.mw-parser-output .navbar-ct-full{font-size:114%;margin:0 7em}.mw-parser-output .navbar-ct-mini{font-size:114%;margin:0 4em}html.skin-theme-clientpref-night .mw-parser-output .navbar li a abbr{color:var(--color-base)!important}@media(prefers-color-scheme:dark){html.skin-theme-clientpref-os .mw-parser-output .navbar li a abbr{color:var(--color-base)!important}}@media print{.mw-parser-output .navbar{display:none!important}}</style><div class="navbar plainlinks hlist navbar-mini"><ul><li class="nv-view"><a href="/wiki/Template:Business_administration" title="Template:Business administration"><abbr title="View this template">v</abbr></a></li><li class="nv-talk"><a href="/wiki/Template_talk:Business_administration" title="Template talk:Business administration"><abbr title="Discuss this template">t</abbr></a></li><li class="nv-edit"><a href="/wiki/Special:EditPage/Template:Business_administration" title="Special:EditPage/Template:Business administration"><abbr title="Edit this template">e</abbr></a></li></ul></div></td></tr></tbody></table> <p><b>Operations management</b> is concerned with designing and controlling the <a href="/wiki/Production_(economics)" title="Production (economics)">production</a> of <a href="/wiki/Good_(economics)" class="mw-redirect" title="Good (economics)">goods</a> and <a href="/wiki/Service_(economics)" title="Service (economics)">services</a>,<sup id="cite_ref-1" class="reference"><a href="#cite_note-1"><span class="cite-bracket">[</span>1<span class="cite-bracket">]</span></a></sup> ensuring that <a href="/wiki/Business" title="Business">businesses</a> are <a href="/wiki/Efficiency" title="Efficiency">efficient</a> in using resources to meet <a href="/wiki/Customer" title="Customer">customer</a> requirements. </p><p>It is concerned with managing an entire production system that converts inputs (in the forms of <a href="/wiki/Raw_material" title="Raw material">raw materials</a>, <a href="/wiki/Manual_labour" title="Manual labour">labor</a>, <a href="/wiki/Consumer" title="Consumer">consumers</a>, and <a href="/wiki/Energy" title="Energy">energy</a>) into outputs (in the form of goods and services for consumers).<sup id="cite_ref-2" class="reference"><a href="#cite_note-2"><span class="cite-bracket">[</span>2<span class="cite-bracket">]</span></a></sup> Operations management covers sectors like banking systems, hospitals, companies, working with suppliers, customers, and using technology. Operations is one of the major functions in an <a href="/wiki/Organization" title="Organization">organization</a> along with <a href="/wiki/Supply_chains" class="mw-redirect" title="Supply chains">supply chains</a>, <a href="/wiki/Marketing" title="Marketing">marketing</a>, <a href="/wiki/Finance" title="Finance">finance</a> and <a href="/wiki/Human_resources" title="Human resources">human resources</a>. The operations function requires management of both the strategic and day-to-day production of goods and services.<sup id="cite_ref-:0_3-0" class="reference"><a href="#cite_note-:0-3"><span class="cite-bracket">[</span>3<span class="cite-bracket">]</span></a></sup> </p><p>In managing manufacturing or service operations, several types of decisions are made including operations strategy, <a href="/wiki/Product_design" title="Product design">product design</a>, <a href="/wiki/Process_design" title="Process design">process design</a>, <a href="/wiki/Quality_management" title="Quality management">quality management</a>, <a href="/wiki/Capacity_planning" title="Capacity planning">capacity</a>, facilities planning, production planning and <a href="/wiki/Inventory_control" title="Inventory control">inventory control</a>. Each of these requires an ability to analyze the current situation and find better solutions to improve the effectiveness and efficiency of manufacturing or service operations.<sup id="cite_ref-4" class="reference"><a href="#cite_note-4"><span class="cite-bracket">[</span>4<span class="cite-bracket">]</span></a></sup><sup id="cite_ref-5" class="reference"><a href="#cite_note-5"><span class="cite-bracket">[</span>5<span class="cite-bracket">]</span></a></sup><sup id="cite_ref-6" class="reference"><a href="#cite_note-6"><span class="cite-bracket">[</span>6<span class="cite-bracket">]</span></a></sup> </p> <meta property="mw:PageProp/toc" /> <div class="mw-heading mw-heading2"><h2 id="History">History</h2><span class="mw-editsection"><span class="mw-editsection-bracket">[</span><a href="/w/index.php?title=Operations_management&action=edit&section=1" title="Edit section: History"><span>edit</span></a><span class="mw-editsection-bracket">]</span></span></div> <p>The history of production and operation systems begins around 5000 B.C. when <a href="/wiki/Sumer" title="Sumer">Sumerian</a> priests developed the ancient system of recording inventories, loans, taxes, and business transactions. The next major historical application of operation systems occurred in 4000 B.C., when the <a href="/wiki/Egyptians" title="Egyptians">Egyptians</a> started using <a href="/wiki/Planning" title="Planning">planning</a>, <a href="/wiki/Organization" title="Organization">organization</a>, and <a href="/wiki/Control_(management)" title="Control (management)">control</a> in large <a href="/wiki/Projects" class="mw-redirect" title="Projects">projects</a> such as the construction of the pyramids. By 1100 B.C., labor was being specialized in <a href="/wiki/China" title="China">China</a>; by about 370 B.C., <a href="/wiki/Xenophon" title="Xenophon">Xenophon</a> described the advantages of dividing the various operations necessary for the production of shoes among different individuals in <a href="/wiki/Ancient_Greece" title="Ancient Greece">ancient Greece</a>:<sup id="cite_ref-7" class="reference"><a href="#cite_note-7"><span class="cite-bracket">[</span>7<span class="cite-bracket">]</span></a></sup><sup id="cite_ref-8" class="reference"><a href="#cite_note-8"><span class="cite-bracket">[</span>8<span class="cite-bracket">]</span></a></sup> </p> <style data-mw-deduplicate="TemplateStyles:r1244412712">.mw-parser-output .templatequote{overflow:hidden;margin:1em 0;padding:0 32px}.mw-parser-output .templatequotecite{line-height:1.5em;text-align:left;margin-top:0}@media(min-width:500px){.mw-parser-output .templatequotecite{padding-left:1.6em}}</style><blockquote class="templatequote"><p>"...In large cities, on the other hand, inasmuch as many people have demands to make upon each branch of industry, one trade alone, and very often even less than a whole trade, is enough to support a man: one man, for instance, makes shoes for men, and another for women; and there are places even where one man earns a living by only stitching shoes, another by cutting them out, another by sewing the uppers together, while there is another who performs none of these operations but only assembles the parts. It follows, therefore, as a matter of course, that he who devotes himself to a very highly specialized line of work is bound to do it in the best possible manner."</p></blockquote> <figure typeof="mw:File/Thumb"><a href="/wiki/File:Shoemaker_Book_of_Trades.png" class="mw-file-description"><img src="//upload.wikimedia.org/wikipedia/commons/thumb/2/2d/Shoemaker_Book_of_Trades.png/200px-Shoemaker_Book_of_Trades.png" decoding="async" width="200" height="265" class="mw-file-element" srcset="//upload.wikimedia.org/wikipedia/commons/thumb/2/2d/Shoemaker_Book_of_Trades.png/300px-Shoemaker_Book_of_Trades.png 1.5x, //upload.wikimedia.org/wikipedia/commons/thumb/2/2d/Shoemaker_Book_of_Trades.png/400px-Shoemaker_Book_of_Trades.png 2x" data-file-width="719" data-file-height="954" /></a><figcaption><a href="/wiki/Shoemaker" class="mw-redirect" title="Shoemaker">Shoemakers</a>, 1568</figcaption></figure> <p>In the <a href="/wiki/Middle_Ages" title="Middle Ages">Middle Ages</a>, kings and queens ruled over large areas of land. Loyal noblemen maintained large sections of the monarch's territory. This hierarchical organization in which people were divided into classes based on social position and wealth became known as the <a href="/wiki/Feudalism" title="Feudalism">feudal system</a>. In the feudal system, <a href="/wiki/Vassal" title="Vassal">vassals</a> and <a href="/wiki/Serfdom" title="Serfdom">serfs</a> produced for themselves and people of higher classes by using the ruler's land and resources. Although a large part of labor was employed in agriculture, <a href="/wiki/Artisans" class="mw-redirect" title="Artisans">artisans</a> contributed to economic output and formed <a href="/wiki/Guilds" class="mw-redirect" title="Guilds">guilds</a>. The guild system, operating mainly between 1100 and 1500, consisted of two types: merchant guilds, who bought and sold goods, and craft guilds, which made goods. Although guilds were regulated as to the quality of work performed, the resulting system was rather rigid, <a href="/wiki/Shoemakers" class="mw-redirect" title="Shoemakers">shoemakers</a>, for example, were prohibited from tanning hides.<sup id="cite_ref-9" class="reference"><a href="#cite_note-9"><span class="cite-bracket">[</span>9<span class="cite-bracket">]</span></a></sup> </p><p>Services were also performed in the Middle Ages by servants. They provided service to the nobility in the form of cooking, cleaning and providing entertainment. Court jesters were considered service providers. The medieval army could also be considered a service since they defended the nobility.<sup class="noprint Inline-Template Template-Fact" style="white-space:nowrap;">[<i><a href="/wiki/Wikipedia:Citation_needed" title="Wikipedia:Citation needed"><span title="This claim needs references to reliable sources. (July 2022)">citation needed</span></a></i>]</sup> </p><p>The <a href="/wiki/Industrial_Revolution" title="Industrial Revolution">Industrial Revolution</a> was facilitated by two elements: interchangeability of parts and division of labor. <a href="/wiki/Division_of_labor" class="mw-redirect" title="Division of labor">Division of labor</a> has been a feature from the beginning of <a href="/wiki/Civilization" title="Civilization">civilization</a>, the extent to which the division is carried out varied considerably depending on period and location. Compared to the Middle Ages, the <a href="/wiki/Renaissance" title="Renaissance">Renaissance</a> and the <a href="/wiki/Age_of_Discovery" title="Age of Discovery">Age of Discovery</a> were characterized by a greater specialization in labor, which was a characteristic of the growing cities and trade networks of Europe. An important leap in manufacturing efficiency came in the late eighteenth century as <a href="/wiki/Eli_Whitney" title="Eli Whitney">Eli Whitney</a> popularized the concept of <a href="/wiki/Interchangeable_parts" title="Interchangeable parts">interchangeability of parts</a> when he manufactured 10,000 muskets. Up to this point in the history of manufacturing, each product (e.g. each musket) was considered a special order, meaning that parts of a given musket were fitted only for that particular musket and could not be used in other muskets. Interchangeability of parts allowed the mass production of parts independent of the final products in which they would be used. An entire new market to fill the need for the sale and manufacturing of muskets began at this time.<sup class="noprint Inline-Template Template-Fact" style="white-space:nowrap;">[<i><a href="/wiki/Wikipedia:Citation_needed" title="Wikipedia:Citation needed"><span title="This claim needs references to reliable sources. (July 2022)">citation needed</span></a></i>]</sup> </p><p>In 1883, <a href="/wiki/Frederick_Winslow_Taylor" title="Frederick Winslow Taylor">Frederick Winslow Taylor</a> introduced the <a href="/wiki/Stopwatch" title="Stopwatch">stopwatch</a> method for accurately measuring the time to perform each single task of a complicated job. He developed the scientific study of productivity and identifying how to coordinate different tasks to eliminate wasting of time and increase the quality of work. The next generation of scientific study occurred with the development of <a href="/wiki/Work_sampling" title="Work sampling">work sampling</a> and <a href="/wiki/Predetermined_motion_time_systems" class="mw-redirect" title="Predetermined motion time systems">predetermined motion time systems</a> (PMTS). Work sampling is used to measure the random variable associated with the time of each task. PMTS allows the use of standard predetermined tables of the smallest body movements (e.g. turning the left wrist by 90°), and integrating them to predict the time needed to perform a simple task. PMTS has gained substantial importance due to the fact that it can predict work measurements without observing the actual work. The foundation of PMTS was laid out by the research and development of <a href="/wiki/Frank_Bunker_Gilbreth,_Sr." class="mw-redirect" title="Frank Bunker Gilbreth, Sr.">Frank B.</a> and <a href="/wiki/Lillian_Moller_Gilbreth" title="Lillian Moller Gilbreth">Lillian M. Gilbreth</a> around 1912. The Gilbreths took advantage of taking motion pictures at known time intervals while operators were performing the given task.<sup class="noprint Inline-Template Template-Fact" style="white-space:nowrap;">[<i><a href="/wiki/Wikipedia:Citation_needed" title="Wikipedia:Citation needed"><span title="This claim needs references to reliable sources. (July 2022)">citation needed</span></a></i>]</sup> </p><p>At the turn of the twentieth century, the services industries were already developed, but largely fragmented. In 1900 the U.S. service industry consisted of banks, professional services, schools, general stores, railroads and telegraph. Services were largely local in nature (except for railroads and telegraph) and owned by entrepreneurs and families. The U.S. in 1900 had 31% employment in services, 31% in manufacturing and 38% in agriculture.<sup id="cite_ref-10" class="reference"><a href="#cite_note-10"><span class="cite-bracket">[</span>10<span class="cite-bracket">]</span></a></sup> </p><p>The idea of the <a href="/wiki/Production_line" title="Production line">production line</a> has been used multiple times in history prior to Henry Ford: the <a href="/wiki/Venetian_Arsenal" title="Venetian Arsenal">Venetian Arsenal</a> (1104); Smith's pin manufacturing, in the <i><a href="/wiki/Wealth_of_Nations" class="mw-redirect" title="Wealth of Nations">Wealth of Nations</a></i> (1776) or Brunel's <a href="/wiki/Portsmouth_Block_Mills" title="Portsmouth Block Mills">Portsmouth Block Mills</a> (1802). <a href="/wiki/Ransom_Olds" class="mw-redirect" title="Ransom Olds">Ransom Olds</a> was the first to manufacture cars using the assembly line system, but <a href="/wiki/Henry_Ford" title="Henry Ford">Henry Ford</a> developed the first auto assembly system where a car chassis was moved through the assembly line by a <a href="/wiki/Conveyor_belt" title="Conveyor belt">conveyor belt</a> while workers added components to it until the car was completed. During <a href="/wiki/World_War_II" title="World War II">World War II</a>, the growth of computing power led to further development of efficient manufacturing methods and the use of advanced mathematical and statistical tools. This was supported by the development of academic programs in <a href="/wiki/Industrial_engineering" title="Industrial engineering">industrial</a> and <a href="/wiki/Systems_engineering" title="Systems engineering">systems engineering</a> disciplines, as well as fields of operations research and management science (as multi-disciplinary fields of problem solving). While systems engineering concentrated on the broad characteristics of the relationships between inputs and outputs of generic systems, operations researchers concentrated on solving specific and focused problems. The synergy of <a href="/wiki/Operations_research" title="Operations research">operations research</a> and systems engineering allowed for the realization of solving large scale and complex problems in the modern era. Recently, the development of faster and smaller computers, <a href="/wiki/Artificial_intelligence" title="Artificial intelligence">intelligent systems</a>, and the <a href="/wiki/World_Wide_Web" title="World Wide Web">World Wide Web</a> has opened new opportunities for operations, manufacturing, production, and service systems.<sup class="noprint Inline-Template Template-Fact" style="white-space:nowrap;">[<i><a href="/wiki/Wikipedia:Citation_needed" title="Wikipedia:Citation needed"><span title="This claim needs references to reliable sources. (July 2022)">citation needed</span></a></i>]</sup> </p> <div class="mw-heading mw-heading3"><h3 id="Industrial_Revolution">Industrial Revolution</h3><span class="mw-editsection"><span class="mw-editsection-bracket">[</span><a href="/w/index.php?title=Operations_management&action=edit&section=2" title="Edit section: Industrial Revolution"><span>edit</span></a><span class="mw-editsection-bracket">]</span></span></div> <figure class="mw-default-size mw-halign-right" typeof="mw:File/Thumb"><a href="/wiki/File:Marshall%27s_flax-mill,_Holbeck,_Leeds_-_interior_-_c.1800.jpg" class="mw-file-description"><img src="//upload.wikimedia.org/wikipedia/commons/thumb/6/6c/Marshall%27s_flax-mill%2C_Holbeck%2C_Leeds_-_interior_-_c.1800.jpg/220px-Marshall%27s_flax-mill%2C_Holbeck%2C_Leeds_-_interior_-_c.1800.jpg" decoding="async" width="220" height="168" class="mw-file-element" srcset="//upload.wikimedia.org/wikipedia/commons/thumb/6/6c/Marshall%27s_flax-mill%2C_Holbeck%2C_Leeds_-_interior_-_c.1800.jpg/330px-Marshall%27s_flax-mill%2C_Holbeck%2C_Leeds_-_interior_-_c.1800.jpg 1.5x, //upload.wikimedia.org/wikipedia/commons/thumb/6/6c/Marshall%27s_flax-mill%2C_Holbeck%2C_Leeds_-_interior_-_c.1800.jpg/440px-Marshall%27s_flax-mill%2C_Holbeck%2C_Leeds_-_interior_-_c.1800.jpg 2x" data-file-width="1254" data-file-height="957" /></a><figcaption>Marshall's <a href="/wiki/Flax" title="Flax">flax</a> mill in <a href="/wiki/Holbeck" title="Holbeck">Holbeck</a>. The textile industry is the prototypical example of the English industrial revolution. </figcaption></figure> <style data-mw-deduplicate="TemplateStyles:r1236090951">.mw-parser-output .hatnote{font-style:italic}.mw-parser-output div.hatnote{padding-left:1.6em;margin-bottom:0.5em}.mw-parser-output .hatnote i{font-style:normal}.mw-parser-output .hatnote+link+.hatnote{margin-top:-0.5em}@media print{body.ns-0 .mw-parser-output .hatnote{display:none!important}}</style><div role="note" class="hatnote navigation-not-searchable">See also: <a href="/wiki/Industrial_Revolution" title="Industrial Revolution">Industrial Revolution</a> and <a href="/wiki/Productivity_improving_technologies_(historical)" class="mw-redirect" title="Productivity improving technologies (historical)">Productivity improving technologies (historical)</a></div> <p>Before the <a href="/wiki/First_Industrial_Revolution" class="mw-redirect" title="First Industrial Revolution">First Industrial Revolution</a>, work was mainly done through two systems: <a href="/wiki/Domestic_system" class="mw-redirect" title="Domestic system">domestic system</a> and <a href="/wiki/Craft_guilds" class="mw-redirect" title="Craft guilds">craft guilds</a>. In the domestic system <a href="/wiki/Merchants" class="mw-redirect" title="Merchants">merchants</a> took materials to homes where artisans performed the necessary work, craft guilds on the other hand were associations of <a href="/wiki/Artisans" class="mw-redirect" title="Artisans">artisans</a> which passed work from one shop to another, for example: leather was tanned by a <a href="/wiki/Tanner_(occupation)" class="mw-redirect" title="Tanner (occupation)">tanner</a>, passed to <a href="/wiki/Curriers" class="mw-redirect" title="Curriers">curriers</a>, and finally arrived at <a href="/wiki/Shoemakers" class="mw-redirect" title="Shoemakers">shoemakers</a> and <a href="/wiki/Saddle" title="Saddle">saddlers</a>. </p><p>The beginning of the industrial revolution is usually associated with the eighteenth-century English <a href="/wiki/Textile_industry" title="Textile industry">textile industry</a>, with the invention of the <a href="/wiki/Flying_shuttle" title="Flying shuttle">flying shuttle</a> by <a href="/wiki/John_Kay_(flying_shuttle)" title="John Kay (flying shuttle)">John Kay</a> in 1733, the <a href="/wiki/Spinning_jenny" title="Spinning jenny">spinning jenny</a> by <a href="/wiki/James_Hargreaves" title="James Hargreaves">James Hargreaves</a> in 1765, the <a href="/wiki/Water_frame" title="Water frame">water frame</a> by <a href="/wiki/Richard_Arkwright" title="Richard Arkwright">Richard Arkwright</a> in 1769 and the <a href="/wiki/Steam_engine" title="Steam engine">steam engine</a> by <a href="/wiki/James_Watt" title="James Watt">James Watt</a> in 1765. In 1851 at the <a href="/wiki/Crystal_Palace_Exhibition" class="mw-redirect" title="Crystal Palace Exhibition">Crystal Palace Exhibition</a> the term <a href="/wiki/American_system_of_manufacturing" title="American system of manufacturing">American system of manufacturing</a> was used to describe the new approach that was evolving in the <a href="/wiki/United_States_of_America" class="mw-redirect" title="United States of America">United States of America</a> which was based on two central features: <a href="/wiki/Interchangeable_parts" title="Interchangeable parts">interchangeable parts</a> and extensive use of <a href="/wiki/Mechanization" title="Mechanization">mechanization</a> to produce them. </p> <div class="mw-heading mw-heading3"><h3 id="Second_Industrial_Revolution_and_post-industrial_society">Second Industrial Revolution and post-industrial society</h3><span class="mw-editsection"><span class="mw-editsection-bracket">[</span><a href="/w/index.php?title=Operations_management&action=edit&section=3" title="Edit section: Second Industrial Revolution and post-industrial society"><span>edit</span></a><span class="mw-editsection-bracket">]</span></span></div> <p>Henry Ford was 39 years old when he founded the <a href="/wiki/Ford_Motor_Company" title="Ford Motor Company">Ford Motor Company</a> in 1903, with $28,000 capital from twelve investors. The <a href="/wiki/Model_T" class="mw-redirect" title="Model T">model T</a> car was introduced in 1908, however it was not until Ford implemented the assembly line concept, that his vision of making a popular car affordable by every middle-class American citizen would be realized. The first factory in which <a href="/wiki/Henry_Ford" title="Henry Ford">Henry Ford</a> used the concept of the <a href="/wiki/Assembly_line" title="Assembly line">assembly line</a> was <a href="/wiki/Highland_Park_Ford_Plant" title="Highland Park Ford Plant">Highland Park</a> (1913), he characterized the system as follows: </p> <link rel="mw-deduplicated-inline-style" href="mw-data:TemplateStyles:r1244412712"><blockquote class="templatequote"><p>"The thing is to keep everything in motion and take the work to the man and not the man to the work. That is the real principle of our production, and <a href="/wiki/Conveyors" class="mw-redirect" title="Conveyors">conveyors</a> are only one of many means to an end"<sup id="cite_ref-11" class="reference"><a href="#cite_note-11"><span class="cite-bracket">[</span>11<span class="cite-bracket">]</span></a></sup> </p></blockquote> <p>This became one of the central ideas that led to <a href="/wiki/Mass_production" title="Mass production">mass production</a>, one of the main elements of the <a href="/wiki/Second_Industrial_Revolution" title="Second Industrial Revolution">Second Industrial Revolution</a>, along with emergence of the <a href="/wiki/Electrical_industry" class="mw-redirect" title="Electrical industry">electrical industry</a> and <a href="/wiki/Petroleum_industry" title="Petroleum industry">petroleum industry</a>. </p><p>The <a href="/wiki/Post-industrial_economy" title="Post-industrial economy">post-industrial economy</a> was noted in 1973 by Daniel Bell.<sup id="cite_ref-12" class="reference"><a href="#cite_note-12"><span class="cite-bracket">[</span>12<span class="cite-bracket">]</span></a></sup> He stated that the future economy would provide more <a href="/wiki/Gross_domestic_product" title="Gross domestic product">GDP</a> and employment from services than from manufacturing and have a great effect on society. Since all sectors are highly interconnected, this did not reflect less importance for manufacturing, agriculture, and mining but just a shift in the type of economic activity. </p> <div class="mw-heading mw-heading3"><h3 id="Operations_management">Operations management</h3><span class="mw-editsection"><span class="mw-editsection-bracket">[</span><a href="/w/index.php?title=Operations_management&action=edit&section=4" title="Edit section: Operations management"><span>edit</span></a><span class="mw-editsection-bracket">]</span></span></div> <p>Although productivity benefited considerably from technological inventions and division of labor, the problem of systematic measurement of performances and the calculation of these by the use of formulas remained somewhat unexplored until <a href="/wiki/Frederick_Winslow_Taylor" title="Frederick Winslow Taylor">Frederick Taylor</a>, whose early work focused on developing what he called a "differential piece-rate system"<sup id="cite_ref-13" class="reference"><a href="#cite_note-13"><span class="cite-bracket">[</span>13<span class="cite-bracket">]</span></a></sup> and a series of experiments, measurements and formulas dealing with <a href="/wiki/Machining" title="Machining">cutting metals</a><sup id="cite_ref-14" class="reference"><a href="#cite_note-14"><span class="cite-bracket">[</span>14<span class="cite-bracket">]</span></a></sup> and manual labor.<sup id="cite_ref-15" class="reference"><a href="#cite_note-15"><span class="cite-bracket">[</span>15<span class="cite-bracket">]</span></a></sup> The differential <a href="/wiki/Piece-rate_system" class="mw-redirect" title="Piece-rate system">piece-rate system</a> consisted in offering two different pay rates for doing a job: a higher rate for workers with high productivity (efficiency) and who produced high quality goods (effectiveness) and a lower rate for those who fail to achieve the standard. One of the problems Taylor believed could be solved with this system was the problem of <a href="/wiki/Soldiering" class="mw-redirect" title="Soldiering">soldiering</a>: faster workers reducing their production rate to that of the slowest worker. </p><p>In 1911 Taylor published his "<a href="/wiki/The_Principles_of_Scientific_Management" title="The Principles of Scientific Management">The Principles of Scientific Management</a>",<sup id="cite_ref-16" class="reference"><a href="#cite_note-16"><span class="cite-bracket">[</span>16<span class="cite-bracket">]</span></a></sup> in which he characterized <a href="/wiki/Scientific_management" title="Scientific management">scientific management</a> (also known as <a href="/wiki/Taylorism" class="mw-redirect" title="Taylorism">Taylorism</a>) as: </p> <ol><li>The development of a true <a href="/wiki/Science" title="Science">science</a>;</li> <li>The scientific selection of the worker;</li> <li>The scientific education and development of the worker;</li> <li>Intimate friendly <a href="/wiki/Cooperation" title="Cooperation">cooperation</a> between the management and the workers.</li></ol> <p>Taylor is also credited for developing stopwatch <a href="/wiki/Time_and_motion_study#Time_studies" title="Time and motion study">time study</a>. This, combined with <a href="/wiki/Frank_Bunker_Gilbreth" title="Frank Bunker Gilbreth">Frank</a> and <a href="/wiki/Lillian_Moller_Gilbreth" title="Lillian Moller Gilbreth">Lillian</a> Gilbreth <a href="/wiki/Time_and_motion_study#Motion_studies" title="Time and motion study">motion study</a>, gave way to <a href="/wiki/Time_and_motion_study" title="Time and motion study">time and motion study</a>, which is centered on the concepts of standard method and <a href="/wiki/Standard_time_(manufacturing)" title="Standard time (manufacturing)">standard time</a>. Frank Gilbreth is also responsible for introducing the <a href="/wiki/Flow_process_chart" title="Flow process chart">flow process chart</a> in 1921.<sup id="cite_ref-17" class="reference"><a href="#cite_note-17"><span class="cite-bracket">[</span>17<span class="cite-bracket">]</span></a></sup> Other contemporaries of Taylor worth remembering are <a href="/wiki/Morris_Cooke" class="mw-redirect" title="Morris Cooke">Morris Cooke</a> (rural electrification in the 1920s and implementer of Taylor's principles of scientific management in the Philadelphia's Department of Public Works), <a href="/wiki/Carl_Barth" class="mw-redirect" title="Carl Barth">Carl Barth</a> (speed-and-feed-calculating slide rules) and <a href="/wiki/Henry_Gantt" title="Henry Gantt">Henry Gantt</a> (Gantt chart). Also in 1910 <a href="/wiki/Hugo_Diemer" title="Hugo Diemer">Hugo Diemer</a> published the first <a href="/wiki/Industrial_engineering" title="Industrial engineering">industrial engineering</a> book: <i>Factory Organization and Administration</i>. </p><p>In 1913 <a href="/wiki/Ford_Whitman_Harris" title="Ford Whitman Harris">Ford Whitman Harris</a> published a paper on "How many parts to make at once", in which he presented the idea of the <a href="/wiki/Economic_order_quantity" title="Economic order quantity">economic order quantity</a> model. He described the problem as follows: </p> <link rel="mw-deduplicated-inline-style" href="mw-data:TemplateStyles:r1244412712"><blockquote class="templatequote"><p>"<a href="/wiki/Interest" title="Interest">Interest</a> on capital tied up in <a href="/wiki/Wages" class="mw-redirect" title="Wages">wages</a>, material and <a href="/wiki/Overhead_(business)" title="Overhead (business)">overhead</a> sets a maximum limit to the quantity of parts which can be profitably manufactured at one time; "<a href="/wiki/Setup_cost" class="mw-redirect" title="Setup cost">setup costs</a>" on the job fix the minimum. Experience has shown one manager a way to determine the economical size of lots."<sup id="cite_ref-jstor170962_18-0" class="reference"><a href="#cite_note-jstor170962-18"><span class="cite-bracket">[</span>18<span class="cite-bracket">]</span></a></sup></p></blockquote> <p>Harris described his theory as "reasonably correct", although "not rigorously accurate".<sup id="cite_ref-jstor170962_18-1" class="reference"><a href="#cite_note-jstor170962-18"><span class="cite-bracket">[</span>18<span class="cite-bracket">]</span></a></sup> His paper inspired a large body of <a href="/wiki/Inventory_theory" title="Inventory theory">mathematical literature</a> focusing on the problem of <a href="/wiki/Production_planning" title="Production planning">production planning</a> and <a href="/wiki/Inventory_control" title="Inventory control">inventory control</a>.<sup class="noprint Inline-Template Template-Fact" style="white-space:nowrap;">[<i><a href="/wiki/Wikipedia:Citation_needed" title="Wikipedia:Citation needed"><span title="This claim needs references to reliable sources. (August 2023)">citation needed</span></a></i>]</sup> </p><p>In 1924 <a href="/wiki/Walter_Shewhart" class="mw-redirect" title="Walter Shewhart">Walter Shewhart</a> introduced the <a href="/wiki/Control_chart" title="Control chart">control chart</a> through a technical memorandum while working at <a href="/wiki/Bell_Labs" title="Bell Labs">Bell Labs</a>, central to his method was the distinction between <a href="/wiki/Common_cause_and_special_cause" class="mw-redirect" title="Common cause and special cause">common cause and special cause</a> of variation. In 1931 Shewhart published his Economic Control of Quality of Manufactured Product,<sup id="cite_ref-Shewhart_19-0" class="reference"><a href="#cite_note-Shewhart-19"><span class="cite-bracket">[</span>19<span class="cite-bracket">]</span></a></sup> the first systematic treatment<sup id="cite_ref-Montgomery_20-0" class="reference"><a href="#cite_note-Montgomery-20"><span class="cite-bracket">[</span>20<span class="cite-bracket">]</span></a></sup> of the subject of <a href="/wiki/Statistical_process_control" title="Statistical process control">statistical process control</a> (SPC). He defined control: </p> <link rel="mw-deduplicated-inline-style" href="mw-data:TemplateStyles:r1244412712"><blockquote class="templatequote"><p>"For our present purpose a phenomenon will be said to be controlled when, through the use of past experience, we can predict, at least within <a href="/wiki/Control_limits" class="mw-redirect" title="Control limits">limits</a>, how the phenomenon may be expected to vary in the future. Here it is understood that prediction within limits means that we can state, at least approximately, the <a href="/wiki/Probability" title="Probability">probability</a> that the observed phenomenon will fall within the given limits."<sup id="cite_ref-Shewhart_19-1" class="reference"><a href="#cite_note-Shewhart-19"><span class="cite-bracket">[</span>19<span class="cite-bracket">]</span></a></sup></p></blockquote> <p>In the 1940s <a href="/wiki/Methods-time_measurement" title="Methods-time measurement">methods-time measurement</a> (MTM) was developed by <a href="/wiki/Harold_Bright_Maynard" title="Harold Bright Maynard">H.B. Maynard</a>, J.L. Schwab and G.J. Stegemerten. MTM was the first of a series of <a href="/wiki/Predetermined_motion_time_systems" class="mw-redirect" title="Predetermined motion time systems">predetermined motion time systems</a>, predetermined in the sense that estimates of time are not determined in loco but are derived from an industry standard. This was explained by its originators in a book they published in 1948 called <i>Methods-Time Measurement</i>. </p> <link rel="mw-deduplicated-inline-style" href="mw-data:TemplateStyles:r1244412712"><blockquote class="templatequote"><p>The methods-time measurement may be defined as follows: </p><p>Methods-time measurement is a procedure which analyzes any manual operation or method into the basic motions required to perform it and assigns to each <a href="/wiki/Motion" title="Motion">motion</a> a predetermined time standard which is determined by the nature of the motion and the conditions under which it is made. </p><p> Thus it may be seen that methods-time measurement is basically a tool of method analysis that gives answers in terms of time without the necessity of making stop-watch time studies.<sup id="cite_ref-MTM_21-0" class="reference"><a href="#cite_note-MTM-21"><span class="cite-bracket">[</span>21<span class="cite-bracket">]</span></a></sup></p></blockquote> <p>Up to this point in history, <a href="/wiki/Optimization" class="mw-redirect" title="Optimization">optimization</a> techniques were known for a very long time, from the simple methods employed by Harris to the more elaborate techniques of the <a href="/wiki/Calculus_of_variations" title="Calculus of variations">calculus of variations</a> developed by <a href="/wiki/Euler" class="mw-redirect" title="Euler">Euler</a> in 1733 or the <a href="/wiki/Lagrange_multipliers" class="mw-redirect" title="Lagrange multipliers">multipliers</a> employed by <a href="/wiki/Lagrange" class="mw-redirect" title="Lagrange">Lagrange</a> in 1811, and <a href="/wiki/Computers" class="mw-redirect" title="Computers">computers</a> were slowly being developed, first as <a href="/wiki/Analog_computers" class="mw-redirect" title="Analog computers">analog computers</a> by <a href="/wiki/Sir_William_Thomson" class="mw-redirect" title="Sir William Thomson">Sir William Thomson</a> (1872) and <a href="/wiki/James_Thomson_(engineer)" title="James Thomson (engineer)">James Thomson</a> (1876) moving to the electromechanical computers of <a href="/wiki/Konrad_Zuse" title="Konrad Zuse">Konrad Zuse</a> (1939 and 1941). During <a href="/wiki/World_War_II" title="World War II">World War II</a> however, the development of <a href="/wiki/Mathematical_optimization" title="Mathematical optimization">mathematical optimization</a> went through a major boost with the development of the <a href="/wiki/Colossus_computer" title="Colossus computer">Colossus computer</a>, the first electronic digital computer that was all programmable, and the possibility to computationally solve large <a href="/wiki/Linear_programming" title="Linear programming">linear programming</a> problems, first by <a href="/wiki/Kantorovich" class="mw-redirect" title="Kantorovich">Kantorovich</a><sup id="cite_ref-22" class="reference"><a href="#cite_note-22"><span class="cite-bracket">[</span>22<span class="cite-bracket">]</span></a></sup> in 1939 working for the <a href="/wiki/Soviet_government" class="mw-redirect" title="Soviet government">Soviet government</a> and later in 1947 with the <a href="/wiki/Simplex_method" class="mw-redirect" title="Simplex method">simplex method</a> of <a href="/wiki/George_Dantzig" title="George Dantzig">Dantzig</a>. These methods are known today as belonging to the field of <a href="/wiki/Operations_research" title="Operations research">operations research</a>. </p><p>From this point on, a curious development took place: while in the United States the possibility of applying the computer to business operations led to the development of management software architecture such as <a href="/wiki/Material_requirements_planning" title="Material requirements planning">MRP</a> and successive modifications, and ever more sophisticated optimization techniques and <a href="/wiki/Simulation_of_production_systems" class="mw-redirect" title="Simulation of production systems">manufacturing simulation</a> software, in post-war Japan a series of events at Toyota Motor led to the development of the <a href="/wiki/Toyota_Production_System" title="Toyota Production System">Toyota Production System</a> (TPS) and <a href="/wiki/Lean_manufacturing" title="Lean manufacturing">lean manufacturing</a>. </p><p>In 1943, in Japan, <a href="/wiki/Taiichi_Ohno" title="Taiichi Ohno">Taiichi Ohno</a> arrived at <a href="/wiki/Toyota_Motor" class="mw-redirect" title="Toyota Motor">Toyota Motor</a> company. Toyota evolved a unique manufacturing system centered on two complementary notions: <a href="/wiki/Just_in_time_(business)" class="mw-redirect" title="Just in time (business)">just in time</a> (produce only what is needed) and <a href="/wiki/Autonomation" title="Autonomation">autonomation</a> (automation with a human touch). Regarding JIT, Ohno was inspired by American <a href="/wiki/Supermarkets" class="mw-redirect" title="Supermarkets">supermarkets</a>:<sup id="cite_ref-23" class="reference"><a href="#cite_note-23"><span class="cite-bracket">[</span>23<span class="cite-bracket">]</span></a></sup> workstations functioned like a supermarket shelf where the customer can get products they need, at the time they need and in the amount needed, the workstation (shelf) is then restocked. Autonomation was developed by <a href="/wiki/Toyoda_Sakichi" class="mw-redirect" title="Toyoda Sakichi">Toyoda Sakichi</a> in Toyoda Spinning and Weaving: an automatically activated loom that was also foolproof, that is automatically detected problems. In 1983 J.N Edwards published his "MRP and Kanban-American style" in which he described JIT goals in terms of seven zeros:<sup id="cite_ref-24" class="reference"><a href="#cite_note-24"><span class="cite-bracket">[</span>24<span class="cite-bracket">]</span></a></sup> zero defects, zero (excess) lot size, zero setups, zero breakdowns, zero handling, zero lead time and zero surging. This period also marks the spread of <a href="/wiki/Total_quality_management" title="Total quality management">total quality management</a> (TQM) in Japan, ideas initially developed by American authors such as <a href="/wiki/W._Edwards_Deming" title="W. Edwards Deming">Deming</a>, <a href="/wiki/Joseph_M._Juran" title="Joseph M. Juran">Juran</a> and <a href="/wiki/Armand_V._Feigenbaum" title="Armand V. Feigenbaum">Armand V. Feigenbaum</a>.<sup id="cite_ref-25" class="reference"><a href="#cite_note-25"><span class="cite-bracket">[</span>25<span class="cite-bracket">]</span></a></sup> TQM is a strategy for implementing and managing quality improvement on an organizational basis, this includes: participation, work culture, customer focus, supplier quality improvement and integration of the quality system with business goals.<sup id="cite_ref-Montgomery_20-1" class="reference"><a href="#cite_note-Montgomery-20"><span class="cite-bracket">[</span>20<span class="cite-bracket">]</span></a></sup> Schnonberger identified seven fundamentals principles essential to the Japanese approach: </p> <ol><li>Process control: SPC and worker responsibility over quality</li> <li>Easy able-to-see quality: boards, gauges, meters, etc. and <a href="/wiki/Poka-yoke" title="Poka-yoke">poka-yoke</a></li> <li>Insistence on compliance: "quality first"</li> <li>Line stop: stop the line to correct quality problems</li> <li>Correcting one's own errors: worker fixed a defective part if he produced it</li> <li>The 100% check: automated inspection techniques and foolproof machines</li> <li>Continual improvement: ideally zero defects.<sup id="cite_ref-26" class="reference"><a href="#cite_note-26"><span class="cite-bracket">[</span>26<span class="cite-bracket">]</span></a></sup></li></ol> <p>Meanwhile, in the sixties, a different approach was developed by George W. Plossl and Oliver W. Wight,<sup id="cite_ref-Grubb_27-0" class="reference"><a href="#cite_note-Grubb-27"><span class="cite-bracket">[</span>27<span class="cite-bracket">]</span></a></sup> this approach was continued by Joseph Orlicky as a response to the TOYOTA Manufacturing Program which led to <a href="/wiki/Material_requirements_planning" title="Material requirements planning">material requirements planning</a> (MRP) at <a href="/wiki/IBM" title="IBM">IBM</a>, latter gaining momentum in 1972 when the American Production and Inventory Control Society launched the "MRP Crusade". One of the key insights of this management system was the distinction between <a href="/wiki/Dependent_demand" class="mw-redirect" title="Dependent demand">dependent demand</a> and <a href="/wiki/Independent_demand" class="mw-redirect" title="Independent demand">independent demand</a>. Independent demand is demand which originates outside of the production system, therefore not directly controllable, and dependent demand is demand for components of final products, therefore subject to being directly controllable by management through the <a href="/wiki/Bill_of_materials" title="Bill of materials">bill of materials</a>, via <a href="/wiki/Product_design" title="Product design">product design</a>. Orlicky wrote "Materials Requirement Planning" in 1975,<sup id="cite_ref-28" class="reference"><a href="#cite_note-28"><span class="cite-bracket">[</span>28<span class="cite-bracket">]</span></a></sup> the first hard cover book on the subject.<sup id="cite_ref-Grubb_27-1" class="reference"><a href="#cite_note-Grubb-27"><span class="cite-bracket">[</span>27<span class="cite-bracket">]</span></a></sup> <a href="/wiki/MRP_II" class="mw-redirect" title="MRP II">MRP II</a> was developed by Gene Thomas at IBM, and expanded the original MRP software to include additional production functions. <a href="/wiki/Enterprise_resource_planning" title="Enterprise resource planning">Enterprise resource planning</a> (ERP) is the modern software architecture, which addresses, besides production operations, <a href="/wiki/Distribution_(business)" class="mw-redirect" title="Distribution (business)">distribution</a>, <a href="/wiki/Accounting" title="Accounting">accounting</a>, <a href="/wiki/Human_resources" title="Human resources">human resources</a> and <a href="/wiki/Procurement" title="Procurement">procurement</a>. </p><p>Dramatic changes were occurring in the service industries as well. Beginning in 1955 <a href="/wiki/McDonald%27s" title="McDonald's">McDonald's</a> provided one of the first innovations in service operations. McDonald's is founded on the idea of the production-line approach to service.<sup id="cite_ref-29" class="reference"><a href="#cite_note-29"><span class="cite-bracket">[</span>29<span class="cite-bracket">]</span></a></sup> This requires a standard and limited menu, an assembly-line type of production process in the back-room, high customer service in the front-room with cleanliness, courtesy and fast service. While modeled after manufacturing in the production of the food in the back-room, the service in the front-room was defined and oriented to the customer. It was the McDonald's operations system of both production and service that made the difference. McDonald's also pioneered the idea of franchising this operation system to rapidly spread the business around the country and later the world.<sup id="cite_ref-30" class="reference"><a href="#cite_note-30"><span class="cite-bracket">[</span>30<span class="cite-bracket">]</span></a></sup> </p><p><a href="/wiki/FedEx" title="FedEx">FedEx</a> in 1971 provided the first overnight delivery of packages in the U.S. This was based on the innovative idea of flying all packages into the single airport in Memphis Tenn by midnight each day, resorting the packages for delivery to destinations and then flying them back out the next morning for delivery to numerous locations. This concept of a fast package delivery system created a whole new industry, and eventually allowed fast delivery of online orders by Amazon and other retailers.<sup id="cite_ref-31" class="reference"><a href="#cite_note-31"><span class="cite-bracket">[</span>31<span class="cite-bracket">]</span></a></sup> </p><p><a href="/wiki/Walmart" title="Walmart">Walmart</a> provided the first example of very low cost retailing through design of their stores and efficient management of their entire supply chain. Starting with a single store in Roger's Arkansas in 1962, Walmart has now become the world's largest company. This was accomplished by adhering to their system of delivering the goods and the service to the customers at the lowest possible cost. The operations system included careful selection of merchandise, low cost sourcing, ownership of transportation, cross-docking, efficient location of stores and friendly home-town service to the customer.<sup id="cite_ref-32" class="reference"><a href="#cite_note-32"><span class="cite-bracket">[</span>32<span class="cite-bracket">]</span></a></sup> </p><p>In 1987 the <a href="/wiki/International_Organization_for_Standardization" title="International Organization for Standardization">International Organization for Standardization</a> (ISO), recognizing the growing importance of quality, issued the <a href="/wiki/ISO_9000" class="mw-redirect" title="ISO 9000">ISO 9000</a>, a family of standards related to quality management systems. There standards apply to both manufacturing and service organizations. There has been some controversy regarding the proper procedures to follow and the amount of paperwork involved, but much of that has improved in current ISO 9000 revisions. </p><p>With the coming of the Internet, in 1994 <a href="/wiki/Amazon.com" class="mw-redirect" title="Amazon.com">Amazon</a> devised a service system of on-line retailing and distribution. With this innovative system customers were able to search for products they might like to buy, enter the order for the product, pay online, and track delivery of the product to their location, all in two days. This required not only very large computer operations, but dispersed warehouses, and an efficient transportation system. Service to customers including a high merchandise assortment, return services of purchases, and fast delivery is at the forefront of this business.<sup id="cite_ref-33" class="reference"><a href="#cite_note-33"><span class="cite-bracket">[</span>33<span class="cite-bracket">]</span></a></sup> It is the customer being in the system during the production and delivery of the service that distinguishes all services from manufacturing. </p><p>Recent trends in the field revolve around concepts such as: </p> <ul><li><a href="/wiki/Business_process_re-engineering" title="Business process re-engineering">Business process re-engineering</a> (launched by <a href="/wiki/Michael_Martin_Hammer" title="Michael Martin Hammer">Michael Hammer</a> in 1993<sup id="cite_ref-34" class="reference"><a href="#cite_note-34"><span class="cite-bracket">[</span>34<span class="cite-bracket">]</span></a></sup>): a business management strategy focusing on the analysis and design of workflows and business processes within an organization. BPR seeks to help companies radically restructure their organizations by focusing on the ground-up design of their business processes.</li> <li>Lean systems is a systemic method for the elimination of waste ("<a href="/wiki/Muda_(Japanese_term)" title="Muda (Japanese term)">Muda</a>") within a manufacturing or service process. Lean also takes into account waste created through overburden ("<a href="/wiki/Muri_(Japanese_term)" title="Muri (Japanese term)">Muri</a>") and waste created through unevenness in work loads ("<a href="/wiki/Mura_(Japanese_term)" title="Mura (Japanese term)">Mura</a>"). The term lean manufacturing was coined in the book <i><a href="/wiki/The_Machine_That_Changed_the_World_(book)" title="The Machine That Changed the World (book)">The Machine that Changed the World</a></i>.<sup id="cite_ref-35" class="reference"><a href="#cite_note-35"><span class="cite-bracket">[</span>35<span class="cite-bracket">]</span></a></sup> Subsequently, <a href="/wiki/Lean_services" title="Lean services">lean services</a> has been widely applied.</li> <li><a href="/wiki/Six_Sigma" title="Six Sigma">Six Sigma</a> (an approach to quality developed at <a href="/wiki/Motorola" title="Motorola">Motorola</a> between 1985 and 1987): Six Sigma refers to control limits placed at six <a href="/wiki/Standard_deviations" class="mw-redirect" title="Standard deviations">standard deviations</a> from the mean of a <a href="/wiki/Normal_distribution" title="Normal distribution">normal distribution</a>, this became very famous after <a href="/wiki/Jack_Welch" title="Jack Welch">Jack Welch</a> of <a href="/wiki/General_Electric" title="General Electric">General Electric</a> launched a company-wide initiative in 1995 to adopt this set of methods to all manufacturing, service and administrative processes. More recently, Six Sigma has included <a href="/wiki/DMAIC" title="DMAIC">DMAIC</a> (for improving processes) and <a href="/wiki/DFSS" class="mw-redirect" title="DFSS">DFSS</a> (for designing new products and new processes)</li> <li><a href="/wiki/Reconfigurable_manufacturing_system" title="Reconfigurable manufacturing system">Reconfigurable manufacturing system</a>: a production system designed at the outset for rapid change in its structure, as well as its hardware and software components, in order to quickly adjust its production capacity and functionality within a part family in response to sudden market changes or intrinsic system change.</li> <li><a href="/wiki/Project_production_management" title="Project production management">Project production management</a>: the application of the analytical tools and techniques developed for operations management, as described in <i><a href="/wiki/Factory_Physics" title="Factory Physics">Factory Physics</a></i> to the activities within major capital projects such as encountered in oil and gas and civil infrastructure delivery.</li></ul> <div class="mw-heading mw-heading2"><h2 id="Topics">Topics</h2><span class="mw-editsection"><span class="mw-editsection-bracket">[</span><a href="/w/index.php?title=Operations_management&action=edit&section=5" title="Edit section: Topics"><span>edit</span></a><span class="mw-editsection-bracket">]</span></span></div> <div class="mw-heading mw-heading3"><h3 id="Production_systems">Production systems</h3><span class="mw-editsection"><span class="mw-editsection-bracket">[</span><a href="/w/index.php?title=Operations_management&action=edit&section=6" title="Edit section: Production systems"><span>edit</span></a><span class="mw-editsection-bracket">]</span></span></div> <figure class="mw-halign-right" typeof="mw:File/Thumb"><a href="/wiki/File:Job_Shop_Ordonnancement.JPEG" class="mw-file-description"><img src="//upload.wikimedia.org/wikipedia/commons/thumb/3/31/Job_Shop_Ordonnancement.JPEG/300px-Job_Shop_Ordonnancement.JPEG" decoding="async" width="300" height="178" class="mw-file-element" srcset="//upload.wikimedia.org/wikipedia/commons/thumb/3/31/Job_Shop_Ordonnancement.JPEG/450px-Job_Shop_Ordonnancement.JPEG 1.5x, //upload.wikimedia.org/wikipedia/commons/thumb/3/31/Job_Shop_Ordonnancement.JPEG/600px-Job_Shop_Ordonnancement.JPEG 2x" data-file-width="987" data-file-height="587" /></a><figcaption>In a job shop machines are grouped by technological similarities regarding transformation processes, therefore a single shop can work very different products (in this picture four colors). Also notice that in this drawing each shop contains a single machine.</figcaption></figure> <figure class="mw-halign-right" typeof="mw:File/Thumb"><a href="/wiki/File:FlexiblesFertigungssystem.jpg" class="mw-file-description"><img src="//upload.wikimedia.org/wikipedia/commons/thumb/c/c8/FlexiblesFertigungssystem.jpg/300px-FlexiblesFertigungssystem.jpg" decoding="async" width="300" height="225" class="mw-file-element" srcset="//upload.wikimedia.org/wikipedia/commons/thumb/c/c8/FlexiblesFertigungssystem.jpg/450px-FlexiblesFertigungssystem.jpg 1.5x, //upload.wikimedia.org/wikipedia/commons/thumb/c/c8/FlexiblesFertigungssystem.jpg/600px-FlexiblesFertigungssystem.jpg 2x" data-file-width="1024" data-file-height="768" /></a><figcaption><a href="/wiki/Flexible_manufacturing_system" title="Flexible manufacturing system">Flexible Manufacturing System</a>: in the middle there are two rails for the shuttle to move <a href="/wiki/Pallets" class="mw-redirect" title="Pallets">pallets</a> between machining centers (there are also FMS which use <a href="/wiki/Automated_guided_vehicle" title="Automated guided vehicle">AGVs</a>), in front of each machining center there is a buffer and in left we have a shelf for storing pallets. Usually in the back there is a similar system for managing the set of <a href="/wiki/Tools" class="mw-redirect" title="Tools">tools</a> required for different <a href="/wiki/Machining" title="Machining">machining</a> operations.</figcaption></figure> <p>A production system comprises both technological elements (machines and tools) and <a href="/wiki/Organizational_behavior" title="Organizational behavior">organizational behavior</a> (division of labor and <a href="/wiki/Value-stream_mapping" title="Value-stream mapping">information flow</a>) needed to produce goods and services.<sup id="cite_ref-kumar-suresh_36-0" class="reference"><a href="#cite_note-kumar-suresh-36"><span class="cite-bracket">[</span>36<span class="cite-bracket">]</span></a></sup> An individual production system is usually analyzed in the literature referring to a single business; therefore it is usually improper to include in a given production system the operations necessary to process goods that are obtained by <a href="/wiki/Purchasing" title="Purchasing">purchasing</a> or the operations carried by the <a href="/wiki/Customer" title="Customer">customer</a> on the sold products, the reason being simply that since businesses need to design their own production systems this then becomes the focus of <a href="/wiki/Analysis" title="Analysis">analysis</a>, <a href="/wiki/Modeling" class="mw-redirect" title="Modeling">modeling</a> and <a href="/wiki/Decision_making" class="mw-redirect" title="Decision making">decision making</a> (also called "configuring" a production system).<sup class="noprint Inline-Template" style="margin-left:0.1em; white-space:nowrap;">[<i><a href="/wiki/Wikipedia:Please_clarify" title="Wikipedia:Please clarify"><span title="is this saying that businesses don't want to overburden their production system management with operations factors? (July 2024)">clarification needed</span></a></i>]</sup> </p> <div class="mw-heading mw-heading4"><h4 id="Classification">Classification</h4><span class="mw-editsection"><span class="mw-editsection-bracket">[</span><a href="/w/index.php?title=Operations_management&action=edit&section=7" title="Edit section: Classification"><span>edit</span></a><span class="mw-editsection-bracket">]</span></span></div> <p>A first possible distinction in production systems (technological classification) is between continuous process production and discrete part production (<a href="/wiki/Manufacturing" title="Manufacturing">manufacturing</a>). </p> <ul><li>Process production means that the product undergoes physical-chemical transformations and lacks assembly operations, and therefore the original raw materials cannot easily be obtained from the final product. Examples include: <a href="/wiki/Paper" title="Paper">paper</a>, <a href="/wiki/Cement" title="Cement">cement</a>, <a href="/wiki/Nylon" title="Nylon">nylon</a> and <a href="/wiki/Petroleum_products" class="mw-redirect" title="Petroleum products">petroleum products</a>.</li> <li>Part production (e.g. cars and ovens) comprises both <a href="/wiki/Manufacturing" title="Manufacturing">fabrication</a> systems and <a href="/wiki/Assembly_line" title="Assembly line">assembly</a> systems. In the first category are <a href="/wiki/Job_shops" class="mw-redirect" title="Job shops">job shops</a>, <a href="/wiki/Manufacturing_cells" class="mw-redirect" title="Manufacturing cells">manufacturing cells</a>, <a href="/wiki/Flexible_manufacturing_systems" class="mw-redirect" title="Flexible manufacturing systems">flexible manufacturing systems</a> and <a href="/wiki/Transfer_lines" class="mw-redirect" title="Transfer lines">transfer lines</a>. In the assembly category there <a href="/wiki/Fixed_position" class="mw-redirect" title="Fixed position">fixed position</a> systems, <a href="/wiki/Assembly_lines" class="mw-redirect" title="Assembly lines">assembly lines</a> and <a href="/w/index.php?title=Assembly_shops&action=edit&redlink=1" class="new" title="Assembly shops (page does not exist)">assembly shops</a> (both manual and automated operations).<sup id="cite_ref-PortPozz_37-0" class="reference"><a href="#cite_note-PortPozz-37"><span class="cite-bracket">[</span>37<span class="cite-bracket">]</span></a></sup><sup id="cite_ref-38" class="reference"><a href="#cite_note-38"><span class="cite-bracket">[</span>38<span class="cite-bracket">]</span></a></sup></li></ul> <figure class="mw-halign-right" typeof="mw:File/Thumb"><a href="/wiki/File:Class_wort.jpg" class="mw-file-description"><img src="//upload.wikimedia.org/wikipedia/commons/thumb/e/e4/Class_wort.jpg/300px-Class_wort.jpg" decoding="async" width="300" height="171" class="mw-file-element" srcset="//upload.wikimedia.org/wikipedia/commons/thumb/e/e4/Class_wort.jpg/450px-Class_wort.jpg 1.5x, //upload.wikimedia.org/wikipedia/commons/thumb/e/e4/Class_wort.jpg/600px-Class_wort.jpg 2x" data-file-width="602" data-file-height="343" /></a><figcaption>Delivery lead time is the blue bar, manufacturing time is the whole bar, the green bar is the difference between the two.</figcaption></figure> <p>Another possible classification<sup id="cite_ref-39" class="reference"><a href="#cite_note-39"><span class="cite-bracket">[</span>39<span class="cite-bracket">]</span></a></sup> is one based on <a href="/wiki/Lead_time" title="Lead time">lead time</a> (manufacturing lead time vs delivery lead time): <a href="/wiki/Engineer_to_order" title="Engineer to order">engineer to order</a> (ETO), <a href="/w/index.php?title=Purchase_to_order&action=edit&redlink=1" class="new" title="Purchase to order (page does not exist)">purchase to order</a> (PTO), <a href="/wiki/Make_to_order" class="mw-redirect" title="Make to order">make to order</a> (MTO), <a href="/wiki/Assemble_to_order" class="mw-redirect" title="Assemble to order">assemble to order</a> (ATO) and <a href="/wiki/Make_to_stock" class="mw-redirect" title="Make to stock">make to stock</a> (MTS). According to this classification different kinds of systems will have different customer order decoupling points (CODP), meaning that <a href="/wiki/Work_in_progress" class="mw-redirect" title="Work in progress">work in progress</a> (WIP) cycle stock levels are practically nonexistent regarding operations located after the CODP (except for <a href="/wiki/Work_in_process" title="Work in process">WIP</a> due to queues). (See <a href="/wiki/Order_fulfillment#Options" title="Order fulfillment">Order fulfillment</a>.) </p><p>The concept of production systems can be expanded to the <a href="/wiki/Service_sector" class="mw-redirect" title="Service sector">service sector</a> world keeping in mind that services have some fundamental differences in respect to material goods: intangibility, client always present during transformation processes, no stocks for "finished goods". Services can be classified according to a service process matrix:<sup id="cite_ref-40" class="reference"><a href="#cite_note-40"><span class="cite-bracket">[</span>40<span class="cite-bracket">]</span></a></sup> degree of labor intensity (volume) vs degree of customization (variety). With a high degree of labor intensity there are mass services (e.g., <a href="/wiki/Commercial_banking" class="mw-redirect" title="Commercial banking">commercial banking</a> bill payments and <a href="/wiki/State_schools" class="mw-redirect" title="State schools">state schools</a>) and professional services (e.g., personal <a href="/wiki/Physicians" class="mw-redirect" title="Physicians">physicians</a> and <a href="/wiki/Lawyers" class="mw-redirect" title="Lawyers">lawyers</a>), while with a low degree of labor intensity there are service factories (e.g., <a href="/wiki/Airlines" class="mw-redirect" title="Airlines">airlines</a> and <a href="/wiki/Hotels" class="mw-redirect" title="Hotels">hotels</a>) and service shops (e.g., <a href="/wiki/Hospitals" class="mw-redirect" title="Hospitals">hospitals</a> and <a href="/wiki/Auto_mechanics" class="mw-redirect" title="Auto mechanics">auto mechanics</a>). </p><p>The systems described above are <a href="/wiki/Ideal_types" class="mw-redirect" title="Ideal types">ideal types</a>: real systems may present themselves as hybrids of those categories. Consider, for example, that the production of <a href="/wiki/Jeans" title="Jeans">jeans</a> involves initially <a href="/wiki/Carding" title="Carding">carding</a>, <a href="/wiki/Spinning_(textiles)" title="Spinning (textiles)">spinning</a>, <a href="/wiki/Dyeing" title="Dyeing">dyeing</a> and <a href="/wiki/Weaving" title="Weaving">weaving</a>, then cutting the fabric in different shapes and assembling the parts in pants or jackets by combining the fabric with thread, zippers and buttons, finally <a href="/wiki/Finishing_(textiles)" title="Finishing (textiles)">finishing</a> and <a href="/wiki/Distressing" title="Distressing">distressing</a> the pants/jackets before being shipped to stores.<sup id="cite_ref-41" class="reference"><a href="#cite_note-41"><span class="cite-bracket">[</span>41<span class="cite-bracket">]</span></a></sup> The beginning can be seen as process production, the middle as part production and the end again as process production: it is unlikely that a single company will keep all the stages of production under a single roof, therefore the problem of <a href="/wiki/Vertical_integration" title="Vertical integration">vertical integration</a> and <a href="/wiki/Outsourcing" title="Outsourcing">outsourcing</a> arises. Most products require, <i>from a <a href="/wiki/Supply_chain" title="Supply chain">supply chain</a> perspective</i>, both process production and part production. </p> <div class="mw-heading mw-heading3"><h3 id="Operations_systems">Operations systems</h3><span class="mw-editsection"><span class="mw-editsection-bracket">[</span><a href="/w/index.php?title=Operations_management&action=edit&section=8" title="Edit section: Operations systems"><span>edit</span></a><span class="mw-editsection-bracket">]</span></span></div> <p>If a production system is concerned with the <i>production</i> of goods and services, an operations system is concerned with <i>provisioning</i> them.<sup id="cite_ref-kumar-suresh_36-1" class="reference"><a href="#cite_note-kumar-suresh-36"><span class="cite-bracket">[</span>36<span class="cite-bracket">]</span></a></sup> Not all management models distinguish between production and operations systems.<sup class="noprint Inline-Template Template-Fact" style="white-space:nowrap;">[<i><a href="/wiki/Wikipedia:Citation_needed" title="Wikipedia:Citation needed"><span title="This claim needs references to reliable sources. (July 2024)">citation needed</span></a></i>]</sup> When the two are distinguished, operations systems account for many of the tertiary factors that are abstracted away from in production system frameworks. In particular, there is an emphasis on service-based factors. </p> <div class="mw-heading mw-heading4"><h4 id="Classification_2">Classification</h4><span class="mw-editsection"><span class="mw-editsection-bracket">[</span><a href="/w/index.php?title=Operations_management&action=edit&section=9" title="Edit section: Classification"><span>edit</span></a><span class="mw-editsection-bracket">]</span></span></div> <p>Operations systems can be broadly divided into two categories: <i>service</i> and <i>manufacturing</i>. </p> <div class="mw-heading mw-heading5"><h5 id="Service_operations">Service operations</h5><span class="mw-editsection"><span class="mw-editsection-bracket">[</span><a href="/w/index.php?title=Operations_management&action=edit&section=10" title="Edit section: Service operations"><span>edit</span></a><span class="mw-editsection-bracket">]</span></span></div> <link rel="mw-deduplicated-inline-style" href="mw-data:TemplateStyles:r1236090951"><div role="note" class="hatnote navigation-not-searchable">Main article: <a href="/wiki/Operations_management_for_services" title="Operations management for services">Operations management for services</a></div> <p><a href="/wiki/Service_industries" title="Service industries">Service industries</a> are a major part of economic activity and employment in all industrialized countries comprising 80 percent of employment and GDP in the U.S. Operations management of these services, as distinct from manufacturing, has been developing since the 1970s through publication of unique practices and academic research.<sup id="cite_ref-42" class="reference"><a href="#cite_note-42"><span class="cite-bracket">[</span>42<span class="cite-bracket">]</span></a></sup> Please note that this section does not particularly include "Professional Services Firms" and the professional services practiced from this expertise (specialized training and education within). </p><p>According to Fitzsimmons, Fitzsimmons and Bordoloi (2014) differences between manufactured goods and services are as follows:<sup id="cite_ref-43" class="reference"><a href="#cite_note-43"><span class="cite-bracket">[</span>43<span class="cite-bracket">]</span></a></sup> </p> <ul><li><i>Simultaneous production and consumption.</i> High contact services (e.g. health care) must be produced in the presence of the customer, since they are consumed as produced. As a result, services cannot be produced in one location and transported to another, like goods. Service operations are therefore highly dispersed geographically close to the customers. Furthermore, simultaneous production and consumption allows the possibility of self-service involving the customer at the point of consumption (e.g. gas stations). Only low-contact services produced in the "backroom" (e.g., check clearing) can be provided away from the customer.</li> <li><i>Perishable.</i> Since services are perishable, they cannot be stored for later use. In manufacturing companies, inventory can be used to buffer supply and demand. Since buffering is not possible in services, highly variable demand must be met by operations or demand modified to meet supply.</li> <li><i>Ownership.</i> In manufacturing, ownership is transferred to the customer. Ownership is not transferred for service. As a result, services cannot be owned or resold.</li> <li><i>Tangibility.</i> A service is intangible making it difficult for a customer to evaluate the service in advance. In the case of a manufactured good, customers can see it and evaluate it. Assurance of quality service is often done by licensing, government regulation, and branding to assure customers they will receive a quality service.</li></ul> <p>These four comparisons indicate how management of service operations are quite different from manufacturing regarding such issues as capacity requirements (highly variable), quality assurance (hard to quantify), location of facilities (dispersed), and interaction with the customer during delivery of the service (product and process design). </p><p>While there are differences there are also many similarities. For example, quality management approaches used in manufacturing such as the Baldrige Award, and <a href="/wiki/Six_Sigma" title="Six Sigma">Six Sigma</a> have been widely applied to services. Likewise, <a href="/wiki/Lean_services" title="Lean services">lean service</a> principles and practices have also been applied in service operations. The important difference being the customer is in the system while the service is being provided and needs to be considered when applying these practices.<sup id="cite_ref-44" class="reference"><a href="#cite_note-44"><span class="cite-bracket">[</span>44<span class="cite-bracket">]</span></a></sup> </p><p>One important difference is service recovery. When an error occurs in service delivery, the recovery must be delivered on the spot by the service provider. If a waiter in a restaurant spills soup on the customer's lap, then the recovery could include a free meal and a promise of free dry cleaning. Another difference is in planning capacity. Since the product cannot be stored, the service facility must be managed to peak demand which requires more flexibility than manufacturing. Location of facilities must be near the customers and scale economics can be lacking. Scheduling must consider the customer can be waiting in line. Queuing theory has been devised to assist in design of service facilities waiting lines. Revenue management is important for service operations, since empty seats on an airplane are lost revenue when the plane departs and cannot be stored for future use.<sup id="cite_ref-45" class="reference"><a href="#cite_note-45"><span class="cite-bracket">[</span>45<span class="cite-bracket">]</span></a></sup> </p> <div class="mw-heading mw-heading3"><h3 id="Metrics:_efficiency_and_effectiveness">Metrics: efficiency and effectiveness</h3><span class="mw-editsection"><span class="mw-editsection-bracket">[</span><a href="/w/index.php?title=Operations_management&action=edit&section=11" title="Edit section: Metrics: efficiency and effectiveness"><span>edit</span></a><span class="mw-editsection-bracket">]</span></span></div> <p>Operations strategy concerns policies and plans of use of the firm productive resources with the aim of supporting long term competitive strategy. Metrics in operations management can be broadly classified into <a href="/wiki/Efficiency" title="Efficiency">efficiency</a> metrics and <a href="/wiki/Effectiveness" title="Effectiveness">effectiveness</a> metrics. Effectiveness metrics involve: </p> <ol><li><a href="/wiki/Price" title="Price">Price</a> (actually fixed by marketing, but lower bounded by production cost): purchase price, use costs, maintenance costs, upgrade costs, disposal costs</li> <li><a href="/wiki/Quality_(business)" title="Quality (business)">Quality</a>: specification and compliance</li> <li><a href="/wiki/Time" title="Time">Time</a>: productive <a href="/wiki/Lead_time" title="Lead time">lead time</a>, information lead time, <a href="/wiki/Punctuality" title="Punctuality">punctuality</a></li> <li><a href="/wiki/Flexibility_(engineering)" title="Flexibility (engineering)">Flexibility</a>: mix (capacity to change the <a href="/wiki/Proportionality_(mathematics)" title="Proportionality (mathematics)">proportions</a> between quantities produced in the system), volume (capacity to increase system <a href="/wiki/Output_(economics)" title="Output (economics)">output</a>), gamma (capacity to expand the product family in the system)</li> <li>Stock <a href="/wiki/Availability" title="Availability">availability</a></li> <li>Ecological Soundness: biological and <a href="/wiki/Environmental_impact_assessment" title="Environmental impact assessment">environmental impacts</a> of the system under study.</li></ol> <p>A more recent approach, introduced by Terry Hill,<sup id="cite_ref-46" class="reference"><a href="#cite_note-46"><span class="cite-bracket">[</span>46<span class="cite-bracket">]</span></a></sup> involves distinguishing competitive variables in order winner and order qualifiers when defining operations strategy. Order winners are variables which permit differentiating the company from competitors, while order qualifiers are prerequisites for engaging in a transaction. This view can be seen as a unifying approach between operations management and <a href="/wiki/Marketing" title="Marketing">marketing</a> (see <a href="/wiki/Market_segment" class="mw-redirect" title="Market segment">segmentation</a> and <a href="/wiki/Positioning_(marketing)" title="Positioning (marketing)">positioning</a>). </p><p><a href="/wiki/Productivity" title="Productivity">Productivity</a> is a standard efficiency metric for evaluation of production systems, broadly speaking a ratio between outputs and inputs, and can assume many specific forms,<sup id="cite_ref-47" class="reference"><a href="#cite_note-47"><span class="cite-bracket">[</span>47<span class="cite-bracket">]</span></a></sup> for example: machine productivity, workforce productivity, raw material productivity, warehouse productivity (=<a href="/wiki/Inventory_turnover" title="Inventory turnover">inventory turnover</a>). It is also useful to break up productivity in use U (productive percentage of total time) and yield η (ratio between produced volume and productive time) to better evaluate production systems performances. Cycle times can be modeled through <a href="/wiki/Manufacturing" title="Manufacturing">manufacturing</a> engineering if the individual operations are heavily automated, if the manual component is the prevalent one, methods used include: <a href="/wiki/Time_and_motion_study" title="Time and motion study">time and motion study</a>, <a href="/wiki/Predetermined_motion_time_systems" class="mw-redirect" title="Predetermined motion time systems">predetermined motion time systems</a> and <a href="/wiki/Work_sampling" title="Work sampling">work sampling</a>. </p> <figure class="mw-halign-right" typeof="mw:File/Thumb"><a href="/wiki/File:ABC_class.jpg" class="mw-file-description"><img src="//upload.wikimedia.org/wikipedia/commons/thumb/a/ac/ABC_class.jpg/400px-ABC_class.jpg" decoding="async" width="400" height="278" class="mw-file-element" srcset="//upload.wikimedia.org/wikipedia/commons/thumb/a/ac/ABC_class.jpg/600px-ABC_class.jpg 1.5x, //upload.wikimedia.org/wikipedia/commons/thumb/a/ac/ABC_class.jpg/800px-ABC_class.jpg 2x" data-file-width="925" data-file-height="644" /></a><figcaption>An ABC cumulated curve. Typically one curve is constructed for revenue (consumption) and another for inventory (stock).</figcaption></figure> <p><a href="/wiki/ABC_analysis" title="ABC analysis">ABC analysis</a> is a method for analyzing inventory based on <a href="/wiki/Pareto_distribution" title="Pareto distribution">Pareto distribution</a>, it posits that since revenue from items on inventory will be <a href="/wiki/Power_law" title="Power law">power law</a> distributed then it makes sense to manage items differently based on their position on a revenue-inventory level matrix, 3 classes are constructed (A, B and C) from cumulative item revenues, so in a matrix each item will have a letter (A, B or C) assigned for revenue and inventory. This method posits that items away from the diagonal should be managed differently: items in the upper part are subject to risk of obsolescence, items in the lower part are subject to risk of <a href="/wiki/Stockout" title="Stockout">stockout</a>. </p><p><a href="/wiki/Throughput_(business)" title="Throughput (business)">Throughput</a> is a variable which quantifies the number of parts produced in the unit of time. Although estimating throughput for a single process maybe fairly simple, doing so for an entire production system involves an additional difficulty due to the presence of queues which can come from: machine <a href="/wiki/Breakdown_(vehicle)" title="Breakdown (vehicle)">breakdowns</a>, processing time variability, scraps, setups, <a href="/wiki/Maintenance,_repair_and_operations" class="mw-redirect" title="Maintenance, repair and operations">maintenance</a> time, lack of orders, lack of materials, <a href="/wiki/Strike_action" title="Strike action">strikes</a>, bad coordination between resources, mix variability, plus all these inefficiencies tend to compound depending on the nature of the production system. One important example of how system throughput is tied to system design are <a href="/wiki/Bottleneck_(production)" title="Bottleneck (production)">bottlenecks</a>: in job shops bottlenecks are typically dynamic and dependent on scheduling while on transfer lines it makes sense to speak of "the bottleneck" since it can be univocally associated with a specific station on the line. This leads to the problem of how to define <a href="/wiki/Productive_capacity" title="Productive capacity">capacity</a> measures, that is an estimation of the maximum output of a given production system, and <a href="/wiki/Capacity_utilization#Engineering_and_economic_measures" title="Capacity utilization">capacity utilization</a>. </p><p><a href="/wiki/Overall_equipment_effectiveness" title="Overall equipment effectiveness">Overall equipment effectiveness</a> (OEE) is defined as the product between system availability, cycle time efficiency and quality rate. OEE is typically used as key performance indicator (KPI) in conjunction with the lean manufacturing approach. </p> <div class="mw-heading mw-heading3"><h3 id="Configuration_and_management">Configuration and management</h3><span class="mw-editsection"><span class="mw-editsection-bracket">[</span><a href="/w/index.php?title=Operations_management&action=edit&section=12" title="Edit section: Configuration and management"><span>edit</span></a><span class="mw-editsection-bracket">]</span></span></div> <p>Designing the <i>configuration of production systems</i> involves both <a href="/wiki/Technological" class="mw-redirect" title="Technological">technological</a> and <a href="/wiki/Organizational" class="mw-redirect" title="Organizational">organizational</a> variables. Choices in production technology involve: dimensioning <a href="/wiki/Productive_capacity" title="Productive capacity">capacity</a>, fractioning capacity, capacity location, <a href="/wiki/Outsourcing" title="Outsourcing">outsourcing</a> processes, process technology, <a href="/wiki/Automation" title="Automation">automation</a> of operations, trade-off between volume and variety (see <a href="/wiki/Hayes-Wheelwright_matrix" title="Hayes-Wheelwright matrix">Hayes-Wheelwright matrix</a>). Choices in the organizational area involve: defining worker <a href="/wiki/Skills" class="mw-redirect" title="Skills">skills</a> and <a href="/wiki/Accountability" title="Accountability">responsibilities</a>, team coordination, worker incentives and information flow. </p><p>In <i><a href="/wiki/Production_planning" title="Production planning">production planning</a></i>, there is a basic distinction between the <a href="/wiki/Push-pull_strategy" class="mw-redirect" title="Push-pull strategy">push</a> approach and the <a href="/wiki/Push%E2%80%93pull_strategy" title="Push–pull strategy">pull</a> approach, with the later including the singular approach of <a href="/wiki/Just_in_time_(business)" class="mw-redirect" title="Just in time (business)">just in time</a>. Pull means that the production system authorizes production based on inventory level; push means that production occurs based on demand (forecasted or present, that is <a href="/wiki/Purchase_orders" class="mw-redirect" title="Purchase orders">purchase orders</a>). An individual production system can be both push and pull; for example activities before the CODP may work under a pull system, while activities after the CODP may work under a push system. </p> <figure class="mw-halign-right" typeof="mw:File/Thumb"><a href="/wiki/File:Eoq_inventory_0001.png" class="mw-file-description"><img src="//upload.wikimedia.org/wikipedia/commons/thumb/a/a2/Eoq_inventory_0001.png/320px-Eoq_inventory_0001.png" decoding="async" width="320" height="192" class="mw-file-element" srcset="//upload.wikimedia.org/wikipedia/commons/thumb/a/a2/Eoq_inventory_0001.png/480px-Eoq_inventory_0001.png 1.5x, //upload.wikimedia.org/wikipedia/commons/a/a2/Eoq_inventory_0001.png 2x" data-file-width="500" data-file-height="300" /></a><figcaption>Classic EOQ model: trade-off between ordering cost (blue) and <a href="/wiki/Holding_cost" class="mw-redirect" title="Holding cost">holding cost</a> (red). Total cost (green) admits a <a href="/wiki/Global_optimum" class="mw-redirect" title="Global optimum">global optimum</a>.</figcaption></figure> <p>The traditional pull approach to <a href="/wiki/Inventory_control" title="Inventory control">inventory control</a>, a number of techniques have been developed based on the work of Ford W. Harris<sup id="cite_ref-jstor170962_18-2" class="reference"><a href="#cite_note-jstor170962-18"><span class="cite-bracket">[</span>18<span class="cite-bracket">]</span></a></sup> (1913), which came to be known as the <a href="/wiki/Economic_order_quantity" title="Economic order quantity">economic order quantity</a> (EOQ) model. This model marks the beginning of <a href="/wiki/Inventory_theory" title="Inventory theory">inventory theory</a>, which includes the <a href="/wiki/Dynamic_lot-size_model" title="Dynamic lot-size model">Wagner-Within procedure</a>, the <a href="/wiki/Newsvendor_model" title="Newsvendor model">newsvendor model</a>, <a href="/wiki/Base_stock_model" title="Base stock model">base stock model</a> and the <a href="/w/index.php?title=Fixed_time_period_model&action=edit&redlink=1" class="new" title="Fixed time period model (page does not exist)">fixed time period model</a>. These models usually involve the calculation of <a href="/wiki/Cycle_stocks" class="mw-redirect" title="Cycle stocks">cycle stocks</a> and <a href="/wiki/Buffer_stocks" class="mw-redirect" title="Buffer stocks">buffer stocks</a>, the latter usually modeled as a function of demand variability. The economic production quantity<sup id="cite_ref-48" class="reference"><a href="#cite_note-48"><span class="cite-bracket">[</span>48<span class="cite-bracket">]</span></a></sup> (EPQ) differs from the EOQ model only in that it assumes a constant fill rate for the part being produced, instead of the instantaneous refilling of the EOQ model. </p> <figure class="mw-halign-right" typeof="mw:File/Thumb"><a href="/wiki/File:MRP2.jpg" class="mw-file-description"><img src="//upload.wikimedia.org/wikipedia/commons/thumb/f/f4/MRP2.jpg/320px-MRP2.jpg" decoding="async" width="320" height="409" class="mw-file-element" srcset="//upload.wikimedia.org/wikipedia/commons/thumb/f/f4/MRP2.jpg/480px-MRP2.jpg 1.5x, //upload.wikimedia.org/wikipedia/commons/thumb/f/f4/MRP2.jpg/640px-MRP2.jpg 2x" data-file-width="665" data-file-height="850" /></a><figcaption>A typical MRPII construct: general planning (top) concerned with forecasts, capacity planning and inventory levels, programming (middle) concerned with calculation of <a href="/wiki/Workloads" class="mw-redirect" title="Workloads">workloads</a>, rough-cut capacity planning, MPS, <a href="/wiki/Capacity_planning" title="Capacity planning">capacity requirements planning</a>, traditional MRP planning, control (bottom) concerned with <a href="/wiki/Scheduling_(production_processes)" title="Scheduling (production processes)">scheduling</a>.</figcaption></figure> <p><a href="/w/index.php?title=Joseph_Orlickly&action=edit&redlink=1" class="new" title="Joseph Orlickly (page does not exist)">Joseph Orlickly</a> and others at IBM developed a <a href="/wiki/Push-pull_strategy" class="mw-redirect" title="Push-pull strategy">push</a> approach to inventory control and production planning, now known as <a href="/wiki/Material_requirements_planning" title="Material requirements planning">material requirements planning</a> (MRP), which takes as input both the <a href="/wiki/Master_production_schedule" title="Master production schedule">master production schedule</a> (MPS) and the <a href="/wiki/Bill_of_materials" title="Bill of materials">bill of materials</a> (BOM) and gives as output a schedule for the materials (components) needed in the production process. MRP therefore is a planning tool to manage <a href="/wiki/Purchase_orders" class="mw-redirect" title="Purchase orders">purchase orders</a> and production orders (also called jobs). </p><p>The MPS can be seen as a kind of aggregate planning for production coming in two fundamentally opposing varieties: plans which try to <a href="/wiki/Aggregate_planning#Chase_plans" title="Aggregate planning">chase</a> demand and <a href="/wiki/Aggregate_planning#Level_plans" title="Aggregate planning">level</a> plans which try to keep uniform capacity utilization. Many models have been proposed to solve MPS problems: </p> <ul><li>Analytical models (e.g. Magee Boodman model)</li> <li>Exact optimization algorithmic models (e.g. <a href="/wiki/Linear_programming" title="Linear programming">LP</a> and <a href="/wiki/Integer_programming#Canonical_and_standard_form_for_ILPs" title="Integer programming">ILP</a>)</li> <li><a href="/wiki/Heuristic" title="Heuristic">Heuristic</a> models (e.g. Aucamp model).</li></ul> <p>MRP can be briefly described as a 3s procedure: sum (different orders), split (in lots), shift (in time according to item lead time). To avoid an "explosion" of data processing in MRP (number of BOMs required in input) <a href="/w/index.php?title=Planning_bills&action=edit&redlink=1" class="new" title="Planning bills (page does not exist)">planning bills</a> (such as family bills or super bills) can be useful since they allow a rationalization of input data into common codes. MRP had some notorious problems such as infinite <a href="/wiki/Capacity_utilization" title="Capacity utilization">capacity</a> and fixed <a href="/wiki/Lead_times" class="mw-redirect" title="Lead times">lead times</a>, which influenced successive modifications of the original software architecture in the form of <a href="/wiki/MRP_II" class="mw-redirect" title="MRP II">MRP II</a>, <a href="/wiki/Enterprise_resource_planning" title="Enterprise resource planning">enterprise resource planning</a> (ERP) and <a href="/wiki/Advanced_planning_and_scheduling" title="Advanced planning and scheduling">advanced planning and scheduling</a> (APS). </p><p>In this context problems of <a href="/wiki/Scheduling_(production_processes)" title="Scheduling (production processes)">scheduling (sequencing of production)</a>, loading (tools to use), part type selection (parts to work on) and applications of <a href="/wiki/Operations_research" title="Operations research">operations research</a> have a significant role to play. </p><p><a href="/wiki/Lean_manufacturing" title="Lean manufacturing">Lean manufacturing</a> is an approach to production which arose in <a href="/wiki/Toyota" title="Toyota">Toyota</a> between the end of World War II and the seventies. It comes mainly from the ideas of <a href="/wiki/Taiichi_Ohno" title="Taiichi Ohno">Taiichi Ohno</a> and <a href="/wiki/Toyoda_Sakichi" class="mw-redirect" title="Toyoda Sakichi">Toyoda Sakichi</a> which are centered on the complementary notions of <a href="/wiki/Just_in_time_(business)" class="mw-redirect" title="Just in time (business)">just in time</a> and <a href="/wiki/Autonomation" title="Autonomation">autonomation</a> (jidoka), all aimed at reducing waste (usually applied in <a href="/wiki/PDCA" title="PDCA">PDCA</a> style). Some additional elements are also fundamental:<sup id="cite_ref-49" class="reference"><a href="#cite_note-49"><span class="cite-bracket">[</span>49<span class="cite-bracket">]</span></a></sup> production smoothing (Heijunka), capacity buffers, setup reduction, cross-training and plant layout. </p> <ul><li><a href="/wiki/Heijunka" class="mw-redirect" title="Heijunka">Heijunka</a>: production smoothing presupposes a level strategy for the <a href="/wiki/Master_Production_Schedule" class="mw-redirect" title="Master Production Schedule">MPS</a> and a <a href="/wiki/Final_assembly_schedule" title="Final assembly schedule">final assembly schedule</a> developed from the MPS by smoothing aggregate production requirements in smaller time buckets and sequencing final assembly to achieve repetitive manufacturing. <i>If these conditions are met</i>, <a href="/wiki/Expected_value" title="Expected value">expected</a> <a href="/wiki/Throughput_(business)" title="Throughput (business)">throughput</a> can be equaled to the inverse of <a href="/wiki/Takt_time" title="Takt time">takt time</a>. Besides volume, heijunka also means attaining <a href="/w/index.php?title=Mixed-model_production&action=edit&redlink=1" class="new" title="Mixed-model production (page does not exist)">mixed-model production</a>, which however may only be feasible through set-up reduction. A standard tool for achieving this is the <a href="/wiki/Heijunka_box" title="Heijunka box">Heijunka box</a>.</li> <li>Capacity buffers: ideally a JIT system would work with zero breakdowns, this however is very hard to achieve in practice, nonetheless Toyota favors acquiring extra capacity over extra WIP to deal with starvation.</li> <li><a href="/wiki/Setup_cost" class="mw-redirect" title="Setup cost">Set-up</a> reduction: typically necessary to achieve mixed-model production, a key distinction can be made between internal and external setup. Internal setups (e.g. removing a die) refers to tasks when the machine is not working, while external setups can be completed while the machine is running (ex:transporting dies).</li> <li><a href="/wiki/Cross-training_(business)" title="Cross-training (business)">Cross training</a>: important as an element of Autonomation, Toyota cross trained their employees through rotation, this served as an element of production flexibility, holistic thinking and reducing boredom.</li> <li><a href="/wiki/Process_layout" title="Process layout">Layout</a>: U-shaped lines or cells are common in the lean approach since they allow for minimum walking, greater worker efficiency and flexible capacity.</li></ul> <figure class="mw-halign-right" typeof="mw:File/Thumb"><a href="/wiki/File:Kanban_esp.png" class="mw-file-description"><img src="//upload.wikimedia.org/wikipedia/commons/thumb/b/bd/Kanban_esp.png/320px-Kanban_esp.png" decoding="async" width="320" height="179" class="mw-file-element" srcset="//upload.wikimedia.org/wikipedia/commons/thumb/b/bd/Kanban_esp.png/480px-Kanban_esp.png 1.5x, //upload.wikimedia.org/wikipedia/commons/thumb/b/bd/Kanban_esp.png/640px-Kanban_esp.png 2x" data-file-width="843" data-file-height="472" /></a><figcaption>When introducing kanbans in real production systems, attaining unitary lot from the start maybe unfeasible, therefore the kanban will represent a given lot size defined by management.</figcaption></figure> <p>A series of tools have been developed mainly with the objective of replicating Toyota success: a very common implementation involves small cards known as <a href="/wiki/Kanbans" class="mw-redirect" title="Kanbans">kanbans</a>; these also come in some varieties: reorder kanbans, alarm kanbans, triangular kanbans, etc. In the classic kanban procedure with one card: </p> <ul><li>Parts are kept in containers with their respective kanbans</li> <li>The downstream station moves the kanban to the upstream station and starts producing the part at the downstream station</li> <li>The upstream operator takes the most urgent kanban from his list (compare to <a href="/wiki/Kendall%27s_notation#D:_The_queue's_discipline" title="Kendall's notation">queue discipline</a> from queue theory) and produces it and attach its respective kanban</li></ul> <p>The two-card kanban procedure differs a bit: </p> <ul><li>The downstream operator takes the production kanban from his list</li> <li>If required parts are available he removes the move kanban and places them in another box, otherwise he chooses another production card</li> <li>He produces the part and attach its respective production kanban</li> <li>Periodically a mover picks up the move kanbans in upstream stations and search for the respective parts, when found he exchanges production kanbans for move kanbans and move the parts to downstream stations</li></ul> <p>Since the number of kanbans in the production system is set by managers as a constant number, the kanban procedure works as <a href="/wiki/Work_in_process" title="Work in process">WIP</a> controlling device, which for a given arrival rate, per <a href="/wiki/Little%27s_law" title="Little's law">Little's law</a>, works as a lead time controlling device. </p> <figure class="mw-halign-right" typeof="mw:File/Thumb"><a href="/wiki/File:Vsm-epa.gif" class="mw-file-description"><img src="//upload.wikimedia.org/wikipedia/commons/thumb/6/67/Vsm-epa.gif/320px-Vsm-epa.gif" decoding="async" width="320" height="225" class="mw-file-element" srcset="//upload.wikimedia.org/wikipedia/commons/thumb/6/67/Vsm-epa.gif/480px-Vsm-epa.gif 1.5x, //upload.wikimedia.org/wikipedia/commons/thumb/6/67/Vsm-epa.gif/640px-Vsm-epa.gif 2x" data-file-width="798" data-file-height="562" /></a><figcaption><a href="/wiki/Value_stream_mapping" class="mw-redirect" title="Value stream mapping">Value stream mapping</a>, a representation of materials and information flows inside a company, mainly used in the lean manufacturing approach. The calculation of the time-line (bottom) usually involves using <a href="/wiki/Little%27s_law" title="Little's law">Little's law</a> to derive lead time from stock levels and <a href="/wiki/Takt_time" title="Takt time">takt time</a>.</figcaption></figure> <p>In Toyota the TPS represented more of a philosophy of production than a set of specific lean tools, the latter would include: </p> <ul><li><a href="/wiki/Single-Minute_Exchange_of_Die" class="mw-redirect" title="Single-Minute Exchange of Die">SMED</a>: a method for reducing changeover times</li> <li><a href="/wiki/Value_stream_mapping" class="mw-redirect" title="Value stream mapping">Value stream mapping</a>: a graphical method for analyzing the current state and designing a future state</li> <li>lot-size reduction</li> <li>elimination of time batching</li> <li><a href="/wiki/Production_flow_analysis#Rank_order_clustering" title="Production flow analysis">Rank order clustering</a>: an algorithm which groups machines and product families together, used for designing <a href="/wiki/Manufacturing_cells" class="mw-redirect" title="Manufacturing cells">manufacturing cells</a></li> <li>single-point <a href="/wiki/Scheduling_(production_processes)" title="Scheduling (production processes)">scheduling</a>, the opposite of the traditional push approach</li> <li><a href="/w/index.php?title=Multi-process_handling&action=edit&redlink=1" class="new" title="Multi-process handling (page does not exist)">multi-process handling</a>: when one operator is responsible for operating several machines or processes</li> <li><a href="/wiki/Poka-yoke" title="Poka-yoke">poka-yoke</a>: any mechanism in lean manufacturing that helps an equipment operator avoid (<i>yokeru</i>) mistakes (<i>poka</i>)</li> <li><a href="/wiki/5S_(methodology)" title="5S (methodology)">5S</a>: describes how to organize a work space for efficiency and effectiveness by identifying and storing the items used, maintaining the area and items, and sustaining the new order</li> <li><a href="/wiki/Backflush_accounting" title="Backflush accounting">backflush accounting</a>: a product costing approach in which costing is delayed until goods are finished</li></ul> <p>Seen more broadly, JIT can include methods such as: product standardization and <a href="/wiki/Modularity#Modularity_in_technology_and_management" title="Modularity">modularity</a>, <a href="/wiki/Group_technology" title="Group technology">group technology</a>, <a href="/wiki/Total_productive_maintenance" title="Total productive maintenance">total productive maintenance</a>, <a href="/wiki/Job_enlargement" title="Job enlargement">job enlargement</a>, <a href="/wiki/Job_enrichment" title="Job enrichment">job enrichment</a>, <a href="/wiki/Flat_organization" title="Flat organization">flat organization</a> and <a href="/wiki/Vendor_rating" class="mw-redirect" title="Vendor rating">vendor rating</a> (JIT production is very sensitive to replenishment conditions). </p><p>In heavily <a href="/wiki/Automated" class="mw-redirect" title="Automated">automated</a> production systems production planning and information gathering may be executed via the <a href="/wiki/Control_system" title="Control system">control system</a>, attention should be paid however to avoid problems such as <a href="/wiki/Deadlock_(computer_science)" title="Deadlock (computer science)">deadlocks</a>, as these can lead to productivity losses. </p><p><a href="/wiki/Project_production_management" title="Project production management">Project production management</a> (PPM) applies the concepts of operations management to the execution of delivery of capital projects by viewing the sequence of activities in a project as a production system.<sup id="cite_ref-50" class="reference"><a href="#cite_note-50"><span class="cite-bracket">[</span>50<span class="cite-bracket">]</span></a></sup><sup id="cite_ref-51" class="reference"><a href="#cite_note-51"><span class="cite-bracket">[</span>51<span class="cite-bracket">]</span></a></sup> Operations managements principles of variability reduction and management are applied by buffering through a combination of capacity, time and inventory. </p> <div class="mw-heading mw-heading3"><h3 id="Optimization_modeling">Optimization modeling</h3><span class="mw-editsection"><span class="mw-editsection-bracket">[</span><a href="/w/index.php?title=Operations_management&action=edit&section=13" title="Edit section: Optimization modeling"><span>edit</span></a><span class="mw-editsection-bracket">]</span></span></div> <figure class="mw-default-size mw-halign-left" typeof="mw:File/Thumb"><a href="/wiki/File:ServidorParalelo.jpg" class="mw-file-description"><img src="//upload.wikimedia.org/wikipedia/commons/thumb/2/2b/ServidorParalelo.jpg/220px-ServidorParalelo.jpg" decoding="async" width="220" height="189" class="mw-file-element" srcset="//upload.wikimedia.org/wikipedia/commons/thumb/2/2b/ServidorParalelo.jpg/330px-ServidorParalelo.jpg 1.5x, //upload.wikimedia.org/wikipedia/commons/thumb/2/2b/ServidorParalelo.jpg/440px-ServidorParalelo.jpg 2x" data-file-width="643" data-file-height="551" /></a><figcaption><a href="/wiki/Queueing_network#Queueing_networks" class="mw-redirect" title="Queueing network">Queue networks</a> are systems in which single queues are connected by a routing network. In this image servers are represented by circles, queues by a series of rectangles and the routing network by arrows. In the study of queue networks one typically tries to obtain the <a href="/wiki/Equilibrium_distribution" class="mw-redirect" title="Equilibrium distribution">equilibrium distribution</a> of the network.</figcaption></figure> <figure class="mw-default-size mw-halign-right" typeof="mw:File/Thumb"><a href="/wiki/File:Simplex-method-3-dimensions.png" class="mw-file-description"><img src="//upload.wikimedia.org/wikipedia/commons/thumb/d/d4/Simplex-method-3-dimensions.png/220px-Simplex-method-3-dimensions.png" decoding="async" width="220" height="220" class="mw-file-element" srcset="//upload.wikimedia.org/wikipedia/commons/thumb/d/d4/Simplex-method-3-dimensions.png/330px-Simplex-method-3-dimensions.png 1.5x, //upload.wikimedia.org/wikipedia/commons/thumb/d/d4/Simplex-method-3-dimensions.png/440px-Simplex-method-3-dimensions.png 2x" data-file-width="512" data-file-height="512" /></a><figcaption>Illustration of the <a href="/wiki/Simplex_method" class="mw-redirect" title="Simplex method">Simplex method</a>, a classical approach to solving <a href="/wiki/Linear_programming" title="Linear programming">LP</a> optimization problems and also <a href="/wiki/Integer_programming" title="Integer programming">integer programming</a> (ex: <a href="/wiki/Branch_and_cut" title="Branch and cut">branch and cut</a>). This technique is mainly used in push approach<sup id="cite_ref-:0_3-1" class="reference"><a href="#cite_note-:0-3"><span class="cite-bracket">[</span>3<span class="cite-bracket">]</span></a></sup> but also in production system configuration.<sup id="cite_ref-PortPozz_37-1" class="reference"><a href="#cite_note-PortPozz-37"><span class="cite-bracket">[</span>37<span class="cite-bracket">]</span></a></sup> The interior and surface of the green <a href="/wiki/Polytope" title="Polytope">polytope</a> geometrically represent the <a href="/wiki/Feasible_region" title="Feasible region">feasible region</a>, while the red line indicates the optimally chosen sequence of <a href="/wiki/Pivot_operations" class="mw-redirect" title="Pivot operations">pivot operations</a> used to reach the <a href="/wiki/Optimal_solution" class="mw-redirect" title="Optimal solution">optimal solution</a>.</figcaption></figure> <p>There are also fields of mathematical theory which have found applications in the field of operations management such as <a href="/wiki/Operations_research" title="Operations research">operations research</a>: mainly <a href="/wiki/Mathematical_optimization" title="Mathematical optimization">mathematical optimization</a> problems and <a href="/wiki/Queue_theory" class="mw-redirect" title="Queue theory">queue theory</a>. Queue theory is employed in modelling queue and processing times in production systems while mathematical optimization draws heavily from <a href="/wiki/Multivariate_calculus" class="mw-redirect" title="Multivariate calculus">multivariate calculus</a> and <a href="/wiki/Linear_algebra" title="Linear algebra">linear algebra</a>. Queue theory is based on <a href="/wiki/Markov_chain" title="Markov chain">Markov chains</a> and <a href="/wiki/Stochastic_process" title="Stochastic process">stochastic processes</a>.<sup id="cite_ref-52" class="reference"><a href="#cite_note-52"><span class="cite-bracket">[</span>52<span class="cite-bracket">]</span></a></sup> Computations of <a href="/wiki/Safety_stock" title="Safety stock">safety stocks</a> are usually based on modeling demand as a <a href="/wiki/Normal_distribution" title="Normal distribution">normal distribution</a> and MRP and some inventory problems can be formulated using <a href="/wiki/Optimal_control" title="Optimal control">optimal control</a>.<sup id="cite_ref-53" class="reference"><a href="#cite_note-53"><span class="cite-bracket">[</span>53<span class="cite-bracket">]</span></a></sup> </p><p>When analytical models are not enough, managers may resort to using <a href="/wiki/Simulation_of_production_systems" class="mw-redirect" title="Simulation of production systems">simulation</a>. Simulation has been traditionally done through the <a href="/wiki/Discrete_event_simulation" class="mw-redirect" title="Discrete event simulation">discrete event simulation</a> paradigm, where the simulation model possesses a state which can only change when a discrete event happens, which consists of a clock and list of events. The more recent <a href="/wiki/Transaction-level_modeling" title="Transaction-level modeling">transaction-level modeling</a> paradigm consists of a set of resources and a set of transactions: transactions move through a network of resources (nodes) according to a code, called a process. </p> <figure class="mw-halign-left" typeof="mw:File/Thumb"><a href="/wiki/File:Xbar_chart_for_a_paired_xbar_and_R_chart.svg" class="mw-file-description"><img src="//upload.wikimedia.org/wikipedia/commons/thumb/9/93/Xbar_chart_for_a_paired_xbar_and_R_chart.svg/300px-Xbar_chart_for_a_paired_xbar_and_R_chart.svg.png" decoding="async" width="300" height="300" class="mw-file-element" srcset="//upload.wikimedia.org/wikipedia/commons/thumb/9/93/Xbar_chart_for_a_paired_xbar_and_R_chart.svg/450px-Xbar_chart_for_a_paired_xbar_and_R_chart.svg.png 1.5x, //upload.wikimedia.org/wikipedia/commons/thumb/9/93/Xbar_chart_for_a_paired_xbar_and_R_chart.svg/600px-Xbar_chart_for_a_paired_xbar_and_R_chart.svg.png 2x" data-file-width="630" data-file-height="629" /></a><figcaption>A control chart: <a href="/wiki/Business_process" title="Business process">process</a> output variable is modeled by a <a href="/wiki/Probability_density_function" title="Probability density function">probability density function</a> and for each <a href="/wiki/Statistic" title="Statistic">statistic</a> of the <a href="/wiki/Sample_(statistics)" class="mw-redirect" title="Sample (statistics)">sample</a> an upper control line and lower control line are fixed. When the statistic moves out of bounds, an alarm is given and possible causes are investigated. In this drawing the statistic of choice is the <a href="/wiki/Mean" title="Mean">mean</a> and red points represent alarm points.</figcaption></figure> <p>Since real production processes are always affected by disturbances in both inputs and outputs, many companies implement some form of <a href="/wiki/Quality_management" title="Quality management">quality management</a> or <a href="/wiki/Quality_control" title="Quality control">quality control</a>. The <a href="/wiki/Seven_Basic_Tools_of_Quality" class="mw-redirect" title="Seven Basic Tools of Quality">Seven Basic Tools of Quality</a> designation provides a summary of commonly used tools: </p> <ul><li><a href="/wiki/Check_sheet" title="Check sheet">check sheets</a></li> <li><a href="/wiki/Pareto_chart" title="Pareto chart">Pareto charts</a></li> <li><a href="/wiki/Ishikawa_diagrams" class="mw-redirect" title="Ishikawa diagrams">Ishikawa diagrams</a> (Cause-and-effect diagram)</li> <li><a href="/wiki/Control_charts" class="mw-redirect" title="Control charts">control charts</a></li> <li><a href="/wiki/Histogram" title="Histogram">histogram</a></li> <li><a href="/wiki/Scatter_diagram" class="mw-redirect" title="Scatter diagram">scatter diagram</a></li> <li><a href="/wiki/Stratified_sampling" title="Stratified sampling">stratification</a></li></ul> <p>These are used in approaches like <a href="/wiki/Total_quality_management" title="Total quality management">total quality management</a> and <a href="/wiki/Six_Sigma" title="Six Sigma">Six Sigma</a>. Keeping quality under control is relevant to both increasing customer satisfaction and reducing processing waste. </p><p>Operations management <a href="/wiki/Textbooks" class="mw-redirect" title="Textbooks">textbooks</a> usually cover <a href="/wiki/Demand_forecasting" title="Demand forecasting">demand forecasting</a>, even though it is not strictly speaking an operations problem, because demand is related to some production systems variables. For example, a classic approach in dimensioning <a href="/wiki/Safety_stocks" class="mw-redirect" title="Safety stocks">safety stocks</a> requires calculating the <a href="/wiki/Standard_deviation" title="Standard deviation">standard deviation</a> of <a href="/wiki/Forecast_errors" class="mw-redirect" title="Forecast errors">forecast errors</a>. <a href="/wiki/Demand_forecasting" title="Demand forecasting">Demand forecasting</a> is also a critical part of push systems, since order releases have to be planned ahead of actual clients’ orders. Also, any serious discussion of <a href="/wiki/Capacity_planning" title="Capacity planning">capacity planning</a> involves adjusting company outputs with market demands. </p> <div class="mw-heading mw-heading3"><h3 id="Safety,_risk_and_maintenance"><span id="Safety.2C_risk_and_maintenance"></span>Safety, risk and maintenance</h3><span class="mw-editsection"><span class="mw-editsection-bracket">[</span><a href="/w/index.php?title=Operations_management&action=edit&section=14" title="Edit section: Safety, risk and maintenance"><span>edit</span></a><span class="mw-editsection-bracket">]</span></span></div> <p>Other important <a href="/wiki/Management" title="Management">management</a> problems involve <a href="/wiki/Maintenance,_repair_and_operations" class="mw-redirect" title="Maintenance, repair and operations">maintenance</a> policies<sup id="cite_ref-54" class="reference"><a href="#cite_note-54"><span class="cite-bracket">[</span>54<span class="cite-bracket">]</span></a></sup> (see also <a href="/wiki/Reliability_engineering" title="Reliability engineering">reliability engineering</a> and <a href="/wiki/Maintenance_philosophy" title="Maintenance philosophy">maintenance philosophy</a>), <a href="/wiki/Safety_management_systems" class="mw-redirect" title="Safety management systems">safety management systems</a> (see also <a href="/wiki/Safety_engineering" title="Safety engineering">safety engineering</a> and <a href="/wiki/Risk_management" title="Risk management">risk management</a>), <a href="/wiki/Facility_management" title="Facility management">facility management</a> and <a href="/wiki/Supply_chain_management" title="Supply chain management">supply chain</a> integration. </p> <div class="mw-heading mw-heading2"><h2 id="Organizations">Organizations</h2><span class="mw-editsection"><span class="mw-editsection-bracket">[</span><a href="/w/index.php?title=Operations_management&action=edit&section=15" title="Edit section: Organizations"><span>edit</span></a><span class="mw-editsection-bracket">]</span></span></div> <p>The following organizations support and promote operations management: </p> <ul><li><a href="/wiki/APICS_The_Association_for_Operations_Management" class="mw-redirect" title="APICS The Association for Operations Management">Association for Operations Management</a> (APICS) which supports the <i>Production and Inventory Management Journal</i></li> <li>European Operations Management Association (EurOMA) which supports the <a href="/wiki/International_Journal_of_Operations_%26_Production_Management" title="International Journal of Operations & Production Management">International Journal of Operations & Production Management</a></li> <li>Production and Operations Management Society (POMS) which supports the journal: <i><a href="/wiki/Production_and_Operations_Management" title="Production and Operations Management">Production and Operations Management</a></i></li> <li><a href="/wiki/Institute_for_Operations_Research_and_the_Management_Sciences" title="Institute for Operations Research and the Management Sciences">Institute for Operations Research and the Management Sciences</a> (INFORMS)</li> <li>The Manufacturing and Service Operations Management Society (MSOM) of INFORMS which supports the journal: <a href="/wiki/Manufacturing_%26_Service_Operations_Management" title="Manufacturing & Service Operations Management">Manufacturing & Service Operations Management</a></li> <li>Institute of Operations Management (UK)</li> <li><a href="/wiki/Association_of_Technology,_Management,_and_Applied_Engineering" title="Association of Technology, Management, and Applied Engineering">Association of Technology, Management, and Applied Engineering</a> (ATMAE)</li></ul> <div class="mw-heading mw-heading2"><h2 id="Journals">Journals</h2><span class="mw-editsection"><span class="mw-editsection-bracket">[</span><a href="/w/index.php?title=Operations_management&action=edit&section=16" title="Edit section: Journals"><span>edit</span></a><span class="mw-editsection-bracket">]</span></span></div> <p>The following high-ranked<sup id="cite_ref-55" class="reference"><a href="#cite_note-55"><span class="cite-bracket">[</span>55<span class="cite-bracket">]</span></a></sup> academic journals are concerned with operations management issues: </p> <ul><li><i><a href="/wiki/Management_Science_(journal)" title="Management Science (journal)">Management Science</a></i></li> <li><i><a href="/wiki/Manufacturing_%26_Service_Operations_Management" title="Manufacturing & Service Operations Management">Manufacturing & Service Operations Management</a></i></li> <li><i><a href="/wiki/Operations_Research:_A_Journal_of_the_Institute_for_Operations_Research_and_the_Management_Sciences" class="mw-redirect" title="Operations Research: A Journal of the Institute for Operations Research and the Management Sciences">Operations Research</a></i></li> <li><i><a href="/wiki/International_Journal_of_Operations_%26_Production_Management" title="International Journal of Operations & Production Management">International Journal of Operations & Production Management</a></i></li> <li><i><a href="/wiki/Production_and_Operations_Management" title="Production and Operations Management">Production and Operations Management</a></i></li> <li><i><a href="/wiki/Transportation_Research_Part_E" title="Transportation Research Part E">Transportation Research – Part E</a></i></li> <li><i><a href="/wiki/Journal_of_Operations_Management" title="Journal of Operations Management">Journal of Operations Management</a></i></li> <li><i><a href="/wiki/European_Journal_of_Operational_Research" title="European Journal of Operational Research">European Journal of Operational Research</a></i></li> <li><i>Annals of Operations Research</i></li> <li><i><a href="/wiki/Elsevier" title="Elsevier">International Journal of Production Economics</a></i></li> <li><i><a href="/wiki/Taylor_%26_Francis" title="Taylor & Francis">International Journal of Production Research</a></i></li></ul> <div class="mw-heading mw-heading2"><h2 id="See_also">See also</h2><span class="mw-editsection"><span class="mw-editsection-bracket">[</span><a href="/w/index.php?title=Operations_management&action=edit&section=17" title="Edit section: See also"><span>edit</span></a><span class="mw-editsection-bracket">]</span></span></div> <style data-mw-deduplicate="TemplateStyles:r1266661725">.mw-parser-output .portalbox{padding:0;margin:0.5em 0;display:table;box-sizing:border-box;max-width:175px;list-style:none}.mw-parser-output .portalborder{border:1px solid var(--border-color-base,#a2a9b1);padding:0.1em;background:var(--background-color-neutral-subtle,#f8f9fa)}.mw-parser-output .portalbox-entry{display:table-row;font-size:85%;line-height:110%;height:1.9em;font-style:italic;font-weight:bold}.mw-parser-output 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href="/wiki/Silver%E2%80%93Meal_heuristic" title="Silver–Meal heuristic">Silver–Meal heuristic</a></li> <li><a href="/wiki/Supply_chain_operations" class="mw-redirect" title="Supply chain operations">Supply chain operations</a></li> <li><a href="/wiki/Work_breakdown_structure" title="Work breakdown structure">Work breakdown structure</a></li></ul> </div> <div class="mw-heading mw-heading2"><h2 id="References">References</h2><span class="mw-editsection"><span class="mw-editsection-bracket">[</span><a href="/w/index.php?title=Operations_management&action=edit&section=18" title="Edit section: References"><span>edit</span></a><span class="mw-editsection-bracket">]</span></span></div> <style data-mw-deduplicate="TemplateStyles:r1239543626">.mw-parser-output .reflist{margin-bottom:0.5em;list-style-type:decimal}@media screen{.mw-parser-output .reflist{font-size:90%}}.mw-parser-output .reflist .references{font-size:100%;margin-bottom:0;list-style-type:inherit}.mw-parser-output .reflist-columns-2{column-width:30em}.mw-parser-output .reflist-columns-3{column-width:25em}.mw-parser-output .reflist-columns{margin-top:0.3em}.mw-parser-output .reflist-columns ol{margin-top:0}.mw-parser-output .reflist-columns li{page-break-inside:avoid;break-inside:avoid-column}.mw-parser-output .reflist-upper-alpha{list-style-type:upper-alpha}.mw-parser-output .reflist-upper-roman{list-style-type:upper-roman}.mw-parser-output .reflist-lower-alpha{list-style-type:lower-alpha}.mw-parser-output .reflist-lower-greek{list-style-type:lower-greek}.mw-parser-output .reflist-lower-roman{list-style-type:lower-roman}</style><div class="reflist reflist-columns references-column-width" style="column-width: 30em;"> <ol class="references"> <li id="cite_note-1"><span class="mw-cite-backlink"><b><a href="#cite_ref-1">^</a></b></span> <span class="reference-text"><a rel="nofollow" class="external text" href="http://www.operationsacademia.org">OperationsAcademia.org: The state-of-the-art of PhD research in Operations Research/Management Science and related disciplines</a> Retrieved on October 22, 2016</span> </li> <li id="cite_note-2"><span class="mw-cite-backlink"><b><a href="#cite_ref-2">^</a></b></span> <span class="reference-text"><a rel="nofollow" class="external text" href="http://aqmauditing.com/what-is-operations-management.png">Great Operations: What is Operations Management</a> <a rel="nofollow" class="external text" href="https://web.archive.org/web/20161007172130/http://aqmauditing.com/what-is-operations-management.png">Archived</a> 2016-10-07 at the <a href="/wiki/Wayback_Machine" title="Wayback Machine">Wayback Machine</a> Retrieved on July 3, 2013</span> </li> <li id="cite_note-:0-3"><span class="mw-cite-backlink">^ <a href="#cite_ref-:0_3-0"><sup><i><b>a</b></i></sup></a> <a href="#cite_ref-:0_3-1"><sup><i><b>b</b></i></sup></a></span> <span class="reference-text"><a href="/wiki/R._B._Chase" class="mw-redirect" title="R. B. Chase">R. B. Chase</a>, F.R. Jacobs, N. Aquilano, Operations Management: For Competitive Advantage, McGraw-Hill 2007</span> </li> <li id="cite_note-4"><span class="mw-cite-backlink"><b><a href="#cite_ref-4">^</a></b></span> <span class="reference-text"><style data-mw-deduplicate="TemplateStyles:r1238218222">.mw-parser-output cite.citation{font-style:inherit;word-wrap:break-word}.mw-parser-output .citation q{quotes:"\"""\"""'""'"}.mw-parser-output .citation:target{background-color:rgba(0,127,255,0.133)}.mw-parser-output .id-lock-free.id-lock-free a{background:url("//upload.wikimedia.org/wikipedia/commons/6/65/Lock-green.svg")right 0.1em center/9px no-repeat}.mw-parser-output .id-lock-limited.id-lock-limited a,.mw-parser-output .id-lock-registration.id-lock-registration a{background:url("//upload.wikimedia.org/wikipedia/commons/d/d6/Lock-gray-alt-2.svg")right 0.1em center/9px no-repeat}.mw-parser-output .id-lock-subscription.id-lock-subscription a{background:url("//upload.wikimedia.org/wikipedia/commons/a/aa/Lock-red-alt-2.svg")right 0.1em center/9px no-repeat}.mw-parser-output .cs1-ws-icon a{background:url("//upload.wikimedia.org/wikipedia/commons/4/4c/Wikisource-logo.svg")right 0.1em center/12px no-repeat}body:not(.skin-timeless):not(.skin-minerva) .mw-parser-output .id-lock-free a,body:not(.skin-timeless):not(.skin-minerva) .mw-parser-output .id-lock-limited a,body:not(.skin-timeless):not(.skin-minerva) .mw-parser-output .id-lock-registration a,body:not(.skin-timeless):not(.skin-minerva) .mw-parser-output .id-lock-subscription a,body:not(.skin-timeless):not(.skin-minerva) .mw-parser-output .cs1-ws-icon a{background-size:contain;padding:0 1em 0 0}.mw-parser-output .cs1-code{color:inherit;background:inherit;border:none;padding:inherit}.mw-parser-output .cs1-hidden-error{display:none;color:var(--color-error,#d33)}.mw-parser-output .cs1-visible-error{color:var(--color-error,#d33)}.mw-parser-output .cs1-maint{display:none;color:#085;margin-left:0.3em}.mw-parser-output .cs1-kern-left{padding-left:0.2em}.mw-parser-output .cs1-kern-right{padding-right:0.2em}.mw-parser-output .citation .mw-selflink{font-weight:inherit}@media screen{.mw-parser-output .cs1-format{font-size:95%}html.skin-theme-clientpref-night .mw-parser-output .cs1-maint{color:#18911f}}@media screen and (prefers-color-scheme:dark){html.skin-theme-clientpref-os .mw-parser-output .cs1-maint{color:#18911f}}</style><cite id="CITEREFKrajewskiRitzman,_L._P.Malhorta,_M.J.2013" class="citation book cs1">Krajewski, L.J.; Ritzman, L. P.; Malhorta, M.J. (2013). <i>Operations Management: Processes and Supply Chains</i> (10th ed.). Pearson. <a href="/wiki/ISBN_(identifier)" class="mw-redirect" title="ISBN (identifier)">ISBN</a> <a href="/wiki/Special:BookSources/978-0-13-280739-5" title="Special:BookSources/978-0-13-280739-5"><bdi>978-0-13-280739-5</bdi></a>.</cite><span title="ctx_ver=Z39.88-2004&rft_val_fmt=info%3Aofi%2Ffmt%3Akev%3Amtx%3Abook&rft.genre=book&rft.btitle=Operations+Management%3A+Processes+and+Supply+Chains&rft.edition=10th&rft.pub=Pearson&rft.date=2013&rft.isbn=978-0-13-280739-5&rft.aulast=Krajewski&rft.aufirst=L.J.&rft.au=Ritzman%2C+L.+P.&rft.au=Malhorta%2C+M.J.&rfr_id=info%3Asid%2Fen.wikipedia.org%3AOperations+management" class="Z3988"></span></span> </li> <li id="cite_note-5"><span class="mw-cite-backlink"><b><a href="#cite_ref-5">^</a></b></span> <span class="reference-text"><link rel="mw-deduplicated-inline-style" href="mw-data:TemplateStyles:r1238218222"><cite id="CITEREFReidNada_R._Sanders2019" class="citation book cs1">Reid, R. Dan; Nada R. Sanders (2019). <a rel="nofollow" class="external text" href="https://www.worldcat.org/oclc/1119125081"><i>Operations management: an integrated approach</i></a> (Seventh ed.). Hoboken, NJ: Wiley. <a href="/wiki/ISBN_(identifier)" class="mw-redirect" title="ISBN (identifier)">ISBN</a> <a href="/wiki/Special:BookSources/978-1-119-49733-2" title="Special:BookSources/978-1-119-49733-2"><bdi>978-1-119-49733-2</bdi></a>. <a href="/wiki/OCLC_(identifier)" class="mw-redirect" title="OCLC (identifier)">OCLC</a> <a rel="nofollow" class="external text" href="https://search.worldcat.org/oclc/1119125081">1119125081</a>.</cite><span title="ctx_ver=Z39.88-2004&rft_val_fmt=info%3Aofi%2Ffmt%3Akev%3Amtx%3Abook&rft.genre=book&rft.btitle=Operations+management%3A+an+integrated+approach&rft.place=Hoboken%2C+NJ&rft.edition=Seventh&rft.pub=Wiley&rft.date=2019&rft_id=info%3Aoclcnum%2F1119125081&rft.isbn=978-1-119-49733-2&rft.aulast=Reid&rft.aufirst=R.+Dan&rft.au=Nada+R.+Sanders&rft_id=https%3A%2F%2Fwww.worldcat.org%2Foclc%2F1119125081&rfr_id=info%3Asid%2Fen.wikipedia.org%3AOperations+management" class="Z3988"></span></span> </li> <li id="cite_note-6"><span class="mw-cite-backlink"><b><a href="#cite_ref-6">^</a></b></span> <span class="reference-text"><link rel="mw-deduplicated-inline-style" href="mw-data:TemplateStyles:r1238218222"><cite id="CITEREFHannaW._Rocky_Newman2007" class="citation book cs1">Hanna, Mark; W. Rocky Newman (2007). <a rel="nofollow" class="external text" href="https://www.worldcat.org/oclc/73996956"><i>Integrated operations management: a supply chain perspective</i></a> (2nd ed.). Ohio, OH: Thomson/South-Western. <a href="/wiki/ISBN_(identifier)" class="mw-redirect" title="ISBN (identifier)">ISBN</a> <a href="/wiki/Special:BookSources/978-0-324-37787-3" title="Special:BookSources/978-0-324-37787-3"><bdi>978-0-324-37787-3</bdi></a>. <a href="/wiki/OCLC_(identifier)" class="mw-redirect" title="OCLC (identifier)">OCLC</a> <a rel="nofollow" class="external text" href="https://search.worldcat.org/oclc/73996956">73996956</a>.</cite><span title="ctx_ver=Z39.88-2004&rft_val_fmt=info%3Aofi%2Ffmt%3Akev%3Amtx%3Abook&rft.genre=book&rft.btitle=Integrated+operations+management%3A+a+supply+chain+perspective&rft.place=Ohio%2C+OH&rft.edition=2nd&rft.pub=Thomson%2FSouth-Western&rft.date=2007&rft_id=info%3Aoclcnum%2F73996956&rft.isbn=978-0-324-37787-3&rft.aulast=Hanna&rft.aufirst=Mark&rft.au=W.+Rocky+Newman&rft_id=https%3A%2F%2Fwww.worldcat.org%2Foclc%2F73996956&rfr_id=info%3Asid%2Fen.wikipedia.org%3AOperations+management" class="Z3988"></span></span> </li> <li id="cite_note-7"><span class="mw-cite-backlink"><b><a href="#cite_ref-7">^</a></b></span> <span class="reference-text">Friedrick Klemm, A history of Western Technology, Charles Scribner's Sons 1959 in D. A. Wren and A. G. Bedeian, The Evolution of Management Thought, Wiley 2009</span> </li> <li id="cite_note-8"><span class="mw-cite-backlink"><b><a href="#cite_ref-8">^</a></b></span> <span class="reference-text">Xenophon, <a href="/wiki/Cyropedia" class="mw-redirect" title="Cyropedia">Cyropedia</a>, Book VIII, Delphi Classics</span> </li> <li id="cite_note-9"><span class="mw-cite-backlink"><b><a href="#cite_ref-9">^</a></b></span> <span class="reference-text"><a href="/wiki/D._A._Wren" class="mw-redirect" title="D. A. Wren">D. A. Wren</a> and <a href="/wiki/A._G._Bedeian" class="mw-redirect" title="A. G. Bedeian">A. G. Bedeian</a>, The Evolution of Management Thought, Wiley 2009</span> </li> <li id="cite_note-10"><span class="mw-cite-backlink"><b><a href="#cite_ref-10">^</a></b></span> <span class="reference-text"><link rel="mw-deduplicated-inline-style" href="mw-data:TemplateStyles:r1238218222"><cite id="CITEREFFisk2003" class="citation web cs1">Fisk, Donald M. (2003-01-30). <a rel="nofollow" class="external text" href="https://www.bls.gov/opub/mlr/cwc/american-labor-in-the-20th-century.pdf">"American Labor in the 20th Century"</a> <span class="cs1-format">(PDF)</span>.</cite><span title="ctx_ver=Z39.88-2004&rft_val_fmt=info%3Aofi%2Ffmt%3Akev%3Amtx%3Abook&rft.genre=unknown&rft.btitle=American+Labor+in+the+20th+Century&rft.date=2003-01-30&rft.aulast=Fisk&rft.aufirst=Donald+M.&rft_id=https%3A%2F%2Fwww.bls.gov%2Fopub%2Fmlr%2Fcwc%2Famerican-labor-in-the-20th-century.pdf&rfr_id=info%3Asid%2Fen.wikipedia.org%3AOperations+management" class="Z3988"></span></span> </li> <li id="cite_note-11"><span class="mw-cite-backlink"><b><a href="#cite_ref-11">^</a></b></span> <span class="reference-text"><a href="/wiki/Henry_Ford" title="Henry Ford">Henry Ford</a>, Today and Tomorrow, New York, 1926</span> </li> <li id="cite_note-12"><span class="mw-cite-backlink"><b><a href="#cite_ref-12">^</a></b></span> <span class="reference-text"><link rel="mw-deduplicated-inline-style" href="mw-data:TemplateStyles:r1238218222"><cite id="CITEREFBell1973" class="citation book cs1">Bell, Daniel (1973). <span class="id-lock-registration" title="Free registration required"><a rel="nofollow" class="external text" href="https://archive.org/details/comingofpostind000bell"><i>The coming of the post-industrial society: a venture in social forecasting</i></a></span>. New York: Basic Books. <a href="/wiki/ISBN_(identifier)" class="mw-redirect" title="ISBN (identifier)">ISBN</a> <a href="/wiki/Special:BookSources/978-0465012817" title="Special:BookSources/978-0465012817"><bdi>978-0465012817</bdi></a>.</cite><span title="ctx_ver=Z39.88-2004&rft_val_fmt=info%3Aofi%2Ffmt%3Akev%3Amtx%3Abook&rft.genre=book&rft.btitle=The+coming+of+the+post-industrial+society%3A+a+venture+in+social+forecasting&rft.place=New+York&rft.pub=Basic+Books&rft.date=1973&rft.isbn=978-0465012817&rft.aulast=Bell&rft.aufirst=Daniel&rft_id=https%3A%2F%2Farchive.org%2Fdetails%2Fcomingofpostind000bell&rfr_id=info%3Asid%2Fen.wikipedia.org%3AOperations+management" class="Z3988"></span></span> </li> <li id="cite_note-13"><span class="mw-cite-backlink"><b><a href="#cite_ref-13">^</a></b></span> <span class="reference-text">Taylor, Frederick Winslow (1896), A Piece Rate System, read before the American Society of Mechanical Engineers <a rel="nofollow" class="external free" href="http://wps.prenhall.com/wps/media/objects/107/109902/ch17_a3_d2.pdf">http://wps.prenhall.com/wps/media/objects/107/109902/ch17_a3_d2.pdf</a></span> </li> <li id="cite_note-14"><span class="mw-cite-backlink"><b><a href="#cite_ref-14">^</a></b></span> <span class="reference-text"><a href="/wiki/Taylor,_F._W." class="mw-redirect" title="Taylor, F. W.">Taylor, F. W.</a>, On the Art of Cutting Metals, American Society of Mechanical Engineers (1906)</span> </li> <li id="cite_note-15"><span class="mw-cite-backlink"><b><a href="#cite_ref-15">^</a></b></span> <span class="reference-text"><a href="/wiki/Taylor,_F._W." class="mw-redirect" title="Taylor, F. W.">Taylor, F. W.</a>, <i>Shop Management</i> (1903), a handbook read before the American Society of mechanical engineers, New York (this has been republished in 1911 <a rel="nofollow" class="external free" href="https://archive.org/details/shopmanagement00taylgoog">https://archive.org/details/shopmanagement00taylgoog</a>)</span> </li> <li id="cite_note-16"><span class="mw-cite-backlink"><b><a href="#cite_ref-16">^</a></b></span> <span class="reference-text"><a href="/wiki/Taylor,_Frederick_Winslow" class="mw-redirect" title="Taylor, Frederick Winslow">Taylor, Frederick Winslow</a> (1911), The Principles of Scientific Management. New York, NY, US and London, UK: Harper & Brothers. LCCN 11010339. OCLC 233134. Also available from Project Gutenberg.</span> </li> <li id="cite_note-17"><span class="mw-cite-backlink"><b><a href="#cite_ref-17">^</a></b></span> <span class="reference-text">Frank Bunker Gilbreth, Lillian Moller Gilbreth (1921) <i><a rel="nofollow" class="external text" href="https://openlibrary.org/books/OL24983025M/Process_charts">Process Charts</a></i>. American Society of Mechanical Engineers.</span> </li> <li id="cite_note-jstor170962-18"><span class="mw-cite-backlink">^ <a href="#cite_ref-jstor170962_18-0"><sup><i><b>a</b></i></sup></a> <a href="#cite_ref-jstor170962_18-1"><sup><i><b>b</b></i></sup></a> <a href="#cite_ref-jstor170962_18-2"><sup><i><b>c</b></i></sup></a></span> <span class="reference-text"><link rel="mw-deduplicated-inline-style" href="mw-data:TemplateStyles:r1238218222"><cite id="CITEREFHarris1990" class="citation journal cs1">Harris, Ford W. (1990) [Reprint from 1913]. <a rel="nofollow" class="external text" href="http://userhome.brooklyn.cuny.edu/irudowsky/CIS10.31/articles/EOQModel-OriginalPaper.pdf">"How Many Parts to Make at Once"</a> <span class="cs1-format">(PDF)</span>. <i>Operations Research</i>. <b>38</b> (6). INFORMS: <span class="nowrap">947–</span>950. <a href="/wiki/Doi_(identifier)" class="mw-redirect" title="Doi (identifier)">doi</a>:<a rel="nofollow" class="external text" href="https://doi.org/10.1287%2Fopre.38.6.947">10.1287/opre.38.6.947</a>. <a href="/wiki/JSTOR_(identifier)" class="mw-redirect" title="JSTOR (identifier)">JSTOR</a> <a rel="nofollow" class="external text" href="https://www.jstor.org/stable/170962">170962</a><span class="reference-accessdate">. Retrieved <span class="nowrap">Nov 21,</span> 2012</span>.</cite><span title="ctx_ver=Z39.88-2004&rft_val_fmt=info%3Aofi%2Ffmt%3Akev%3Amtx%3Ajournal&rft.genre=article&rft.jtitle=Operations+Research&rft.atitle=How+Many+Parts+to+Make+at+Once&rft.volume=38&rft.issue=6&rft.pages=%3Cspan+class%3D%22nowrap%22%3E947-%3C%2Fspan%3E950&rft.date=1990&rft_id=info%3Adoi%2F10.1287%2Fopre.38.6.947&rft_id=https%3A%2F%2Fwww.jstor.org%2Fstable%2F170962%23id-name%3DJSTOR&rft.aulast=Harris&rft.aufirst=Ford+W.&rft_id=http%3A%2F%2Fuserhome.brooklyn.cuny.edu%2Firudowsky%2FCIS10.31%2Farticles%2FEOQModel-OriginalPaper.pdf&rfr_id=info%3Asid%2Fen.wikipedia.org%3AOperations+management" class="Z3988"></span></span> </li> <li id="cite_note-Shewhart-19"><span class="mw-cite-backlink">^ <a href="#cite_ref-Shewhart_19-0"><sup><i><b>a</b></i></sup></a> <a href="#cite_ref-Shewhart_19-1"><sup><i><b>b</b></i></sup></a></span> <span class="reference-text"><a href="/wiki/Shewhart,_Walter_Andrew" class="mw-redirect" title="Shewhart, Walter Andrew">Shewhart, Walter Andrew</a>, Economic control of quality of manufactured product, 1931, New York: D. Van Nostrand Company. pp. 501 <link rel="mw-deduplicated-inline-style" href="mw-data:TemplateStyles:r1238218222"><a href="/wiki/ISBN_(identifier)" class="mw-redirect" title="ISBN (identifier)">ISBN</a> <a href="/wiki/Special:BookSources/0-87389-076-0" title="Special:BookSources/0-87389-076-0">0-87389-076-0</a> (edition 1st). LCCN 132090. OCLC 1045408. LCC TS155 .S47.</span> </li> <li id="cite_note-Montgomery-20"><span class="mw-cite-backlink">^ <a href="#cite_ref-Montgomery_20-0"><sup><i><b>a</b></i></sup></a> <a href="#cite_ref-Montgomery_20-1"><sup><i><b>b</b></i></sup></a></span> <span class="reference-text">D.C. Montgomery, <i>Statistical Quality Control: A Modern Introduction</i>, 7th edition 2012</span> </li> <li id="cite_note-MTM-21"><span class="mw-cite-backlink"><b><a href="#cite_ref-MTM_21-0">^</a></b></span> <span class="reference-text">H.B. Maynard, J.L. Schwab, G.J. 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Champy">J.Champy</a>, Reengineering the Corporation: A Manifesto for Business Revolution, Harper Business 1993</span> </li> <li id="cite_note-35"><span class="mw-cite-backlink"><b><a href="#cite_ref-35">^</a></b></span> <span class="reference-text"><a href="/wiki/James_P._Womack" title="James P. Womack">Womack</a>, Jones, Roos, The Machine that Changed the World, Free Press, 1990</span> </li> <li id="cite_note-kumar-suresh-36"><span class="mw-cite-backlink">^ <a href="#cite_ref-kumar-suresh_36-0"><sup><i><b>a</b></i></sup></a> <a href="#cite_ref-kumar-suresh_36-1"><sup><i><b>b</b></i></sup></a></span> <span class="reference-text"><link rel="mw-deduplicated-inline-style" href="mw-data:TemplateStyles:r1238218222"><cite id="CITEREFKumarSuresh2009" class="citation book cs1">Kumar, S. Anil; Suresh, N. (2009). <a rel="nofollow" class="external text" href="http://dspace.vnbrims.org:13000/jspui/bitstream/123456789/1911/1/Operations_Management.pdf"><i>Operations Management</i></a> <span class="cs1-format">(PDF)</span>. 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Portioli, A.Pozzetti, Progettazione dei sistemi produttivi, Hoepli 2003</span> </li> <li id="cite_note-38"><span class="mw-cite-backlink"><b><a href="#cite_ref-38">^</a></b></span> <span class="reference-text"><i>Note: this classification is very old but it has been subject to update as production systems have evolved over the 20th century, for a complete picture consult recent texts</i></span> </li> <li id="cite_note-39"><span class="mw-cite-backlink"><b><a href="#cite_ref-39">^</a></b></span> <span class="reference-text"><a href="/wiki/Hans_Wortmann" title="Hans Wortmann">J.C. Wortmann</a>, Chapter: "A classification scheme for master production schedule", in Efficiency of Manufacturing Systems, C. Berg, D. French and B. Wilson (eds) New York, Plenum Press 1983</span> </li> <li id="cite_note-40"><span class="mw-cite-backlink"><b><a href="#cite_ref-40">^</a></b></span> <span class="reference-text">Roger W. Schmenner, How Can Service Businesses Survive and Prosper?, Sloan Management Review, vol. 27, no. 3, Spring 1986 <a rel="nofollow" class="external free" href="http://umairbali.ekalaam.com/Business%20Process%20Workflow%20Analysis/Week6/SMR-ServiceBusiness.pdf">http://umairbali.ekalaam.com/Business%20Process%20Workflow%20Analysis/Week6/SMR-ServiceBusiness.pdf</a> <a rel="nofollow" class="external text" href="https://web.archive.org/web/20131113192206/http://umairbali.ekalaam.com/Business%20Process%20Workflow%20Analysis/Week6/SMR-ServiceBusiness.pdf">Archived</a> 2013-11-13 at the <a href="/wiki/Wayback_Machine" title="Wayback Machine">Wayback Machine</a></span> </li> <li id="cite_note-41"><span class="mw-cite-backlink"><b><a href="#cite_ref-41">^</a></b></span> <span class="reference-text"><link rel="mw-deduplicated-inline-style" href="mw-data:TemplateStyles:r1238218222"><cite class="citation web cs1"><a rel="nofollow" class="external text" href="http://www.madehow.com/Volume-1/Blue-Jeans.html">"How blue jeans is made – material, manufacture, making, history, used, procedure, steps, product, machine"</a>. <i>madehow.com</i>.</cite><span title="ctx_ver=Z39.88-2004&rft_val_fmt=info%3Aofi%2Ffmt%3Akev%3Amtx%3Ajournal&rft.genre=unknown&rft.jtitle=madehow.com&rft.atitle=How+blue+jeans+is+made+%E2%80%93+material%2C+manufacture%2C+making%2C+history%2C+used%2C+procedure%2C+steps%2C+product%2C+machine&rft_id=http%3A%2F%2Fwww.madehow.com%2FVolume-1%2FBlue-Jeans.html&rfr_id=info%3Asid%2Fen.wikipedia.org%3AOperations+management" class="Z3988"></span></span> </li> <li id="cite_note-42"><span class="mw-cite-backlink"><b><a href="#cite_ref-42">^</a></b></span> <span class="reference-text"><link rel="mw-deduplicated-inline-style" href="mw-data:TemplateStyles:r1238218222"><cite class="citation web cs1"><a rel="nofollow" class="external text" href="https://web.archive.org/web/20101203022303/http://trade.gov/publications/ita-newsletter/1010/services-sector-how-best-to-measure-it.asp">"The Services Sector: How Best to Measure it?"</a>. 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Spearman, McGraw-Hill, 2014, p 47    </span> </li> <li id="cite_note-51"><span class="mw-cite-backlink"><b><a href="#cite_ref-51">^</a></b></span> <span class="reference-text">"New Era of Project Delivery – Project as Production System", R. G. Shenoy and T. R. Zabelle, Journal of Project Production Management, Vol 1,  pp Nov 2016, pp 13–24 <a rel="nofollow" class="external free" href="https://www.researchgate.net/publication/312602707_New_Era_of_Project_Delivery_-_Project_as_Production_System">https://www.researchgate.net/publication/312602707_New_Era_of_Project_Delivery_-_Project_as_Production_System</a></span> </li> <li id="cite_note-52"><span class="mw-cite-backlink"><b><a href="#cite_ref-52">^</a></b></span> <span class="reference-text">Burnetas A.N. and M. N.Katehakis (1993).. "On Sequencing Two Types of Tasks on a Single Processor under Incomplete Information", Probability in the Engineering and Informational Sciences, 7 (1), 85–0119.</span> </li> <li id="cite_note-53"><span class="mw-cite-backlink"><b><a href="#cite_ref-53">^</a></b></span> <span class="reference-text">Zipkin Paul H., Foundations of Inventory Management, Boston: McGraw Hill, 2000, <link rel="mw-deduplicated-inline-style" href="mw-data:TemplateStyles:r1238218222"><a href="/wiki/ISBN_(identifier)" class="mw-redirect" title="ISBN (identifier)">ISBN</a> <a href="/wiki/Special:BookSources/0-256-11379-3" title="Special:BookSources/0-256-11379-3">0-256-11379-3</a></span> </li> <li id="cite_note-54"><span class="mw-cite-backlink"><b><a href="#cite_ref-54">^</a></b></span> <span class="reference-text">Katehakis M.N. and C. Derman (1989). "On the maintenance of systems composed of highly reliable components", Management Science, 6 (5): 16–28.</span> </li> <li id="cite_note-55"><span class="mw-cite-backlink"><b><a href="#cite_ref-55">^</a></b></span> <span class="reference-text"><link rel="mw-deduplicated-inline-style" href="mw-data:TemplateStyles:r1238218222"><cite class="citation web cs1"><a rel="nofollow" class="external text" href="https://web.archive.org/web/20130527204046/http://vhbonline.org/uploads/media/Ranking_Gesamt_2.1.pdf">"Rankings"</a> <span class="cs1-format">(PDF)</span>. Archived from <a rel="nofollow" class="external text" href="http://vhbonline.org/uploads/media/Ranking_Gesamt_2.1.pdf">the original</a> <span class="cs1-format">(PDF)</span> on 2013-05-27<span class="reference-accessdate">. Retrieved <span class="nowrap">2012-07-17</span></span>.</cite><span title="ctx_ver=Z39.88-2004&rft_val_fmt=info%3Aofi%2Ffmt%3Akev%3Amtx%3Abook&rft.genre=unknown&rft.btitle=Rankings&rft_id=http%3A%2F%2Fvhbonline.org%2Fuploads%2Fmedia%2FRanking_Gesamt_2.1.pdf&rfr_id=info%3Asid%2Fen.wikipedia.org%3AOperations+management" class="Z3988"></span></span> </li> </ol></div> <div class="mw-heading mw-heading3"><h3 id="Further_reading">Further reading</h3><span class="mw-editsection"><span class="mw-editsection-bracket">[</span><a href="/w/index.php?title=Operations_management&action=edit&section=19" title="Edit section: Further reading"><span>edit</span></a><span class="mw-editsection-bracket">]</span></span></div> <style data-mw-deduplicate="TemplateStyles:r1239549316">.mw-parser-output .refbegin{margin-bottom:0.5em}.mw-parser-output .refbegin-hanging-indents>ul{margin-left:0}.mw-parser-output .refbegin-hanging-indents>ul>li{margin-left:0;padding-left:3.2em;text-indent:-3.2em}.mw-parser-output .refbegin-hanging-indents ul,.mw-parser-output .refbegin-hanging-indents ul li{list-style:none}@media(max-width:720px){.mw-parser-output .refbegin-hanging-indents>ul>li{padding-left:1.6em;text-indent:-1.6em}}.mw-parser-output .refbegin-columns{margin-top:0.3em}.mw-parser-output .refbegin-columns ul{margin-top:0}.mw-parser-output .refbegin-columns li{page-break-inside:avoid;break-inside:avoid-column}@media screen{.mw-parser-output .refbegin{font-size:90%}}</style><div class="refbegin refbegin-columns references-column-width" style="column-width: 30em"> <ul><li><a href="/wiki/Daniel_A._Wren" title="Daniel A. Wren">Daniel Wren</a>, <i>The Evolution of Management Thought</i>, 3rd edition, New York Wiley 1987.</li> <li>W. Hopp, M. Spearman, <i><a href="/wiki/Factory_Physics" title="Factory Physics">Factory Physics</a></i>, 3rd ed. Waveland Press, 2011 <a rel="nofollow" class="external text" href="https://books.google.com/books?id=TfcWAAAAQBAJ">online</a> (Part 1 contains both description and critical evaluation of the historical development of the field).</li> <li><a href="/wiki/Richard_B._Chase" title="Richard B. Chase">R. B. Chase</a>, F. R. Jacobs, N. J.Aquilano, <i>Operations Management for Competitive Advantage</i>, 11th edition, McGraw-Hill, 2007.</li> <li>Askin, R. G., C.R. Standridge, <i>Modeling & Analysis Of Manufacturing Systems</i>, John Wiley and Sons, New York 1993.</li> <li>J. A. Buzacott, J. G. Shanthikumar, <i>Stochastic models of manufacturing systems</i>, Prentice Hall, 1993.</li> <li>D. C. Montgomery, <i>Statistical Quality Control: A Modern Introduction</i>, 7th edition, 2012.</li> <li>R. G. Poluha: <i>The Quintessence of Supply Chain Management: What You Really Need to Know to Manage Your Processes in Procurement, Manufacturing, Warehousing and Logistics (Quintessence Series)</i>. First Edition. Springer Heidelberg New York Dordrecht London 2016. <link rel="mw-deduplicated-inline-style" href="mw-data:TemplateStyles:r1238218222"><a href="/wiki/ISBN_(identifier)" class="mw-redirect" title="ISBN (identifier)">ISBN</a> <a href="/wiki/Special:BookSources/978-3662485132" title="Special:BookSources/978-3662485132">978-3662485132</a>.</li></ul> </div> <div class="mw-heading mw-heading2"><h2 id="External_links">External links</h2><span class="mw-editsection"><span class="mw-editsection-bracket">[</span><a href="/w/index.php?title=Operations_management&action=edit&section=20" title="Edit section: External links"><span>edit</span></a><span class="mw-editsection-bracket">]</span></span></div> <style data-mw-deduplicate="TemplateStyles:r1235681985">.mw-parser-output .side-box{margin:4px 0;box-sizing:border-box;border:1px solid #aaa;font-size:88%;line-height:1.25em;background-color:var(--background-color-interactive-subtle,#f8f9fa);display:flow-root}.mw-parser-output .side-box-abovebelow,.mw-parser-output .side-box-text{padding:0.25em 0.9em}.mw-parser-output .side-box-image{padding:2px 0 2px 0.9em;text-align:center}.mw-parser-output .side-box-imageright{padding:2px 0.9em 2px 0;text-align:center}@media(min-width:500px){.mw-parser-output .side-box-flex{display:flex;align-items:center}.mw-parser-output .side-box-text{flex:1;min-width:0}}@media(min-width:720px){.mw-parser-output .side-box{width:238px}.mw-parser-output .side-box-right{clear:right;float:right;margin-left:1em}.mw-parser-output .side-box-left{margin-right:1em}}</style><style data-mw-deduplicate="TemplateStyles:r1237033735">@media print{body.ns-0 .mw-parser-output .sistersitebox{display:none!important}}@media screen{html.skin-theme-clientpref-night .mw-parser-output .sistersitebox img[src*="Wiktionary-logo-en-v2.svg"]{background-color:white}}@media screen and (prefers-color-scheme:dark){html.skin-theme-clientpref-os .mw-parser-output .sistersitebox img[src*="Wiktionary-logo-en-v2.svg"]{background-color:white}}</style><div class="side-box side-box-right plainlinks sistersitebox"><style data-mw-deduplicate="TemplateStyles:r1126788409">.mw-parser-output .plainlist ol,.mw-parser-output .plainlist ul{line-height:inherit;list-style:none;margin:0;padding:0}.mw-parser-output .plainlist ol li,.mw-parser-output .plainlist ul li{margin-bottom:0}</style> <div class="side-box-flex"> <div class="side-box-image"><span class="noviewer" typeof="mw:File"><a href="/wiki/File:Wikiversity_logo_2017.svg" class="mw-file-description"><img alt="" src="//upload.wikimedia.org/wikipedia/commons/thumb/0/0b/Wikiversity_logo_2017.svg/40px-Wikiversity_logo_2017.svg.png" decoding="async" width="40" height="33" class="mw-file-element" srcset="//upload.wikimedia.org/wikipedia/commons/thumb/0/0b/Wikiversity_logo_2017.svg/60px-Wikiversity_logo_2017.svg.png 1.5x, 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src="//upload.wikimedia.org/wikipedia/commons/thumb/d/df/Wikibooks-logo-en-noslogan.svg/40px-Wikibooks-logo-en-noslogan.svg.png" decoding="async" width="40" height="40" class="mw-file-element" srcset="//upload.wikimedia.org/wikipedia/commons/thumb/d/df/Wikibooks-logo-en-noslogan.svg/60px-Wikibooks-logo-en-noslogan.svg.png 1.5x, //upload.wikimedia.org/wikipedia/commons/thumb/d/df/Wikibooks-logo-en-noslogan.svg/80px-Wikibooks-logo-en-noslogan.svg.png 2x" data-file-width="400" data-file-height="400" /></a></span></div> <div class="side-box-text plainlist">Wikibooks has more on the topic of: <i><b><a href="https://en.wikibooks.org/wiki/Special:Search/Operations_management" class="extiw" title="wikibooks:Special:Search/Operations management">Operations management</a></b></i></div></div> </div> <div class="navbox-styles"><link rel="mw-deduplicated-inline-style" href="mw-data:TemplateStyles:r1129693374"><style data-mw-deduplicate="TemplateStyles:r1236075235">.mw-parser-output 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.mw-parser-output .navbox{display:none!important}}</style></div><div role="navigation" class="navbox" aria-labelledby="Management363" style="padding:3px"><table class="nowraplinks hlist mw-collapsible mw-collapsed navbox-inner" style="border-spacing:0;background:transparent;color:inherit"><tbody><tr><th scope="col" class="navbox-title" colspan="2"><link rel="mw-deduplicated-inline-style" href="mw-data:TemplateStyles:r1129693374"><link rel="mw-deduplicated-inline-style" href="mw-data:TemplateStyles:r1239400231"><div class="navbar plainlinks hlist navbar-mini"><ul><li class="nv-view"><a href="/wiki/Template:Management" title="Template:Management"><abbr title="View this template">v</abbr></a></li><li class="nv-talk"><a href="/wiki/Template_talk:Management" title="Template talk:Management"><abbr title="Discuss this template">t</abbr></a></li><li class="nv-edit"><a href="/wiki/Special:EditPage/Template:Management" title="Special:EditPage/Template:Management"><abbr title="Edit this template">e</abbr></a></li></ul></div><div id="Management363" style="font-size:114%;margin:0 4em"><a href="/wiki/Management" title="Management">Management</a></div></th></tr><tr><td class="navbox-abovebelow" colspan="2"><div> <ul><li><a href="/wiki/Outline_of_management" title="Outline of management">Outline of management</a></li> <li><a href="/wiki/Index_of_management_articles" title="Index of management articles">Index of management articles</a></li></ul> </div></td></tr><tr><th scope="row" class="navbox-group" style="width:1%;background-color: LemonChiffon">By type<br />of organization</th><td class="navbox-list-with-group navbox-list navbox-odd" style="width:100%;padding:0"><div style="padding:0 0.25em"> <ul><li><a href="/wiki/Academic_administration" title="Academic administration">Academic</a></li> <li>Association</li> <li><a href="/wiki/Business_administration" title="Business administration">Business</a> <ul><li><a href="/wiki/Restaurant_management" title="Restaurant management">Restaurant</a></li></ul></li> <li><a href="/wiki/Court_management" class="mw-redirect" title="Court management">Court</a></li> <li><a href="/wiki/Health_administration" title="Health administration">Healthcare</a></li> <li><a href="/wiki/Intelligence_cycle_management" title="Intelligence cycle management">Intelligence</a></li> <li><a href="/wiki/Military_administration" title="Military administration">Military</a></li> <li><a href="/wiki/Public_administration" title="Public administration">Public</a></li> <li><a href="/wiki/Reputation_management" title="Reputation management">Reputation</a></li></ul> </div></td></tr><tr><th scope="row" class="navbox-group" style="width:1%;background-color: LemonChiffon">By focus,<br />within an<br />organization</th><td class="navbox-list-with-group navbox-list navbox-odd" style="width:100%;padding:0"><div style="padding:0 0.25em"></div><table class="nowraplinks navbox-subgroup" style="border-spacing:0"><tbody><tr><th scope="row" class="navbox-group" style="width:1%">On scope</th><td class="navbox-list-with-group navbox-list navbox-odd" style="width:100%;padding:0"><div style="padding:0 0.25em"></div><table class="nowraplinks navbox-subgroup" style="border-spacing:0"><tbody><tr><th scope="row" class="navbox-group" style="width:1%"><a href="/wiki/Strategic_management" title="Strategic management">Strategic</a><br />(top-level)</th><td class="navbox-list-with-group navbox-list navbox-even" style="width:100%;padding:0"><div style="padding:0 0.25em"> <ul><li><a href="/wiki/Capability_management" title="Capability management">Capability</a></li> <li><a href="/wiki/Capital_management" title="Capital management">Capital</a></li> <li><a href="/wiki/Change_management" title="Change management">Change</a></li> <li><a href="/wiki/Communications_management" title="Communications management">Communication</a></li> <li><a href="/wiki/Financial_management" title="Financial management">Financial</a></li> <li><a href="/wiki/Innovation_management" title="Innovation management">Innovation</a></li> <li><a href="/wiki/Enterprise_legal_management" title="Enterprise legal management">Legal</a></li> <li><a href="/wiki/Performance_management" class="mw-redirect" title="Performance management">Performance</a></li> <li><a href="/wiki/Risk_management" title="Risk management">Risk</a></li> <li><a href="/wiki/Systems_management" title="Systems management">Systems</a></li></ul> </div></td></tr><tr><th scope="row" class="navbox-group" style="width:1%">On component</th><td class="navbox-list-with-group navbox-list navbox-odd" style="width:100%;padding:0"><div style="padding:0 0.25em"> <ul><li><a href="/wiki/Facility_management" title="Facility management">Facility</a></li> <li><a href="/wiki/Product_management" title="Product management">Product</a> <ul><li><a href="/wiki/Product_lifecycle" title="Product lifecycle">Product lifecycle</a></li> <li><a href="/wiki/Brand_management" title="Brand management">Brand</a></li></ul></li> <li><a href="/wiki/Project_management" title="Project management">Project</a> <ul><li><a href="/wiki/Construction_management" title="Construction management">Construction</a></li></ul></li> <li><a href="/wiki/Program_management" title="Program management">Program</a></li></ul> </div></td></tr></tbody></table><div></div></td></tr><tr><th scope="row" class="navbox-group" style="width:1%">On activity or<br />department<br />managed</th><td class="navbox-list-with-group navbox-list navbox-odd" style="width:100%;padding:0"><div style="padding:0 0.25em"></div><table class="nowraplinks navbox-subgroup" style="border-spacing:0"><tbody><tr><th scope="row" class="navbox-group" style="width:1%"><a href="/wiki/Line_management" title="Line management">Line</a></th><td class="navbox-list-with-group navbox-list navbox-even" style="width:100%;padding:0"><div style="padding:0 0.25em"> <ul><li><a href="/wiki/Marketing_management" title="Marketing management">Marketing</a></li> <li><a class="mw-selflink selflink">Operations</a>/<a href="/wiki/Manufacturing_process_management" title="Manufacturing process management">production</a> <ul><li><a href="/wiki/Process_management_(computing)" title="Process management (computing)">Process</a></li> <li><a href="/wiki/Quality_management" title="Quality management">Quality</a></li></ul></li> <li><a href="/wiki/Sales_management" title="Sales management">Sales</a></li></ul> </div></td></tr><tr><th scope="row" class="navbox-group" style="width:1%"><a href="/wiki/Staff_management" title="Staff management">Staff</a></th><td class="navbox-list-with-group navbox-list navbox-odd" style="width:100%;padding:0"><div style="padding:0 0.25em"> <ul><li><a href="/wiki/Accounting_management" class="mw-redirect" title="Accounting management">Accounting</a></li> <li><a href="/wiki/Office_management" title="Office management">Office</a></li> <li><a href="/wiki/Records_management" title="Records management">Records</a></li></ul> </div></td></tr></tbody></table><div></div></td></tr><tr><th scope="row" class="navbox-group" style="width:1%">On aspect or<br />relationship</th><td class="navbox-list-with-group navbox-list navbox-even" style="width:100%;padding:0"><div style="padding:0 0.25em"> <ul><li><a href="/wiki/Customer_relationship_management" title="Customer relationship management">Customer relationship</a></li> <li><a href="/wiki/Engineering_management" title="Engineering management">Engineering</a></li> <li><a href="/wiki/Logistics" title="Logistics">Logistics</a></li> <li><a href="/wiki/Perception_management" title="Perception management">Perception</a></li> <li><a href="/wiki/Supply_chain_management" title="Supply chain management">Supply chain</a></li> <li><a href="/wiki/Talent_management" title="Talent management">Talent</a></li></ul> </div></td></tr><tr><th scope="row" class="navbox-group" style="width:1%">On problem</th><td class="navbox-list-with-group navbox-list navbox-odd" style="width:100%;padding:0"><div style="padding:0 0.25em"> <ul><li><a href="/wiki/Conflict_management" title="Conflict management">Conflict</a></li> <li><a href="/wiki/Crisis_management" title="Crisis management">Crisis</a></li> <li><a href="/wiki/Stress_management" title="Stress management">Stress</a></li></ul> </div></td></tr><tr><th scope="row" class="navbox-group" style="width:1%"><a href="/wiki/Resource_management" title="Resource management">On resource</a></th><td class="navbox-list-with-group navbox-list navbox-even" style="width:100%;padding:0"><div style="padding:0 0.25em"> <ul><li><a href="/wiki/Environmental_resource_management" title="Environmental resource management">Environmental resource</a></li> <li><a href="/wiki/Field_inventory_management" title="Field inventory management">Field inventory</a></li> <li><a href="/wiki/Human_resource_management" title="Human resource management">Human resources</a></li> <li><a href="/wiki/Information_management" title="Information management">Information</a></li> <li><a href="/wiki/Information_technology_management" title="Information technology management">Information technology</a></li> <li><a href="/wiki/Knowledge_management" title="Knowledge management">Knowledge</a></li> <li><a href="/wiki/Land_management" title="Land management">Land</a></li> <li><a href="/wiki/Materials_management" title="Materials management">Materials</a></li> <li><a href="/wiki/Skills_management" title="Skills management">Skills</a></li> <li><a href="/wiki/Technology_management" title="Technology management">Technology</a></li> <li><a href="/wiki/Time_management" title="Time management">Time</a></li></ul> </div></td></tr></tbody></table><div></div></td></tr><tr><th scope="row" class="navbox-group" style="width:1%;background-color: LemonChiffon">Positions</th><td class="navbox-list-with-group navbox-list navbox-odd" style="width:100%;padding:0"><div style="padding:0 0.25em"> <ul><li><a href="/wiki/Interim_management" title="Interim management">Interim</a></li> <li><a href="/wiki/Middle_management" title="Middle management">Middle</a></li> <li><a href="/wiki/Senior_management" title="Senior management">Senior</a></li></ul> </div></td></tr><tr><th scope="row" class="navbox-group" style="width:1%;background-color: LemonChiffon">Methods,<br />approaches</th><td class="navbox-list-with-group navbox-list navbox-even" style="width:100%;padding:0"><div style="padding:0 0.25em"> <ul><li><a href="/wiki/Adhocracy" title="Adhocracy">Adhocracy</a></li> <li><a href="/wiki/Collaborative_method" title="Collaborative method">Collaborative method</a></li> <li><a href="/wiki/Distributed_management" title="Distributed management">Distributed</a></li> <li><a href="/wiki/Earned_value_management" title="Earned value management">Earned value management</a></li> <li><a href="/wiki/Evidence-based_management" title="Evidence-based management">Evidence-based management</a></li> <li><a href="/wiki/Full_range_leadership_model" title="Full range leadership model">Full range leadership model</a></li> <li><a href="/wiki/Management_by_objectives" title="Management by objectives">Management by objectives</a></li> <li><a href="/wiki/Management_style" title="Management style">Management style</a></li> <li><a href="/wiki/Macromanagement" title="Macromanagement">Macromanagement</a></li> <li><a href="/wiki/Micromanagement" title="Micromanagement">Micromanagement</a></li> <li><a href="/wiki/Scientific_management" title="Scientific management">Scientific management</a></li> <li><a href="/wiki/Social_entrepreneurship" title="Social entrepreneurship">Social entrepreneurship</a></li> <li><a href="/wiki/Sustainable_management" title="Sustainable management">Sustainable management</a></li> <li><a href="/wiki/Team_building" title="Team building">Team building</a></li> <li><a href="/wiki/Virtual_management" title="Virtual management">Virtual management</a></li></ul> </div></td></tr><tr><th scope="row" class="navbox-group" style="width:1%;background-color: LemonChiffon">Skills,<br />activities</th><td class="navbox-list-with-group navbox-list navbox-odd" style="width:100%;padding:0"><div style="padding:0 0.25em"> <ul><li><a href="/wiki/Decision-making" title="Decision-making">Decision-making</a></li> <li><a href="/wiki/Forecasting" title="Forecasting">Forecasting</a></li> <li><a href="/wiki/Leadership" title="Leadership">Leadership</a></li></ul> </div></td></tr><tr><th scope="row" class="navbox-group" style="width:1%;background-color: LemonChiffon">Pioneers,<br />scholars</th><td class="navbox-list-with-group navbox-list navbox-even" style="width:100%;padding:0"><div style="padding:0 0.25em"> <ul><li><a href="/wiki/Peter_Drucker" title="Peter Drucker">Peter Drucker</a></li> <li><a href="/wiki/Eliyahu_M._Goldratt" title="Eliyahu M. 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