Operation management vs supply chain management who has more influence

Supply chain management is an important aspect of management that over sees the activities involves in supply chain to ensure maximization of the customer’s value and also ensures an achievement in the sustainable competitive advantage. This aspect of management concentrates on the handling of the whole flow of production of products and services. The aim of this paper is to determine how operations management is different from chain management and which between the two has more influence than the other. Therefore, to develop a good argument concerning the topic, the paper will first of all discuss the basic of operations management such as the its importance, function, principle and strategies in order to have clear information about operations management. To measure the effectiveness of operation management and supply chain management, this paper will concentrate more in discussing the general approaches used in operations management to enhance the performance of the organization; these approaches include the World Class Manufacturing approach, the Total Quality Management approach and the” Just-in -Time” approach (Samson & et al, 2009).

Operations Management Practices Operation management has the role and responsibilities in all the aspects of the creation of products and services. It manages and controls all the resources such as people or employees, raw materials, technologies, machines and also it ensures that the goods and services produced satisfy the needs of the customers (Jacobs & et al, 2004). For the organization or the business to be effective and competitive, the entire chain of events be managed accordingly and effectively. The functions of operations management include; Finance which plays an important role in the management of operations. It is important to make sure that the finance of the organization is utilized accordingly and effectively in order to carry out important and major activities such as the goods and services creation which leads to the satisfaction or fulfillment of the customer’s needs and wants.

The supply chain configuration begins from the raw material supply and continues to the production of the final good and then the process of selling the products to the customers which is according to their needs and wants. The management of quality plays a crucial role in selling the product. The operations managers are responsible in allocating quality management task to various specialized teams and then they supervise the process. The managers also identify downfalls in the process and rectify the problem to ensure that the products produced are of good quality. Operations Management Practices and the Organizations Performance Models in performance management consider the financial, innovations, quality of the product and organizations capacity and how they are all integrated in system and processes.

A strategic partnership supports the straight forward, long-term association and also supports mutual efforts in planning process and solving problems. These kinds of strategic partnership are implemented in order to enhance and promote the benefits that are shared between the parties and the continuous participation in various main strategies such as market, technology and products and services. The strategic association with the suppliers will allow the company to work effectively with essential suppliers who are willing share roles and responsibilities for the product’s success. Customer relationships involve the whole variety of practices that are implemented for the purpose of managing the complaints of the customers, creating a long term relationships with the customers and increasing the satisfaction of the customers.

The relationships that are committed are mostly sustainable advantage due to their inherent barriers to competition. Sharing of information involves two aspects such as quantity and quality. These aspects are very essential for the supply chain management practices and they have been considered as independent constructs in the past studies in SCM. Level of information sharing implies to the extent to which crucial and proprietary information is shared to a person’s supply chain partner. Supply Chain Management Practices and Performance of the Organization Various researches implies that supply chain management that are effective have a direct influence or impact on the entire financial and marketing performance of the business. The supply chain management is expected to improve the company’s market share, return on investment and increase the entire competitive positions (Li & et al, 2006).

Products which have higher consumer loyalty experience less competitive changing their target segments thus improving the sale and profitability of the organization. Operations management and supply chain management are very important aspect in the management of product production. It is right to say that both aspect of management have more influence such that there is none of them which have more influence than the other; this is because operations management and supply chain management work hand in hand with each other such that the organization or the business cannot work without one of the departments in management. Supply chain management concentrates on the external activities such as obtaining raw materials and delivery of final products while the operations management concentrates on the internal activities or the activities done inside the company such as the entire product production from raw materials to the final product.