Operations management focuses on carefully managing the processes to produce and
distribute products and services. Usually, small businesses dont talk about “operations
management”, but they carry out the activities that management schools typically associate
with the phrase “operations management.” Major, overall activities often include planning,
organizing, leading, and controlling. Operations management is in regard to all operations
within the organization. A great deal of focus is on efficiency and effectiveness of
processes. Therefore, operations management often includes substantial measurement and
analysis of internal processes. Ultimately, the nature of how operations management is
carried out in an organization depends very much on the nature of products or services in
the organization.
Planning is concerned with the future impact of todays decisions. It is the fundamental
function of management from which the other four stem. The need for planning is often
apparent after the fact. However, planning is easy to postpone in the short-run.
Postponement of planning especially plagues labor oriented hands on managers.
The organizing, leading and controlling functions stem from the planning function. The
manager is ready to organize and staff only after goals and plans to reach the goals are in
place. Likewise, the leading function, influencing the behavior of people in the
organization, depends on the goals to be achieved. Finally, in the controlling function, the
determination of whether or not goals are being accomplished and standards met is based
on the planning function. The planning function provides the goals and standards that drive
the controlling function. Planning is important at all levels of management. However, its