Principles

of

Management

Learning Session # 45

Dr. A. Rashid Kausar

Re-cap

of

Session # 44

The Operations SystemThe Operations System

• People

• Technology

• Capital

• Equipment

• Materials

• Information

Inputs Outputs

•Goods

•Services Transformation

Process

ProductivityProductivityProductivity = Outputs

InputsProductivity = Outputs

Inputs

Why Productivity

Matters

Why Productivity

Matters

DifferentKinds of

Productivity

DifferentKinds of

Productivity

Why Productivity MattersWhy Productivity Matters

HigherProductivity

HigherProductivity

LowerCosts

LowerCosts

LowerPrices

LowerPrices

HigherMarketShare

HigherMarketShare

HigherProfits

HigherProfits

HigherStandard

of Living

HigherStandard

of Living

Kinds of ProductivityKinds of Productivity

Partial Productivity =Outputs

Single Kind of Input

Multifactor Productivity = OutputsLabor + Capital + Materials + Energy

National Quality Awards

National Quality Awards

TotalQuality

Organization

TotalQuality

Organization

QualityQuality

ISO 9000(TQM)

ISO 9000(TQM)

Quality-RelatedProduct

Characteristics

Quality-RelatedProduct

Characteristics

Quality-RelatedService

Characteristics

Quality-RelatedService

Characteristics

Meanings for Quality

Meanings for Quality

…A product or service free of deficiencies

…A product or service free of deficiencies

…The characteristics of a product orservice that satisfy customer needs

…The characteristics of a product orservice that satisfy customer needs

Quality-Related Characteristics

Quality-Related Characteristics

RATER

Quality-Related Characteristics

Quality-Related Characteristics

Respon-sivenessRespon-siveness AssuranceAssurance EmpathyEmpathy

ReliabilityReliability TangiblesTangibles

ISO 9000ISO 90001. A series of international

standards:ISO 9000 to ISO 9004

2. Certifies quality processes

3. Customers are increasingly demanding ISO 9000 certification

HRM ProcessHRM Process

Compensationand

Benefits

CareerDevelopment

PerformanceManagement

HumanResourcePlanning

Recruitment

Derecruitment

SelectionIdentification and selection

of competent employees

Orientation TrainingAdapted and competent

employees with up-to-dateskills and knowledge

Competent employees whoare capable of sustaining high

performance over the long term

Environment

Environment

Job Analysis and HRMJob Analysis and HRM

Job AnalysisJob AnalysisJob AnalysisJob Analysis

Job DescriptionJob DescriptionJob DescriptionJob Description Job Job SpecificationsSpecifications

Job Job SpecificationsSpecifications

HR SubsystemsHR SubsystemsHR SubsystemsHR Subsystems

RecruitingRecruitingRecruitingRecruiting SelectionSelectionSelectionSelection TrainingTrainingTrainingTraining PerformancePerformanceAppraisalAppraisal

PerformancePerformanceAppraisalAppraisal SeparationSeparationSeparationSeparation

Value Chain ManagementValue Chain Management

Value Performance characteristics, features, and attributes, and any other aspects of goods and services for which customers are willing to pay resources.

value Chain is the entire series of work activities that add value at each step of the transformation process.

Value Chain Management is the process of managing an entire sequence of activities along the entire value chain.

Focuses on both incoming materials and outgoing products and services.

Goal of Value Chain ManagementBetter the collaboration

among chain participants,

better the customer

solutions!

Managing ChangeManaging Change

The Organisation

ExternalChangeFactors

Economy

regulations

Competition

TechnicalDevelopment

Imports

Politics

InternalChangeFactors

Structure

Jobs

Employees

TechnologyCulture

Managing Resistance to Change

Managing Resistance to Change

CHANGEUNFREEZE REFREEZE

THREE-STEP PROCESS:

Thank You

&

Happy

Learning!