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Production & Operation Management

In: Business and Management

Submitted By gauravdatta
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‘A CEO should stay clear of operational problems in the company. Otherwise he becomes part of the problem’. Please elaborate on what this statement means to you.

Operations of an Organisation deal with the overall functioning of business effectively so as to obtain determined results within a specific period. Operations is mostly related to production/manufacturing where it helps to oversee, design, decide and implement actions accordingly. It is the same for the non-manufacturing based industries too.
Operational problems may lead to disturbance in stability of business and may affect the growth of business. The operations of a Company are monitored not only by the designated team and the operations manager but also by the higher level employees of an organisation who overlook the entire scenario, anticipate the threats and opportunities and implement the same for progress of business.
The operations of any business run on certain principles which form the reason of its existence, performance and growth. These may be termed as the pillars of the business operations and they are:
1. Vision and mission of the Company
2. Policies, structure and system
3. Investment, infrastructure and resources
4. Management and strategies Operational problems for example can be like wastage of resources, non-fulfilment of services within stipulated time, sudden breakdown of machinery in a manufacturing unit, lack of modern business strategies and ignorant management.
An example of operational problem related to the hospitality industry would be the resources. Vegetables, spices, water and other ingredients required to make a dish are very important along with the Chef who would prepare the same. Optimal utilisation of resources would help the restaurant to save some operational cost and if the HR maintains good work atmosphere, there is low employee turnover and this…...

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