Process Design Vs Supply Chain Management

769 Words 4 Pages
“Management is doing things right; leadership is doing the right things” -Peter Drucker. Management is an important aspect to have in running an effective business with different aspects to it. For instance, operation and supply chain management, where operation management focuses on internal activities and supply chain emphasizes externally. Per our text, operation management is “the science and art of ensuring that goods and service are created and delivered successfully to customers.” (Collier & Evans, 2012). Whereas, supply chain management is “is the management of all activities that facilitate the fulfillment of a customer order for a manufactured goof to achieve satisfied customers at reasonable cost” (Collier & Evans, 2012). There …show more content…
Process design has a huge impact on profit, flexibility, and quality. Process design affects the quality because the process of design helps develop a product’s quality which companies depend on to make a profit. After the design is processed and a quality product is developed the company, then can manufacture the products to ring in profit. Also, the process design helps with an approach called design for manufacturability and assembly (DFMA). DFMA helps focus on manufacturing issues during the product design. By getting ahead of the situation can help prevent further issues. As well, it can be a powerful tool to improve product quality and lower manufacturing cost. Lastly, process design affects inventory because if a product is not designed to the specific needs of the company the products (inventory) is left behind, accumulating …show more content…
Inventory is an important factor and affects process design because companies can see data from their corporation and determine if their process design needs improvements or not. Then, the company can see if the manufacturing inventory needs to be improved. By looking at inventory, manufactures then will be able to determine if their factories need to produce more product for current and future customers. Manufacturing goods or services that consist of sub-assemblies and multiple components require more complex inventory management systems. Meanwhile, inventory improves the quality of produces. Companies need the data information from their inventory turnover to determine the quality of a product. The more inventory is used to produce goods and service the better the quality. Overall, it is a chain reaction between the four functions.
Conclusion
In conclusion, by identifying the effects of each function a company can be much more successful, profitable, and sustainable. Using process design, quality, manufacturing, and inventory functions the company’s operation and supply chain management will be able to work more effectively than usual. Now these functions are not the only ones that affect both management there is much more. Although, identifying these four functions is a

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