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Operational Management are primarily involved with the design, control, improvement, and execution of processes or systems that create goods and/or provide services. While some businesses produce physical products with limited service elements, others produce almost pure service with few, if any, physical products; and the majority lie in between these extremes. Therefore, operations activities are at the core of all organizations, regardless of what business they are in.
Operational Management aims to provide sensible options and recommend courses of action to reduce any operational risk and improve the quality of recurring or one time decisions. It is also aware of the changes in the competitive environment and investigates what to do in order to meet current and future challenges while providing a basis for sustainable advantage.
Typical applications include, but are not limited to, capacity management, location, global networks and off-shoring, sourcing, outsourcing, supply chain management, demand and revenue management, risk management and operational hedging, and lean manufacturing.
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