cost accounting 10

Define production operations management in your own words. Will your definition accommodate both manufacturing and service operations?

Productions/operations management can be defined as the management of all activities directly related to the creation of goods and/or services through the transformation of inputs into output.

2. Consider the potential contribution of information sciences to P/OM. Why is the management of information of such great importance in the management of “production”?

The management of information is of great importance to produc-tions/operations management since:

(a) without “information” one would have no knowledge of the state of input resources, process performance, or output goods and/or services;

(b) properly developed information systems can contribute to the overall integration required to allow a firm to produce on a competitive basis:

(c) “good” decisions require “good” information – the right information, at the right place, at the right time