Fundamentals: Operations – Part 1

“We are what we repeatedly do. Excellence, then, is not an act, but a habit.” – Aristotle

What are Operations?

Jobs or tasks consisting of one or more elements or subtasks, performed typically in one location.
Operations transform resource or data inputs into desired goods, services or results, and create and deliver value to the customers. Two or more connected operations constitute a process, and are generally divided into four basic categories: (1) processing, (2) inspection, (3) transport, and (4) storage.

The purpose of operations is to manage the resources needed to create your company’s products and services. These may include customer service; planning, designing or engineering products; scheduling work; buying or making components; assembling or manufacturing products; testing quality; maintaining inventory; and delivering the services or products. Operations are also affected by the location, size and type of facilities required and available; worker skills and talent; technology or special equipment; and scalability. When your organization has the systems and processes in place to deliver on the promises made to your customers in an efficient and effective manner, while providing the opportunity to scale up or into new markets, the value of your business increases.

It all starts with an operations strategy to ensure that your resources work together, while aligning with your marketing, finance and overall business strategies. This is a written plan that addresses best practices to ensure that all operational aspects are being utilized properly. More in our next blog.

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