BUMA c2

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1. What is the role of Operations Management?

The role of Operations Management is divided into 4 which is planning which includes

the material optimization and human resource, organizing, which includes the handling of

materials to be used for production or human resource needed for the job, staffing, which

includes the optimization of human resource resulting to higher employee productivity, and

controlling, which includes moving into action plans that are discussed by the company for

future improvements and day-to-day operations.

2. Explain the three strategic functions of any organization.

There are three types of strategic functions that any organization use. First of them is the

business strategy which is concerned with how a company will approach the market. This uses

strategies that segment its customers, identify the geographical location of the market for

demographic purposes.

The second strategy would be the Operational strategy which is concerned with

accurately translating the business strategy to a cohesive and useful for day-to-day operation of

the organization. They tend to put into work all the plans that are formulated which would be

useful for material optimization and human resource productivity.

Third strategy would be would be the transformational strategy which is concerned of

how the company would need to change or adapt. Companies use this strategy to cope up in the

modern time they are in and keep up with the trend in the market, which would need a change in

human resource and organizational development.


3. What are the long-term consequences and often involve a great deal of expense and resource

commitments?

The most common long-term consequences that the corporate experience in this modern

day in pollution which is included in the corporate environment responsibility (CER).

Companies experience the consequences when they are accused for environmental abuse like the

toxic waste that they discard that cause water pollution. They deal with this legally by paying for

damages to the government which is a large expense for the corporate.

4. Give the importance of operations management in protecting an organization’s competitive

advantage.

It is very important to keep up with the current times especially with the emerging youth

of today which is picky and critical in observing things around them. Company tends to adapt by

keeping up with the trend on the market which makes them use their innovation. Innovation is

the current trend nowadays in the business industry because it gave a new edge for starting

companies to compete with other big ones through originality and modernization. One good

example of this is the booming new business of Henry Sy’s son who thought of making storage

houses a business. He stated that there are not many competitors and said that the company has

the potential to scale through time and become a big success

5. What are the key differences between services and other types of goods?

First key difference between services and goods is that goods are tangible, material items

that can be touched, seen or felt, while services are an activity that a party can offer to another

party without transferring of ownership. Other key difference is how it is consumed. Goods are
consumed after distribution while services are consumed at the same time of distribution. Quality

can also be different between the two. Quality of goods can be measured while quality of service

cannot be identified immediately.

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