Master of Business Administration (MBA) has several specializations and operations [Operations] is one such specialization. If operations is your area of interest then let us explore the different opportunities available for you.
Operations and Operations Management
Operations help in changing the available resources into desired goods, services, or results to create and deliver value to the end customers. Right quality, right quantity, right time and right price are the four basic requirements of the customers and they determine the extent of customer satisfaction. If these requirements can be provided at a minimum cost, then the value of goods produced or services rendered increases.
Operations are at core for success of any organization. Managing these operations are pivotal in determining the direction which an organization takes. Hence, operations management is the management of systems or processes that create goods or services as efficiently as possible to maximize the profit of an organization.
MBA in Operations Management
Operations Management specialization in MBA equips individuals to take on challenges in logistics, supply chain design and supply chain management. Operations management handles various strategic issues including determining the size of manufacturing plants, project management methods and implementing the structure of information technology networks. Other operational issues include inventory management, work-in-process levels, acquisition of raw materials, quality control, handling of materials and maintenance policies etc.
Functions of Operations Management
Operations management is the business function that is responsible in planning, designing, managing, coordinating and controlling the resources needed to produce a company's products and services.
Objectives of Operations Management
Operation Management has certain objectives to remain competitive which can be grouped together in following ways:
- Effectiveness :Producing the right kind of goods and services that satisfy customers’ needs
- Efficiency: Maximizing output of goods and services with minimum resources
- Quality: Ensuring that goods and services produced are in par with the specifications.
- Lead Time: Minimizing throughput-time, the time that elapses in the conversion process- by reducing delays, waiting time and idle time
- Capacity: Maximizing utilization of manpower, machines, etc.
- Cost: Minimizing cost of production or a service
Operations interfaces with a number of supporting functions
Operations also interacts with other functional areas of the organization, including legal, management information systems (MIS), accounting, personnel/human resources, and public relations, as depicted in figure below:
- The Legal department must be consulted for due diligence about contracts with employees, customers, suppliers, and transporters. They also should be consulted about liability and environmental issues.
- The Accounting department supplies vital information about costs of labor, materials, and overhead, and may provide reports on items such as scrap, downtime, and inventories.
- Management Information Systems (MIS) is concerned with providing management with the information it needs to effectively manage operations. This is done by designing systems to capture relevant information and designing reports.
- The personnel or human resources department must be consulted for recruitment and training of personnel, labor relations, contract negotiations, wage and salary administration, assisting in manpower projections, and ensuring the health and safety of employees.
- Public relations is responsible for building and maintaining a positive public image of the organization. They must be consulted for managing public relations in the marketplace such as raising public awareness about the organization as a good place to work, community acceptance of expansion plans etc.
Traits of an Operations Manager
Managing operations for any business and making it effective and efficient is challenging. However, apart from a deep understanding of business functions, goals and objectives, one also needs to have a deep understanding on how this information can be uses to run operations effectively and efficiently. Some of the core skills needed by an Operations Manager include:
- Ability to think logically and analytically
- Ability to communicate effectively
- Ability to execute tasks efficiently
An Operations Manager should be pragmatic, have the ability to lead, focus on quality, look for ways to increase efficiency and must be super effective at Supply Chain Management.
So if you possess good analytical skills and have an eye for quality and processes efficiency, you may want to think of pursuing a career in this field.
There are many opportunities in operations should you choose to pursue a career in operations management. Some of the job positions are Operations Manager, Production Analyst, Production Manager, Industrial Engineer, Time Study Analyst, Inventory Manager, Purchasing Manager, Schedule Coordinator, Distribution Manager, Supply Chain Manager, Quality Analyst, Quality Manager and Plant Manager to name a few.
Business Schools that offer MBA for Operations Management in India include:
- XLRI Jamshedpur
- IIM Bangalore
- IIM Kolkata
- NITIE Mumbai
- SPJIMR Mumbai
- IIT Mumbai
- SIOM Nashik
- IIT Delhi
Career Scope & Job Prospects in Operations Management
Key sectors which offer jobs in operations management are:
- Financial Institutions
- Management Consulting
- Information Technology
Average Starting Salary
An Operations Manager are mostly recruited as executives and are expected to oversee and optimize the day to day business processes so that minimize overall costs and increase the profitability of the organization. The average starting salary may range from ₹ 3 - 12 Lacs per annum depending upon one’s qualifications and experience.
Top Recruiting Companies for Operations Management
- Ernst & Young,
- JP Morgan Chase
- Amazon India
Important certifications for a successful career in Operation Management:
- Six Sigma Certification
- Certified Global Logistics Manager (CGLM)
- Certified International Supply Chain Professional (CISCP)
- Certified Logistics & Supply Chain Professional (L&SCP)
- Certified Strategic Operation Management Professional, INFONET INSTITUTE
- Accelerated Certificate Program: International Business Operations and Management, UNIVERSITY OF CfALIFORNIA
- Warehousing Qualifications (Certificate and Diploma), EBSI EXPORT ACADEMY
Every product has to be delivered to the customer on time with high efficiency along with high customer satisfaction. This can be achieved in an organization with excellent operations management. Managing operations for such an organization is an exciting career to pursue. So, do not miss this opportunity to pursue your dream in operations management.
All the best!