The Transformation Process

or service organization,
transforms certain inputs into outputs,
Every organization, be it a product
For getting the desired output, the quality of the inputs
has to be monitored. The quality of the
actual output obtained also has to be continually compared with
the desired output. As shown in
transformation
ig. 1.2, feedback mechanisms are required to monitor the performance of the
transformation process of
process. There may be some random disturbances hampering the
converting the inputs into desired outputs. These random disturbances are unexpected and
sometimes not planned for. They are mostly due to external environment.

Every organization, be Figure 1.3 shows the transformation process ofan MBA institution, which is
it a product or service purely a service organization. Figure 1.4 shows the transformation process of
organization, trans a restaurant, which is a hybrid service and
manufacturing organization. Figure
forms certain inputs 1.5 shows the transformation process of a refrigerator manufacturer, which is
into outputs.
a purely manufacturing organization.
 9
introduction to Production and Operations Management

Quality of Quality of
inputs Outputs
monitored monitored

Random disturbances

Inputs Transformation
process Outputs

Feedback mechanisms

Fig. 1.2 Transformation process

Random disturbances

Strikes of
students,
Quality of teachers, or staff Quality of
inputs Undue outputs
monitored interference of monitored
the government
in the working
of institutions Outputs
Inputs
Enlightened students
Raw minds with
(students) good
Teachers communication
Administrative Transformation
skills
staff process
. ClassrOoms pleasant
Computer Lab personalities
Library leadership
Projectors qualities
good analytical
(OHPLCD.etc.) ability
Feedback mechanisms
team spirit
Success at placement
decision
making abilities
interviews
Grades obtained in Computer skills
examinations
Rising career graph of
alumni in corporates
Number of applications
for admission in the
institute
Ratings ofsurveys

Fig. 1.3 Transformation process tor a purely service organization (an MBA institution)
T0 Production nd Operations Management

Random disturbances

High turnover of
Quality of chefs, waiters, Quality of
etc. outputs
Inputs
monitored Inflation monitored
Government's
taxation policy

Inputs Outputs
Customers Customers satisfied with
Waiters
Chef
good
Transformation preparation of
.Manager process the food
.Furniture
pleasant
Building behaviour and
Food
personality of
the waiters
appropriate prices
charged

Feedback mechanisms
Rising revenues
.Repeatcustomers
Appreciation of customers

Fig.1.4 Transformation process for a hybrid service and manufacturing organization (a restaurant)

Random disturbances
High turnover of
Quality of workers and managers
Recession Quality of
inputs outputs
monitored Government's
taxation policy monitored
Strikes instigated by
trade unions
Inputs
Outputs
Machines and
equipment Refrigerators with
Components, good cooling
parts, Transformation performance
sub-assemblies, process less
etc. Consumption of
Office electricity
infrastructure good after-
(computers, sales service
furniture,etc.) genuine prices
new advanced
Packaging featuress
material
Capital Feedback mechanisms
Building
Workers Rising sales volumes
Lesser customer complaints
Managers Positive response of
Customers in the feedback
forms
.Productivity

Fig.1.5 Transformation process for a purely manufacturing organization (a refrigerator manufacturer)