What is technology?

Technology - both physical and information, has dramatically changed how word is accomplished in every
industry, from mining to manufacturing, to education, to health care.
Technology - is the enabler that makes today’s service and manufacturing system operate productively and
meet customer needs better than ever.
Technological innovation in goods, services, manufacturing, and service delivery is a competitive necessity

A. Understanding Technology in Operations

2 Category of Technology
1. Hard technology - refers to equipment and devices that perform a variety of task in creation and delivery of
goods and services. Ex. Computers, microprocessors, optical switches, satellites, sensors, robots, automated
machines, bar-code scanners, and radio frequency identification (RFID)tags.
2. Soft Technology - refers to the application of the internet, computer software, and information system to
provide data, information, and analysis and to facilitate the creation and delivery of goods and services. Ex.
Database system, artificial intelligence programs, and voice recognition software.

A1. Manufacturing Technology

Common issues regarding technology
 The right technology must be selected for the goods that are produced.
 Process resources, such as machines and employees, must be set up and configured in a logical fashion to
support production efficiency.
 Labor must be trained to operate the equipment.
 Process performance must be continually improved.
 Work must be scheduled to meet shipping commitments/customer promise dates.
 Quality must be ensured.

A2. Computer-Integrated Manufacturing System (CIMSs)

CIMS - represent the union of hardware, software, data base management, and communications to
automate and control production activities, from planning and design to manufacturing and distribution. It
includes both hard and soft technology with a wide variety of acronyms, vendors and applications and are
essential to productivity and efficiency in modern manufacturing.
CIMS facts - according to Nationa Research Council, companies with computer-integrated
manufacturing system experience have been able to:
- decrease engineering design costs by up to 30%,
- increase productivity by 40-70%,
- increase equipment utilization by a factor of 2 to 3,
- reduce work-in-process and lead time by 30-60 %, and
- improve quality by a factor of 3 to 4.

A3. Advances in manufacturing Technology

Innovation in technology have changed manufacturing in many industries.
-3 D printing ( industrial design)
- Nano Technology ( atomic, molecular, and supramolecular scales) (ex. Faster computer processing, smaller
memory cards but more memory space)

A4. Service Technology

Technology used in many services:
- downloading music
- banking
- automated car washes
- voice recognition in telephone menus
- medical procedures
- hotel and airline kiosk
- and entertainment (robots )
Perhaps the most common technology in use today involves the Internet, E-service refers to using the
internet and technology to provide services that create and deliver time, place, information, entertainment, and
exchange value to customers and/or support the sale of goods. .

Over 30% of small businesses report that they spend too much time on administration. Technology and
operations management can decrease the time employees spend on administrative tasks so that businesses can
focus on expanding their operations and increasing their customer service capabilities.
How Technology Improves a Business
Advances in technology are completely changing the way that business is conducted. Whether you are a
restaurant owner or a real estate mogul, there are virtually no professions that are not technology-based.

Instead of letting technological advances intimidate you, savvy business owners can learn how to use
technology to their benefit. From social media to service operations there is endless potential to integrate
technology into your existing business processes.

Improvements that technology offers a business include-

1. Safety- Workplace safety should be a business owner's top priority. Technology operations help to create the
safest conditions possible for both your employees and your customers.

Human error causes a lot of workplace accidents and quality management issues. Technology bases its decision
making and problem solving not on emotions, but instead on logistics.

Technology can keep consistent procedures throughout the supply chain and provide a record for reference
should there be any quality or safety issues. Without technology, operations management depends on human
record keeping, which necessarily leaves more room for errors.

Even a full time professional who has had a career in supply chain management cannot have the vast business
analytics capability that a computer has. Service operations in supply chains should always look into the way
that they can use technology to increase product and worker safety.

2. Innovation- Technology operations can provide many business innovation opportunities. Automating menial
tasks through technology will provide your workers with more time to look for creative solutions and work
directly with your customers.

Social media is a great technological tool for increasing business innovation best practices. Customers and
clients can provide feedback and companies can use business analytics to evaluate where they can improve their
services or product.

3. Communication- Technology provides the ability for people to work collaboratively all over the world.
Additionally, technology opens up new markets for service operations to reach.

Instead of being limited to an immediate geographical area, social media and technology operation management
advances have made communication more accessible and seamless than ever before. Global supply chains can
keep consistent communication full time and project management can largely be executed from cloud based
platforms.

How Technology Improves Business Operations Management

The most successful companies understand that technology affects every aspect of modern day business
operations. However, it is important to remember that technology is only effective if employees understand how
to use it.

With proper training, technology operations management can bring a business to the next level. There are many
ways that technology can improve existing outdated business operations including-

1. Customer service- Previously, customer service relied heavily on face-to-face interactions and phone calls.
Technological advances designated social media as a crucial part of the customer service experience.

Online chat, email exchanges, and social media interactions are now often the first contact points in the
customer service experience. If you do not have the capability to have full time staff members available to reply
to customers on social media or email, create an automated reply to let your customers know how soon you will
have someone reply to their inquiries.

2. Project management- Effective business administration relies on great project management capabilities.
Technology provides a platform for every team member involved in project management to easily reach one
another and see real time updates on how a project is progressing.

Technological advances keep task lists clear and concise so that every team member knows what specific tasks
they are responsible for and by what deadline they should be completed. Management operations are much less
daunting when project managers can see exactly what has been completed and what has yet to be completed.

3. Automation- Throughout a supply chain there are many places that workers waste time on tasks that could
easily be automated by computers. Supply chain management and project management can free up the time of
full time staff members and save companies money in labor costs. Additionally,decision making and problem
solving can be improved through technological influence.

Data entry and business analytics can not only take a lot of time, but it can also decrease employee morale and
satisfaction levels. When employees are freed up from doing repetitive and un-engaging tasks they can focus on
business innovation and expanding their client base.

Automation throughout supply chains provides a secure and centralized record of a product, every step of the
way. Not only does this simplify quality management but it provides business innovation opportunities for
every employee involved.
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OPERATIONS MANAGEMENT AND TOTAL QUALITY MANAGEMENT

Collier - Evans - Lindsay