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BME Chap 3

This document provides an overview of technology and operations management. It describes different types of technology, including hard technology like equipment and soft technology like software applications. Integrated operating systems combine hard and soft technology to allow information sharing. Technology plays roles in manufacturing like computer-integrated manufacturing systems and in services through advances like e-services. It strengthens the value chain through business analytics and customer relationship management. The benefits of technology include increased productivity and quality, while challenges include job shifts and protecting privacy. Managers must make strategic technology decisions considering scalability and their sociotechnical system.

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28 views20 pages

BME Chap 3

This document provides an overview of technology and operations management. It describes different types of technology, including hard technology like equipment and soft technology like software applications. Integrated operating systems combine hard and soft technology to allow information sharing. Technology plays roles in manufacturing like computer-integrated manufacturing systems and in services through advances like e-services. It strengthens the value chain through business analytics and customer relationship management. The benefits of technology include increased productivity and quality, while challenges include job shifts and protecting privacy. Managers must make strategic technology decisions considering scalability and their sociotechnical system.

Uploaded by

eggusilogu
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© © All Rights Reserved
We take content rights seriously. If you suspect this is your content, claim it here.
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CHAPTER 3

TECHNOLOGY
AND
OPERATIONS
MANAGEMENT
Reporters: Tayapad & Mateo
LEARNING OBJECTIVES CHAPTER 3

3-1
Describe different types of technology and their roles in
manufacturing and service operations

3-2
Explain how manufacturing and service technology and
analytics strengthen the value chain

3-3
Explain the benefits and challenges of using technology

3-4
Describe key technology decisions
3-1 TECHNOLOGY IN OPERATIONS

Technology
– the enabler that makes today’s service and manufacturing systems
operate productively and meet customer needs than ever.
TYPES OF TECHNOLOGY

1. Hard Technology
– equipment and devices that perform a variety of tasks in
the creation and delivery of goods and services.
ex. computers, sensors, bar-code scanners, & RFID tags.

Radio-Frequency Identification or RFID tags


- the modern successor to bar codes.
- tiny computer chips that transmit radio signals to
identify locations and track movements throughout
the supple chain.
TYPES OF TECHNOLOGY

2. Soft Technology
– the application of the Internet, computer software, and
information systems to provide data, information, and
analysis and to facilitate the creation and delivery of goods
and services..
ex. data base systems, ai programs, & voice
v recognition software.
TYPES OF TECHNOLOGY

Integrated Operating Sstems (IOSs)

– the integration of both Hard and Soft technology,


allowing managers to make better decisions and share
information across the value chain.
– includes:
Computer-Integrated Manufacturing Systems (CIMs)
Enterprise Resource Planning (ERP) Systems
Customer Relationship Management (CRM) Systems
ROLES OF TECHNOLOGY IN MANUFACTURING &
SERVICE OPERATIONS

A. Manufacturing Technology B. Computer-Integrated


– low-tech and simple Manufacturing Systems (CIMSs)
manufacturing technlogy are used
– represent the union of hardware, software,
in small and medium-sized
database mgmt., and communications to
manufacturing enterprises like the
automate and control production activities,
box on making jigsaw puzzles .
from planning and design to manufacturing
and distribution.
– high-tech are used in producing
automobiles, jet engines which Robot
requires advanced method. – a programmable machine designed to
handle materials in the performance of a
variety of tasks.
ROLES OF TECHNOLOGY IN MANUFACTURING &
SERVICE OPERATIONS

C. Advances in Manufacturing Technology


Nanotechnology
– involves the manipulation of matter on atomic, molecular and supramolecular
scales, thus brining with it super precision manufacturing.
ex. smaller memory cards that have more memory space.

3D painting
– technically called additive manufacturing. The process of producing a three-
dimensional solid object from a digital model life.

Additive - means that successive layers of material such as plastics, ceramics, or


glass are built up rather than milling or drilling, which remove materials.
3-D Painting Technology Applications:

1. Prototyping
– industries designers can quickly produce a
physical model from a digital computer -aided
design drawing. This is used extremely in
architecture, industrial design and automotive,
aerospace and other manufacturing industries.

2. Used in the dental, and medical industries for


implants and prosthetics.

3. Custom cases for mobile phones


– 3d painting that was introduced by Nokia.
ROLES OF TECHNOLOGY IN MANUFACTURING &
SERVICE OPERATIONS

D. Service Technology
– used in many services including, downloading music, Banking automated car
washes, Voices recognition in telephone menus, medical procedures, hotel and
airlines kiosks and entertainment.

E-service
– the using of 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.
3-2 TECHNOLOGY IN VALUE CHAINS

Technology
– especially the internet and e-communication is changing the
operation, speed and efficiency of the value chain and present new
challenges to operation managers.
CUSTOMER RELATIONSHIPS
BUSINESS ANALYTICS MANAGEMENT (CRM)

– plays a critical role managing value – a business strategy designed to learn


chains, particularly for integrating and more about customers' wants, needs,
analyzing data throughout the value and behavior in order to build customer
within an information system relationship and loyalty, and ultimately
framework. enhance revenues and profits. CRM
exploits the vast amount of data that can
collected from consumers.
CRM help firms gain and maintain competitive
advantage by:

segmenting market based on demographic & behavioral


characteristics
tracking sales trend and advertising effectiveness by
customer and market segment
Identifying where transaction are likely to be fraudulent
linking the previous information to competitive priorities
by market segment and proces and value chain
performance.
3-3 BENEFITS AND CHALLENGES OF
C TECHNOLOGY
BENEFITS
Create new industries and job
opportunities.
Increases marketplace
competitiveness and maintains the
survival of the firm.
Provides the capability to focus on
smaller target market segments to
mass customization.
Improves/ increase productivity,
quality, customer satisfaction, speed
safety, and flexibility/customization.
Raises world standard of living
Monitors the encouragement and
health of the planet.
CHALLENGES
Higher employees skills level required
Job shift and displacement
Less opportunity for employees
creativity and empowerment.
Protecting the employee's and
customer's privacy and security.
Information overload
Global outsourcing and impact on
domestic job opportunities.
Inforcement of regulations and laws to
support sustainability goals.
3-4 TECHNOLOGY DECISION AND
C IMPLEMENTATION
Managers
– must make good decisions about introducing and using
new technology. They must understand the relative
advantage and disadvantage of using technologies and
their impact on the workforce.

– its goal is to provide the best synthesis of technology,


people and processes; the interaction often called
sociotechnical system.

Sociotechnical System - making decisions about job


specialization versus enlargement, employee
empowerment, training, decision support system,
teams and work groups, job design, recognition and
reward, career advancement, and faculty and
equipment layout.
Scalability
– the key factor that affect technology decision and also the
measure of the contribution margin (revenue minus
variable cost) required to deliver a good or service as the
business grows and volumes increase.

High scalability - the capability serve additional


customers at zero or extremely low incremental cost.

Low scalability - implies that serving additional


customers requires high incremental variable cost.
THANK YOU
Presented by: Tayapad and Mateo

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