Production and Operations Management Systems Chapter 1: Introduction

Systems Approach (continued)

• Using the systems approach to coordinate the business-unit team is essential to balance supply and demand, meet schedules, minimize costs, guarantee quality-standards fulfillment, maximize productivity, and optimize the use of critical resources.
• Operations management problems are composed of complex subsystems, which require inter-functional communications to uncover patterns that relate the subsystems to the whole system.
• Systems approach includes everything that counts; excludes anything that doesn’t matter.