Operations and Productivity

Operations and Productivity 1
OPERATIONS AND PRODUCTIVITY
by Student’s Name
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Operations and Productivity 2
1 Differences between services and Manufacturing
Services Manufacturing
End products are services End products are goods
Product is intangible Product is tangible
Products cannot be kept in inventory Products can be kept in inventory
Production deeply involves customer Production does not involve
customer
Products are only produced on
demand
Can be produced before demand
(Linton, 2019)
2 Real Dairy Australia Pty Ltd; inputs, processes, and outputs
The firm has various inputs including ;
Labor.
Raw materials.
Equipment
Money
Some of the main processes that take place in Real Dairy Australia Pty Ltd are ;
Blending.
Material handling
Raw material processing
Logistics
Warehousing
(Real Dairy, 2020).
The outputs of the firm are saleable goods like milk, butter, valuable information on
the processes involved, and feedback tot e production team (Lenzen & Lundie, 2012, p.
7).

Operations and Productivity 3
3 Core processes in a firm and their relationship
The core processes in a firm are input, transformation, and output. Input is the
foundation of all other processes. Input is the raw material that leads to the start of
transformation (Management Mania, 2019). Conversion is the process of manipulating
the inputs to add value to them.
4 Operations strategy and the Importance of Competitive Priorities
Operations strategy is the process by which an operation implements a business
strategy and contributes to the establishment of customer-based enterprises.
Competitive priorities enhance customer relationships. Competing priorities also
promote new service development and order fulfillment. Competing priorities also boost
relationships with suppliers (Diaz-Garrido, et al., 2011, p. 123).
5 Effect of global competition on productivity
Global competition increases productivity. The opening up of markets to global scales
enables sharing of knowledge skills and information that helps firms to improve their
production efficiencies and customer satisfaction rates in a bid to outdo the competition.
6 Productivity
a) The gardener takes 1.2hrs to mow a typical lawn; his day is 8 hours long.
Productivity = value of work/hours worked
1/1.2= 0.833lawns/hour.
Daily productivity = hourly productivity * hours
0.8333*8= 6.6667lawns/day.
The productivity of the gardener= 6.6667 lawns/day.