BX2062 - Operations Management of Logistics and Supply Chain Article

Running head: OPERATIONS MANAGEMENT
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Operations Management
Name:
Institution:
Date:

OPERATIONS MANAGEMENT 2
Operation management
Executive summary

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The article in review is on Operations Management of Logistics and Supply Chain: Issues
and Directions written by Xiang Li for the College of Economic and Social Development,
Nankai University. It talks about the importance of logistics and supply chain management
from the point of view of operations management. This paper aims at critiquing the journal
article with a view of getting the most important information on the article as well as giving
the recommendations and conclusion on the article.
We attend times where the integral management of the value chain under SCM concepts
(supply chain management) has passed from experimentation to practical experience. The
results of the "bullwhip effect" from the famous study that the firm Procter & Gamble carried
out have led to a paradigm shift in the overall management of the global value chain of the
business and in the conception of chain management of supply. Buy, produce, sell, collect
and pay is essentially the turn of the business. Let's say that the shape does not change, yes
the mode. Inside this operating wheel with financial dyes the concept of efficiency has
derived in other pillars where to be sustained and it is precisely the medium and small
companies that can more (and should) take advantage of the appropriate strategy of its supply
chain, Understanding, first of all, that decisions on stocks, deposits, transport, supply and
distribution should occupy an important place at the table of strategic decisions (Christopher,
2016). Reducing costs and capital by increasing service standards (effectiveness resulting
from a strong combination of efficiency and effectiveness) results in a non-bureaucratically
achievable equation in an environment where logistics functions are scattered and confused in
different roles, areas and departments.
Literature review

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Main purpose of the article
The article aims at showing the importance of managing inventory and transportation field to
reduce loss or any inefficiency as a result of poor planning. The author also explores
intermodal connectivity and vehicle routing planning(VRP) as a means of improving
operation management.
According to the author, Operations Management is dedicated to research and execution of
all those actions aimed at generating the greater value added in the production of goods and
services. The concepts of production and logistics should be clear (Collaborative Promotions,
2010). The content of any plan of operations revolves around the how? And with what?
Operations Management is responsible for the production of the goods and services of the
organization, from being responsible for the decision making in the operations function and
the transformation systems that are used. Raw materials and inputs Comparison against
desired output in terms of how best the operation management should give results. Logistics
is responsible for the efficient distribution of resources and products with a lower cost and
excellent service delivery (Heizer, Render & Munson, 2017). It seeks to strategically manage
the acquisition, movement, storage and control of inventories, as well as the entire flow of
information associated to perform an activity in a timely manner and at the appropriate cost.
Key questions on the article.
The author is interested in knowing how improving various aspects of supply chain
management will improve operations management of a company. One of the questions he
asks how channel management is an important factor between marketing and supply chain
and how this can improve the overall operations of the company. He also asks how these can
be improved.