Operations Management

Running head: OPERATIONS MANAGEMENT
OPERATIONS MANAGEMENT
Name of the Student
University of the Student
Author Note

OPERATIONS MANAGEMENT1
Executive Summary
The purpose of the project is to analyse the operational efficiency of a business entity. In
order to determine this a company has been selected for the analysis purpose. The company
selected in this project work is Amazon. Supply chain management and the inventory
management system have been thoroughly investigated and thereafter the improvements in
these techniques are being analysed. Problems in the operational management techniques are
also determined in this report. Proper financial planning is necessary for every organisation
and it is necessary for Amazon. The cost structure and allocation of Amazon and the
investment appraisal technique has been determined. The report concludes by stating that the
coordination and the management of all the activities analysed in the report will help in
increasing the total quality of the service provided by Amazon.

OPERATIONS MANAGEMENT2
Table of Contents
Introduction................................................................................................................................3
Discussion..................................................................................................................................4
Amazon Inventory Management............................................................................................4
Amazon Supply Chain Management.....................................................................................5
Improvements in the operations.............................................................................................5
Highlights of the Improvement Approaches..........................................................................6
Problems in Management Techniques Improvement.............................................................7
Financial Evolution Techniques:............................................................................................8
Cost Structure and Allocation................................................................................................9
Investments..........................................................................................................................10
Conclusion............................................................................................................................10
References................................................................................................................................11

OPERATIONS MANAGEMENT3
Introduction
One of the most crucial tasks performed by all business organisation is management
of quality. This helps in maintaining a required amount of excellence within the organisation.
The main purpose of quality management is to focus on long-term goals by implementing
short-term initiatives, hence assess the various quality issues, and thereafter provide
maximum satisfaction to customers (Heizer et al. 2017). Operations management is therefore
required to maintain the quality system within business organisations.
Operations management refers to planning, organising, administration and supervision
of the business practices in order to increase the efficiency of organisation. It aims in
maintaining a balance between the costs and the revenue in order to increase the operating
profits of the organisation. The process involves optimum, effective and efficient utilisation
of the resources like material, labour, technologies and equipment in order to maximise the
output and bring about an operational efficiency (Reid and Sanders 2015). This efficiency can
be bought in supply chain management and inventory management as well.
The management of the inventory and supply chain helps in smooth flow of goods in
market. This improves the quality of services being provided by the organisation. Supply
chain management refers to smooth flow of goods from its place of origin to a place of
consumption and the transformation of raw materials into finished products (Yu et al. 2016).
On other hand, inventory management refers to the administration and supervision of the
stocks of the organisation and it is a sub part of the supply chain management. The following
paragraph discusses about the current operational structure of Amazon and any changes
required in long-term.