operations research

Application of scientific methods to management and administration of military, government, commercial, and industrial systems. It began during World War II in Britain when teams of scientists worked with the Royal Air Force to improve radar detection of enemy aircraft, leading to coordinated efforts to improve the entire system of early warning, defense, and supply. It is characterized by a systems orientation, or systems engineering, in which interdisciplinary research teams adapt scientific methods to large-scale problems that must be modeled, since laboratory testing is impossible. Examples include resource allocation and replacement, inventory control, and scheduling of large-scale construction projects.

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Planning, implementation, and control of industrial production processes to ensure smooth and efficient operation. Production management techniques are used in both manufacturing and service industries. Production management responsibilities include the traditional “five M's”: men and women, machines, methods, materials, and money. Managers are expected to maintain an efficient production process with a workforce that can readily adapt to new equipment and schedules. They may use industrial engineering methods, such as time-and-motion studies, to design efficient work methods. They are responsible for managing both physical (raw) materials and information materials (paperwork or electronic documentation). Of their duties involving money, inventory control is the most important. This involves tracking all component parts, work in process, finished goods, packaging materials, and general supplies. The production cycle requires that sales, financial, engineering, and planning departments exchange information—such as sales forecasts, inventory levels, and budgets—until detailed production orders are dispatched by a production-control division. Managers must also monitor operations to ensure that planned output levels, cost levels, and quality objectives are met. Seealso productivity.

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