Controlling:
Managers make the standards and communication networks essential to ensure that the enterprise is pursuing suitable plans and achieving objectives.
There are six main factors which have important impact on production management. These are such as:
1. Reality of global competition.
2. Progress in quality, customer service, and price challenges.
3. Quick expansion of advanced production technology.
4. Continued development in the service sector.
5. Scarcity of production resources.
6. Increase in demand of innovative products.
Above indicated factors affect the operations managers in the sense of not providing protection to country's border from foreign imports. Day-by-day competition is enhancing and to withstand in such a competitive environment, companies should take a commitment to customer responsiveness and constant improvement towards the goal of rapidly developing innovative products.
A production system model is depicted in Figure. Inputs are classified into three categories such as. external, market and primary resources. Generally External inputs are informational in character and are inclined more towards providing knowledge regarding conditions outside the production system to operations managers. In spirit alike to external, market inputs are inclined towards informational character. Information associated product design, competition & other aspects of the market are essential. In contrast to this, primary resources are referred as those inputs that support directly the production and delivery of goods and services. The output obtained directly from production system can be either in tangible or intangible form. Outputs such like automobiles, calculators, hair dryers, clothes, cakes, soap are daily manufactured in enormous amount and are known as tangible goods whereas the intangible outputs are those which pour from production system like education, public service, health service, and transportation facility.
Figure: A Production System Model
The task of production management and its working is controlled and directed by several factors and schemes. Usually, operation managers are in extremely hasty situation as their decision plays a predominant role in deciding the progress of a firm. Their decision falls into three categories namely strategic decision, operating decision and control decision.