Location, Facilities, and Equipment Decisions
An operations manager is also responsible for deciding which site is best for your business, what sort of facilities are required, and what equipment and machinery will be needed in the process.
When thinking about the location of the site, it’s important to consider several factors. You should take into account where your raw materials are coming from as well as where you plan on shipping your final products to. This will minimize transport and shipping costs as much as possible. You also want to select an area where other costs, such as land, taxes, and utilities, are as low as possible to cut on expenses and dedicate more money to production. It’s a good idea to find an area where you’re likely to be able to access plenty of workers. Click here for more information on how to select the best location for your manufacturing company.
You also need to consider what sort of facilities need to be put in place not only for the production process but for your staff, too. Don’t forget to check everything thoroughly with the health and safety regulations in your area, or you’ll end up being shut down before you’ve even started.
Once you’ve worked out the basic facilities you’ll need, think about equipment. This includes machinery required in production, items needed for storage, equipment needed to both supply staff and keep them happy, and many other factors. You should also think about all of the materials needed to form your product.
As operations manager, you are also in charge of costing all of this, so budget everything, and see if it’s possible to drive these costs down. Filing down your expenses will give you a lot more leeway over your production and other aspects, such as the materials you can access, so you can improve your production process as well as gain a lead on other competitors in the manufacturing industry. Having said this, don’t be afraid to spend a little more on better quality items, especially if they’re long-lasting – although a cheaper price may be tempting, a longer-lasting and better-quality item will save you much more money in the long run.
These 3 key points are essential to an operations manager’s role, and with the right preparation, what can be an incredibly challenging task can be done swiftly and professionally.