Functions of the Operations Office

1. FUNCTIONS OF
THE OPERATIONS
OFFICE
Ayanna Charles-Ford
Section 12
Objective 1

2. Operations
•Relates to all of the
activities involved in
manufacturing goods to
sell to customers.

3. •This means ensuring that
Machinery
People
Materials
Are all organised

4. •So that
goods are produced
they are despatched
efficiently
and transported on time

5. Functions of the
Operations Office
1. Coordinating production activities.
2. Protecting workers and the environment
3. Maintaining factory records
4. Quality control
5. Cost of finished goods
6. Liaising with other departments

6. The production department brings
together:
• Machinery
• Raw materials
• Consumables (e.g. machine oil)
• Production workers
Coordinating Production
Activities

7. •Operations must check
that enough materials are
in stock before a product
is made

8. Protecting workers and the
environment
• Providing equipment and materials that are safe to
use
• Ensuring safe methods of work
• Giving staff proper training
• Adhering to the laws to protect workers in the
 Factories Act
 OSHA

9. Maintaining factory records
• Records used in manufacturing
include inspection reports,
efficiency figures and maintenance
schedules, which must be
completed accurately and filed
carefully so they can be retrieved
easily.

10. Quality control
•The factory office must check
the inspection records which
outlines any faulty products.
This information is passed
promptly to someone who can
correct the problem.

11. Cost of finished goods
• Costing a product means calculating how
much it costs to make. This information
is important because the sales
department uses it to decide how much
to charge a customer.
• The selling price should cover these costs
and include a contribution to profits.

12. Liaising with other
departments
• In order for efficiency to occur in the
manufacturing goods the operations office
will liaise with other department responsible
for product costing, delivery dates, requesting
production materials, assisting in costing
products and selection of staff.

13. KEY TERMS
• Coordination
This means ensuring that different aspects of a
factory work together effectively. For example,
stores must deliver materials to manufacturing
when they are needed.
• Quality control
Means checking for any faults that occur,
recording the reason for the problem and taking
action to correct it. Checks are made during
production as well as final inspection.

14. • Direct costs
These are monies spent in direct proportion to
the number of items produced and sold.
• Variable costs
These fluctuate depending upon the number of
items produced.
• Indirect costs
These arise no matter how many items are
produced.

15. • Overheads
This is another name for indirect costs.
• Fixed costs
These are not linked to the number of items
produced and sold.

16. REFERENCES
• Carysforth, C. et al (2012), Office Administration for
CSEC – A Caribbean Examinations Council Study
Guide, Nelson Thornes UK.
• Jacob, A. (2014), Office Administration for CSEC,
Nelson Thornes, UK.
• Ramtahal, F. (2013). Office Administration, (2nd ed.)
Caribbean Educational Publishers Trinidad.