Question

What type of management is concerned with managing all of the activities involved in creating value by producing goods and services and distributing them to customers?

Answer 1

Operations management is the field that manages the production, marketing, and distribution of goods and services. It optimizes the transformation of inputs into final products and ensures efficient delivery to customers.

Step-by-step explanation:

The type of management concerned with managing all of the activities involved in creating value through the production of goods and services, and their distribution to customers, is known as operations management. This includes managing the entire process of production, the strategic sourcing of raw resources, the marketing strategies for those goods or services, and the distribution channels that deliver the product to consumers. Operations management makes important decisions that define the behavior of firms, such as the processes used to transform inputs like labor, capital, and raw materials into the final outputs.

For example, in pizza making, the inputs—or factors of production—include flour, water, yeast, tomatoes, spices, and labor to create a pizza. The production process involves mixing and baking these ingredients, while distribution includes boxing it up and ensuring it reaches the customer. Understanding operations management helps to coordinate and optimize these processes, ensuring that goods and services are produced efficiently and meet consumer demand.