Difference between Manufacturing Concerns and Service Concerns | Operation Management

Difference between Manufacturing Concerns and Service Concerns
Operation Management
BBA
Management Notes

S.No.

Manufacturing Operations Service Operations
1. Manufacturing operations produces tangible output (ie; which can be physically seen) from the the conversion process. Service Operations produces intangible output( ie; which cannot be physically seen) from the conversion process.
2. The output from the manufacturing operations can be consumed over a longer period of time. The output from the service operations is consumed immediately.
3. Manufacturing Operations are generally based on capital intensive technique as they use more capital(ie; more use of machines and equipments) and less labour. Service Operations are generally based on people intensive technique as they use more machines and equipment than machines and equipments.
4. In manufacturing Operations, there is no need to contact customer frequently and no need of customer’s participation. In service operations, there is need to contact customers frequently and need of customer’s participation as without customer contact no service can be generated.
5. In order to measure the performance of the manufacturing operations, sophisticated methods are used. In order to measure the performance of the service operations, simple methods(fast and easier) are used.
6. Manufacturing operations covers large area as they produce goods for local level, national level or international level. Service Operations covers small area as they generally provide services for local people.
7. Manufacturing operations which includes production of goods and services are generally technology based. Service operations are mainly knowledge and skill based but sometime technology is also required to produce services.

Post Your Comment Here

Your email address will not be published. Required fields are marked *

This site uses Akismet to reduce spam. Learn how your comment data is processed.