Operational management tasks are all the routine steps to implement business goals and procedures. They help your business run efficiently and help to deliver quality products to your customers. These include processes such as supply chain management production scheduling inventory control and resourcing. While strategic management sets long-term goals and broad business plans, operational management focuses on the details of executing these strategies.
Strategic management is a higher-level process that involves more broad-based concepts and visions. This is the reason why it is usually executed by senior managers such as the CEO, CFO, or founder. It also considers the branding, ideals and principles of a company’s working ethic and mission.
When a leader of a company decides on the direction for an company, they’ll look to their management team for specific tactics and strategies. They will be more detailed, which makes them easier to implement and alter in the future. For instance, a strategic management plan could include the notion that a company should be more eco-friendly and utilize recycled materials in their packaging. However, the exact logistics of obtaining that material as well as switching to electric vehicles for shipping could be a management issue for the operational side.
To be successful, modern businesses needs to be ready to sudden and unforeseeable challenges that could threaten its existence. Global trade and regulatory barriers are examples of potential threats that are beyond a company’s control. In these instances, a competent operations manager will conduct risk analysis and mitigation to prepare for the most severe scenarios.
