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What is the distinction between the management of service companies and the management of production companies?

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Question added by Nadjib RABAHI , Freelancer , My own account
Date Posted: 2017/05/04
Abdool Wadood Mahommed  Saleh
by Abdool Wadood Mahommed Saleh , Director of Contracting , M Shahaan Enterprise Co Ltd

its the same management with a bit more emphasis on customer service on service industry whilst production put emphasis more on QMS

Celeste Ann Mascarenhas
by Celeste Ann Mascarenhas , Health Care Assistant, Level 3 Nursing , Carlton Court Care Home

Production management involves the planning, organisation, direction and execution of production activities. The ultimate goal of any production management solution is to convert a collection of raw materials into a finished product. Some people refer to production management as the bringing together of the 6 'Ms':

  • Men
  • Money
  • Machines
  • Materials
  • Methods
  • Markets

These constituents come together to provide consumers and businesses with products that they need or want.

The production management principles are often referred to as operation management principles, and they are designed to facilitate the production of goods that are of the required quality and quantity.

An efficient production management solution will also deliver products at the time they are required by the market at the lowest achievable cost. Any successful production management solution requires the optimum utilisation of production capacity in order to reduce costs to a minimum.

A managed services provider (MSP) is most often an information technology (IT) services provider that manages and assumes responsibility for providing a defined set of services to its clients either proactively or as the MSP (not the client) determines that services are needed.

 

simon Toyiring
by simon Toyiring , REGIONAL SALES MANAGER NORTH ZONE 1 , FAREAST MERCANTILE NIGERIA LTD

Services is dealing with intangible while production in dealing with tangible materials

Ashraf E. Mahmoud (PhD)
by Ashraf E. Mahmoud (PhD) , University Lecturer, Freelancer Consultant and Trainer for Int'l Business & Banking TF. , FreeLancer

Thanks for invitation,

I do believe that management is management in both.

Md Fazlur Rahman
by Md Fazlur Rahman , Procurement Specialist , Engineering and Planning Consultants Ltd

Service companies: Focus on quality of services through training of service people, commnunication and coordination with clinets, prompt response to  the service call and use of technology to provide premium services at reasonable/agreed proces. 

Production Companies: Focus on quality of products, products promotion in the target market, use of technolgy to reduce cost and to use financial resources wisely to keep the financing charges low which will ultimately have impact on lowering product cost. 

Ahmed Ibrahim Fouda
by Ahmed Ibrahim Fouda , Assistant Lecturer , Shorouk Academy

In My point of view it's the focus of management, as the service companies focus on the customer him/her self (high end well trained customer service-speed of deliver of service -stability of service quality levels) while the production companies focus on the product itself ( Brand-image-price)

Obaid ur Rehman
by Obaid ur Rehman , HR Executive , Al Bahr Al Arabi Marine Engineering Services

I would second the opinion of Mr. Omar.

Qaisar Khan
by Qaisar Khan , Project Lifecycle Management , ExxonMobil-Qatar Petroleum JV project at RasGas

There are five main differences between service and manufacturing organizations: the tangibility of their output; production on demand or for inventory; customer-specific production; labor-intensive or automated operations; and the need for a physical production location. However, in practice, service and manufacturing organizations share many characteristics. Many manufacturers offer their own service operations and both require skilled people to create a profitable business. 

Service and manufacturing operations management have differences, but also similarities. For example, both create mission statements and a vision for how the organization will be run and perceived by customers. Each service provider or manufacturer wants to lead the market in its specific industry. However, manufacturing and service operations answer different questions and formulate different strategies when it comes to planning and managing the way in which an organization is run.

Manufacturing operations produce tangible goods, which are physical products that can be held and seen. Manufacturing can be broken down into two branches: process and discrete manufacturing. While process manufacturers produce goods that typically use a formula and ingredients, such as soda pop or pharmaceutical drugs, discrete manufacturers produce goods from parts, such as electronics, appliances and automobiles. On the other hand, service operations provide certain intangible services that may not be easily identifiable. Service operations can be classified into many industries, such as banking, hospitality, advertising and consultancy

(smallbusiness.cvhrom.com)

 

Omar Saad Ibrahem Alhamadani
by Omar Saad Ibrahem Alhamadani , Snr. HR & Finance Officer , Sarri Zawetta Company

Thanks 

In my opinion it is the same management with different customers between consumer and user 

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