It is not just the operations function that manages processes; all functions manage processes. For example, the marketing function will have processes that produce demand forecasts, processes that produce advertising campaigns and processes that produce marketing plans. These processes in the other functions also need managing using similar principles to those within the operations function. Each function will have its ‘technical’ knowledge. In marketing, this is the expertise in designing and shaping marketing plans; in finance, it is the technical knowledge of financial reporting. Yet each will also have a ‘process management’ role of producing plans, policies, reports and services. The implications of this are very important. Because all managers have some responsibility for managing processes, they are, to some extent, operations managers. They all should want to give good service to their (often internal) customers, and they all will want to do this efficiently. So, operations management is relevant for all functions, and all managers should have something to learn from the principles, concepts, approaches and techniques of operations management. It also means that we must distinguish between two meanings of ‘operations’:
‘Operations’ as a function, meaning the part of the organization which produces the products and services for the organization’s external customers;
‘Operations’ as an activity, meaning the management of the processes within any of the organization’s functions.