Operational Management tasks comprise the daily actions implemented to achieve business goals and procedures. They assist your business to run efficiently and make it possible to deliver high-quality products to your customers. These include processes such as supply chain management and production scheduling inventory control and the resourcing. While strategic management sets long-term goals and business plans that are broad operational management concentrates on the details of executing these strategies.
Strategic management is a broad set of ideas and visions that are more high-level, which’s why it is usually handled by the upper management roles such as the CEO, CFO or the founder. It also takes into account the branding, ideals, and principles of a company’s working ethics and mission.
After a leader has decided on the direction for an organization they will look to their Operations Management team for specific strategies and tactics. They will be more detailed and therefore easier to implement and alter in the future. For example, a strategic management plan may include the notion that a business should be more eco-friendly and utilize recycled materials for their packaging. However, the precise logistics of obtaining the material and switching to electric vehicles for shipping could be a matter of operational management.
Modern businesses must be prepared for unexpected and sudden challenges that may make their existence a risk. Changes in regulations and global trade barriers are examples of possible challenges that are beyond the control of any company. In these instances, a competent operations manager will conduct risk analysis and mitigation to be prepared for the most severe scenarios.