The Open University since 2006
Alternatively you can skip the navigation by pressing 'Enter'.
Shakespeare Speaks: A fool's paradiseFriday, 6th May 2016 12:30 -Is Robert Harley really going to put a ring on Janet Bassett's finger? Or is Janet living in a fool's... Read more: Shakespeare Speaks: A fool's paradise
Thinking Allowed 2016: Migrant WomenAvailable for over a yearWhat have the generations of immigrant women living in Britain got to say about their experiences? Read more: Thinking Allowed 2016: Migrant Women
All in the Mind - Summer 2016: All in the Mind Awards and psychology in filmsAvailable for over a year
Thinking Allowed 2016: The Flaneur - Walking in the CityAvailable for over a year
Shakespeare Speaks: A pound of fleshAvailable for over a year
Sir David Attenborough - Earth in VisionSir David Attenborough discusses his inspiration, regrets, CGI, digital archive and the future of... Watch now: Sir David Attenborough - Earth in Vision
Hitler's rise and fall: TimelineTrack the key events in Hitler's life, from his childhood in Austria to his suicide in the bunker... Read more: Hitler's rise and fall: Timeline
Artists and authorship: the case of RaphaelIndividual artists have been the traditional focus of art history, but how do we evaluate the... Try: Artists and authorship: the case of Raphael now
Organisations and management accountingThis free course, Organisations and management accounting, examines the nature of organisations,... Try: Organisations and management accounting now
Operations management is one of the central functions of all organisations. This free course, Understanding operations management, will provide you with a basic framework for understanding this function, whether producing goods or services or in the private, public or voluntary sectors. In addition, this OpenLearn course discusses the role of operations managers and the importance of focusing on suppliers and customers.
After studying this course, you should be able to:
- define ‘operations’ and ‘operations management’
- identify the roles and responsibilities of operations managers in different organisational contexts
- apply the ‘transformation model’ to identify the inputs, transformation processes and outputs of an organisation
- identify operational and administrative processes
- describe the boundaries of an operations system, and recognise its interfaces with other functional areas within the organisation and with its external environment.
- Learning outcomes
- 1 Understanding operations management
- 2 Operations, operations management and operations managers
- 3 The transformation model
- 4 The boundary of the operations system
- Keep on learning
Study this free course
Enrol to access the full course, get recognition for the skills you learn, track your progress and on completion gain a statement of participation to demonstrate your learning to others. Make your learning visible!
3.4 Transformation processes
A transformation process is any activity or group of activities that takes one or more inputs, transforms and adds value to them, and provides outputs for customers or clients. Where the inputs are raw materials, it is relatively easy to identify the transformation involved, as when milk is transformed into cheese and butter. Where the inputs are information or people, the nature of the transformation may be less obvious. For example, a hospital transforms ill patients (the input) into healthy patients (the output).
Transformation processes include:
changes in the physical characteristics of materials or customers
changes in the location of materials, information or customers
changes in the ownership of materials or information
storage or accommodation of materials, information or customers
changes in the purpose or form of information
changes in the physiological or psychological state of customers.
Often all three types of input – materials, information and customers – are transformed by the same organisation. For example, withdrawing money from a bank account involves information about the customer's account, materials such as cheques and currency, and the customer. Treating a patient in hospital involves not only the ‘customer's’ state of health, but also any materials used in treatment and information about the patient.
One useful way of categorising different types of transformation is into:
manufacture – the physical creation of products (for example cars)
transport – the movement of materials or customers (for example a taxi service)
supply – change in ownership of goods (for example in retailing)
service – the treatment of customers or the storage of materials (for example hospital wards, warehouses).
Several different transformations are usually required to produce a good or service. The overall transformation can be described as the macro operation, and the more detailed transformations within this macro operation as micro operations. For example, the macro operation in a brewery is making beer (Figure 2). The micro operations include:
milling the malted barley into grist
mixing the grist with hot water to form wort
cooling the wort and transferring it to the fermentation vessel
adding yeast to the wort and fermenting the liquid into beer
filtering the beer to remove the spent yeast
decanting the beer into casks or bottles.
Identify the principal resources (inputs), the type of transformation process and the principal outputs (goods or services) in each of the following operations.
|Inputs||Type of transformation||Outputs|
|Delivering cars to dealers|
You may have identified various inputs such as materials, energy, machines, equipment, buildings and people. For example, the inputs used by a car assembly plant include components, equipment, buildings, labour and energy. You may also have included less tangible inputs to the transformation process, such as information and skills.
You might have noticed that, midway down the list, the activities changed from primarily the production of goods to the provision of services. In the case of car designing, the principal inputs are ideas and the outputs are materials used to communicate the finished idea, such as blueprints or computer models.
This free course includes adapted extracts from an Open University course which is no longer available to new students. If you found this interesting you could explore more free Leadership and Management courses or view the range of currently available OU Leadership and Management courses.
Copyright & revisions
Originally published: Friday, 26th February 2016
Last updated on: Friday, 26th February 2016
- Creative-Commons: The Open University is proud to release this free course under a Creative Commons licence. However, any third-party materials featured within it are used with permission and are not ours to give away. These materials are not subject to the Creative Commons licence. See terms and conditions. Full details can be found in the Acknowledgements and our FAQs section.
- This site has Copy Reuse Tracking enabled - see our FAQs for more information.
If you enjoyed this, why not follow a feed to find out when we have new things like it? Choose an RSS feed from the list below. (Don't know what to do with RSS feeds?)
Remember, you can also make your own, personal feed by combining tags from around OpenLearn.
- Latest OpenLearn pages
- Latest pages from OpenLearn - Leadership and Management
- Latest pages tagged - relative quantity
- Latest pages tagged - cosmic rays
- Latest pages tagged - marketing
- Latest pages tagged - Supernovae
- Latest pages tagged - customers
- Latest pages tagged - B700_2
- Latest comments on this page
All our alternative formats are free for you to download, for more information about the different formats we offer please see our FAQs. The most frequently used are Word (for accessibility), PDF (for print) and ePub and Kindle to download to eReaders*.
- Word (1.5 MB)
- PDF (3.6 MB)
- ePub 3.0 (1.2 MB)
- ePub 2.0 (1.2 MB)
- Kindle (311 KB)
- RSS (145 KB)
- HTML (814 KB)
- SCORM (812 KB)
- OUXML Package (21 KB)
- OUXML File (69 KB)
- IMS Common cartridge
- Moodle backup (1.2 MB)
*Please note you will need an ePub and Mobi reader for these formats.