Don Rosenfield, MIT LGO Program Director and Senior Lecturer at MIT Sloan, recently discussed the importance of operations management in The Economist’s ‘Which MBA’ column.
He writes, “OM [operations management] is the basis of competitiveness and the generation of wealth. It represents a significant portion of any society’s economic activities. Understanding how to manage it is the key to development.
Advanced societies such as America—despite impressions to the contrary—are responsible for a significant amount of global output in manufacturing and this is the basis of their high standards of living. Less wealthy counties, on the other hand, are in such a position because they are yet to develop the same level of skills in manufacturing and services. In order for these societies to develop, they must invest in manufacturing and service operations to provide a mechanism for creating jobs and raising standards of living.”