There is no denying that running a business is not a trivial matter. Without having qualified leadership and management skills , a businessman will not be able to make a business that is always profitable. The reason is, a business certainly consists of various components all of which must be monitored accurately in order to carry out their duties effectively.

In fact, in a business or company that is already quite large, the management division has an important enough share. Not a few companies and businesses that break this management division into several sections that regulate just one specific thing. One example that is most often present in a company is operational management. 

Believe it or not, a company will not get abundant success or profits without having good operational management. The main cause is because operational management functions as a manager of all matters related to the company’s operational activities. 

Because of its importance, companies will not be able to make the best business decisions if operational management is not working optimally. Knowing this, business people must know about what operational management and its functions are. For that, consider the following explanation.

Business Definition of Operational Management


In short, what is meant by operational management is an optimal form of management in use in various factors of the company’s production. That is, operational management is a manager so that human resources, goods, equipment, machinery, raw materials, and also other factors of production can be goods and services that are traded by companies. 

Many explanations also came from experts. One of them is Eric who said that operational management is a continuous process of user management functions effectively. The goal, of course, is that all the company’s resources can be integrated and efficient in achieving its goals. 

In addition, according to Eric, operational management is an application of management science to regulate all production or operational activities of the company. Still the same, the goal is of course that the company’s performance can run more efficiently and optimally. 

Finally, Richard L. Daft also explained that operational management is a management area that focuses specifically on the production of goods. Among these activities, operational management also uses certain tools and techniques so that problems in the production department can be solved.

Based on the explanation from the experts, it can be concluded if operational management has a direct relationship with the company’s output. So, you can imagine how ineffective the company’s production activities are if left to work without supervision from this operational management.