The first person who gives attention to produce efficient way is Adam Smith, the author of The Wealth of Nations (1776). Adam Smith put forward the advantages of the division of labor (division of labor), namely:
- Increased skill or skills a person if that person it bears re-doing work,
- Retrieved savings in time, because often the alternation of work from one job to another job,
- The discovery of specialized machines that only work on one kinds of course work in a series of jobs.
Eli Whitney (1880) known as the first person to popularize the components can be disassembled pairs, obtained through the standardization and quality control. He won the United States government contract for 10,000 guns, which are sold at high prices because such weapons dismantled pairs.
In 1852, Charles Babbage expressed the opinion that the process of producing goods there are activities that are not economical in terms of the use of machinery and manpower, in his book On the Economy of Machinery and Manufacturers. At this time of economic production systems are expected to occur so that no waste of factors of production.
Followed by FW Taylor in 1881 with a suggested "methods of work with the division of motion and time are minimum or known by the time and motions study. FW Taylor proposed four basic tasks of management, namely:
- Changing the rule of thumb methods (methods that are not based on science) with the so-called scientific method to study motions minimum notice of motion, in order to obtain maximum results.
- Managers must make the selection and training of workers or scientific workforce and eliminate individualistic nature among the workers.
- Develop a spirit of close cooperation between unions, employees, and managers.
- Held a clear division of labor between workers and employers, so clear division of tasks and responsibilities.
Quality control also plays a major role in the history of operations management. Walter Shewhart in 1924 combined with the need for knowledge of statistical quality control and discover the basics of statistical calculations and sampling for quality control.
Development of operations management continued later with the advent of industrial revolution. At this time, developments occur that leads to intense competition in the field of production. The rulers begin to think about the importance of demand forecasts, improved product quality and forecasting the impact of continued commercial progress and political marketing.
View on the direction of production activities:
- Looking for a strategic market
- Develop a production facility with the technological developments
- Promoting the results of production.
W. Edwards Deming (1950) and Frederick Taylr argue that management must do more to improve the work environment and processes so that quality becomes better. Management continues to expand operations with the sumbengan from other sciences, including industrial engineering and management science. This science of statistics as well as management and economics have contributed to increased productivity.
After World War II, development of operations management becomes increasingly rapid, marked by the discovery method of Linear Programming, Waiting Line Theory, developed in industry analysis, and began to use computers in the operating system designs such as Computer Aided Design and Computer Models for Operating Management .
The most important contribution to management is the science of informatics operations, defined by Jay Heizer and Barry Render as a systematic process performed on the data to obtain information. Science informatics, internet, and e-commerce will contribute to increased productivity and provide goods and services that are more variable in the community.
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