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The IUP Journal of Operations Management
Focus

The papers in this issue focus on a variety of topics ranging from student career
goals to supply and operations responsiveness. The first paper,“How Operations Management Topics Support US Students’ Career Goals”, by Beth E Ellington, Samuel K Formby, Dinesh S Dave and Sarah E Miller, shows how a Production Operations Management (POM) course can be designed to cover topics that best serve Marketing majors, Business Management majors, Accounting majors, and Supply Chain Management minors. The POM course could serve as a vehicle to provide students with information about topics needed for careers in specific industries, while providing students with a better understanding of how the knowledge obtained in the course supports their career aspirations regardless of company size or industry segment. The paper illustrates, with examples, how specific topics can be modified to different majors and minors, making them more acceptable and relevant to the needs of the industry.

The second paper, “Supply and Operations Responsiveness in the Indian Garments Industry”, by Anupam Ghosh, considers the responsiveness dimension that affects operations and supply chain. The Indian garment industry caters to the needs of 1.27 billion population through supply of varied types of dress material—from daily use to fashion-wear. This paper considers the case of babies’ dress material and gives a brief description of the system of manufacturing and the role that responsiveness plays in this segment. The author uses simulation study to explain the responsiveness issues in the operations process of this industry segment.

The third paper, “On Developing a Microsoft Excel Add-In for Drawing Control Charts”, by Chayan Paul and Dibyojyoti Bhattacharjee, highlights that variations in the finished products in a manufacturing process are inevitable, and hence variations, to a certain level, are allowed to remain in the system. Control charts are the graphical tools to determine the variations that are present in the product. Microsoft Excel does not have any option to draw control charts directly. However, it can be drawn following some complex steps and making some adjustments in the in-built graphs of Microsoft Excel. The paper introduces an Excel Add-In program, developed using Visual Basic for Application, for drawing control charts. One can draw control charts directly using this Add-In. This Add-In shall be useful in the field of production and manufacturing for detection of variations during the process of manufacturing products.

The fourth paper, “Improving the Overall Equipment Effectiveness of a Machine: Case of a Float Glass Manufacturer in India”, by Sumeet Singh Jasial, S S Pal and Vinayak Thakur, speaks of the major issues that are needed to be studied in order to increase the overall equipment effectiveness of a machine. The paper in the context of a float glass manufacturing unit, shows how the root cause of the problems can be identified through why-why analysis.

The research note, “ATM Usage Price in India”, by Sunita Kumar and Shiv Onkar Deepak Kumar, discusses the increasing ATM usage for banking transactions. Presently, in India, five free withdrawls from other banks’ ATM are allowed every month. From the sixth transaction, the customer is charged up to 20. The ATM of any bank comprises various components and services. All these come at some cost. This paper highlights the various cost components of ATM, and based on this, the cost per transaction is arrived at. Other associated aspects that impact cost are also discussed.

-- Anupam Ghosh
Consulting Editor

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Automated Teller Machines (ATMs): The Changing Face of Banking in India

Bank Management
Information and communication technology has changed the way in which banks provide services to its customers. These days the customers are able to perform their routine banking transactions without even entering the bank premises. ATM is one such development in recent years, which provides remote banking services all over the world, including India. This paper analyzes the development of this self-service banking in India based on the secondary data.

The Information and Communication Technology (ICT) is playing a very important role in the progress and advancement in almost all walks of life. The deregulated environment has provided an opportunity to restructure the means and methods of delivery of services in many areas, including the banking sector. The ICT has been a focused issue in the past two decades in Indian banking. In fact, ICTs are enabling the banks to change the way in which they are functioning. Improved customer service has become very important for the very survival and growth of banking sector in the reforms era. The technological advancements, deregulations, and intense competition due to the entry of private sector and foreign banks have altered the face of banking from one of mere intermediation to one of provider of quick, efficient and customer-friendly services. With the introduction and adoption of ICT in the banking sector, the customers are fast moving away from the traditional branch banking system to the convenient and comfort of virtual banking. The most important virtual banking services are phone banking, mobile banking, Internet banking and ATM banking. These electronic channels have enhanced the delivery of banking services accurately and efficiently to the customers. The ATMs are an important part of a bank’s alternative channel to reach the customers, to showcase products and services and to create brand awareness. This is reflected in the increase in the number of ATMs all over the world. ATM is one of the most widely used remote banking services all over the world, including India. This paper analyzes the growth of ATMs of different bank groups in India.
International Scenario

If ATMs are largely available over geographically dispersed areas, the benefit from using an ATM will increase as customers will be able to access their bank accounts from any geographic location. This would imply that the value of an ATM network increases with the number of available ATM locations, and the value of a bank network to a customer will be determined in part by the final network size of the banking system. The statistical information on the growth of branches and ATM network in select countries.

Indian Scenario

The financial services industry in India has witnessed a phenomenal growth, diversification and specialization since the initiation of financial sector reforms in 1991. Greater customer orientation is the only way to retain customer loyalty and withstand competition in the liberalized world. In a market-driven strategy of development, customer preference is of paramount importance in any economy. Gone are the days when customers used to come to the doorsteps of banks. Now the banks are required to chase the customers; only those banks which are customercentric and extremely focused on the needs of their clients can succeed in their business today.

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Operations Management