KENT STATE
UNIVERSITY
MASTER OF
BUSINESS ADMINISTRATION WEBSITE
SYLLABUS
BAD 64041
OPERATIONS MANAGEMENT (3)
COURSE DESCRIPTION:
BAD 64041 OPERATIONS MANAGEMENT (3) Develops a
framework for analysis of operating problems. Uses computer, quantitative, and
behavioral models to develop operating plans consistent with organizations'
competitive (or service) strategy. Prerequisite: BAD 64005.
I. TO THE STUDENT:
The main objective of this course plan, the
syllabus, is to assist you, the student, in preparing yourself before coming to
a class presentation, in being able to follow a lecture and participate in
class, and in doing the adequate work after class. You are going to participate
in informal, un-graded assignments in and out of the classroom that allow you
to understand the basic theory behind operations management and the
quantitative skill used to make decisions in operations. These assignments will
prepare for formal, graded assignments where students are evaluated on their
mastery of these skills.
That is the reason, that your instructor has
prepared this syllabus with as much detail as possible. It is actually a tool
that will enable you to get the most out of this course.
II. RATIONALE:
As we approach the new millennium, the need
for organizations to improve all levels of their operations has never been more
important. The effective use of their production resources, the focus in
continuous quality improvement, and decision-making could be vital for the
success of any organization. The operations function is at the core of a
business, because here lays responsibility for most of the labor, materials,
equipment, information, energy, and capital used to produce goods and services.
Knowledge of operations management prepares managers to face the competitive challenge of effectively managing organizational resources. Operations management merges topics from accounting, marketing, industrial engineering, human factors, management science, and statistics into a blend of analytical tools and strategic issues.
The main objective of this course is to enable
students to become better managers, particularly if they find themselves
working in operations management. A sizable part of the U.S. and international
work force is employed in operations related jobs. These jobs are important and
challenging, and they can lead to rewarding and successful careers. To achieve
this objective, several goals were established and are presented in part III.
III. GOALS:
Upon successful completion of the course, the student should be able to:
Cognitive Domain:
1. Understand what operations managers do in a
manufacturing and service firms, and become familiar with the tools and
techniques that operations managers use in making operating decisions.
2. Identify weaknesses and strengths of the
operation function within a firm and be able to communicate at different levels
of the organization with the objective of optimizing results of the operations
function.
3. Apply theoretical concepts and analytical
techniques learned in this course for the effective operation of manufacturing
and service systems.
4. Compare different quality measures and
costs, and show how they can be used to translate quality issues into the
language of management--money.
5. Propose the importance of participate
problem-solving approaches and the application of analytical techniques for the
evaluation of production processes.
Affective Domain:
6. Evaluate the numerous managerial factors that contribute to the
successful implementations of operations management concepts.
IV. DETAILED COURSE SYLLABUS:
A.
COURSE/INSTRUCTOR
INFORMATION:
Course Title: Operations Management
Instructor: Alan D. Smith, Ph.D., Professor of Operations
Management
Office: Graduate Office, Kent State University
Office Hours: Wednesday 5:00-5:55 PM, other hours by appointment
Telephone: 412-262-8496
e-mail: smitha@rmu.edu
B. COURSE DESCRIPTION:
Operations Management provides the conceptual and analytical frameworks for managerial decision-making in terms of process design, quality, capacity, project scheduling, and inventory and their implementation in the major functional areas of the business disciplines. Concepts and issues in TQM and SPC are emphasized, including a general framework for quality in the product design and production process using Crosby, Deming, Juran, and other theory and design techniques in measuring quality by statistical processes, reliability and sampling techniques. The course should allow the students develop an expertise in analyzing and improving process flows, including flows of customers in service operations, material flows, and information flows in order to improve overall efficiency and effectiveness of operations in general. Lecture, class discussion, problem-solving with aid of appropriate software applications, case studies, and literature reviews will be stressed.
Prerequisite: Statistics for Management (BAD 64001)
C. COURSE SPECIFIC OBJECTIVES:
The primary goal of BAD 64041 OPERATIONS
MANAGEMENT is to provide graduates of MBA/MS programs at Kent State University
with a thorough and carefully planned learning experience in the operations
function in making accurate managerial decisions within environmental and
information constraints that comply with AACSB standards for graduate
education.
In general, managerial decision-making tools and skills are much in demand and highly integrated in the various departments, including computer and information systems, finance, economics, statistics, accounting, management, and marketing. This course in operations management would provide students in the traditional and nontraditional MBA programs (i.e., health care services, quality assurance) a focus point for the theoretical and practical knowledge of the quantitative tools and skills acquired in the Quantitative Skills Interactive course (pre-MBA program). This introductory course in Operations Management will develop these applications, as well as enhance the MBA with topics in statistical quality control (SQC), total quality management (TQM), self-directed work teams, inventory management, capacity planning, and other applied production planning and control topics.
Specifically, student completing BAD 64041
OPERATIONS MANAGEMENT will be able to:
1.
Differentiate
and assess the operations decision-making framework in terms of process design,
quality, capacity and scheduling, and inventory, and their implementations in
the major functional areas of the business disciplines.
2.
Assess
an operation strategy to a firm's multiple objectives, focus, and response to
external as well as international factors.
3. Recognize and translate
product modular design and the interaction of product-processes in both service
and industrial settings.
4.
Develop
a general framework for quality using Crosby, Deming, and others' theory and
design techniques in measuring quality by statistical processes,
maintainability, reliability, sampling techniques, Pareto charts,
cause-and-effect diagrams in a variety of settings (i.e., purchasing, data entry,
repetitive manufacturing).
5.
Familiarize
the student with production and its relationship to achieving an organization's
primary objective of efficiency in dollars or resource utilization.
6. Present and interpret
production as a common-sense area of business operation, complicated and
refined only through the use of more sophisticated quantitative methods.
7.
Discuss
and demonstrate the major types of process strategies in terms of flow of
products, dimensional analysis, and product-process matrices through linking
process selection to corporate and vertical integration strategies.
8.
Develop
strategies to deal with management issues in attempting to rationalize,
standardize, and control the design and delivery of services, and integrating
the role of technology in the design and delivery of these services.
9.
Apply
the basic quantitative management skills in business decision-making, such as
linear programming and corresponding sensitivity analysis, transportation and
transshipment methods, network models including PERT/CPM, queuing, decision
analysis, multi criteria decision techniques, forecasting, Markov processes,
and calculus-based solution procedures.
10.
Familiarize
the student with techniques and applications of current management
sciences/operations management practices through library assignments,
literature reviews, case study analysis, and term projects.
11.
Analyze
and improve process flows, including flows of customers in service operations,
material flows, and information flows in order to improve overall efficiency
and effectiveness of operations in general.
12.
Access
inventory systems, such as EOQ, MRP, JIT, and their impact on costs,
technology, lot sizing, project planning and scheduling in optimizing the
firm's goals. Software developments and their applications in this area are
especially emphasized.
13.
Apply
and interpret statistical methods and hypothesis-testing procedures in the
various functional areas of the operations manager, including forecasting and
time-series, multivariate and analysis techniques, simulation model
effectiveness, and program evaluation.
14.
Analyze
decision problems in operations and the relationship of operations decisions to
other business decisions.
15.
Present
the concepts of operations planning and control including and forecasting,
capacity, scheduling, inventory, MRP and JIT, and TQM.
16.
Familiarize
the student with operations process management including quality, productivity
and process design.
17.
Present
the logistic/transportation function and its interface with operations.
18.
Evaluate
performance measurement and improvement strategies by quantitative and
qualitative means in order to measure and obtain feedback on operations
performance measurement, including cost, quality, delivery, flexibility, and
innovation. This leads to an appreciation into benchmarking of performance and
processes, with the goal of increased efficiency and effectiveness of the firm.
19.
Developing
aggregate production-planning strategies to handle cases dealing with
production planning models, dynamic programming production models with or
without changing work- levels, machine workloads balancing, backlogging and
desegregations.
20.
Performance
measurement and improvement strategies by quantitative and qualitative means in
order to measure and obtain feedback on operations performance measurement,
including cost, quality, delivery, and flexibility. This leads to an
appreciation into benchmarking of performance and processes, with the goal of
the firm's increased efficiency and effectiveness.
21.
Develop
an expertise of applied mathematics in problem solving in operations and
control situations.
D. COURSE CONTENT:
PART I. INTRODUCTION
1. The Operations Function
1.1 Definition of Operations Management
1.2 Operations Decisions - A Framework
1.3 Cross-Functional Decision Making
1.4 Operations as a System
1.5 New Operations Themes
2. Operations Strategy
2.1 Operations Strategy Model
2.2 Emphasis on Operations Objectives
2.3 The Goal of Operations
2.4 Linking Strategies
2.5 New Strategies in Operations
2.6 Focused Operations
2.7 Global Scope of Operations
3. Product Design
3.1 Strategies of New-Product Development
3.2 New-Product Development
3.3 Cross-Functional Product Design
3.4 Quality Function Deployment
3.5 Value Analysis
3.6 Modular Design
PART II. PROCESS DESIGN
4. Process Selection
4.1 Production-Flow Characteristics
4.2 Classification by Type of Customer Order
4.3. Process Selection Decisions
4.4 Product-Process Strategy
4.5 Cross-Functional Decision Making
5. Service Process Design
5.1 Defining Service
5.2 The Service-Product Bundle
5.3 Service Guaranties
5.4 Cycle of Service
5.5 Customer Contact
5.6 Service Matrix
5.7 Employees and Service
6. Choices of Technology
6.1 Technologies and the Manager
6.2 Computer Integrated Manufacturing
6.3 Future Office and Services
6.4 Enterprise Resource Planning Services
6.5 Technology Choice
7. Process-Flow Analysis
7.1 Systems Thinking
7.2 The Process View of Business
7.3 Flowchart Analysis
7.4 Materials-Flow Analysis
7.5 Information-Flow Analysis
7.6 Using Process-Flow Analysis
7.7 Business Process Reengineering
Part III: QUALITY MANAGEMENT
8. Managing Quality
8.1 Quality Definitions
8.2 Quality Planning, Control and Improvement
8.3 The Quality Gurus: Deming, Juran and Crosby
8.4 ISO 9000 Standards
8.5 Malcom Baldridge Award
8.6 Quality and Financial Performance
8.7 Why Some Quality Efforts Fail?
9. Quality Control and Improvement
9.1 Design of Quality Control Systems
9.2 Process Quality Control
9.3 Attributes Control
9.4 Variables Control
9.5 Using Control Charts
9.6 Continuous Improvement
9.7 Quality Control in Industry
PART IV: CAPACITY AND SCHEDULING
10. Supply Chain Management
10.1 Definitions and Terminology
10.2 Systems Interactions
10.3 Coordination in the Supply Chain
10.4 Measuring the Supply Chain Performance
10.5 Structural Improvements
10.6 Virtual Supply Chains
10.7 Virtual Supply Chains
11. Forecasting
11.1 A Forecasting Framework
11.2 Qualitative Forecasting Methods
11.3 Time-Series Forecasting
11.4 Moving Average
11.5 Exponential Smoothing
11.6 Forecast Errors
11.7 Advanced Time-Series Forecasting
11.8 Causal Forecasting Methods
11.9 Selecting a Forecasting Method
12. Facilities and Aggregate Planning
12.1 Facility Decisions
12.2 Facility Strategy
12.3 Aggregate Planning Definition
12.4 Planning Options
12.5 Basic Strategies
12.6 Aggregate Planning Costs
12.7 Example of Costing
13. Scheduling Operations
13.1 Batch Scheduling
13.2 Gantt Charting
13.3 Finite Capacity Scheduling
13.4 Dispatching Rules
13.5 Infinite Capacity Loading
13.6 Planning and Control Systems
14. Project Scheduling
14.1 Objectives and Tradeoffs
14.2 Planning and Control in Projects
14.3 Scheduling Methods
14.4 Constant-Time Networks
14.5 Precedence Diagram Methods
14.6 PERT and CPM Methods
14.7 Use of Project Management Concepts
PART V. INVENTORY
15. Independent-Demand Inventories
15.1 Purpose of Inventories
15.2 Inventory Cost Structure
15.3 Independent versus Dependent Demand
15.4 Economic Order Quantity
15.5 Continuous Review System
15.6 Periodic Review System
15.7 Using P and Q Systems in Practice
15.8 ABC Inventory Management
16. Materials Requirement Planning
16.1 Definition of MRP Systems
16.2 MRP versus Order-Point Systems
16.3 MRP Example
16.4 MRP Elements
16.5 Operating an MRP System
16.6 The Successful MRP System
17. Just-in-Time Systems
17.1 Philosophy of JIT
17.2 Elements of JIT System
17.3 Stabilizing the Master Schedule
17.4 The Kanban System
17.5 Reducing Setup Times and Lot Sizes
17.6 Layout and Equipment
17.7 Effect on Workers
17.8 Suppliers
17.9 Implementation of JIT
17.10 Comparison of MRP and JIT
17.11 Beyond JIT to Time-Based Competition
E. COURSE REQUIREMENTS
The course, BAD 64041 OPERATIONS MANAGEMENT,
is an integral part of the MBA program, and a very important integrative course
of other managerial business disciplines. Therefore, the instructor expects
from the students to demonstrate a professional attitude, and also expects from
them to:
1 Come prepared to class presentation, participate in class
discussions and case analyses, and contribute in class with relevant opinions.
2. Take one intermediate and one final exam.
3. Take periodic quizzes, or hand out selected homework
assignments.
4. Learn how to use Excel, or any other computer package
recommended or provided by the instructor.
5. Attend classes regularly.
F. TEXT, READINGS AND COMPUTER SOFTWARE:
Textbooks:
Principles of Operations Management, 5th ed or latest. Jay Heizer and Barry Render, Prentice Hall:
New York, 2003.
Journals:
Harvard Business Review
Industrial Management
International Journal of Operations and Production Management
Journal of Quality and Technology
Journal of Operations Management
Optional Readings:
Operations Management, Concepts in Manufacturing and Services, by Robert E. Markland, S. K. Vickery, and
R.A. Davis, Third Edition, South-Western College Publishing, 2001
An Introduction to Management Science, by David A. Anderson, D. J. Sweeney, and T. A. Williams, West
Publishing Co., Ten Ed., 2002.
Software:
MS Word for written assignments,
PowerPoint for presentations, and
MS-Excel, QSB+, QM for Windows, Management Scientist or any other
recommended by the instructor for quantitative assignments.
G. DELIVERY SYSTEM:
The educational outcomes in BAD 64041 OPERATIONS MANAGEMENT will be
delivered through a combination of teaching methods and student activities. Teaching
methods will include:
1. Lecture and discussions.
2. Use of handout materials provided by the course
instructor.
3. Demonstration and interpretation of applications software.
4. Role-playing and discussions in case studies.
5. Evaluations.
6. Use of audiovisual materials such as transparencies and
videotapes.
7. Use of outside speakers if available.
A variety of activities will also be used, including but not limited to
the following:
1. A class project.
2. Summaries of journal articles.
3. Use of textbook materials and homework assignments.
4. Written evaluations of computer assignments.
5. Written evaluations and interpretations of numerical
exercises.
6. Reading and critically comment 2 to 5 case studies given
in class.
7. Perform computer assignments on linear programming,
transportation, PERT/CPM, queuing and forecasting via appropriate software,
such as MS-Excel, QSB+ and/or Management Scientist.
H. EVALUATION CRITERIA AND MEANS:
The student's performance in the course will
be evaluated in both course theoretical concepts and analytical techniques by
means of two exams, one intermediate exam given during the fourth week of
classes, and a final exam given in the last week of classes. These exams will
consist primarily of general operations management theory and principles, or
problems formulated to be solved, analyzed and interpreted using various
analytical techniques discussed in the course. They may include questions
requiring definitions, short essay responses, true/false questions, and/or
multiple-choice questions. The students must demonstrate their practical
understanding of theory, mathematical algorithms and other concepts related to
the course. In addition to in class tests, instructors may incorporate other criteria
to evaluate students. Periodically unannounced quizzes may be given at the
beginning of a class or selected homework assignments may be collected. At
least two literature reviews are suggested to acquaint students to referred
articles in their discipline that uses OM techniques. Each review must be typed
and have a photocopy of the original article attached to your final report,
which will consist of the following major headings:
a. Citation
b. Research classification
c. Statement of problem
d. Types of operations management/decision science techniques
e. Evaluation of the usefulness of the above operations
management/decision science techniques
f. Personal evaluation.
Also, computer assignments on each major analytical technique and/or quantitative topic are suggested to achieve the outcomes of the course. Computer assignments must have written evaluations along with attached computer printouts. Suggested software packages include, but not limited to, MS-Excel, OM Excel, QSB+, MANAGEMENT SCIENTIST, and/or LINDO.
The following is a the weighing scheme for the above-mentioned
activities:
Graded
Activities % of Course Grade:
Exam
I
35
Exam
II
35
In-class group presentation
10
Average
of two peer reviewed literature reviews 10
Average
of computer assignments
5
In-class
group projects/assignments
5
TOTAL 100
Grading Scale
90 - 100 A
80 - 89 B
70 - 79 C
60 - 69 D
Timely submission of work:
With the exception of emergency situations,
which will need to be verified, homework assignments, research projects or
presentations must be done by the assigned date.
I. SPECIAL NEEDS AND KSU NOTES:
.
J. REPRESENTATIVE TEXTS; BIBLIOGRAPHY OF RELATED READINGS:
Bedworth,D.
and J. Bailey. Integrated Production Control System, 2nd ed. John Wiley
& Sons, 1987.
Chase,
R. B. and N. Aquilano. Production and Operations Management: A Life Cycle
Approach, 6th ed. Irwin, 1992.
Fogarty, D. W. and T. R. Hoffman. Production and Inventory Management, 6th ed. South-Western, 2001.
McClain, J. O., L. J. Thomas and J. B. Mazzola. Operations Management: Production of Goods and Services, 6th ed. Prentice Hall, 2002.
Schmenner, R. W. Production/Operations Management: Concepts and Situations, 4th ed. Macmillan, 1989.
Schroeder, R. G. Operations Management: Decision Making in the Operations Function, 4th ed. McGraw-Hill, 1993.
Vollmann,
T. E., W. L. Bemy and D. C. Whybark. Manufacturing Planning and Control
Systems. Irwin, 1992.
DETAILED WEEKLY SCHEDULE OF ACTIVITIES:
WEEKS 1 AND 2:
Go over the course syllabus:
Introduction to Operations management
Semester assignments:
Class Project
Summaries of (at least two) journal articles
Homework assignments
Evaluation procedures
Lecture: The Operations Function
Definition of Operations Management
Operations Decisions - A Framework
Cross-Functional Decision Making
Operations as a System
New Operations Themes
In - Class Assignments:
Response to selected Discussion Questions at the end of the chapter
Lecture: Operations Strategy
Operations
Strategy Model
Emphasis on Operations Objectives
The Goal of Operations
Linking Strategies and New Strategies
Focused Operations
Global Scope of Operations
In - Class Assignments:
Case Study
Homework Assignment:
Read the chapter and access Corning Internet home page
(www.corning.com) and answer the following questions:
1. What are the stated values and policies of the company?
2. How these values and policies are related to the
operations strategy of Corning?
Access the various homepages on manufacturing strategy. Read
current discussions, select some current articles to browse, and find hypertext
links to other pages. Come to class prepared to discuss your findings.
WEEKS 3 AND 4:
Class Assignments:
Discussion about manufacturing strategy based on information
obtained from various homepages.
Review discussion questions from the previous chapters
Lecture: Product Design
Strategies for New-Product Development
New-Product Development Process
Cross Functional Product Design
Quality Function Deployment
Value Analysis and Modular Design
In - Class Assignments:
Responses to Discussion Questions at the end of the Chapter 3
Lecture: Process Design
Product-Flow Characteristics
Classification by Type of Customer Order
Process Selection Decisions
Product-Process Strategy
Cross-Functional Decision Making
In - Class Assignments:
Responses to Discussion Questions at the end of the
chapter
Homework Assignments:
Case Study:
WEEKS 4 AND 5:
Class Assignment: Review discussion questions from the previous chapters
Design operations objectives with policies for one
industry.
Lecture: Service Process Design:
Defining service
Service guarantees
Customer contact - Service matrix
In - Class Assignments:
Responses to discussion questions at the end of the chapter
Lecture: Choice of Technology:
Technology and the Manager
Office technology
Service industries
Computer aided manufacturing
In - Class Assignments:
Discussion questions
Homework Assignments:
Case Study
WEEKS 6 AND 7:
In-Class Assignments:
Review discussion questions previous chapters
Lecture: Process Flow Analysis
Systems Thinking
Flowchart Analysis
Materials Flow
In -Class Assignments;
Discussion questions in the chapter
Lecture: Quality Management
Quality definitions
Quality planning
In - Class Assignments:
Discussion ISO 9000/9001
Review for Exam I
An exam preparation journal
Going along the review for the test, develop a summary
of the most important concepts, theories and philosophies covered in the last
chapters. You may use this summary while you are taking the test.
Homework Assignment
Problems at the end of the chapter
WEEKS 8 AND 9:
Exam I
Chapters 1 to 7
Lecture: Facilities and Aggregate Planning Costing, Planning, Timing
In - Class Assignments:
Discussion questions the Chapter
Lecture: Project Scheduling
Objectives
Control in projects
PERT and CPM
In - Class Assignments:
Discussion questions
Solve problems in chapter
Lecture: Scheduling Operations
In - Class Assignments:
Brief discussion
Homework Assignment
Problems in the Chapters
Case Study
WEEKS 10 AND 11:
In - Class Assignments:
Review Capacity and Scheduling
Discussion questions
Lecture: Independent Demand Inventory
Purpose of inventories
Economic order quality
In - Class Assignments:
Solving problems in chapter
Lecture: Materials Planning
In - Class Assignments:
Solve problems
Homework Assignment
Problems from the chapter
WEEKS 12 AND 13:
In - Class Assignments:
Discussion questions
Solved problems
Lecture: Just-in-Time Systems
In - Class Assignments:
Case Studies
Problems at the end of chapter
Homework Assignments: Case Studies - one for each group
WEEKS 14 AND 15:
Lecture: Overview of the course - Summary
In - Class Assignments
Selected cases
Selected problems
Selected questions
Review for Exam II
An exam preparation journal
Going along the review for the test, develop a
summary of the most important concepts, theories and philosophies covered in
the last chapters. You may use this summary while you are taking the test.
WEEK 16:
Exam II