California State University, Northridge College of Business and Economics Department of Systems and Operations Management SOM 306 Operations Management, Fall 2014 Dr. Ardavan Asef-Vaziri aa2035@csun.edu Office: JH 4129, Tel: 818-677-3637 Office hours: T Th 1-2, and by appointment Count what is countable. Measure what is measurable. What is not measurable, make it measurable. Galileo Galilei, 1564 -1642. Prerequisites. To enroll in SOM 306, the student must have passed SOM 120 (or an equivalent statistics course at another institution) with a grade of “C” or higher. Alternatively, the student must have passed both, Math 140 and Math 103 courses. Students, who have not passed the prerequisites, are under the risk of receiving an F as their final grade. It is your responsibility to make sure that you have passed all necessary prerequisites. Operations Management. Operations, Marketing, and Finance are the three primary functions of business organizations. Operations management focuses on how managers can design and operate processes in business settings with discrete flow units. Examples include the flow of cars in a GM assembly plant, flow of customers in a Wells Fargo branch, flow of patients at the UCLA Medical Center, flow of cash in Fidelity Investments, and flow of students during their program at CSUN. In all these systems in, Inputs (natural resources, semi-finished goods, products, customers, patients, students, and cash) in form of Flow Units flow through a set of Processes (formed by a network of Activities and Buffers) using Human Resources and Capital Resources (such as equipment, buildings, tools) to become a desired Outputs. The reason for the being of operations management is structuring (designing), managing, and improving processes to achieve the desired output as defined in a four-dimensional space of quality, cost, time, and variety. Making a factory [or the service system] operate for the company just like the human body operates for the individual. The autonomic nervous system responds even when we are asleep. The human body functions in good health when it is properly cared for, fed and watered correctly, exercised frequently, and treated with respect. Taiichi Ohno, Toyota Production System. Operations Management, Asef-Vaziri, Spring 2014 Page 1 SOM 306 is an introductory course into operations management. The goal is to acquaint the students in Business Administration and Economics with the scope of this field. During this semester you will be introduced to classic and contemporary terminology, concepts, ideas, models, techniques and tools in design and operations of manufacturing and service enterprises. Operations management techniques, such as short term and long term forecasting, process flow analysis, waiting line analysis, capacity planning, throughput improvement, flow time reduction, inventory management, linear programming, aggregate planning, quality management, and lean operations are introduced. These techniques are integrated on the basis of analysis, design, and management of process flows in environments, such as production and assembly plants, supply chains, healthcare systems, educational institutes, and financial enterprises. You will gain a knowledge that will enable you to perform qualitative analysis of basic operational situations and decisions. Also, you will have a chance to improve your your Specific Features of the Course. One of the most binding constraints of business school students – from when they are admitted to college as raw material from high school to when they graduate and leave college as the final product – is their low quantitative and analytical skills. According to the CEO of American Express in his 2011 interview with Fareed Zakaria on CNN, the low level of quantitative capabilities of our graduates has kept us from excelling beyond the graduates of rising countries such as China and India. Organization for Economic Cooperation and Development (OECD) Skills Outlook (2013) compares the literacy, mathematics and computer skills of U.S. residents with other OECD countries. In mathematics, U.S. trailed 18 countries and beat only Italy and Spain. Believing that managers cannot go far if their quantitative and analytical capabilities are below a threshold, we have tried to improve these qualifications through our Operations Management (OM) classroom. In a typical traditional OM class, about 2/3 of the class time is spent on delivering the content. The rest is mainly spent on problem solving and also on case studies, term projects, and simulation games. We have tried to improve these capabilities through flipping our Operations Management classroom. By delivering the lectures using screen capture technology, the students can learn the material at a time and location of their choice, when they are in control to pause, rewind, and fast forward the professor. The class time is no longer spent on teaching basic concepts, but rather on more value-added activities such as problem solving, answering questions, creative-thinking, systems-thinking, as well as real world applications and discussions, potential collaborative exercises such as case studies, and virtual Operations Management, Asef-Vaziri, Spring 2014 Page 2 world applications such as web-based simulation games. A flipped classroom is an online course because its online components must compete with the best of the online courses. A flipped classroom is also a traditional course because not even a single class session is cancelled while all the lectures are delivered online. This core concept is reinforced by a network of resources and learning processes, ensuring a smooth, lean, and synchronized course delivery system. The specific features of the course and their relative importance are depicted below. Quantitative and Analytical Interdisciplinary Team Work Systems Thinking Information Visualization Information Technology Quantitative and Analytical. We use Operations Management as a tool to improve the quantitative and analytical capabilities of our students. You will learn to develop a structured, data-driven, analytical, and quantitative approach to discuss the core Operations Management concepts. Systems Thinking. We try to improve systems thinking capabilities of our students by teaching them the basic concepts of operations management not as isolated islands, but as a total system designed towards improving process flow. You will learn to implement the process view as the unifying paradigm to study the core concepts in the operations management. Visualization of Data and Information. Besides quantitative representation (translating long writings into mathematical relationships), you will have a chance to practice tabular representation (translating long writings into tables) and schematic representation (translating several pages of writing and tables into a graph, flow chart, or picture). Also, you will exercise how to deal with large, unorganized, or erroneous big data sets. Information Technology. We try to enhance the knowledge of the students in spreadsheet modeling. We have learned that understanding the knowledge behind Operations Management, Asef-Vaziri, Spring 2014 Page 3 these models and developing small pilot spreadsheets leads to a better understanding of the course material. Through case studies, as well as web-based games, the stage is set to motivate the students to develop spreadsheet-based models. Teamwork. We encourage collaborative learning and creative thinking. The first day of the class is not spent on the syllabus, but rather on the importance of teamwork and collaborative learning. I highly encourage you to have weekly team meetings to go over the already solved assignments, and gain new insights in the web-based games and case studies. Interdisciplinary. We address interfaces of Operations Management with Accounting, Finance, Economics, and Management concepts through case studies. Learning Goals. There will be two games and several learning goal specific problems in the exams to enable the college to assess your knowledge in the following areas: (a) To provide definitions or short explanations of concepts and issues related to the area of operations management. (b) To be familiar with a basic set of standard operation problems. (c) To interpret quantitative analysis of various operational problems and present the results to management. Text Book. There is no mandatory text book for this course. Reference Books. Managing Business Process Flows, 3rd Ed. 2012. Anupindi, Chopra, Deshmukh, Van Mieghem, and Zemel. Pearson Prentice Hall, 2012. ISBN: 978-0-13-6036371. Matador prices are as follows New $130.25 Used $97.75 New Rental $84.66 Used Rental $62.52 Digital $62.25 Building Lean Supply Chains with the Theory of Constraints. 2012. Srinivasan. McGraw-Hill. ISBN: 978-0-07-177121-4. This book also has a Kindle edition available on the Amazon web site. Supply Chain management: Strategy, Planning, and Operation. 5th edition, 2010. Chopra and Meindl. PEARSON Prentice Hall. Print ISBN: 978-0-13-274395-2 eText ISBN: Introduction to Management Science. 5th edition, 2014. Hillier and Hillier. Mc Graw-Hill ISBN: 0078024064. eBook is available through CourseSmart (www.coursesmart.com). The eBook ISBN is 978-0-07-749893-1. Operations Management, Asef-Vaziri, Spring 2014 Page 4 The books do not replace the teaching material covered during the semester. Nothing will replace (i) Listening to the recordings and reading the lectures, and printing the PowerPoint lectures before coming to class. (ii) Completing the assignments before coming to class. (iii) Coming to class and being on time, not leaving the class early, remaining focused in class, and writing the required notes. Composition of marks: Class Participation….................10% Games and Report ....................12.5% Games Report (2 pages) ….......2.5% Quizzes .......................................22.5% Mid-term Exam ..........................22.5% Final .............................................30% Class Participation. You MUST post a clear photo of your face on Moodle by the end of the first week. If you have specific concerns regarding posting your photo that is fine, just come to me to discuss it. Only the students who profoundly help Dr. Asef in creating a learning environment will get full marks for class participation. What do we partially mean by creating a learning environment? During the last two semesters, I have had innumerous complaints from the students regarding continuous whispering of other students at their side. When you talk during my lectures (a) you cannot follow the material, (b) Dr. Asef loses his concentration, and more importantly, (c) you do not allow your classmates to follow and understand the material discussed. In order to get 100% of the class participation mark, please do not disturb the learning environment by creating background noise. Sending text messages and surfing unrelated sites are other examples of disturbing the learning environment. All students are expected to turn off their cell phones during class sessions and not have the cell phone at their approach but in a backpack or in a not easily approachable pocket. The only exceptions are (i) unexpected emergencies or (ii) using the cell phone for teaching material. In both cases the student must inform Dr. Asef in advance. Students are expected to use their laptops and tablets strictly for presentation slides or computations. Any other utilization is considered as interruption in the learning environment. Thank you for helping us to create an efficient learning environment. Please come to class, be on time, do not leave the class early, and remain focused in class. Being focused in class, reading the PowerPoint slides, and solving the assignments play the most important role in your success in SOM 306. If you intend to leave the class early, you need to leave a note at the beginning of class and explain the reason. Otherwise, if a student leaves the class after she/he has been marked present for that session, her/his overall class participation grade and peer evaluation grade will be set to 0. Operations Management, Asef-Vaziri, Spring 2014 Page 5 I expect all students to go into State 0 at least one minute before the class starts. State 0 means absolute meditation mode. Born in Moscow in 1863, Constantin Sergeyevich Stanislavsky had a more profound effect on the process of acting than anyone else in the twentieth century. It was his assertion that if the theater was going to be meaningful it needed to move beyond the external representation that acting had primarily been. Over forty years he created an approach that fore fronted the psychological and emotional aspects of acting. The Stanislavsky System, or "the method," as it has become known, held that an actor’s main responsibility was to be believed (rather than recognized or understand). Today in the United States, Stanislavsky’s theories are the primary source of study for many actors. Among the many great actors and teachers to use his work are Marlon Brando and Gregory Peck. Many artists have continued experimentation with Stanislavsky’s ideas. Among the best known of these proponents is the Actors Studio, an organization that has been home to some of the most talented and successful actors of our time. Stanislavsky saw that the difference between the good actor and the great actor was the ability to be relaxed, and to be private in public. We learn from Stanislavsky: As the students relax before the lecture starts; they clean the slate, going to a zero state, being ready for the best performance in the learning process. Quizzes. Our flipped classroom needs to be (1) smooth (the work-load is uniformly spread over the semester due to well-paced lecture captures), (2) lean (the students do not have the opportunity to postpone watching the lectures due to after-lecture-before-class quizzes ), and (3) synchronized (online resources facilitate learning processes and live face-to-face in-class problem solving and troubleshooting reinforce the online material). I have prepared screen captures of the lectures using software such as Camtacia Studio. Each student can learn the basic concepts at flexible times fitting his/her schedule. If students do not know the basic concepts streamlined through screen captures, there will be no basis for active problem solving, trouble shooting, creative-thinking thinking, and real world applications in our face-to-face class times. So, my recorded lectures will give you a chance to learn the basic concepts via screen captures at a time that best fits your schedule, and when you are focused. Then, take a simple online quiz (on Moodle) to assess whether you have listened and understood the lectures. Next, you need to start solving the assigned problems. When you come to class after going through these simple steps, you will be in an excellent position to overcome you weaknesses throughout the class discussion. In a quantitative and analytical course, it is the problem solving and profound face-to-face discussions, rather than delivering the basic concepts, which requires presence of the teacher. After class discussions, you will take another online quiz on Moodle, but this time more advanced. Comparing the performance of the students on simple quizzes after listening to lectures with that of the more advanced quizzes Operations Management, Asef-Vaziri, Spring 2014 Page 6 after class discussion provides basis for assessment. Group discussions on the lecture material, as well as on the solved assignments, are very beneficial. Nevertheless, quizzes are individual tasks and any type of collaboration on the quizzes is prohibited. Usually, you have 20-50 minutes to take the quizzes. Time window for the most of the quizzes is from 11:30 am on Fridays to 11:30 pm on Sunday of the same week. But few quizzes could have a time window of Tuesday 4 pm to Wednesday 11:30 pm. Students, who share their quiz content with other students who have not taken the quiz yet, or provide them with supporting material, may get a grade of zero for one quiz or for all quizzes. Students who follow specific patterns in taking quizzes may be subject to audit. Games. During the semester two web-based games will be played in teams. Each team is composed of four students. Teams of less than or greater than 4 are not allowed. Students should register their teams within the first two weeks of the course using the instructions provided on the access code (details are below). Each game takes one week. During these games, you will examine the capabilities of the quantitative and analytical tools that you have learned in the course. The first game is focused on the Forecasting Models, Process Flow Analysis, and Waiting Line Models. In the second game, in addition to these techniques, you will need to exercise your knowledge on Inventory Models and Revenue Management models. Game 2 starts from scratch, not from the point you have finished Game 1. Game grades will be determined by the financial position of your company at the end of each game. The team in the best cash asset position gets 100 and the last team gets 60. If a team’s financial position is exactly the same as the “do-nothing” team, their grade is set to 0. We have experienced that after playing the first game, the students realize that knowing the course material plays a profound role in their standing, and therefore, they allocate more time to learn the course material related to the second game. Each team will write a two-page single space report at the end of Game 2 covering both Game 1 and Game 2. In the report, you, as a team, are required to explain how you have played the two games, what operations management techniques have used, what were the good and bad decisions you have made, what did you learn playing the games, and what is your opinion on implementation of these types of games. If you decide to drop a member from your team, you need to email him/her and state your reasons in advance, e.g. when Game 1 starts or after the end of Game 1 or Game 2. Please read the following documents to become familiar with the nature of the games. Overview of the Games Game 1 Game 2 Operations Management, Asef-Vaziri, Spring 2014 Page 7 To Purchase the access code. The access codes are sold online at http://mgr.responsive.net/Manager/ShowClient . Our institution name is "Cal State Univ. Northridge". The product is titled "Littlefield Code for SOM 306". The online price will be $18, payable by MasterCard, Visa, Discover or American Express cards. To Register for the games. All team members should register at http://sim.responsive.net/lt/csun/start.html. To register, you need BOTH the individual code purchased and the course code which is 'california' (without ' '). The most common problem is entering the code you have bought at the bookstore when you are supposed to be using registration code. On the page you get after entering your registration code, make up a team name and a password and enter both. This is for the first student (the second, third and forth student must follow the team name and password initiated by the first person). On the page after that, you enter your names and individual access codes. Please have your first name first, then a space, then your last name, EXACTLY the same as your first and last name on Portal/DPR. Thanks. If your name in the game differs from your name on your DPR you miss 5%. To Play. Once the simulator has started, students can access the game from http://sim.responsive.net/lt/csun/entry.html Exams. There will be a midterm exam, and an “almost” cumulative final exam. Exams are closed book/closed notes, and are a combination of problems and short questions. Please carefully check the dates and times of the midterms and the final exams. No make-up exam is allowed except for medical reasons, and very unexpected situations. Such circumstances must be supported by written evidence. During the exam you may be asked to change your seat. This by no means indicates that you have conducted any act of academic dishonesty. Nevertheless, you must comply immediately. Please note that you cannot have your cell phone at your approach during the exam. Please note, if an ”on” and approachable cell phone will be found, the student may not finish the exam. Thanks for your cooperation. Grading (A) (A-) (B+) (B) (B-) (C+) 93-100 88-93 86-88 82-86 80-82 77-80 (C) (C-) (D+) (D) (D-) (F) 73-77 70-73 67-70 63-67 60-63 0-60 Academic integrity. Operations Management, Asef-Vaziri, Spring 2014 Page 8 Academic integrity is a core value at CSUN. As such, students are expected to perform their own work (except when collaboration is expressly permitted by the professor). When practiced, academic integrity ensures that all students are fairly graded. Academic dishonesty, however, undermines the educational process and must not be tolerated. Simply stated, academic dishonesty is the intentional use or attempted use of unauthorized material, information, or study aids on academic exercises. Academic dishonesty demonstrates a lack of respect for oneself, fellow students, and the professor. It can ruin the university’s reputation and the value of the degree it offers. We all share the obligation to maintain an environment which practices academic honesty. All students need to sign and date the last page of this syllabus and submit it to Dr. Asef in the first week of classes. SOM Tutoring Room JH 4120 Schedule. SOM tutoring services are available at the following days and hours in JH4120: Monday through Thursday: 9:00 a.m. - 6:00 p.m. Friday: 11:00 a.m. - 2:00 p.m. Shervin Shahriari and Sevak Ohanesbabrudi are the tutors who have more knowledge of my course structure and material. Their office hours are . Their email addresses are shervin.shahriari.56@my.csun.edu sevak.ohanesbabrudi.358@my.csun.edu. For topics such as Process Flow and Waiting Line, Sevak and Shervin are the best choices. For other topics all tutors are good. Honor Students tutoring Honors students provide free tutoring to students enrolled in COBAE lower division and upper division required classes. Appointments can be made anywhere from 2 to 14 days in advance. To make an appointment, please go to the business honors association website at http://www.csun.edu/bha, click on the “book now” icon on the right side of the webpage and follow the instructions. Schedule of Classes Disclaimer: This syllabus is an invitation for students to engage in an exciting and interactive study of Operations Management. The intention of the SOM 306 course is to provide you with information, offer practice with skill sets, and enhance your capacity to use fundamental concepts of operations management. To that end, modifications to subjects and dates of this syllabus, except for exam dates, might be warranted as determined by the professor as he assess the learning needs of this particular class of students. The week by week schedule will be updated on Moodle. Due to modifications in this schedule the students are responsible to check Moodle at the night after each class session. Operations Management, Asef-Vaziri, Spring 2014 Page 9 Session Day Date Topic 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 T Th T Th T Th T Th T Th T Th T Th T 16 Th Introduction Process and Strategy Process and Strategy Process and Strategy Job Shop and Flow Shop Performance Measures Moving Average and Forecasting Measures Moving Average and Forecasting Measures Exponential Smoothing aned Regression Process Flow Analysis Process Flow Analysis Process Flow Analysis Process Flow Analysis Waiting Line Analysis- Process Mid Tem Exam 3/12 Solution to Mid Term Game 1 Starts 17 18 19 20 21 22 23 24 25 26 27 28 27 28 29 T Th T Th T Th T Th T Th T Th T Th T 3/17 3/19 3/24 3/26 3/31 4/2 4/7 4/9 4/14 4/16 4/21 4/23 4/28 4/30 5/5 Waiting Line Analysis - Buffer Waiting Line Analysis - Buffer Waiting Line Analysis - Buffer Waiting Line Analysis- Buffer Cesar Chavez Holiday; Campus Closed Inventory Models Basics Spring Recess Spring Recess Process Flow Variability Reorder Point Reorder Point News Vendor Problem Game 2 Starts Theory of Constraints Theory of Constraints Linear Programming 5/7 Globalization 5/12/2015, Tuesday 10:15AM - 12:15PM 30 Th Final Exam 1/20 1/22 1/27 1/29 2/3 2/5 2/10 2/12 2/17 2/19 2/24 2/26 3/3 3/5 3/10 In God we trust; all others must bring data. W. Edwards Deming 1900-1993. Operations Management, Asef-Vaziri, Spring 2014 Page 10 Statement of Reading and Understanding Syllabus SOM 306 Asef-Vaziri Last Name First Name I acknowledge that I have read and understood the syllabus of the course SOM 306, taught by Dr. Asef, very carefully. I, hereby, commit myself to follow it in its entirety. I restate the followings: 1. I will not use my cell phone in the classroom, except in the case of emergency. I will get Dr. Asef’s permission in advance. 2. I will not use my laptop or tablet during lectures except for viewing the SOM 306 lecture and assignment slides provided by Dr. Asef and their related computations. 3. I commit myself not to create background noise or disturb the learning environment during the lectures. 4. I understand coming to class just to be marked as present and leaving the class before the lecture ends is a case of academic dishonesty. If I need to leave the classroom before the lecture ends (except in case of emergency), I will inform Dr. Asef at the beginning of the lecture in a written note. 5. I have been informed that Dr. Asef encourages teamwork, especially on solving the assignments and preparation for quizzes. However, I have been also informed if I share any concept from my quiz with a fellow student who has not taken the quiz yet, or if I provide such student with a tool that I have developed individually before the quiz, or a tool that I have realized its value after taking the quiz, my grade and the other student(s) grade could be set to zero for one or all quizzes. I also understand that I cannot have any coordination with other students while taking my quizzes. In other words no specific pattern should be observed between timing of my quiz and quiz time of other students. 6. I have read and understood the CSUN Student Conduct Code, printed in the schedule of classes and the CSUN policy on Academic Dishonesty (2010-2013 Catalog, Appendix E, Student Conduct). I verify that all of the work I submit in the quizzes and exams will be my own. I understand the Student Core Values are: Respect, Honesty, Integrity, Commitment, and Responsibility. ____________________________________________________ Signature Operations Management, Asef-Vaziri, Spring 2014 __________________ Date Page 11 Operations Management, Asef-Vaziri, Spring 2014 Page 12