BUSML 4382 - LOGISTICS ANALYTICS Spring 2015 Instructor | Esen Andiç-Mortan 356 Fisher Hall andic.1@osu.edu Classes | M W F 8.00 AM – 8.55 AM in SB 3051 Office hours | By appointment only. The course | BUSML 4382 can be described as a modeling course in logistics. We will cover a variety of logistics issues and discuss modeling approaches for solving them. The course is organized into five modules (Forecasting, Modeling, Routing & Scheduling, Inventory Management, and Network Design). Each module will consist of a series of lectures on modeling and solution approaches to a class of problems. By the end of the course, you will: be familiar with several modeling problems commonly faced in logistics, understand the uses of, and the appropriateness of solving problems with heuristics, optimization and simulation, be able to solve many of these problems using efficient heuristics (i.e. methods for finding good solutions to a problem) or optimization techniques (i.e. methods for finding the best solution), understand how companies address these problems in the “real world”. Course Packet and Readings | There is an electronic course packet that will be used towards the end of the course. Details will be posted on Carmen. All required readings are available on-line through the OSU library system, or will be posted on the Carmen site. Evaluation | The final grade will be determined by the weighted average of the following: 25% 25% 20% 10% 5% 10% 5% 100% Exam 1 Exam 2 Exam 3 Case 1 Case 2 Case 3 Logistics Outside the Classroom Total 1 Some sessions towards the end of the semester will be held in the lab. Please see the attached Lab Schedule for details. 1 I will determine the exact cutoffs at the end of the semester. However, the following are approximately what I expect the ranges to look like: A A- B+ B B- > 86 [82, 86] [80, 82] [75, 80] [73, 75] C+ [68, 73] C C- D+ D E [64, 68] [62, 64] [61, 62] [60, 61] < 60 LOGISTICS OUTSIDE THE CLASSROOM You have the opportunity to gain up to 5 additional points by learning about logistics outside the classroom. The ways to do this are the following: 1. Reading Assignments | You can write a one page review of the readings assigned throughout the class to earn some extra credit. Each write-up is worth 0.5 points. Bullet points are okay. 2. TLA Meetings| The Transportation and Logistics Association (TLA) meets at 7:15 pm on Tuesdays. You will receive 1 point each time you attend a meeting and then submit a one-page write-up on what you learned. EXAMS All exams will be closed book and closed-notes. You will be provided a formula sheet with all the required formulas on it for the exams. The exams are not cumulative although some material will carry-over. Should you be sick on an exam day, you must contact the professor before the starting time of the exam and schedule a make-up exam that must be taken within a week. You will also need to provide a doctor’s note. CASES & TEAMS There are 3 cases that you will work on during the semester. As a general rule, any case that requires preparing a write-up will need to be turned in at the beginning of class on the due date. Late assignments will not be accepted. In the first two weeks of the semester, you will be asked to form teams of 3 or 4. These will be your teams for the cases that require team work. Please choose carefully, as you will not be able to change teams later on. Any individuals who have not joined any teams by January 26th, will be assigned to teams by me. I will be posting the teams on Carmen on January 26th. Case 1 – Forecasting – Mahindra & Mahindra | This case will require extensive use of Microsoft Excel and comparison of forecasting techniques. You will work on the case with your teammates and hand in one report. I will introduce the case and will answer questions as needed on January 26th, also the 2 deadline for you to form your teams. I will provide case questions and report guidance also then. The case is available for purchase from Ivey publishing at https://www.iveycases.com/ProductView.aspx?id=60877. Only one case needs to be purchased per team. The report is due on February 6th at the beginning of class. Case 2 - Network Design – Al’s | The primary goal for this case is to get you started on using Logic Tools, which we will mainly be using for the Network Design Case 2. This case requires individual effort and we will be doing the case in class, during our first lab session. You will need to prepare a write-up regarding the results you get and what you make of the results. More detailed instructions for the case will be uploaded on Carmen closer to the lab sessions. The report is due on April 20th at the beginning of class. Case 3 - Network Design – MetalWorks | Lab time will be used to work on the Network Design Case using Logic Tools. I will introduce the software on the first lab-day and you will have five lab days to work on the case. As the software will also be available in the lab, you are free to work on your projects on your own time as well. This case requires team-work and thus you will be working together with your team and handing in one write-up. More detailed instructions for the case will be uploaded on Carmen closer to the lab sessions. Lab sessions will be held in the lab on some of the sessions, while our IT team will bring laptops to our regular class on the other lab session days, due to the availability of the lab on some of the days. Please see the lab schedule to make sure where the lab session will be held for each lab session. The report is due on April 30th at the beginning of the Final Exam. Study Question Sets | Throughout the semester, there will be 7 study question sets that will be uploaded to Carmen, along with their solutions. Each of these will be most useful when you try to do them on your own and then check the solutions to see how you did. On the class schedule under “Due”, they are noted as SQS 1, 2, etc. as a suggestion for when it would be best to tackle these study questions. The main aim of these questions is to get you used to the types of questions you could face in the exams, so use them wisely. Although these will not be graded, you can ask me any questions you may have by making an appointment with me. Write-Up Tips | Use double-space and 1 inch margins, with 'normal' fonts (I give partial credit for write-ups that are too short. Writing more than indicated is fine). Write about logistics issues and draw your own conclusions on how events affect logistics. Don’t tell me things that I can find on the company website. Don’t tell me about announcements that were made at meetings, stick to the details about that particular meeting. I am especially interested in reading what your take on the subjects covered is. Additional information will be provided for some write-up assignments. 3 GROUND RULES Attendance | I do not take attendance in class, with the exception of the first two weeks. However, I strongly advise you to attend class regularly. Students are responsible for all material covered in class, in readings, and posted on Carmen. If you miss a class, please ask for class notes from your fellow students. You may ask me questions on what you have missed only after you have studied the material. Nameplates | It is very important for me to be able to match your faces with your names. So please help me by using a nameplate for each time we meet. Recording | Audio, video, or still photograph recording of lectures on any media, permanent or temporary, is not permitted without permission. The only exceptions will be those authorized in writing by the Office for Disability Services (see above). The presence, or even suggestion, of recording in a classroom discourages openness and spontaneity in students and the instructor. Course Disclaimer | This syllabus is an outline for the course and the instructor can change it based on extenuating circumstances, class progress, or by mutual agreement between the instructor and the students. Grade Appeal Policy | Any re-grading request should be submitted in writing (e-mail) within 1 week after receipt of the grading and should include a brief explanation of your reasoning. I reserve the right to review the entire assignment or homework. Also note that the review policy works both ways; that is, you may gain OR lose points. Be sure of yourself before making an appeal. Academic Misconduct | Never represent someone else’s work as your own. If I suspect any violation of the Code of Student Conduct, I will bring it to the attention of the Committee on Academic Misconduct who will determine and impose an appropriate sanction. This can range from a formal reprimand to dismissal. Other | All cellular phones, pagers, and other electronic communication devices are to be turned off during class. Laptops or tablets are allowed for the purposes of note taking. However, at any point the instructor reserves the privilege to ask that all devices be closed if these devices are deemed a distraction. 4 Class schedule* | * Subject to change with prior notice. W1 W2 W3 W4 W5 W6 W7 W8 W9 W10 W11 W12 W13 W14 W15 Day M W F M W F M W F M W F M W F M W F M W F M W F M W F M W F M W F M W F M W F M W F M F Date Subject Jan 12 NO CLASS Jan 14 Introduction and Overview Jan 16 Introduction to Forecasting Jan 19 NO CLASS Jan 21 Forecast Accuracy Jan 23 Time Series I Jan 26 Time Series II Jan 28 Trend and Seasonality I Jan 30 Trend and Seasonality II Feb 02 Regression Techniques Feb 04 Forecasting in Practice Feb 06 Guest Speaker Feb 09 Exam Review Feb 11 EXAM 1 Feb 13 Introduction to Optimization Feb 16 Linear Programming (LP) Feb 18 Examples of LP problems Feb 20 Integer Programming (IP) I Feb 23 Integer Programming II Feb 25 Integer Programming III Feb 27 LP and IP using Excel Mar 02 Introduction to Simulation Mar 04 Simulation I Mar 06 Simulation II Mar 09 Heuristics Mar 11 Exam Review Mar 13 EXAM 2 SPRING BREAK Mar 23 Inventory Management 1 Mar 25 Inventory Management 2 Mar 27 Inventory Management 3 Mar 30 Vehicle Routing 1 Apr 01 Vehicle Routing 2 Apr 03 Facility Location 1 Apr 06 Facility Location 2 Apr 08 Intro to Network Design Apr 10 Readings Discussion Apr 13 Lab Intro Apr 15 Lab Apr 17 Lab Apr 20 Lab Apr 22 Lab Apr 24 Lab Apr 27 Exam Review April 30 FINAL EXAM Reading Due SQS #1 #1 Case 1 SQS #2 SQS #3 #2, #3 #4 #5 SQS #4 SQS #5 #6 #7 #8 #9, #10 SQS #6 Case 2 SQS # 7 Case 3 5 Lab schedule | Date Apr 13 Apr 15 Apr 17 Apr 20 Apr 22 Apr 24 Location Regular class - SB 305 Regular class - SB 305 Regular class - SB 305 Lab - SB 219 Lab - SB 219 Lab - SB 219 Reading List: 1. Croxton, K. L., Lambert, D. M., García-Dastugue, S. J., & Rogers, D. S. (2002). The demand management process. International Journal of Logistics Management, The, 13(2), 51-66. 2. Bartolacci, M. R., LeBlanc, L. J., Kayikci, Y., & Grossman, T. A. (June 01, 2012). Optimization modeling for logistics: Options and implementations. Journal of Business Logistics, 33, 2, 118-127. 3. Optimization Methods in Management Science/Operations Research: Excel Techniques – Tool for Solving a Linear Program (2013). MIT OpenCourseWare. 15.053/058 http://ocw.mit.edu/courses/sloan-school-of-management/15-053optimization-methods-in-management-science-spring2013/tutorials/MIT15_053S13_tut03.pdf Solver installation reference: http://depts.washington.edu/mbaclub/wordpress/wpcontent/uploads/2013/07/Tutorial-Adding-Solver-Excel-2013.pdf 4. Evers, P. T., & Wan, X. (2012). Systems analysis using simulation. Journal of Business Logistics, 33(2), 80-89. 5. Griffis, S. E., Bell, J. E., & Closs, D. J. (2012). Metaheuristics in logistics and supply chain management. Journal of Business Logistics, 33(2), 90-106.#3: Simulation in Logistics: A Review of Present Practice and a Look to the Future, Bowersox & Closs, JBL, Vol. 10, #1. 6 6. Watson, M. (2013). Supply chain network design: Applying optimization and analytics to the global supply chain. Pearson Education. Chapter 1 (in electronic course packet). 7. Watson, M. (2013). Supply chain network design: Applying optimization and analytics to the global supply chain. Pearson Education. Chapter 12 (in electronic course packet). 8. Watson, M. (2013). Supply chain network design: Applying optimization and analytics to the global supply chain. Pearson Education. Chapter 13 (in electronic course packet). 9. Robinson, E. P., Gao, L. L., & Muggenborg, S. D. (1993). Designing an integrated distribution system at DowBrands, Inc. Interfaces, 23(3), 107-117. 10. Cheung, W., Leung, L. C., & Wong, Y. M. (2001). Strategic service network design for DHL Hong Kong. Interfaces, 31(4), 1-14. Notes regarding the readings| JBL is the Journal of Business Logistics, IJLM is the International Journal of Logistics Management. All articles can be found in the library or on-line through Business Source Complete. To find them with BSC, go to http://library.ohio-state.edu/ and click on "Find Articles by Research Database" on the right under “Other Searches” title. When you see “Research Database List” go to "B" and click on "Business Source Complete." From there you can conduct a search using any combination of the author, the article title, or the journal title. Once you find the article, you should be able to click on "PDF Full Text" to download the article in PDF format. For reading #1, you will have to click on the Find It! Button. 7