MS 401
Production and Service Systems Operations
Spring 2009-2010
Introduction
Slide Set #1
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Course Contact Information
Instructor:
Office:
Phone:
Email:
Murat Kaya
FENS G020
483 9622
mkaya@sabanciuniv.edu
TAs: Özlem Çoban, Ceyda Sol, Mahir Yıldırım
Emre Adnan Işık, Oğuz Özden, Akın Selçuk (Student TAs)
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Course Description
• Mathematical methods for planning and control in production
and distribution systems; forecasting; inventory replenishment;
aggregate production planning; master production scheduling;
material and capacity requirements planning; just-in-time
manufacturing and supply chain management
• Prerequisite:
MS 301 - Deterministic Models in Operations Research
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Textbooks
• Nahmias, S.
Production and Operations Analysis, 5th or 6th edition
• Vollmann, T.E., W.L. Berry, and D.C. Whybark, F.R. Jacobs
Manufacturing Planning and Control for Supply Chain
Management, 5th edition
Reference Books
• Silver, E.A., Pyke, D.F., Peterson, R.,
Inventory Management and Production Planning and Scheduling
• Stevenson, W. J.
Production/Operations Management
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Course Grading / Evaluation
• Course grading
– Quizzes, Assignments (10%)
– Project (12%)
– Midterm Exam-1 (22%)
– Midterm Exam-2 (24%)
– Final Exam (comprehensive) (32%)
• Course attendance highly recommended
• Exams will be closed book and notes
• Single make-up exam after the final
– the student needs to document the reason to miss the regular exam
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Midterm Information
• Midterm-1
– March 26th, Friday, 17:40 -20:00
• Midterm-2
– May 7th , Friday, 17:40 -19:40
• Midterm Locations:
– FENS Auditorium
– FMAN Auditorium
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Course Project
• You will apply forecasting and inventory management
techniques on fictitious data using MS Excel
• Teams of maximum 3 students (no groups of larger size)
• Each group will be assigned to a teaching assistant
• Project due date: May 11th
• Do not wait until the last week! Start early…
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Project Calendar and Grading
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•
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By March 5th 17:00: E-mail the names of group members (5% of total grade)
By April 16th 17:00: Progress meeting with your assigned TA (25% of total
grade). You should bring the following two files with you:
– A two-page proposal explaining your proposed solution methodology.
– A preliminary MS Excel file that you plan to use.
By May 11th, 17:00: Submit the following to your TA:
– MS Excel file containing your model (30% of total grade).
– Project report (25% of total grade). Check the format requirements. The
report should explain your solution methodology, assumptions and results
with references to the MS Excel file you submit.
– 50% penalty if delivered past 24 hours of the deadline. 100% penalty if later.
May 12-13-14th: Post-submission oral exam by the TAs (15% of total grade)
– You may fail in the project (or, in the course) if you cannot explain your
project work.
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Homework Assignments
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•
•
•
Lowest graded assignment will be dropped from consideration
Late deliveries will NOT be accepted
Submit to the assistants, not to me
Submit assignments in hand-writing
– no print-outs (unless indicated otherwise)
– no email attachments
• Collaboration is permitted provided that:
– each student writes the homework on his/her own
• i.e., do not “copy” from others
– the student mentions the names of his/her collaborators in the title of the
assignment
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Other Notes
• Only PARTIAL slide sets will be posted to SU-Course
– come to lectures and take notes
• Obtain the course books as early as possible
• Quizzes
– either in class hours or in recitation hours
– will be announced in advance
• Bring calculators to class sessions
• Need to follow the recitation section to which you register
• MS 401 is a strong prerequisite for the FENS Area
Elective “MS 454 Supply Chain Analysis”
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Course Goals
•
The objective of MS401 is to prepare students for manufacturing
practice and/or research through an advanced treatment of
concepts and methods for manufacturing planning and control
•
The outcomes expected from MS401 are:
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–
–
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an understanding of the various subsystems of a modern manufacturing
planning and control (MPC) system and their interrelationships
a comprehension of the fundamentals of inventory management
an in-depth understanding of MRP and JIT concepts and techniques
an awareness of current practice and research issues in manufacturing
planning and control
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Course Outline
Nahmias
Operations Management Overview
1
Forecasting
2
Inventory Control and Management
4,5
Manufacturing Planning and Control (MPC)
Aggregate Production Planning (APP)
VBWJ
1,2
3
Master Production Scheduling (MPS)
6
Material Requirements Planning (MRP)
7,14
Capacity Planning
10
Just-in-Time (JIT)
9
Supply Chain Management
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Why Learn MS 401 Material?
• Highly related to real-world applications
• Presents the terminology, the jargon of production
planning and control
• Good to know even if you will not work in production area
• Provides the foundation to understand popular subjects
such as supply chain management
– will be mentioned at the end of the course
• Good for your summer internship
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Operations Management
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Operations Management
• Operations management:
Managing all activities related to producing
– goods (manufacturing, assembly)
• our focus in this course
– services (healthcare, transportation, retailing)
• “Operations” is a function of the firm
– main functions: operations, finance, marketing
– if the firm were a car, operations would be its engine
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Scope of Operations Management
• Imagine that you have just invented “iPod”. You want to
produce and sell your new product…
• What kind of issues you need to think about?
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Why Study Operations ?
• A company’s operations function is either a competitive
weapon or a corporate millstone. It is seldom neutral.
Skinner
• 1980s: Japanese invasion of the US market
– weapon: operations strategy
– American firms focused mostly on marketing & finance
• Understanding operations management gives YOU a
competitive advantage
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Operations Strategy
• Firms compete along…
Operations Strategy:
Positioning the firm along
these dimensions
Operations Management:
Implementation of operations
strategy to achieve
competitive advantage
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Why Consider Manufacturing?
• In the US: Manufacturing is in decline
• Turkey has been moving towards a being a “manufacturing
base” for the European Union
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