IE 7410: Agile Systems for the Manufacturing Enterprise
WAYNE STATE UNIVERSITY
INDUSTRIAL & MANUFACTURING ENGINEERING
IE7410: Agile Systems for the Manufacturing Enterprise (2 Credits)
Course Syllabus – Fall 2013
Ford EMMP
Instructor:
Contact:
Office:
Office Hours:
TA:
Web Sites1:
Schedule:
Dr. Ratna Babu Chinnam, Professor
Industrial & Systems Engineering Department
313.577.4846 (Voice); 313.578.5902 (Fax); Ratna.Chinnam@wayne.edu
4815 Fourth Street, Detroit, MI 48202
By appointment
Mahyar Movahednejad (Mahyar@wayne.edu | 313-595-3296 Cell)
Hours: By appointment
http://blackboard.wayne.edu
5:00-7:00PM on Tuesdays (September 3rd – December 13th)
Exception: Just the week of October 7th, class will meet on Thursday (October 10th) due to my travel to INFORMS
conference (FBE 6240 will instead meet on Tuesday, October 8th).
Outline:
This course is structured to focus on three very important inter-related modules for an Automotive Manufacturing
Enterprise – 1) Factory Physics and Production Control, 2) Lean, Flexible, and Agile Manufacturing, and 3) Global
Supply Chain Management. It is designed as a combination of Concepts, Methodologies, Tools, and Implementation
Cases.
Objectives:
At the end of the course the students would:
 Learn the concepts of Lean, Flexibility, and Agility as applied in automotive manufacturing and supply chain
management
 Learn Strategies/Methodologies relating to such topics as Production Planning and Control, Factory Dynamics, and
Global Supply Chain Management
 Learn Best Business Practices in automotive manufacturing and supply chain management
 Acquire the ability to apply tools like Production Line Diagnostics and Value Stream Mapping
Course Format: This course is structured to have a combination of faculty presentations, in-class discussions/activities based on reading
assignments, student group presentations on selected topics, and case study discussions. Because of the topics under
consideration and the type/breadth of coverage, no specific textbook is assigned. The entire course material is
posted on the course website.
Grading:
Team Topic Presentation – Group Presentation with Individual Summary Reports
Two Case Study Reports – Group
Three Course Reflection Summary Reports (Instead of Exams) – Individual
25 Points
30 Points
45 Points
Reading
Assignment:
The individual Reading assignments are meant to help students better understand the material covered in class. Read the
assigned material prior to the class and participate in in-class discussions. Question list for the articles is posted on
the website.
Topic
Presentation &
Summary
Report:
3-4 Students form a group. Students can decide in which group they want to be in. Class representatives are requested to
ensure a total of 6 groups are formed and the information is communicated to the instructor. Each group makes a
presentation and moderates in-class discussion on a selected topic (consisting of selected articles) on indicated dates
(Sep. 24th, Oct. 15th, Oct. 22nd, Oct. 29th, Nov. 12th, Nov. 19th, and Nov. 26th – see Topic Presentations section). The
last 30 min. of class time is allotted for this purpose (25 min. for the presentation, 5 min. for Q&A and discussion). In
addition, each student of the group reads all the articles and submits a summary report (not exceeding 2 typed
pages per article) by the date of the presentation. Individual summary will carry 10 points and group presentation
another 15 points (adding to 25 points in total) towards the final grade. The material for each topic is already researched
Blackboard website is protected by individual user login names and passwords. The username is the uniquely assigned WSU AccessID.
The initial password is the 9 digit P-ID number. To activate your WSU AccessID or change the password or set an alternate forwarding email address, visit http://webmail.wayne.edu. Call WSU Computing & Information Technology (C&IT) Help Desk at 313-577-4778 for any
difficulties.
1
Prepared by Dr. Ratna Babu Chinnam for Wayne State University
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IE 7410: Agile Systems for the Manufacturing Enterprise
and made available on the course website. Groups are welcome to incorporate other material as they see fit. Submit the
presentation file and the reports online using blackboard digital drop-box. Late submissions will be assigned lower grades.
Case Study
Reports:
3-4 Students form a group. It is recommended that groups be the same as the teams formed for Topic Presentations.
Each group has to complete both the case studies. Class representatives are requested to share the information regarding
the groups and composition to the instructor. Each group submits a report (up to 7-10 typed pages for each case)
based on specific questions assigned to the case. These reports are due on Oct. 22nd and Dec. 3rd. All the student
groups are expected to participate in in-class discussion moderated by the instructor on the due date. Be prepared to
present and defend your analysis. Each case study report carries 15 points adding to 30 points for both case studies
towards the final grade. The questions to be answered are posted on the course website. Late reports will be assigned
lower grades.
Course
Students are required to maintain an individual journal of learning experiences on a class-by-class basis given
Reflection
the nature of the course and its broad scope. Consistent with the continuous improvement mindset promoted
Journal Reports: throughout the course in dealing with Factory Physics & Production Control, Lean & Agile Manufacturing, and Global
Supply Chain Management, the faculty member gets to assess and further improve individual lessons and modules in a
timely manner based on these journals. Past experiences suggest that maintaining such journals can actually bring a
better clarity of the overall subject matter to individual students. At the end of each class, you are encouraged to
reflect on faculty presentation, assigned readings, and topic presentations, and prepare a brief note documenting
your learning, opinions and experiences (not exceeding 1-2 pages for each class), and most importantly,
documenting how this could affect your job function both in the short and long terms. Students are also
encouraged to reflect on specific problems in the organization that can be addressed using the concepts/tools
learnt in this course.
Each student has to submit three Course Reflection Journal Reports, one for each module (up to 7-10 typed
pages each) during the course. These reports are due on Oct 15th, Nov 5th, and Dec 10th. Each report carries 15
points (adding to 45 points in total) towards the final grade. Submit all the reports online. Late submissions will be
assigned lower grades.
Academic
Integrity:
Wayne State University is committed to the highest standards of academic integrity. You are expected to conduct yourself
in accordance with these standards. To the extent that this course relies on case study and project reports, be especially
aware of proper attribution and citation standards to avoid even the appearance of plagiarism. Per the Student Code of
Conduct, any violations of academic integrity will be handled via a combination of downgrading (up to and including failing
the course) and prosecution via the Dean of Students and College of Engineering's Judicial Officer, which can result in
permanent transcript notations or even expulsion from the University.
Be sure you are familiar with the material on the
following links:
• http://doso.wayne.edu/assets/student-code-of-conduct-brochure.pdf
• http://www.trc.wayne.edu/node/48
Student
Disability
Services:
If you have a documented disability that requires accommodations, you will need to register with Student Disability
Services for coordination of your academic accommodations. The Student Disability Services (SDS) office is located at
1600 Undergraduate Library in the Student Academic Success Services department. SDS telephone number is 313-5771851. Once you have your accommodations in place, I will be glad to meet with you privately during my office hours to
discuss your special needs. Student Disability Services’ mission is to assist the university in creating an accessible
community where students with disabilities have an equal opportunity to fully participate in their educational experience at
Wayne State University. Please refer to the SDS website for further information about students with disabilities and the
services we provide for faculty and students: http://studentdisability.wayne.edu/
Prepared by Dr. Ratna Babu Chinnam for Wayne State University
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IE 7410: Agile Systems for the Manufacturing Enterprise
Tentative Schedule:
Date
Topic
Module #1: Factory Physics & Production Control
Sep. 3rd
Week #1
Course Organization and Syllabus
Topic: Automotive Manufacturing Trends, Factory Physics – Basic Factory Dynamics & Variability
 Automotive Business Trends/Challenges
 What is Factory Physics?
 Basic Factory Dynamics & Little’s Law
 Variability Basics & Why Variability Matters?
Reading Assignment:
 Manufacturing’s Wake-up Call
(Arvind Kaushal, Thomas Mayor, & Patricia Riedl, Strategy + Business, Issue 64, Autumn 2011, Booz & Company)

Does America Really Need Manufacturing?

Supply Chain Science (Chapters 0, 1 & 2)
(Gary P. Pisano & Willy C. Shih, Harvard Business Review, March 2012, pp. 94-102)
(Wallace J. Hopp; http://time.dufe.edu.cn/wencong/hopp/50.pdf, 2003, pp. 1-30)
Sep. 10th
Week #2
Topic: Corruptive Influence of Variability in Automotive Manufacturing
 How Variability Propagates
 Corruptive Influence of Variability in Push and Pull Systems
 Levers for attacking Variability
Reading Assignment:
 Supply Chain Science (Chapters 4, 5 & 6)
Sep. 17th
Week #3
Topic: Production Line Diagnostics, Production Planning for the Automotive Industry
 Production Line Diagnostics
 How Materials Requirements Planning (MRP) works?
 Elements of Manufacturing Resource Planning (MRPII)
Reading Assignment:
 Behind the Growth in Materials Requirements Planning
(Wallace J. Hopp; http://time.dufe.edu.cn/wencong/hopp/50.pdf, 2003, pp. 47-92)
&
Sep. 24th
Week #4
(Jeffrey G. Miller and Linda G. Sprague; Harvard Business Review, September-October 1975, pp. 83-89)

A Note on Manufacturing Resource Planning (MRP II)

General Motors Increases Its Production Throughput
(Janet L. Simpson and David A. Garvin; Harvard Business School Case, June 15, 1987, pp. 1-8)
(Jeffrey M. Alden, et al.; Interfaces, January-February 2006, Vol. 36, No.1, pp. 6-25)
Oct. 1st
Week #5
Topic Presentation #1 (Sep. 24th): Application Case Studies from Automotive Manufacturing
Topic: Production Control Strategies for the Automotive Industry
 Kanban based Just-In-Time (JIT) Production
 Production Planning & Control: A Macro View
 Sequencing Mixed-Model Assembly Lines
Reading Assignment:
 Just-in-Time Production Controlled by Kanban
(James T. Rhea; Harvard Business School Note, January 1984, pp. 1-9)

What’s Your Excuse for Not Using JIT?

Getting Control of Just-in-Time

Increasing Student Interest and Comprehension of Production Planning and Control and Operations Performance
Measurement Concepts Using a Production Line Game
(Richard C. Walleigh; Harvard Business Review, March-April 1986, pp. 2-7)
(Uday Karmarkar; Harvard Business Review, September-October 1989, pp. 2-10)
(James F. Cox III and Edward D. Walker II; Journal of Management Education, June 2005, Vol. 29, No. 3, pp. 489-511)
Oct. 10th
Week #6
Topic: High Mix Low Volume Facilities: Production Control Alternatives
 JIT Production by Kanban: Key Requirements
 POLCA Control, Demand Flow Technology
Reading Assignment:
 How to Plan and Implement POLCA: A Material Control System for High-Variety or Custom-Engineered Products
(Rajan Suri and Ananth Krishnamurthy; Technical Report, Center for Quick Response Manufacturing, May 2003, pp. 1-17)

A Lean Strategy for Job Shops: POLCA

Demand Flow Technology: An absolute business discipline
(Rajan Suri; Gear Technology, November/December 2005, pp. 26-27)
(Ashok Kay; MHD Supply Chain Solutions, March/April 2005, pp. 50-52)
Prepared by Dr. Ratna Babu Chinnam for Wayne State University
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IE 7410: Agile Systems for the Manufacturing Enterprise
Date
Topic
Module #2: Lean, Flexible, and Agile Manufacturing
Oct. 15th
Week #7
Topic: Lean Manufacturing: An Introduction
 Building Blocks of Toyota Production System
 Toyota Production System – Details
 Lean Manufacturing Basics
 Value Stream Mapping
Reading Assignment:
 Decoding the DNA of the Toyota Production System
(Steven Spear and H. Kent Bowen; Harvard Business Review, September-October 1999, pp. 97-106)

Thinking Production System (TPS)

Learning to Lead at Toyota
(Working Paper by Michael Ballé et al.)
(Steven J. Spear; Harvard Business Review, May 2004, pp. 1-9)
Oct. 22nd
Week #8
Topic Presentation #2: Lean Manufacturing
Course Reflection Journal Report on Module #1 (Weeks 1 thru 7) is due on Oct. 15th.
Case Study #1: In-Class Discussion & Report is Due
 Toyota Motor Manufacturing, U.S.A., Inc.
(Kazuhiro Mishina and Kazunori Takeda; Harvard Business School Case Study, 9-693-019, September 5, 1995, pp. 1-22)
Topic Presentation #3: Value Stream Mapping & Management
Topic: Flexibility in Automotive Industry
 Dimensions of Manufacturing Flexibility
 Manufacturing Flexibility in the Automotive Industry
Reading Assignment:
 The Management of Manufacturing Flexibility
(David M. Upton; California Management Review, Vol. 36, No. 2, Winter 1994, pp. 72-89)

What Really Makes Factories Flexible?

Deployment of Manufacturing Flexibility: An Empirical Analysis of the North American Automotive Industry
(David M. Upton; Harvard Business Review, July-August 1995, pp. 74-84)
(Manu Goyal, Serguei Netessine, & Taylor Randall; Available at SSRN 2077659, 2012)
Oct. 29th
Week #9
Topic: Flexibility in Automotive Industry (Contd...) & Agile Manufacturing
 Flexibility in Automotive Industry (Contd...)
 What is Agility?
 Agility Reference Model
Reading Assignment:
 What is Agility?
(Peter Gould; Manufacturing Engineer, February 1997, pp. 28-31)

Tools for Analyzing and Constructing Agility

Adopting Key Lessons from Agile Manufacturing to Agile Software Product Development—A Comparative Study
(Rick Dove; Republished by Agility Forum, PA96-01, Jan 1996, pp. 1-13)
(Petri Kettunen; Technovation, 29 (6), 2009, pp. 408-422)
Topic Presentation #4: Flexibility & Agility
Module #3: Global Supply Chain Management
Nov. 5th
Week #10
Topic: SCM (Part 1: Motivation, Introduction, and SC Alignment)
 Motivation for Supply Chain Management (SCM)
 SCM – Evolution, Definitions & Viewpoints
 Supply Chain Alignment
 Matching Supply Chains with Products
Reading Assignment:
 Supply Chain Management
(M. E. Johnson and D. F. Pyke; http://mba.tuck.dartmouth.edu/pages/faculty/dave.pyke/case_studies/supply_chain_or_ms.pdf, 1999,
pp. 1-31)

What is the Right Supply Chain for Your Product?
(Marshall L. Fisher; Harvard Business Review, March-April 1997, pp. 105-116)
Nov. 12th
Week #11
Course Reflection Journal Report on Module #2 (Weeks 8 through 10) is due on Nov. 5th.
Topic: SCM (Part 2: Network Design and Integrated Planning)
 Network Design
 Role of Advanced Planning Systems
 Supply Chain Software Solutions for Automotive Industry
Prepared by Dr. Ratna Babu Chinnam for Wayne State University
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IE 7410: Agile Systems for the Manufacturing Enterprise
Date
Topic
Reading Assignment:
 Hewlett-Packard Combined OR and Expert Knowledge to Design its Supply Chain
(Claude Laval, Marc Feyhl and Steve Kakouros; Interfaces, 35 (3), 2005, pp. 238-247)

Supply Chain Management and Advanced Planning – Basics, Overview and Challenges
(H. Stadler; European Journal of Operational Research, 163 (3), 2005, pp. 575-588)
Nov. 19th
Week #12
Topic Presentation #5: Supply Chain Strategy & Integration
Topic: SCM (Part 3: Value of Information, CPFR, and Inventory Management)
 What is “Bullwhip” effect? Why does it occur?
 Strategies to alleviate Bullwhip effect
 Collaborative Planning, Forecasting, and Replenishment (CPFR)
 Inventory Management
Reading Assignment:
 The Bullwhip Effect in Supply Chains
(Hau L. Lee, V. Padmanabhan, and Seungjin Whang; Sloan Management Review, 38 (3), Spring 1997, pp. 93-102)

CPFR – An Overview

Investigation of Opportunities that exist within the Automotive Supply Chain for Collaborative Planning
Forecasting and Replenishment (VICS CPFR®)
(Voluntary Interindustry Commerce Standards (VICS); 18 May 2004, pp. 1-24)
(CPFR for Automotive Industry Study Report, University of Bolton; 2008, pp. 1-79)
Note: This report is being provided as an optional reference. It provides an overview CPFR as well as opportunities for the same
in Automotive supply chains.

Inventory decisions in Dell’s Supply Chain
(R. Kapuscinski, et al.; Interfaces 34 (3), 2004, pp. 191–204)
Nov. 26th
Week #13
Topic Presentation #6: Supply Network Design
Topic: SCM (Part 4: Procurement/Supply Management, Logistics, and Distribution)
 Procurement/Supply Management
 Supply Chain Logistics
 Distribution
Reading Assignment:
 Strategic Sourcing: From Periphery to Core
(M. Gottfredson, R. Puryear, and S. Philips; Harvard Business Review, 83(2), February, 2005, pp. 132-139)

Chrysler Leverages its Suppliers’ Improvement Suggestions

Enterprise Logistics in the Information Era

Strategic Channel Design
(J. L. Hartley, B. M. Greer, and S. Park; Interfaces, 32 (4), 2002, pp. 20–27)
(Noel P. Greis and John D. Kasarda; California Management Review, Spring 1997, 39 (4), pp. 55-78)
(E. Anderson, S. Day, and V. K. Rangan; Sloan Management Review, 38, 1997, pp. 59-69)
Dec. 3rd
Week #14
Topic Presentation #7: Supply Chain & Customer Relationships
Topic: SCM (Part 5: Risk & Resilience Management, Service & Customer Relationship, and SCOR)
 Supply Chain Risk & Resilience Management
 Service & Customer Relationship Management
 Supply Chain Operations Reference (SCOR) Model
Reading Assignment:
 A Supply Chain View of the Resilient Enterprise
(Yossi Sheffi and James B. Rice Jr.; Sloan Management Review, Vol. 47, 2005, pp. 41-48)

CRM Done Right

Sustainability through Servicizing

SCOR Overview
(Darrell K. Rigby and Dianne Ledingham; Harvard Business Review, 82 (11), 2004, pp. 118–129)
(Sandra Rothenberg; MIT Sloan Management Review, Winter 2007, pp. 83-89)
(Version 6.0, Supply Chain Council, 2003, pp. 1-23)
Case Study #2: In-Class Discussion & Report is Due
 Ford Motor Company: Supply Chain Strategy
(Robert D. Austin; Harvard Business School Case Study, 9-699-198, December 21, 2001, pp. 1-9)
Dec. 10th
NO CLASS - Course Reflection Journal Report on Module #3 (Weeks 11 through 14) is due on Dec. 10th.
Prepared by Dr. Ratna Babu Chinnam for Wayne State University
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IE 7410: Agile Systems for the Manufacturing Enterprise
Topic Presentations:
Date
List of Articles
Sep. 24th
Week #4
Topic Presentation #1: Application Case Studies from Automotive Manufacturing
 Manufacturing for Synchronous Supply: A Case Study of Ikeda Hoover Ltd.
(Des Doran; Integrated Manufacturing Systems, 13(1), 2002, pp. 18-24)

Improving Car Body Production at PSA Peugeot Citroën

General Motors Increases Its Production Throughput
(Alian Patchong, Thierry Lemoine, and Gilles Kern; Interfaces, 33(1), January-February 2003, pp. 36-49)
(Jeffrey M. Alden, et al.; Interfaces, January-February 2006, 36(1), pp. 6-25)
Note: This article is selected for topic presentation in addition to being a mandatory reading for the entire class.

What Really Happened to Toyota
(Robert Cole; MIT Sloan Management Review, 52(4), 2011, pp. 29-35)
Oct. 15th
Week #7
Topic Presentation #2: Lean Manufacturing
 From Lean Production to the Lean Enterprise
(James P. Womack and Daniel T. Jones; Harvard Business Review, March-April 1994, pp. 93-103)

Beyond Toyota: How to Root Out Waste and Pursue Perfection

Transforming Kaizen at Toyota
(James P. Womack and Daniel T. Jones; Harvard Business Review, September-October 1996, pp. 4-16)
(Koichi Shimizu; http://www.e.okayama-u.ac.jp/~kshimizu/downloads/iir.pdf, pp.1-29)
Oct. 22nd
Week #8
Topic Presentation #3: Value Stream Mapping & Management
 Value Stream Mapping – Theory and Cases
(Peter Hines Presentation; Cardiff University, 2005)

Equipment Replacement Decisions and Lean Manufacturing
(William G. Sullivan, Thomas N. McDonald, and Eileen M. Van Aken; Robotics and Computer Integrated Manufacturing, Vol. 18,
2002, pp. 255-265)

Value Stream Management
(Peter Hines, et al.; International Journal of Logistics Management, Vol. 9, No. 1, 1998, pp. 25-42)
Oct. 29th
Week #9
Topic Presentation #4: Flexibility & Agility
 Principles on the Benefits of Manufacturing Process Flexibility (Introduction & Part 1 only, pp. 577-587)
(William C. Jordan and Stephen C. Graves; Management Science, 41 (4), April 1995, pp. 577-594)

Flexibility Versus Efficiency: A Case Study of Model Changeovers in the Toyota Production System

Design Principles for Highly Adaptable Business Systems, With Tangible Manufacturing Examples

The Next Revolution in Productivity
(Paul S. Adler, Barbara Goldoftas, & David I. Levine; Organization Science, 10 (1), 1999, pp. 43-68)
(Rick Dove; Revised chapter appearing in Maynard's Industrial Handbook, McGraw Hill, 1999, pp. 1-19)
(Ric Merrifield, Jack Calhoun, & Dennis Stevens; Harvard Business Review, 86 (6), June 2008, pp. 73-80)
Nov. 12th
Week #11
Topic Presentation #5: Supply Chain Strategy & Integration
 Power of Virtual Integration: An Interview with Dell Computer’s Michael Dell
(Joan Magretta; Harvard Business Review, March-April, 1998, pp. 73-84)

Fast, Global, & Entrepreneurial: Supply Chain Management, Hong Kong Style – An Interview with Victor Fung

The Triple-A Supply Chain

Rapid-Fire Fulfillment (Zara)
(Joan Magretta; Harvard Business Review, September-October 1998, pp. 103-114)
(Hau L. Lee; Harvard Business Review, October 2004, pp. 1-10)
(Kasra Ferdows, Michael A. Lewis, & Jose A. Machuca; Harvard Business Review, 82 (11), 2004, pp. 104-117)
Nov. 19th
Week #12
Topic Presentation #6: Supply Network Design
 Don't Let Your Supply Chain Control Your Business
(Thomas Choi & Tom Linton; Harvard Business Review, 89 (12), December 2011, pp. 112-117)

It May Be Cheaper to Manufacture At Home

What Happens When You Outsource Too Much?

Supply Chain Lessons from the Catastrophic Natural Disaster in Japan
(Suzanne de Treville & Lenos Trigeorgis; Harvard Business Review, 88 (10), October 2010, pp. 84-87)
(Francesco Zirpoli & Markus Becker; MIT Sloan Management Review, 52 (2), 2011, pp. 59-64)
(YoungWon Park, Paul Hong, & James J. Roh; Business Horizons, 56, 2012, pp. 75-85)
Nov. 26th
Week #13
Topic Presentation #7: Supply Chain & Customer Relationships
 Supply Chain Challenges: Building Relationships
(Panel Discussion; Harvard Business Review, July 2003, pp. 1-9)

Building Deep Supplier Relationships

The New, Improved "Keiretsu"

Avoid the Four Perils of CRM
(Jeffrey K. Liker and Thomas Y. Choi; Harvard Business Review, December 2004, pp. 2-10)
(Katsuki Aoki & Thomas T. Lennerfors; Harvard Business Review, September 2013, pp. 109-113)
(Darrell K. Rigby, Frederick F. Reichheld, and Phil Schefter; Harvard Business Review, February 2002, pp. 1-8)
Prepared by Dr. Ratna Babu Chinnam for Wayne State University
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