OM COR1-GB.2314 – Sample syllabus
Prof. Gustavo Vulcano
OPERATIONS MANAGEMENT
COURSE SYLLABUS COR1-GB.2314
SAMPLE SYLLABUS MEETINGS:
Tuesday and Thursday 6:00PM – 9:00PM
May 14th – June 25th
Room Tisch 201
INSTRUCTOR:
Dr. Gustavo Vulcano, KMC 8-76, x8-4018,
gvulcano@stern.nyu.edu
Office hours: By appointment
COURSE WEBSITE:
Blackboard (http://sternclasses.nyu.edu)
1 OM COR1-GB.2314 – Sample syllabus
Prof. Gustavo Vulcano
OVERVIEW
Operations is concerned with the systematic design, management and improvement of the
processes that transform inputs into finished goods or services. Operations is one of the primary
functions of a firm. As marketing induces the demand for products and finance provides the
capital, operations produces the product (goods and services).
This course provides a foundation for understanding the operations of a firm. The
objective of the course is to provide you with the basic skills necessary to critically analyze a
firm's operating performance and practices.
Unlike many courses, which tend to treat the firm as a "black box", we will be primarily
concerned with "opening up" the black box and discovering what makes a firm "tick" - or, for
that matter, "stop ticking".
Because the operations of a firm vary widely from one industry to the next, a course like
this cannot cover all topics that are relevant to any given industry. Rather, we concentrate on a
small number of powerful themes that have emerged recently as the central building blocks of
world-class operations. We also present a sample of operations management tools and techniques
that have been proved extremely useful over the years. The topics are equally relevant in the
service and manufacturing sectors.
COURSE GOALS
The specific course objectives are to teach you to:
•
Identify the operational capabilities needed to support a business strategy
•
Define and characterize key business processes
•
Establish clear performance objectives and process measures
•
Understand the impact of demand and process variability in manufacturing and service
industries
•
Use data and modeling tools to evaluate and improve the efficiency of processes
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Prof. Gustavo Vulcano
MATERIALS REQUIRED
I) ONLINE CASES: A set of business cases from Harvard Business Publishing is available
online
•
•
•
•
•
BENIHANA OF TOKYO
NATIONAL CRANBERRY COOPERATIVE
BAT CASE: PUTTING TECH SUPPORT ON THE FAST TRACK
TOYOTA MOTOR MANUFACTURING USA, INC.
ZARA FAST FASHION
The following NYU readings and short cases will be posted in Blackboard:
• TERMS USED IN OPERATIONS MANAGEMENT
• ANALYSIS OF AN OPERATION
• FCN SECURITIES DEMO (A), (B) AND (C)
• NETWORK CASES
II) CUSTOM TEXT: A customized version with selected chapters from Operations and Supply
Chain Management; Jacobs and Chase; 13th edition; McGraw-Hill Custom Publishing, 2011.
Available at NYU Bookstore. This text is referenced as CUSTOM-TEXT in this Syllabus.
III) COMPUTER SOFTWARE:
• EXCEL
• Online simulation tool for the Benihana case, “Operations Management Simulation:
Benihana V2”, included in the Harvard online course packet.
OPTIONAL MATERIAL
THE GOAL: A process of ongoing improvement, by Eliyahu Goldratt, published by North
River Press Publishing Corporation, revised third edition, 2012.
Other Operations Management References:
• Matching Supply with Demand: An Introduction to Operations Management, by Cachon
and Terwiesch, 3rd edition, McGraw-Hill/Irwin, 2012.
• Managing Business Process Flows, by R. Anupindi, S. Chopra, S. Deshmukh, J. van
Mieghem, and E. Zemel. 3rd edition, Prentice Hall, 2011.
• Designing and Managing the Supply Chain, by David Simchi-Levi, Philip Kaminsky and
Edith Simchi-Levi, 3rd edition, McGraw-Hill/Irwin, 2007.
• Operations Management; Stevenson; 11th edition; McGraw-Hill/Irwin; 2011.
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Prof. Gustavo Vulcano
GENERAL INFORMATION
GRADING COMPONENTS
• Individual Assignments (6)
• Group Homeworks (2)
• Attendance and Class Participation
• Midterm
• Final Exam
15%
20%
10%
25%
30%
INDIVIDUAL ASSIGNMENTS
There are six individual assignments, which must be submitted at the beginning of the session in
which they are due. Keep a copy for your reference during class. Show all the work if your
response requires a calculation.
If you have questions regarding the grading of the assignments, please discuss them with
the TA first.
GROUP HOMEWORK
There are two homework assignments to be done in groups of maximum four students. In the
same spirit, groups should not collaborate with each other for the purpose of doing the
assignments. There is no restriction in the length of these homework submissions but precise and
short answers are expected. Keep a copy for your reference during class. Group homeworks are
due at the beginning of the session in which they are due.
If you have questions regarding the grading of the group homeworks, you should discuss
them with the TA first.
ATTENDANCE AND LATENESS
Attendance is mandatory for the course. I will excuse absences and entertain requests to change
exam and assignment due dates only in cases of documented serious illness, family emergency,
religious observance, or civic obligation. If you will miss class for religious observance or civic
obligation, you must inform your instructor no later than the first week of class. Recruiting
activities, business trips, vacation travel, and club activities are not acceptable reasons for
absences or requests to schedule exams and assignments. In addition, you are expected to
arrive to class on time and stay to the end of the class period. Arriving late or leaving early will
have an impact on the attendance grade. Finally, you are allowed to skip one class without any
impact on the attendance component of the grade.
CLASSROOM BEHAVIOR
Laptops, cell phones, smart phones & other electronic devices must not be used in class.
MBA CODE OF CONDUCT
http://www.stern.nyu.edu/cons/groups/content/documents/webasset/con_036267.doc
FINAL EXAM
There is an individual, in-class exam that will take place on Tuesday June 25th.
4 OM COR1-GB.2314 – Sample syllabus
Prof. Gustavo Vulcano
Module I: Introduction to Operating Systems: Process Analysis and Design
Session 1 (May 14th) INTRODUCTION. OPERATIONS AS A SOURCE OF COMPETITIVE
ADVANTAGE.
Required readings
•
Chapter 1 in Custom-Text: "Operations and supply chain management".
•
Chapter 2 in Custom-Text: “Strategy and sustainability”.
Optional reading
•
Article “Implementing Restaurant Revenue Management”, available on Blackboard.
Topics
• Introduction to operating systems
• Operational strategy: Core competencies and capabilities
Case
Benihana of Tokyo, W. Sasser and J. Klug, Harvard Business School (2004). Read, analyze,
and be prepared to discuss the Benihana of Tokyo case. Use the following study questions as
an aid in analyzing the case.
(a) Describe Benihana as an operating system. (Draw a process flow diagram.) List the
relevant inputs, process, and output elements in three columns.
(b) How does the operating system support the Benihana concept?
(c) Which parameters of the operating system influence the throughput of a Benihana
Restaurant?
(d) How does the cost structure of a Benihana restaurant compare with that of a typical
American restaurant? How does Benihana get its competitive advantage?
Related Links: Benihana profile from http://www.benihana.com/about
Individual Assignment #1. Available from Blackboard.
Session 2 (May 16th). DESIGN OF OPERATING PROCESSES AND PROCESS FLOW
Required reading
•
Chapter 6 in Custom-Text: “Production processes”
Topics
• Types of operating processes: The product-process matrix
• Flow diagram
• Performance measures: Capacity, flow time, cycle time; bottleneck
Case
Kristen’s Cookie Company. Available at Custom-Text (p. 135-136). Read, analyze, and be
prepared to discuss the Kristen's Cookie Company case, utilizing the key questions at the end
as guide.
5 OM COR1-GB.2314 – Sample syllabus
Prof. Gustavo Vulcano
Virtual Plant Tours
In this class, we will study different types of operating processes and discuss their suitability for
producing various goods and services. Some of these processes and products are illustrated in
about 25 virtual Plant Tours accessible from the website http://www.mhhe.com/omc/toursframes.htm .
Study the following tours and think about the questions that follow:
1. Job shop: Louisville Slugger Aluminum Bat Plant Tour (available in Custom-Text DVD)
Beach Beat Surfboards (http://www.mhhe.com/omc/tours-frames.htm)
2. Assembly Line: Volkswagen “Transparent” Factory
(http://www.youtube.com/watch?v=nd5WGLWNllA)
Toyota Motor Company
(http://www.toyotageorgetown.com/vtour/vtour.asp ).
3. Continuous process: Crude Oil Refinery
(http://www.youtube.com/watch?v=XDK20wJUuKQ)
Questions
(a) Identify the key elements of each company’s operating system. The operating system
is the collection of all processes that a company uses to produce/deliver the goods and
services that it offers.
(b) What are the differences between the operating systems of the two firms?
(c) What is your assessment of the fit between each company’s business strategy and its
operations strategy?
Session 3 (May 21st) PROCESS FLOW ANALYSIS
Required reading
•
Chapter 5 in Custom-Text: “Process analysis”
Optional reading
•
Article "Analysis of an operation", available on course website.
Topics
• Performance measures: Capacity, flow time, cycle time
• Identifying bottlenecks; implications
• Gantt chart
• Factors that affect throughput and the bottleneck
Case
Read the National Cranberry Cooperative case. Use the following study questions as guides
in analyzing the case:
(a) What is your analysis of the process fruit operation at Receiving Plant #1?
(b) What recommendations, both short and long term, would you make to Mr. Schaeffer?
Individual Assignment #2. Available from Blackboard.
6 OM COR1-GB.2314 – Sample syllabus
Prof. Gustavo Vulcano
Session 4 (May 23rd) OPTIMAL RESOURCE ALLOCATION
Required reading
•
Appendix A in Custom-Text: “Linear Programming Using the Excel Solver”.
Optional reading
•
Article “Introduction to Linear Programming”, available on course website.
Topics
-
Linear programming
Models and applications
Sensitivity analysis and shadow prices
Module II: Managing for Competitive Advantage
Session 5 (May 28th) MATCHING SUPPLY AND DEMAND IN SERVICES
Required reading
•
Chapter 7A: "Waiting Line Analysis", in Custom-Text.
Topics
•
Characteristics of a waiting-line system: arrival, waiting line, service characteristics
Session 6 (May 30th) CAPACITY MANAGEMENT IN SERVICES
Required reading
• Article “Managing Real and Virtual Waits in Hospitality and Service Organizations”,
available on course website.
Topics
•
•
Measuring the queue’s performance and queuing costs
Psychology of queues
Case
Read, analyze, and be prepared to discuss the BAT case. The following study questions will
help:
(a) What is BAT? What do they sell?
(b) What is their differentiation factor in the market?
(c) What is the current performance of BOP! Team 1? What problems are they facing?
Individual Assignment #3. Available from Blackboard.
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SUBMIT GROUP HOMEWORK #1: FILE WITH QUESTIONS AVAILABLE ON COURSE WEBSITE. YOU
ND
MUST SOLVE THIS HOMEWORK IN GROUPS OF UP TO 4 STUDENTS. DUE SUNDAY JUNE 2
@ MIDNIGHT
Session 7 (June 4th) MIDTERM - TIME-TO-MARKET AND RESPONSIVENESS
First Half: MIDTERM
This is an in-class, open book/notes test. The material on the test is based primarily on class lectures
and discussions. Calculators allowed but please, NO computers or cellphones/smartphones.
Second Half:
Required reading
•
Chapter 10 in Custom-Text: "Projects".
Practice problems
•
Project management exercises (see the course website).
Topics
•
•
Project Management: Introduction and organizational structure
CPM & PERT. Crashing the project
Additional Links
• Video "Project Management at Six Flags" (available in Textbook DVD)
• Video on Project Management in the Construction of the Alton Bridge over the
Mississippi. (14 mins)
http://sterntv.stern.nyu.edu:8080/ramgen/faculty/Project-Management-The-AltonBridge.rm
Session 8 (June 6th) QUALITY AS A STRATEGIC ISSUE
Required reading
•
Chapter 9 in Custom-Text: "Six-Sigma Quality".
•
Chapter 9A in Custom-Text: "Process Capability and Statistical Process Control".
Topics
• Continuous improvement & Six Sigma
• Control charts
Case
Toyota Motor Manufacturing, USA INC (available in Course-Packet). Read, analyze, and be
prepared to discuss the Toyota case. Use the following study questions as an aid in analyzing
the case:
(a) What are the principal components of the Toyota Production System? What
capabilities must an organization possess in order to implement TPS effectively?
(b) How does “quality control” work at Toyota Motor Manufacturing?
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Prof. Gustavo Vulcano
(c) List the most important insight you have gained from reading the Toyota case that
may be useful in the context of your own work environment.
(d) Put yourself in the shoes of the plant manager; what steps would you take to address
the seat problem?
Individual Assignment #4: Available from Blackboard.
Module III: Inventory and Supply Chain Management
Session 9 (June 11th) INVENTORY CONCEPTS AND MODELS
Required reading
• Chapter 17 in Custom-Text: "Inventory Control".
Topics
• Importance of inventory
• Inventory measures
• Continuous and periodic review models
Session 10 (June 13th) INVENTORY MANAGEMENT: NEWSVENDOR SETTINGS
Required reading
•
Article "A Note on the Newsvendor Model: Inventory Planning for Short Lifecycle
Items", available on course website.
Optional reading
•
Article “Introduction to the Theory and Practice of Yield Management”, available on
course website.
Topics
• Inventory management for perishable assets
• Extensions to services: Revenue Management
Case
Acme Widget case (downloadable from Blackboard). Read, analyze, and be prepared to
discuss the case. Use the following study questions as an aid in analyzing the case:
(a) What problems did ACME face after launching the warehouse program?
(b) What could be the potential causes for those problems?
Individual Assignment #5. Available from Blackboard.
9 OM COR1-GB.2314 – Sample syllabus
Prof. Gustavo Vulcano
Session 11 (June 18th) INVENTORY IN ACTION: THE BEER GAME
Required reading
• Chapter 11 in Custom-Text: "Global Sourcing and Procurement".
Topics
• Supply chain performance: Inferences from the Beer Game
Special event
• This class will take place in a different room (TBA)
Session 12 (June 20th) SUPPLY CHAIN MANAGEMENT
Topics
• Current challenges of supply chain management
Case
Zara: Fast Fashion. Read, analyze, and be prepared to discuss the Zara case. Use the
following study questions as an aid in analyzing the case.
(a) What is Zara value proposition to customers? How is Zara’s Supply Chain helping
this value proposition?
(b) How is Zara managing the uncertainty in demand?
(c) Under the Newsvendor paradigm, how would you compare the Overage and
Underage costs of Zara and Gap?
Individual Assignment #6. Available from Blackboard.
SUBMIT GROUP HOMEWORK #2: FILE WITH QUESTIONS AVAILABLE ON COURSE WEBSITE. YOU
RD
MUST SOLVE THIS HOMEWORK IN GROUPS OF UP TO 4 STUDENTS. DUE SUNDAY JUNE 23
@ MIDNIGHT
FINAL EXAM: Tuesday June 25th, from 6:00PM to 8:00PM.
This is an in-class, open book/notes test. The material on the test is based primarily on class
lectures and discussions. Calculators allowed but please, NO computers or cellphones.
10 OM COR1-GB.2314 – Sample syllabus
Prof. Gustavo Vulcano
OVERVIEW OF ASSIGNMENTS AND EXAM DATES Assignment / Exam / Event
(Due) Date
Individual Assignment #1: Benihana case
May 14th (Session 1)
Individual Assignment #2: National Cranberry case
May 21st (Session 3)
Individual Assignment #3: BAT case
May 30th (Session 6)
Group Homework #1
Sunday June 2nd
MIDTERM
June 4th (Session 7)
Individual Assignment #4: Toyota case
June 6th (Session 8)
Individual Assignment #5: Acme case
June 13th (Session 10)
The Beer Game
June 18th (Session 11)
Individual Assignment #6: Zara case
June 20th (Session 12)
Group Homework #2
Sunday June 23rd
FINAL EXAM
June 25th, 6:00PM - 8:00PM
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