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MGT 520 Operations Management
Fall 2013
Instructor: Dr. Jack Su
Office: ASM 2156
Room / Time: GSM 117 / Monday 5:30pm to 8:00pm
E-mail: jackcpsu@unm.edu
Office hours: Monday 3:30-5:30pm, Tuesday 2:00-4:00pm or by appointment
Operations Management is an area of business that is concerned with the production
of goods and services, and involves the responsibility of ensuring that business operations are
efficient and effective. It focuses on the effective planning, evaluation, scheduling, use, and
control of a manufacturing or service organization through the study of concepts from design
engineering, industrial engineering, management information systems, quality management,
production management, inventory management, accounting, and other functions as they
affect the organization.
In this course we seek to achieve the following objectives:
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Understand the role of operations management in the overall business of the firm.
Understand the strategic and tactical linkages between operations function and
other functional areas of the firm.
Develop the ability to formulate operations strategy.
Learn the concepts and tradeoffs of operations management problems.
Analyze the policies of operations management problems in both manufacturing
and service environments.
Learn the latest trend in operations management.
The topics covered in this course include Operations strategy, Project Management,
Forecasting, Design of Goods and Service, Quality Management, Inventory Management,
and Material Requirement Planning.
The lectures will tend to emphasize the theoretical aspects of these topics, with
development of quantitative approaches that also provide managerial insights to problems.
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Homework and cases will tend to focus on the practical applications of the concepts and
techniques developed in class to a variety of industrial contexts. Additional instruction may
be provided through guest lectures, cases, videos, or projects to help match theory and
practice.
This is not a course in mathematics, although mathematics is used in the course as the
language for formally defining problems and as means of finding solutions.
The
requirements for particular mathematics should be within your capabilities.
MATERIALS
Operations Management (10th Edition) by Jay Heizer and Barry Render, Prentice Hall,
ISBN-10:0-13-611941-7.
GRADING
The grade received in the course will be based on two in class exams, a semester project
presentation, attendance, and class participation. The Learning Assessment Test is conducted
online. The weights are as following:
First in Class Exam (30%)
Second in Class Exam (30%)
Semester Project Presentation (35%)
Class Attendance (5%)
Learning Assessment Test (2%)
The total is 102%.
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Percentage of grade
Letter grade
97 and above
A+
93-96
A
90-92
A-
87-89
B+
83-86
B
80-82
B-
76-79
C+
70-75
C
69 and bellow
F
Please notice that there will be no make-up exam. Students who must miss an exam to attend
an official UNM function must prearrange an alternate arrangement. If you are too ill to
attend an exam or you have some other emergencies, you must inform the instructor no
later than the exam date.
You should present appropriate documentation for other
arrangement. All others will receive a grade of zero.
SEMESTER PROJECT GRADING POLICY
The objective of the semester project is for students to show the following abilities:
1. Identify interesting operations management issues.
2. Officially formulate these issues into solvable or analyzable problems.
3. Rigorously solve or analyze the problems using the tools or concepts discussed in the
class.
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4. Derive managerial insights from the solutions found or perform scenario analysis.
5. Effectively communicate the problem, the solution and analysis processes, the
solutions, and the managerial insights with the audience.
Interesting issues usually consist of two characteristics. First, it is relevant. Namely, the
potential benefit of resolving the issue is significant to the individual, to the organization, or
to the society. Second, the solution is not trivial. A rigorous solution or analysis process is
required to find the solution.
Managerial insights are the general management guidelines that you summarized from you
analysis that will help the mangers understand the trade-offs of the problem and improve their
decision making ability.
To fulfill the above objective, I suggest you include the following content in your semester
project presentation:
1. Background introduction to the organization and to the problem you are analyzing to
help the audience understand your motivation.
2. Problem statement.
3. Methodology, tools, and processes used to solve or analyze the problem.
4. Solutions.
5. Managerial insights and/or scenario analysis.
6. Discussion of potential benefit and future extension.
I also strongly suggest you work with someone within the organization to identify the issue
from scratch. Not just analysis the problems you found on articles written by someone else.
Your grade will depends on how well you fulfill the objective of the semester project.
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HOMEWORK
To help students understand the material and prepare the exams, homework problems will be
assigned. Students are strongly encouraged to do these homework problems. Solutions to
these problems will not be collected and graded. Homework solutions will be provided.
While there is no grade assigned to homework problems, some of the problems on the exams
are very likely to be related to the homework assignment. Hence, it is important that you
spend time thinking about the homework problems.
TENTATIVE CLASS SCHEDULE
August 19: Introduction to Operations Management
Define Operations and Operations Management
Operations Management and Other Functional Areas
Read Chapter 1
August 26 and September 9: Operations Strategy
History of Operations Management
Strategic Issues of Operations Management
Theories of Operations Management
Formulation of Operations Strategy
Productivity
Break Even Analysis
Read Chapter 2
Homework: Chapter 1 and 7 Practice Problems
September 2: Labor Day No Class
September 16: Project Management
PERT/ CPM
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Read Chapter 3
Homework: Chapter 3 Practice Problems
September 23: Forecasting
Native Approach
Moving Average
Exponential Smoothing
Measuring Forecasting Error
Read Chapter 4
Homework: Chapter 4 Practice Problems
September 30: First In-Class Exam
Include Chapter 1-4
October 7: Semester Project Day
Instructor will attend INFORMS annual conference
October 14 and 21: Design of Goods and Service
House of Quality
Bill of Material
Decision Tree
Read Chapter 5
Homework: Chapter 5 Practice Problems
October 28: Quality Management
Define Quality
ISO9000, ISO14000
Total Quality Management
Magnificent Seven
Read Chapter 6
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Homework: Chapter 6 Practice Problems
November 4 and 11: Inventory Management
EOQ Model
WW Procedure
Stochastic Demand Inventory Policy
Read Chapter 12
Homework: Chapter 12 Practice Problems
November 18: Material Requirement Planning
Teaching Evaluation
MRP
Lot Sizing
Read Chapter 14
Homework: Chapter 14 Practice Problems
November 25: Semester Project Presentation
December 2: Second in-Class Exam
Include Chapter 5, 6, 12, 14