Syllabus
Service and Operations
Management
Service and Operations Management Fall 2015
INSTRUCTORS
郭瑞祥 (Andy Guo)
Room 813, College of Management Building 2 (3366-1050)
(rsguo@ntu.edu.tw) (http://guo.ba.ntu.edu.tw)
郭佳瑋(Chia-Wei Kuo)
Room 504, College of Management Building 2 (3366-1045)
(cwkuo@ntu.edu.tw)
TEXTBOOK
Krajewski, Ritzman and Malhotra, Operations Management, Pearson, 10th ed., 2013.
Date
Subject
Case
09/16
Introduction to operations management
09/23
Operations strategy
09/30
Process strategy
10/07
Operations coordination
10/14
Process analysis
10/21
Guest speech
10/28
Constraints management
11/04
Planning capacity and quality
11/11
Mid-term exam
11/18
Operations planning and scheduling
11/25
Resource planning
12/02
Zappos
Southwest
Textbook
Instructor
ch.1
Andy Guo
ch.1
Andy Guo
ch.3
C-W Kuo
ch.8
C-W Kuo
ch.4
C-W Kuo
C-W Kuo
Shoudice
ch.7
C-W Kuo
ch.5,6
C-W Kuo
C-W Kuo
ch. 15
C-W Kuo
ch. 16
C-W Kuo
Supply chain inventory management
ch. 9
C-W Kuo
12/09
Supply chain design
ch.10
C-W Kuo
12/16
Supply chain integration
Handout
C-W Kuo
12/23
Company visit
12/30
Revenue management
01/06
Term project presentation
C-W Kuo
01/13
Final exam
C-W Kuo
Obermeyer
Barilla
C-W Kuo
Handout
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C-W Kuo
Syllabus
Service and Operations
Management
OBJECTIVES
1.
Understand the role and importance of OM in an organization
2.
Learn the fundamental concepts, tools and methodologies in OM
3.
Acquire knowledge about context of application, managerial skills and better attitudes in
learning
CLASS CONTRACT
1.
Choose and fix your seat in classroom (based on the seat you choose in the second week)
2.
Form your discussion group for the whole semester (Basically 4~5 students per group, totally
10 groups. Final group assignment will be determined in the first class).
NOTE: Please form your group and select your group members cautiously as students
in GMBA program are from different countries and cultural backgrounds. Group
members should also have the agreement for the case/project discussions as some of
you are full/part time students.
3.
Participate actively, both in the class and in the group
4.
Complete the case assignments and readings before coming to the class
LEARNING MATERIALS
Cases
Case 1. Zappos.com
Case 2. Southwest Airlines in Baltimore
Case 3. Shouldice Hospital Limited
Case 4. Sport Obermeyer, Ltd.
Case 5. Barilla Spa

Each group is expected to submit a case report (totally 5 case reports for the semester) for
each case above. The case report should not exceed two pages (not including the
appendices).

Each group will present ONE case (allocation of the case presentation will be determined in
class). Each group presents 15 minutes for the case
Textbook
1. Operations Management – Processes and Supply Chains by Krajewski, Ritzman and
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Syllabus
Service and Operations
Management
Malhotra, 10th ed., 2013
2. The Goal -- by Ely Goldratt
FINAL TERM PROJECT
Each group is expected to do a final term project and present the work on Jan 6, 2016. The
goal of the final term project is to get you in touch with managers responsible for the operations
of an organization. Each group will select a company/organization/facility to visit. You are
expected to apply the tools and concepts learned in this course to analyse the problem and
make a set of recommendations to your target company. Each group member should actively
participate in the term project and the presentation. The topics to be discussed in your project
should include some or all of the following areas: operations strategy, process strategy,
management of demand and supply, process improvement/analysis, supply chain management,
project management, JIT systems, constraint management, revenue management, resource
planning and any other topic related to operations management. The deadline of final project
report is 9:05pm, Jan 6, 2016.
GRADING POLICY
 Class participation
15%
 Case reports (5% each case)
25%
 Project
20%
 Mid-term exam
20%
 Final exam
20%
TIME/ SCHEDULE
Module 1
Session 1
Strategic Operations Management
Introduction to Operations Management (9/16)
Material
1.
Reading: Textbook Chapter 1
Session 2
Operations Strategy (9/23)
Material
1.
Reading: Textbook Chapter 1
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Syllabus
Service and Operations
Management
2.
Case 1: Zappos.com
Zappos was founded in 1999, during the Internet boom, to sell shoes online. The company’s
founding premise was to provide the ultimate in selection to its customers—all brands,
styles, sizes, and colors. The case provides an opportunity to evaluate the core
competences of an Internet retailer that has experienced rapid, initial success. The case
enables students to consider supply chain issues, which are critical to the company’s
success, in the broader context of the business: the bases of Zappos’ success, its core
competencies, culture, and competitive environment.
3.
In-class video: The Zappos Family on Nightline
Case Assignment
Each group prepares a two-page note answering the following questions:
1.
What are Zappos’ core competencies and sources of competitive advantage? How
sustainable are they?
2.
How important is next-day air shipment to the customer experience? Is it worth the cost?
How might you change it in the cost-conscious environment facing the company in late
2008?
3.
How would you expand the business? Would you add more products, more geographies,
or by selling private labels? As you expand the business, how can the company become
more profitable?
Module 2
Session 3
Process Management
Process Strategy (09/30)
Material
1.
Reading: Textbook Chapter 3
2.
Short-case: Empire Insurance
Personal information due
Session 4
Operations Coordination (10/7)
Material
1.
Reading: Textbook Chapters 8
2.
Case 2: Southwest Airlines in Baltimore
The number of connecting passengers through Southwest Airlines' Baltimore station has
grown 100% CAGR since 1997. Originally designed as a point-to-point network, this load of
connecting passengers has been stressing Baltimore ground operations, resulting in an
erosion of service quality and difficulties in achieving fast plane turnarounds--one of the key
elements of Southwest's low-cost strategy. This case presents comparative data to
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Syllabus
Service and Operations
Management
illuminate the key elements of Southwest's operating strategy and provides detailed
information about the activities and information flows required to turn around a plane,
allowing for a meaningful analysis of the process.
3.
In-class video: Southwest Airlines Commercials
Case Assignment
Each group prepares a two-page note answering the following questions:
1.
How does Southwest Airlines (SWA) compete? What are its advantages relative to other
airlines?
2.
What are the operational disadvantages for SWA? Why is fast turnaround so important to
SWA? (See Supplement)
3.
The plane turnaround process requires coordination among twelve functional groups at
SWA to service, in a brief period of time, an incoming plane and match it up with its new
passengers and baggage for a prompt departure. Please evaluate the plane turnaround
process at Baltimore—resource utilization, capacity, bottlenecks, information flows, etc.
How is the process working?
4.
Why is the operational performance at Baltimore eroding? What issues do you identify
that require action? What would you recommend Matt Hafner do?
Session 5
Process Analysis (10/14)
1.
Reading: Textbook Chapter 4
2.
Fishbone chart practice
Session 6
Guest speech (10/21)
Session 7
Constraints Management (10/28)
Material
1.
Reading: Textbook Chapter 7
2.
Reading: 「The Goal」by Ely Goldratt
3.
In-class video: Lean systems
Session 8
Capacity and Quality Planning (11/04)
Material
1.
Reading: Textbook Chapter 5, 6
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Service and Operations
Management
2.
Reading: Breaking the trade-off between efficiency and service
3.
Case 3: Shouldice Hospital Limited
Various proposals are set forth for expanding the capacity of the hospital. In assessing them,
serious consideration has to be given to the culture of the organization and the importance
of preserving it in a service delivery system. In addition to issues of capacity and
organizational analysis, this case describes a well-focused, well-managed medical service
facility that may well point the way to future economies in the field.
4.
In-class video: Shouldice Hospital
Case Assignment
Each group prepares a two-page note answering the following questions:
1.
How successful is the Shouldice Hospital?
2.
How do you account for its performance?
3.
As Dr. Shouldice, what actions, if any, would you take to expand the hospital capacity?
How would you implement changes you propose?
Session 9
Mid-term Examination (11/11)
The mid-term exam will be an in-class written exam
Module 3
Supply Chain Management
Session 10 Operations Planning and Scheduling (11/18)
Material
1.
Reading: Textbook Chapter 15
Session 11 Resource Planning (11/25)
Material
1.
Reading: Textbook Chapter 16
2.
Case 4: Sport Obermeyer
The case describes operations at a skiwear design and merchandising company and its
supply partner. Introduces production planning for short-life-cycle products with uncertain
demand and allows students to analyze a reduced version of the company's production
planning problem. In addition, it provides details about information and material flows that
allow students to make recommendations for operational improvements, including
comparisons between sourcing products in Hong Kong and China..
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Service and Operations
Management
3.
In-class video: Sport Obermeyer
Case Assignment
Each group prepares a two-page note answering the following questions:
1. Using the sample data given in Exhibit 10, make a recommendation for how many units of
each style Wally Obsermeyer should order during the initial phase of production. Assume
that all ten styles in the sample problem are made in Hong Kong, and that Obermeyer’s
initial production commitment must be at least 10,000 units. (Ignore price differences
among styles in your initial analysis.)
2. What operational changes would you recommend to Wally to improve performance?
3. How should Obermeyer management think (both short-term and long-term) about sourcing
in Hong Kong versus China?
Session 12 Supply Chain Inventory Management (12/02)
Material
1.
Reading: Textbook Chapter 9
Session 13 Supply Chain Design (12/09)
Material
1.
Reading: Textbook Chapter 10
2.
Beer Game
Session 14 Supply Chain Integration (12/16)
Material
1.
Reading: The AAA Supply Chain
2.
Case 5: Barilla Spa
Barilla Spa, an Italian manufacturer that sells to its retailers largely through third-party
distributors, experienced widely fluctuating demand patterns from its distributors during the
late 1980s. This case describes a proposal to address the problem by implementing a
continuous replenishment program, under which the responsibility for determining shipment
quantities to the distributors would shift from the distributors to Barilla. It describes support
and resistance within Barilla approached with the proposal.
3.
In-class video: Barilla Commercials
Case Assignment
Each group prepares a two-page note answering the following questions:
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Syllabus
Service and Operations
Management
1.
Diagnose the underlying causes of difficulties that the JITD program was created to
solve. What are the benefits and drawbacks of this program?
2.
What conflicts or barriers internal to Barilla does the JITD program create?
What
causes these conflicts? As Giorgia Maggiali, how would you deal with these?
3.
As one of Barilla’s customers, what would your response to JITD be? Why?
4.
In the environment in which Barilla operated in 1990, do you believe JITD would be
feasible? effective? If so, which customers would you target next? How would you
convince them that the JITD program was worth trying? If not, what alternatives would
you suggest to combat some of the difficulties that Barilla’s operation system faces?
Session 15 Company visit (12/23)
Detailed information will be announced in class
Session 16 Revenue Management (12/30)
Material
1.
Reading: Handout
Session 17 Term Project Presentation (1/6)
Session 18 Final Examination (1/13)
The final exam will be an in-class written exam.
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