IILM Institute for Higher Education

Course Manual [Production and Operations Management] [MGT 602]

PGP [20010-12]

[Production & Operations Management] PGP Batch [2010-12]

I.

COURSE FACILITATORS

Facilitator: Jasdeep Chadha Habiba Abbasi Priya Darshini Bakshi Jaideep Gupte

E-mail ID Campus jasdeep.chadha@iilm.edu GGN habiba.abbasi@iilm.edu GGN Priyadarshni.bakshi@iilm.edu GGN Jaideep.gupte@iilm.edu LR

II. COURSE OVERVIEW: The area of operations management explains how inputs are converted into outputs after processing. It gives universality of applications of issues, concepts and tools and techniques in manufacturing as well as service environment. Today, every organization is facing fierce competition due to narrowing down of the global distances and higher expectation of customers. Cost, quality and responsiveness, customer service along with other social and environmental issues are most relevant for assessing the overall effectiveness of operations in every organization. The course addresses all the prominent issues related to operations strategy, resource planning, use of appropriate technologies etc. in order to achieve highest levels of efficiency and responsiveness towards todays customer

III. COURSE TOPICS: 1. 2. 3. 4. Concepts of POM Design of Product and Processes Facility Location Planning & Capacity Planning. Material Management & Layout Planning.

IV. LEARNING OUTCOMES: The objective of the course is to help you to: 1. 2. 3. 4. 5. 6. Learn about the fundamentals of production and operations management. Understanding the role of POM in modern contest. Understand issues which affect the provision of services and manufacturing. State a detailed understanding of various tools, techniques and methods in common use for operational effectiveness and excellence. Use simple techniques for location decisions, capacity planning and control, inventory management and quality management. Use combinations of interpretation and analytical skills which can be applied in a verity of operations.

V. PRE- REQUISITES: It is essential that the student has a thorough understanding of basics of operations management i.e. transformation process, types of processes.

VI. BOOKS AND REFERENCES:

Main Text Book

a. Norman Gaither and Greg Frazier, Operations management. Thomson, South Western,
http://gaither.swcollege.com

Additional Readings b. c. d. S.N. Chary Production and Operations Management, Tata Mc Graw Hill Publishing Company. B. Mahadeven, Operations management (Theory and Practice), Pearson Education, 482, F.I.E. Richard B. Chase, Nicolas J. Aquilano and F. Robert Jacob Production and Operations Management (Manufacturing and services) Irwin / Mc Graw Hill a division of Mc Graw Hill Co. Journals: Productivity, Quarterly Journal of NPC, New Delhi. Productivity News, Monthly News Letter of NPC. Journals on Quality, Published by QCI and ASQ.

Online Resources:

a. www.pearsoned.co.in/bmahadevan
VII. ASSESSMENT CRITERIA: S.No 1 2 3 Parameter Quizzes Group Assignments End Term Weightage 20% 20% 60%

VIII. SESSION PLAN Session 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 Topic Introduction to Production & Operation Management Designing of Product and Process Service Operations Management Facility Location Planning Decision Theory Capacity Planning Capacity Control Capacity Planning & Control Case Discussion Layout Planning Guest Lecture Material Management Material Management Case Discussion Aggregate Production Planning and Operations Scheduling Aggregate Production Planning and Operations Scheduling Students Presentation Students Presentation Pre- Readings Page 5-45, NGGF Page 113-125,NGGF Page 333-346, NGGF Page 174-186, NGGF Page 173-177, NGGF Page 165-173,NGGF Page 165-173,NGGF Numerical Discussion Power Byte Computers Page 186-197,NGGF Page 535-599,NGGF Numerical Discussion Green Garden Product Page:493-506,NGGF Numerical Discussion Chapter/Activity Ch: 1&2 , NGGF Ch: 4, NGGF Ch:9 , NGGF Ch: 5,NGGF Ch: 5,NGGF Ch:5,NGGF Ch:5,NGGF Ch:5,NGGF Ch:5,NGGF Ch:5 NGGF Ch:14-15,NGGF Ch:14-15,NGGF Ch:14, NGGF Ch:13,NGGF Ch:13,NGGF

IX. SESSION DETAILS Session 1: In this session of the paper we will introduce the students to the historical background of the production and operations management. The difference between Production and service operation management will be defined. We will define the roles and responsibilities of production manager and the various operations strategies. Pre-Reading Page 5-45, Introduction, factors Affecting Operations Management, Operation Strategies. a. b. Question for discussion in class Name and describe three entry positions in POM. What are the pros and cons of a career in POM? Learning Outcomes: As an introductory session, the objective is to help the students to have an understanding of Production and Operations Management At the end of the session, the student must understand issues which affect the provision of service and manufacturing a product. c. Chapter- Norman Gaither, Chapter 1 & 2, Introduction to Operations Management and Operations

Session 2: In this session we will discuss the key parameters in design of products, the sources of product innovation, how to develop new product and how to get the new product in the market faster. We will discuss how to improve the design of the existing product. An understanding of major factors affecting process design decisions will be given to the students. Pre-Reading Page113-125, Introduction , Design and developing a Question for discussion in class Name and describe the steps in developing new products. Explain the meaning of designing products for quality. b Learning Outcomes: The objective of this session is that the students should have an understanding about the idea generation for the new product, what are the strategies opted to get the new product in the market faster. c Chapter -Norman Gaither, Chapter 4, Product and Process Design. Session 3: In this we shall discuss the service scenario in India and the characteristics of services in India. The student will also be given an understanding of operations strategies for services and type of service operations. and challenges in services. Also we shall discuss service capacity management and service quality issues. Pre-Reading Page336-445, Introduction, process design in services. Explain and describe waiting line analysis in service operations. a Question for discussion in class b Learning Outcomes: The objective of this session is that the students should have an understanding about service operations and the challenges in services. c Chapter- Norman Gaither, Chapter 9, Service Operations Planning. Session 4: In this session we will discuss the various taken into consideration while selecting a location for the plant. We will also discuss the various decision making techniques involved in it namely the factor rating method.

Pre-Reading Page174-186, factors affecting location decisions. a Question for discussion in class Describe how managers may simultaneously consider both quantitative and qualitative factors in facility location analysis. b Learning Outcomes: The objective of this session is that the students should have an understanding about the factors that are considered while selecting a site. c Chapter- Norman Gaither, Chapter 5, Facility Location. Session 5: In this session we will discuss the Decision Theory in detail along with its application. Pre-Reading Decision Theory and its types . Problems based on decision tree analysis. a Question for discussion in class b Learning Outcomes: The objective of this session is that the students should have an understanding about how to select best alternative ,how to relate the theoretical knowledge with practical aspect. c Chapter- Norman Gaither, Chapter 5,Capacity Planning. Session 6-8: In this session we will discuss the production capacity, measurements of capacity, ways of changing capacity and forecasting of capacity. Also we will discuss how to analyze capacity planning decisions and decision tree analysis. The students will also be given an idea of managing over and under capacity in manufacturing organizations. . Pre-Reading Page 165-173, Capacity Planning a Question for discussion in class Name three ways by which the firm can reduce long range capacity and five ways in which the firm can expand long range capacity. b Learning Outcomes: The objective of this session is that the students should have an understanding of Capacity issues in Operation. Also they should have an idea of how the over and under capacity in the manufacturing organizations be maintained. c Chapter- Norman Gaither, Chapter5, Capacity Planning. Session 9: In this session we will discuss the case study: Power Byte Computers. Pre-Reading Page 223-224, Case study: Power Byte Computers a Question for discussion in class Problems given at the last of the case study. b Learning Outcomes: The objective of this session is that the students should have an understanding about how to take decisions under difficult situations and what is the impact of taking wrong decision.

c Chapter- Norman Gaither, Chapter 5, Case Study: Power Byte Computers Session 10: In this session the students will be given an understanding about the layout, and then we will discuss the various types of layouts. Also we will discuss planning layout for operational efficiencies and effectiveness of operation system. Pre-Reading Pag186-197, facility layout. a Question for discussion in class Compare and contrast the layout of a bank with the layout of a hospital. How are they alike and how are they different. b Learning Outcomes: The objective of this session is that the students should have an understanding of layouts and layout planning .They should be able to draw layout for different organizations. c Chapter- Norman Gaither, Chapter 5, Layout Planning. Session 11: In this session a guest from the industry will be invited to talk about operations.

Session 12- 13: In this session we shall discuss what is the material management, its importance and role. Also we will explain inventory management and its role, discuss the nature of inventories, also we will discuss the various models of inventory. After discussing the theory part we will solve numerical problems based on inventory Pre-Reading Page 535-559, inventory management and material management. a Question for discussion in class Compare and contrast fixed order quantity inventory systems with fixed order period inventory systems Name four assumptions of EOQ model I. b Learning Outcomes: The objective of this session is to create realization, importance & role of materials management. The student should be made familiar with different methods of inventory as well as with different models. c Chapter Norman Gaither, Chapter14 &15, Inventory management & Material Planning. Session 14: In this session we will discuss the case study: Green Garden Product which is based on the knowledge of inventory management that has been discussed in previous session. Pre-Reading Case study : Green Garden Product Problems given at the last of the case study. a Question for discussion in class b Learning Outcomes: The objective of this session is that the students should have an understanding about inventory management. c Chapter- Norman Gaither, Page 578-579, Case Study: Green Garden Product.

Session 15-16: In this session we will discuss about aggregate planning and the issues related to it. Also we will discuss dimensions of production capacity and we will develop an understanding about operation scheduling, sequencing and loading. Pre-Reading - Pag493-506, Aggregate Production Planning a Question for discussion in class Why is aggregate planning in produce- to-order firms difficult? What can operations managers do to overcome these difficulties. b Learning Outcomes: The objective of this session is that the students should have an understanding that aggregate planning is the key to managing change in POM because the changing pattern of customer demand and the plans for providing production resources that adapt to those changes are fundamental to aggregate planning. c Chapter- Norman Gaither, Chapter 13, Aggregate Planning. Session 17-18: In this session the student will be give presentations on topics that may be allocated by the faculty.