SCM 2160 – Section A02 Course Outline SUPPLY CHAIN AND OPERATIONS MANAGEMENT
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SCM 2160 – Section A02 Course Outline SUPPLY CHAIN AND OPERATIONS MANAGEMENT
SCM 2160 – Section A02 SUPPLY CHAIN AND OPERATIONS MANAGEMENT Course Outline Fall 2014 Instructor Name: Phone: Email: Office: Office Hours: Room #: Class Time: Debbie Finney (204) 791-3897 [email protected]; 356 Drake 30 minutes after each class or by appointment 103 Drake Monday (10:00 – 11:15) and Wednesday (10:00-11:15) Course Description Operations management concerns the management of the transformation process involved in turning inputs (material, customers, information, staff, and facilities) into outputs (goods and services). It is the management of the core of an organization and bridges the gap between vision and execution. Strategic, tactical, and operational decisions regarding the designing, planning, direction, and control of facilities, processes and activities are all elements of the operations management function. This course covers the basic concepts of these features. Course Objectives The objective of this course is to introduce you to the fundamental concepts of operations management from a general management perspective. Although you may not be involved in the direct management of operations in current or future employment, it will be useful to understand the problems and complexities faced by operations managers. At the conclusion of this course, you should appreciate that operations management is not simply a set of well-understood ‘nuts-and-bolts” techniques. Rather, it is primarily a management discipline that is strategically important for survival in today’s more competitive environment. 1 Course Material · · Jacobs, F.R., Chase, R.B, and Balakrishnan J. (2013), Operations & Supply Chain Management: The Core – 2nd Canadian Edition. Toronto: McGraw-Hill Ryerson Package of cases and readings Methods of Instruction The main method of instruction for this course will be the analysis and discussion of case studies; each highlighting an operations management situation in which a decision must be made in light of a number of trade-offs and alternatives. These in class discussions require active student participation. Class time will be devoted to discussing the situation, the managerial and technical implications of various options, and the action to be taken to implement preferred options. There is no right answer to a case but there are definitely approaches that address the issues and recognize the trade-offs involved. Ultimately, your job, as a student, is to put yourself in the position of the decision maker and address the issue of what should be done and why. You should be able to justify your decisions and opinions with information obtained through the required readings and class lectures. For some classes, additional readings will be recommended. Although not mandatory, these readings will help you to further understand the concepts addressed in the case study. For most case discussions, you have been assigned some “Questions for Consideration”. These questions are for guidance only, to help you focus on certain aspects of a particular case. At a minimum, you should be prepared to address each question in class. However, each class discussion will typically follow a sequence of: Basic Issue(s) Immediate Issues Decision Criteria Discussion/Analysis Plan of Action Other methods of instruction include: exercises, lectures, assignments, D2L discussion boards, site visits, and student presentations. Performance Evaluation Class Participation Case Preparation Assignments Group Presentation Final Exam 30% 20% 10% 10% 30% (8 x 2.50% each) (2 x 5% each) 2 Class Participation Participation is a very important element of this course. With 30% of your overall mark based on your level of participation during case studies, it is critical that you come prepared to be involved in class discussions. Although you are expected to attend every class, attendance is not the same as participation. I expect you to participate by making a useful and justified contribution for each case study. In general, a useful contribution helps push the understanding of the class forward. Examples include, but are not limited to, being involved in a discussion of case materials, arguing your point of view during a case discussion, asking a relevant question, suggesting an alternate viewpoint, or redirecting our attention to something else in need of discussion. For the following case studies I will award a participation mark on a scale of 0 to 4, where 4 indicates an extensive contribution and 0 indicates no contribution. Every attempt will be made to post your scores on D2L within 2 days of the discussion. However, there may be the odd occasion where you receive your marks later than anticipated. For your participation mark it is important to note that quantity does not equal quality. Comments which are relevant and reflect the understanding of the case and other students’ insights will garner more marks than comments that provide little elaboration or reasoning. Applicable Case Studies: National Cranberry Cooperative The Goal: Synchronous Operations Deutsche Allgemeinversicherung (DAV) MacPherson Refrigeration Illustrious Corp McLeod Motors The ITC e-Choupal Initiative Zara: IT for Fast Fashion Agile Electric: Quality Issues in a Global Supply Chain IDEO: Product Development Class Seating and Name Cards. In order to objectively grade you for your class participation I will need to learn your names quickly. By the beginning of the second session please choose a permanent seat for the semester. As well, I will be providing you with name cards that you are to bring and place at your seat for each session. Case Preparation As a means of facilitating your understanding of the case studies and assisting in your class discussions, by the 3rd class I will be assigning you into groups of 5 or 6 people within D2L. For each group I will create a discussion board forum that can only be viewed and contributed to by members of your group and myself. Within each forum will be topics titled “Basic and Immediate Issues” and “Decision Criteria”. You are to log into the system and post thoughts and/or questions to your peer group regarding the week’s cases in relation to these topics. You may generate as many “threads” of discussion within these topics as you wish and it is the expectation that you will assist each other in your 3 learning. I will regularly monitor these discussion board postings and will occasionally offer ideas or questions to your groups as well. The applicable cases involved in this mark are indicated in the course schedule. The boards will be locked for posting at 10:00 am on the day of the case study discussion. Your involvement in these online discussions will be graded out of a mark of 4 as per the rubric below and will be worth a total of 20% of your final grade. Discussion Post Requirements 4 Student participated 3 or more times and posted in time for others to read and respond; information demonstrates insight and analysis; fully developed ideas are presented 3 Student participated at least 2 times and posted in time for others to read and respond; information demonstrates insight and analysis but lacks depth and detail 2 Student participated at least once and may not have been on time for others to read and respond; information is generally competent but demonstrates vague generalities 1 Student participated at least once and may not have been on time for others to read and respond; information is rudimentary and superficial 0 Student did not participate Group Presentation: Within your study group (or alternate arrangements made), you will be expected to visit one operation in the Winnipeg area. Your group will be responsible for making arrangements for this visit (including choosing a site and lining up contacts). You will be given a release form that must be signed prior to this visit. If you do not sign the release form you are not allowed to join your group on your site tour. During the final 3 days of the course, a 10 - 15 minute presentation will be given by each group discussing the observations that were made during these site visits. More details regarding the expectations and requirements for this assignment will be provided mid-way through the course. This presentation is worth 10% of your final grade. Assignments: Over the course of the semester you will be expected to complete two short answer assignments each valued at 5%. The assignments will consist of one question which you must answer and submit into the D2L course drop box by the stated due date. In answering the question you may draw reference to any readings, case studies or lecture topics that we have discussed to enhance your justification. Although not necessary you may wish to research the question topics from sources outside of our course outline as well. Please note that when citing sources you must use APA guidelines and familiarize yourself with the Academic Integrity note at the end of this document. Assignments that demonstrate plagiarism will receive an automatic fail. Your assignment must be a 250 word type written document in Arial size 12 font double spaced. Please title your document: Assignment# x_ your last name (Example: Assignment #1_Finney) and ensure that your name is listed at the top of the page. Assignment questions will be posted on D2L. 4 Final Examination The examination will be designed to test your knowledge of the assigned readings, cases and text material. The exam will consists of reasonable open-questions (e.g., case scenarios, long answer, short answer) designed to allow you to demonstrate what you know, rather than feeding back memorized facts. I will not be directly testing details of the cases we discuss in class, but I will assume you have a basic understanding of each case. As we approach exam time, I will provide a handout with more detail about the nature of the exam. Please note that the only electronic device allowed will be a calculator and the only other material allowed will be an English language dictionary. Any other items require my permission well before the exam. Also, please note the following statement from the University of Manitoba, Undergraduate Calendar, Academic Schedule: “Students are reminded that they must remain available until all examination and test obligations have been fulfilled.” Other Information: Final Grades. Final grades will be assigned as follows; Cumulative Marks 86-100 80-85 75-79 70-74 65-69 60-64 50-59 Below 50 Grade A+ A B+ B C+ C D F GPA 4.5 4.0 3.5 3.0 2.5 2.0 1.0 0.0 Performance Excellent Very Good Good Satisfactory Marginal Unsatisfactory Unsatisfactory Unsatisfactory Materials Available on Desire2Learn (D2L) – Learning Management System The course will be set up in D2L. Here you will find presentations, hand-outs, grades and the discussion boards. Follow the instructions below to log into D2L: 1. Go to http://www.umanitoba.ca/d2l 2. Log into D2L using your username and password 3. If you are having problems, contact IST Help and Solutions Centre. Phone: (204) 474-8600, or email: [email protected] 4. Once logged on to D2L, click on the following course title: “SCM-2160-A02-Supply Chain and Operations Management” Note: No extensions will be provided for assignments and/or group presentation. If you have a valid medical certificate for missing any of the exercises mentioned above, your score will be adjusted to the final exam. You will be allowed to a Def. final exam if you provide proper medical documentation to the administrative office. Please see the course homepage in D2L for a medical absenteeism form. 5 COURSE SCHEDULE – FALL 2014 Introduction September 08 Introduction to the course September 10 Preparing for case discussions Case: Hillview Hospital: The Hand Soap Decision (Handed out in class) September 15 What is Supply Chain and Operations Management? Process Flow, Capacity, and Bottlenecks September 17 Process Fundamentals and Capacity Analysis September 22 National Cranberry Cooperative * Applicable for Case Preparation Marks September 24 The Goal: Synchronous Operations Quality Management September 29 Discussion and Exercises: Defining Quality and the Importance of Quality Tools October 01 Case: Deutsche Allgemeinversicherung (DAV) * Applicable for Case Preparation Marks Planning and Control October 06 Demand Management and Forecasting October 08 Aggregate Production Planning Assignment #1 Due: October 15 by 11:59 pm October 15 Case: MacPherson Refrigeration Limited * Applicable for Case Preparation Marks October 20 Discussion and exercises: Master production schedule and MRP October 22 Case: Illustrious Corporation * Applicable for Case Preparation Marks October 27 Inventory management October 29 Case: McLeod Motors * Applicable for Case Preparation Marks Supply Chain Management November 03 Lean supply chains November 05 Supply chain management strategies November 10 Case: The ITC e-Choupal Initiative * Applicable for Case Preparation Marks Assignment #2 Due: November 12 by 11:59 pm November 12 Case: ZARA: IT for Fast Fashion November 17 Case: Agile Electric: Quality Issues in a Global Supply Chain * Applicable for Case Preparation Marks Project Management November 19 Project management November 24 Case: IDEO Product Development * Applicable for Case Preparation Marks November 26 Presentations December 01 Presentations December 03 Presentations 6 Session Assignments (Listed in chronological order) Note: I have attempted to match the content of readings and cases/discussions to some degree. However, there is no implied direct match; readings may contain concepts that are not in particular cases/discussions and vice versa. As well, for the reading assignments, notice the use of the terms study and read (where “study” means to gain enough understanding that you are ready to explain the material and “read” means to become familiar with the material as you would a news article) Preparing for a case discussion Readings: None Instruction: Be ready to discuss how to prepare for a case session and expect to discuss a small case in class (Hillview Hospital: The Hand Soap Decision – Handed out in class) Discussion: What is Operations Management? Readings: Study Jacobs et al., Chapters 1 & 2 Process Fundamentals and Capacity Analysis (case package) Instructions: 1. Study the material thoroughly and make certain that you understand the concept, examples, and terminology 2. Be prepared to explain the concepts to the class or apply the concepts to similar material in class Additional Readings: Read Jacobs et al., Chapters 4 & 6 CASE: National Cranberry Cooperative (Abridged) (case package) Additional Readings: Read Jacobs et al., Chapter 7 pages 170-177, 181-190 Questions for Consideration: 1. Prepare a detailed flow diagram showing how “process fruit” is processed at RP1. Be sure to distinguish between wet and dry berries 2. Identify the capacities at each stage of the process. Please do your analysis in barrels and barrels per hour (Note: bbls. = barrels) 3. What are the current bottlenecks and how might they change? 4. As Mel O’Brien, what facilities changes, if any, would you propose for RP1 for the 1981 season? What influences your decision? 5. How would you implement your plan? The Goal: Synchronous Operations Instructions: 1. Record the interesting observations you make throughout the reading and prepare to discuss in class 2. What happens after lunch when the fastest ends up at the front of the line and the slowest at the back? Did throughput improve? What happened to the inventory? Why? 3. How does Alex fix the line of scouts? What happens to the line? What happens to the inventory? Why? 4. How does the group further improve the process? 7 Discussion and Exercises: Defining Quality and the Importance of Quality Tools Reading: Study Jacobs et al., Chapter 8 Instructions: Be prepared to discuss and/or do in-class group exercises based on the assigned reading CASE: Deutsche Allgemeinversicherung (case package) Questions for Consideration: 1. Why is DAV using Statistical Process Control (SPC)? What are the primary challenges in applying SPC to a service industry compared with manufacturing? 2. How large should each sample be for the experiment described by Schoss and Kluck? 3. The first twelve weeks of the data in Exhibit 4 represent the diagnostic period for the Policy Extension Group. What are the 3-sigma control limits for the process? In which of the subsequent weeks is the process out of control (if any?) 4. As Annette Kluck, what are your specific implementation plans? How do you intend to begin improving the performance of the operation? Demand Management and Forecasting Reading: Study Jacobs et al., Chapter 3 Aggregate Production Planning Reading: Study Jacobs et al., Chapter 9 CASE: MacPherson Refrigeration Limited (case package) Additional Reading: Questions for Consideration: 1. What are the relevant trade-offs at MacPherson 2. Construct an aggregate plan better than the ones shown in the case 3. What criteria and assumptions did you use? 4. How flexible is your plan? 5. How would your plan change if MacPherson produced to order rather than to stock? 6. What effect does the timing of peaks have? 7. What effect would additional periods have? Discussion and Exercises: Master Production Schedule and MRP Reading: Study Jacobs et al., Chapter 11 CASE: Illustrious Corporation (case package) Additional Reading: Read Jacobs et al., Chapter 11 Questions for Consideration: 1. What is the different between dependent and independent demand? 2. As Nancy Barfield, prepare the operating plan for the next ten weeks (There is a worksheet available with the case to help with your calculations) 3. What does your plan tell you and what might you do about it? 8 Inventory Management Reading: Study Jacobs et al., Chapter 10 & pages 168-170 CASE: McLeod Motors Additional Reading: Read Jacobs et al., Chapter 10 Questions for Consideration: 1. What are some examples of specific form/function inventory combinations at McLeod Motors? 2. Prepare a process flow of the BN-88-55 production process. Identify where Work-in-Process (WIP) inventory exists in the system. 3. Why might the WIP inventory level at McLeod Motors have increased? What was the previous level of WIP inventory? What is the lowest possible level of WIP inventory? 4. As Sue Reynolds, what action would you recommend to John Ingram? Lean Supply Chain Reading: Study Jacobs et al., Chapter 12 Supply Chain Management Strategies Reading: Study Jacobs et al., Chapter 13 CASE: The ITC e-Choupal Initiative (case package) Additional Reading: If you have time, you might want to check out the ITC website (222.itcibd.com) Questions for Consideration: 1. What was ITC's motivation for creating the e-Choupal? 2. What were the old and new physical flows and information flows in the channel? 3. What principles did ITC employ as it built the newly-fashioned supply chain? 4. What barriers did ITC face in embarking on this project? 5. As Mr. Sivakumar, how do you plan to proceed to develop this platform for the future? CASE: Zara: IT for Fast Fashion (case package) Additional Reading: If you have time, you might want to check out Zara’s website (www.zara.com) and the following Youtube video: “Hungry Beast ZARA business success key model” (http://www.youtube.com/watch?v=9n0mikF1Esw) 9 CASE: Agile Electric: Quality Issues in a Global Supply Chain Questions for Consideration: 1. Should the complete recall/field failure and associated costs be charged to the tiered suppliers? 2. Was Automek’s decision to source the business from Agile a good one? Did Agile make the right call in accepting the contract? 3. Do you see internal quality practices as having a major role in the case, considering all the supply chain members? Are ISO9000 and TS16949 necessary and sufficient conditions for adequate process knowledge and diffusion of internal quality practices? 4. Would Agile receive any benefits if it invested resources in developing its suppliers? Who is responsible for accelerating the implementation of quality practices in lower-tier suppliers? Why were ECPL and BIPL not interested in improving their processes and manufacturing practices? Project Management Reading: Study Jacobs et al., Chapter 5 CASE: IDEO Product Development (case package) Reading: If you have time, you might want to check out the IDEO website [www.ideo.com]. Questions for Consideration: 1. How would you characterize IDEO's process, organization, culture, and management? 2. As Dennis Boyle, what advice would you give to David Kelley and why? That is, should IDEO accept the Visor project as is (on a dramatically reduced schedule)? Should they try to persuade Handspring's management to change its aggressive launch schedule? Or, should they simply decline the project? Please consider both the IDEO and Handspring perspectives. 10 Academic Integrity It is critical to the reputation of the I.H. Asper School of Business and of our degrees that everyone associated with our facility behaves with the highest academic integrity. As the faculty that helps create business and government leaders, we have a special obligation to ensure that out ethical standards are beyond reproach. Any dishonesty in our academic transactions violates this trust. The University of Manitoba Graduate Calendar addresses the issue of academic dishonesty under the heading “Plagiarism and Cheating”. Specifically, acts of academic dishonesty include, but are not limited to: ▪ Using the exact words of a published or unpublished author without quotation marks and without referencing the source of these words ▪ Duplicating a table, graph or diagram, in whole or in part, without referencing the source ▪ Paraphrasing the conceptual framework, research design, interpretation, or any other ideas of another person, whether written or verbal (e.g. personal communications, ideas from a verbal presentation without referencing the source) ▪ Copying the answers of another student in any test, examination, or take-home assignment ▪ Providing answers to another student in any test, examination, or take-home assignment ▪ Taking any unauthorized materials into an examination or term test (crib notes) ▪ Impersonating another student or allowing another person to impersonate oneself for the purpose of submitting academic work or writing any test or examination ▪ Stealing or mutilating library materials ▪ Accessing tests prior to the time and date of the sitting ▪ Changing name or answer(s)on a test after that test has been graded and returned ▪ Submitting the same paper or portions thereof for more than one assignment, without discussions with the instructor involved Many courses in the I.H. Asper School of Business require group projects. Students should be aware that group projects are subject to the same rules regarding academic dishonesty. Because of the unique nature of the group projects, all group members should exercise special care to insure that the group project does not violate the policy on Academic Integrity. Should a violation occur, group members are jointly accountable unless the violation can be attributed to a specific individual(s) Some courses, while not requiring group projects, encourage students to work together in groups (or at least do not prohibit it) before submitting individual assignments. Students are encouraged to discuss this issue as it related to academic integrity with their instructor to avoid violating this policy In the I.H. Asper School of Business, all suspected cases of academic dishonesty are passed to the Dean’s office in order to ensure consistency of treatment. Academic Regulations Students are encouraged to contact Disability Services at 474-6213 or the instructor should special arrangements need to be made to meet course requirements 11