SCM 2160 (A03 & A04) S C

SCM 2160 (A03 & A04)
SUPPLY CHAIN AND OPERATIONS MANAGEMENT
Winter 2014
INSTRUCTOR
Name:
Phone:
Fax:
Email:
Office:
Office Hours:
Cyril Foropon
(204) 474-6464
(204) 474-7530
[email protected]
632 Drake
2:30pm – 3:30pm (Tuesday/Thursday)
COURSE DESCRIPTION
This course covers the basic concepts of production systems, and operation and control of such
systems; that is, operations management. Operations management concerns the management of the
direct resources and value-added activities that transform inputs (e.g., material, labour, capital, energy,
and skills) into outputs (goods and services). Operations managers make decisions, both strategic and
tactical, in a number of contexts (e.g., capacity, facilities, technology, sourcing, the workforce, quality,
planning and control, and organization). Operations management initially focused almost exclusively
on manufacturing-related issues. Examples from a wide variety of service organizations have been
included to provide a contemporary view of operations management.
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 complexity 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.
COURSE MATERIALS (all available at the U of M Bookstore)
•
•
•
Jacobs, F.R., Chase, R.B., and Balakrishan J. (2013), Operations & Supply Chain Management: The
Core, Canadian Edition: McGraw-Hill Ryerson
Package of cases and readings
Access code for the Littlefield Laboratories game
SCM 2160 - Prof. Foropon
METHODS OF INSTRUCTION
The primary method of instruction will be the analysis and discussion of case studies. This requires
active student participation. Each case presents an operations management situation in which a
decision must be made in light of a number of tradeoffs and alternatives. Class time will be devoted to
discussing the situation, the managerial and technical implications of various options, and 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 tradeoffs involved.
Other activities will include discussions, a web-based game and associated debriefing session, guest
speaker talks, in-class exercises, and a site visit.
PERFORMANCE EVALUATION
Class Participation
Mini-Tests
Game: Littlefield Laboratories
Final Examination
30%
15%
15%
40%
Class Participation. Participation is very important. I expect you to actively participate in advancing
the learning of the class. Participation means making a useful contribution in a fair number of sessions.
Generally, you may choose your moments. However, on a given day, I may call on you for your
contribution or I may include your name in a list of people from whom I expect to hear.
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 assigned material, arguing your point of view
during a case discussion, asking a relevant question, suggesting an alternate viewpoint, redirecting
our attention to something else in need of discussion, or being actively involved in in-class exercises
and other activities. You do not have to be a top participant in each session, nor do you have to have
the "right answer."
On those very rare occasions when you are unprepared for a session and do not wish to be included in
the discussion, please let me know in advance (voicemail or e-mail), but please attend. As well, please
let me know if you plan to be absent. You do not have to explain; I will simply expect more from you
later.
I judge participation for each session on a scale of 0 to 4, where 4 indicates an extensive contribution
and 0 indicates no contribution. A regular contribution, such as building on points made by others, is
worth 1. At the end of the course, I will determine overall participation by assigning grades to the best
and worst participators and scaling others accordingly. Note: This makes it possible for everyone to do
well in participation.
Mini-Tests. These are short, multiple-choice tests. Each one will cover most of the reading assignments
for a number of sessions but not the content of any cases. See the memo, handed out separately, for the
coverage of each mini-test. Each test will be administered twice, first individually and then to your
group. This serves two purposes. First, it encourages you to be prepared to do your fair share in
upcoming group activities. Second, it should increase your group's understanding of the assigned
material. More detail about the mini-test requirements and procedures will be specified in a separate
hand-out.
Game: Littlefield Laboratories. This is a web-based game played within your groups. The game will
be available in suspended mode for some time before it begins. Your group should use this time to
become familiar with the game, determine a strategy, and prepare to play. The game takes place
outside of class time – over a number of weeks. You will need to be in regular contact with your group
members during the game, with the methods and timing decided by your group. Please see the set of
four separate handouts for more detail.
Final Examination. The examination will be designed to test your knowledge of the assigned
readings, cases, and text material. The exam will consist of reasonably open-questions (e.g., case
scenario, 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.
Also, please note that 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.”
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 and hand-outs. 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 the 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-A03-Supply Chain and
Operations Management” or “SCM-2160-A04-Supply Chain and Operations Management”
OTHER INFORMATION
Attendance. I start on time and I expect you to attend each and every session.
Class seating and name cards. Please choose a permanent seat at the beginning of our second
session. As well, bring your name cards to each session. I need to learn your names quickly; these
arrangements help me to do so.
Further operations management information. The student CD-ROM that accompanies the text
contains many links and other sources of information about supply chain and operations
management. I will be assigning very little – if anything – from this CD-ROM, but please explore it.
COURSE SCHEDULE – WINTER 2014
Introduction
Jan 07
Introduction to course
Jan 09
Discussion: Preparing for a case discussion
Jan 14
Discussion: What is operations management?
Process Flow, Capacity, and Bottlenecks
Jan 16
Cases: Process Fundamentals and Capacity Analysis: Sample Problems
Jan 21
Case: National Cranberry Cooperative (Part 1)
Jan 23
Case: National Cranberry Cooperative (Part 2)
Jan 28
Mini-test one
Quality Management
Jan 30
Case: Deutsche Allgemeinversicherung (DAV)
Feb 04
Exercises: Quality tools
Feb 06
Case: The Rubber Company and ISO 9000. . . Die Another Day?
Feb 11
Case: Cranston Nissan
Planning and Control
Feb 13
Case: MacPherson Refrigeration Limited
Feb 18
Mid-term break
Feb 20
Mid-term break
Feb 25
Case discussion: Illustrious Corporation
Feb 27
Discussion: Lean Manufacturing / Just-In-Time (JIT)
Mar 04
Discussion: Lean Healthcare at St. Boniface Hospital
Supply Chain Management
Mar 06
Mini-test two
Mar 11
Case: Ford Motor Company: Supply Chain Strategy
Mar 13
Case: The ITC e-Choupal Initiative
Mar 18
Case: Zara: IT for Fast Fashion
Project Management
Mar 20
Case: Multiple Sclerosis Society of Canada: London-Grand Bend Bicycle Tour
Mar 25
Case: Beijing EAPS Consulting Inc.
Mar 27
Case: IDEO Product Development
Web-based Simulation
Apr 01
Debriefing: Littlefield Laboratories
Student Presentations
Apr 03
Presentations
Apr 08
Presentations
Apr 10
Presentations
Session Assignments (Note: listed in chronological order)
For each of the case/discussion sessions, you have been assigned some "Questions for Consideration."
These are for guidance only, to help you focus on certain aspects of the material. For each case, you
should be prepared, at a minimum, to address each question in class. However, each case discussion
will normally follow a sequence of:
Issues
Criteria
Discussion / Analysis
Plan of Action
Overall, putting yourself in the position of the decision maker, the real issue is what should be done
and why. That is, as the decision maker, how do you plan to resolve the situation?
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.
Preparing for a case discussion (discussion)
Reading: Read Critical Reading: What is It?, and Radford, A Note on Learning by the Case Method. (Both
documents available online on D2L)
Instructions: Be prepared to discuss how to prepare for a case session and be ready to discuss a small
case in class.
What Is Operations Management? (discussion)
Reading: Study Jacobs et al., Chapter 1 (pp. 2-18), Chapter 2 (pp. 21-30), and Chapter 5 (pp. 96-107).
Questions for Consideration:
1. What is operations management? How does it differ from other functional areas such as Marketing
or finance?
2. How does operations management apply in the service sector?
3. What are some of the recent changes and current challenges in operations management?
4. What changes have there been in operations in the past century or so? What might we expect in the
future?
5. Why bother studying operations management?
6. What are the important concepts concerning product design?
7. What messages are inherent in the Product-Process Matrix?
Process Fundamentals (case package)
Additional Reading: none
Instructions:
1. Study the case material thoroughly and make certain that you understand the concepts, examples,
and terminology.
2. Be prepared to explain the concepts to the class or apply the concepts to similar material in class.
Capacity Analysis: Sample Problems (case package)
Additional Reading: none
Instructions:
1. Study the example problems in the case. Ensure that you understand how the various calculations
are made and why they make sense.
2. Be prepared to explain the concepts to the class or apply the concepts to similar material in class.
National Cranberry Cooperative (Abridged) (case package)
Additional Reading: Study Jacobs et al., Chapter 6 (pp. 157-172), and Capacity Analysis: Sample
Problems (case package).
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?
Deutsche Allgemeinversicherung (case package)
Additional Reading: Study Jacobs et al., Chapter 7 (pp. 191-217).
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. If you were to explain (in about thirty minutes) the concept of a p-chart to, say, a group of bank
tellers who have little background in SPC, how would you do it?
3. How large should each sample be for the experiment described by Schoss and Kluck?
4. 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)?
5. As Annette Kluck, what are your specific implementation plans? How do you intend to begin
improving the performance of the operation?
Quality Tools (In-class exercises)
Reading: Study Jacobs et al., Chapter 7 (pp. 191-217).
Instructions:
Be prepared to discuss and/or do in-class group exercises based on the assigned reading.
The Rubber Company and ISO 9000 . . . Die Another Day? (Available online on D2L)
Additional Reading: Study Jacobs et al., Chapter 7 (pp. 177-191).
Questions for Consideration:
1. Who are the stakeholders in the ISO 9000 certification process and what are their roles?
2. How do you see operations managers contributing to ISO 9000 certification?
3. You are the Quality manager of a newly acquired Plastic Company, also located in Tennessee. You’re
asked to implement ISO 9000. What actions would you take to avoid the difficulties encountered by
the Rubber Company?
Cranston Nissan (Available online on D2L)
Additional Reading: None.
Questions for Consideration: Answer the following questions from the perspective of TQM:
1. Categorize the quality problems in this case.
2. What are the probable causes of so many mishaps?
3. Prepare a cause-and-effect chart for “Failure to remedy repair problem to customer satisfaction.”
4. What specific actions should Mr. Jackson take immediately? What should some of his longer-term
goals be?
MacPherson Refrigeration Limited (case package)
Additional Reading: Study Jacobs et al., Chapter 12 (pp. 339-357).
Questions for Consideration:
1. What are the relevant tradeoffs 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?
Illustrious Corporation (case package)
Additional Reading: Study Jacobs et al., Chapter 14 (pp. 409-428).
Questions for Consideration:
1. What is the difference 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?
4. What is closed-loop MRP? What does it mean to close the loop? Could MRP have been useful in any
of the companies we've studied?
Lean Manufacturing / Just-In-Time (discussion)
Reading: Study Jacobs et al., Chapter 10 (pp. 282-302).
Questions for Consideration:
1. Prepare for a discussion about the Toyota Production System (sometimes called just-in-time
production, lean manufacturing, etc).
2. Which aspects of this system are "Japanese" and which could be applied in other industrial settings?
That is, what is so Japanese about Japanese approaches to manufacturing?
3. What explains the success the Japanese have had with their approaches to production?
4. How is the notion of waste used in the Toyota Production System?
Lean Healthcare at St. Boniface Hospital (discussion)
Additional Reading: None.
Ford Motor Company: Supply Chain Strategy (case package)
Additional Reading: Study Jacobs et al., Chapter 8 (pp. 230-255), and read Magretta, The Power of
Virtual Integration: An Interview with Michael Dell (hand-out).
Questions for Consideration:
1. Consider the experiences you (or friends or family members) have had in buying a car. Compare
these to the experience of buying a computer online. (If you have never done this, go to Dell's website
- www.dell.com or www.dell.ca - and explore how online computer buying works.) What explains the
differences?
2. What advantages does Dell derive from virtual integration? How important are these advantages in
the automobile business?
3. What challenges does Ford face that are not also faced by Dell? How should Ford deal with these
challenges?
4. As Teri Takai, what do you recommend to senior management? To what extent should Ford attempt
to emulate Dell's business model?
The ITC e-Choupal Initiative (case package)
Additional Reading: Study Jacobs et al., Chapter 8 (pp. 230-256). If you have time, you might check
the ITC website [www.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?
Zara: IT for Fast Fashion (case package)
Additional Reading: If you have time, you might check the Zara website [www.zara.com].
Questions for Consideration:
1. As Mr. Salgado, what will you do concerning the issue of upgrading the POS terminals? Will you
upgrade to a modern operating system? Should the POS applications be rewritten to include any
additional functionality? If so, what functionality?
2. In your opinion, what are the most important aspects of Zara's approach to information technology?
Are these approaches applicable and appropriate anywhere? If not, where would they not work
well?
3. What benefits does Inditex/Zara get from its IT infrastructure? How difficult would it be for a
competitor to acquire these same benefits?
4. What current or potential weaknesses (if any) do you see in Zara's IT infrastructure and IT strategy?
Multiple Sclerosis Society of Canada – London-Grand Bend Bicycle Tour (case package)
Additional Reading: Study Jacobs et al., Chapter 3 (pp. 34-60).
Questions for Consideration:
1. Prepare a CPM diagram for the bicycle route planning. What is the critical path for the route
planning in the most likely scenario? What can you conclude from your analysis?
2. When is the earliest completion time in the optimistic and pessimistic scenarios? Which conclusions
can be drawn from this analysis?
3. As Lori Anne McNulty, how would you manage the uncertainty in the task-duration times?
4. What critical path strategies would you use to complete the bicycle route planning by July 24?
Beijing EAPS Consulting Inc. (case package)
Additional Reading: Study Jacobs et al., Chapter 3 (pp. 34-60).
Questions for Consideration:
1. Describe the organizational structure at BEC: What departmentalization approaches does the
company use? What are the pros and cons for this structure for BEC?
2. What caused the conflict between the project managers and the other employees?
3. How would you design the responsibilities and authorities of a project manager at BEC?
IDEO Product Development (case package)
Additional Reading: Study Jacobs et al., Chapter 3 (pp. 34-40), and read Thomke, Enlightened
Experimentation: The New Imperative for Innovation (hand-out). If you have time, you might check 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.
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.
ACADEMIC INTEGRITY
I.H. Asper School of Business, The University of Manitoba
It is critical to the reputation of the I. H. Asper School of Business and of our degrees that everyone associated
with our faculty behaves with the highest academic integrity. As the faculty that helps create business and
government leaders, we have a special obligation to ensure that our 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:
o
using the exact words of a published or unpublished author without quotation marks and without
referencing the source of these words
o
duplicating a table, graph or diagram, in whole or in part, without referencing the source
o
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
o
copying the answers of another student in any test, examination, or take-home assignment
o
providing answers to another student in any test, examination, or take-home assignment
o
taking any unauthorized materials into an examination or term test (crib notes)
o
impersonating another student or allowing another person to impersonate oneself for the purpose of
submitting academic work or writing any test or examination
o
stealing or mutilating library materials
o
accessing tests prior to the time and date of the sitting
o
changing name or answer(s) on a test after that test has been graded and returned
o
submitting the same paper or portions thereof for more than one assignment, without discussions with
the instructors 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 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.
MEDICAL ABSENTEEISM FORM
I.H. Asper School of Business, The University of Manitoba
STUDENT IDENTIFICATION: (PLEASE PRINT CLEARLY)
_____________________
Last Name
_______________
First Name
___________
Middle Initial
_______________________________
U of M Student Identification Number
_________________________________
Course #
________________________________________
Instructor Name
________________________________
Student’s Signature
_______________________________
Date
TO BE COMPLETED BY THE ATTENDING PHYSICIAN: (after the above section is completed)
(PLEASE PRINT CLEARLY)
___________________________________
Physician’s Last Name
__________________________________
Street Address
________________________
Telephone Number
_________________________________
Physician’s First Name
_________________________________
City, Province
________________________
Fax Number
___________
Middle Initial
___________
Postal Code
To the attention of the physician: Your evaluation of the student’s condition is being used for the purpose
of determining whether or not the student has a valid reason to miss an important exam or assignment.
Your professional evaluation is necessary to ensure that only valid cases are excused.
I certify that the nature of the student’s condition is severe enough to prevent the student from
taking an exam or completing an assignment. If requested, my associates or I will verify for the above
named instructor/administrator that this information is accurate.
The student’s condition will likely span the following dates:
______________________________
(Indicate start date)
______________________________
Physician’s Signature
until
_______________________________
(Indicate end date)
______________________________
Date
NOTES TO PHYSICIAN:
•
•
Please make a note in the student/patient’s file indicating that the student has given the above named
instructor/administrator permission to verify with you, your staff, or your colleagues, that the
information contained on this form is correct. Thank you for your professional evaluation of this
student’s condition.
PLEASE ATTACH THIS FORM TO YOUR REGULAR OFFICE STATIONERY THAT INDICATES THE STUDENT VISITED YOUR
OFFICE.
NOTES TO STUDENT:
•
•
The use of this form is at the option of the student. However, in order to obtain an excused absence for
an assignment or exam the student must obtain a doctor’s certification that the student’s condition is
severe enough to prevent the student from taking the exam or completing the assignment.
It is NOT SUFFICIENT to provide a note that only indicates the student visited the doctor’s office.
May 2009
FACULTY BIOGRAPHY
I.H. Asper School of Business, The University of Manitoba
Cyril Foropon, Ph.D. is an Assistant Professor of Operations Management at the University of
Manitoba, Asper School of Business. Cyril holds a Ph.D. in Management from HEC Paris, a postgraduate
degree in Organization Sciences from the University of Paris-Dauphine (Paris II), and a Master of
Science in Economics from the University of Pantheon-Assas (Paris IX). Cyril was actively involved in
the implementation of quality certification systems within a leading automotive tier-one supplier
(three years in the United States as a quality engineer, two years in France as a quality assurance
engineer).
Cyril's current research interests are in quality management. He is particularly interested in lean
implementation within healthcare provider organizations, quality management practices within ISO
9000 candidate organizations, and the use of metaphors in operations management theory building.
His work has been published in the International Journal of Operations and Production Management.
Cyril’s projects have the case-study research in common, and findings are disclosed into the classroom
through custom business cases.
Cyril teaches operations management within different programs (i.e., undergraduate, MBA, EMBA, and
executive education), as well as organizational project management at the master’s level.