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Ateneo Graduate School of Business

Rockwell Center, Makati City

OPERATIONS MANAGEMENT
Ateneo-Standard MBA Program

Revised: January 2015


OPERATIONS CLUSTER
Ateneo-Standard MBA Program
Ateneo Graduate School of Business
Rockwell Center, Makati City

COURSE TITLE: OPERATIONS MANAGEMENT

COURSE CODE: OPEMAN

COURSE PREREQUISITES: APPLIED MATHEMATICS


MANAGERIAL STATISTICS
MANAGEMENT SCIENCE

COURSE DESCRIPTION:

The course is designed to provide students with an understanding of the concepts,


techniques, and applications of contemporary production and operations management
(OM). It is a practical course that covers strategic, tactical and operational issues involved
in both manufacturing and service operations. In addition to the traditional OM topics, the
course also includes quality management, supply chain management and e-Commerce.

While providing students with technical and quantitative tools, it will focus more on the
managerial aspect of operations, as well as on the ethical and social implications of OM
decisions.

COURSE OBJECTIVES:

Upon successful completion of this course, the students are expected to:

1. Discuss the different Operations Management (OM) concepts and their relevance and
importance to improving productivity in the workplace;

2. Apply the operational tools and techniques and be able to determine which tool/s can
be helpful in making informed operational decisions under certain situations to bring
about positive results for the organization;

3. Develop a keen sense of global awareness, strategic thinking, customer focus, and
quality consciousness as they perform their operational duties;

4. Understand the ethical and social implications of OM decisions and the consequent
effects to an organization’s competitiveness, to the environment, and to society’s
health, well-being and safety.

Operations Management 1
Ateneo-Standard MBA Program
January 2015
COURSE OUTLINE:

SESSION TOPIC CHAPTER CASE/HANDOUTS


1 Introduction 1 Own company’s Operations &
Supply Chain Model
2 Strategy 2 Operations Strategy of Zara
3 Design of Products & Services 3 Ikea: Design & Pricing/
Do you provide World Class
Service? (Handout)
Six Principles of Service
Excellence (Handout)
4 Manufacturing Processes 7 Landmark Auto Parts/
Service Processes 9 GP Surgery in UK
5 Process Design & Analysis 11 Apply Process Analysis to one’s
company (Handout)
6 Six Sigma Quality 12 Quality Management-Toyota
7 Midterm Exam & Plant Visit Plant visit is optional
8 Project Management 4 Product Design Project
Strategic Capacity Management 5 King Edward Hospital
9 & 10 Lean Supply Chains 14 Quality Parts Company
Logistics, Distribution &
Transportation 15 Distribution Center Location
Global Sourcing & Procurement 16 Pepe Jeans(Handout)
Global Sourcing Decisions
11 Enterprise Resource Planning 17
Sales & Operations Planning 19 Developing an Aggregate Plan-
Bradford Manufacturing
12 Inventory Management 20 Inventory Management at Big
10 Sweaters.com
Materials Requirements Planning 21 An MRP Explosion-Brunswick
Motors
Or Special Topic on Service
Management

13 Workcenter Scheduling or 22 A day in the Life of Frederick


Operations Consulting & 25 Gode (handout)
Re-engineering or Rapid Plant Assessment
Theory of Constraints or 23
Health Care 24 Venice Family Clinic
14 Final Paper
15 Final Examinations

COURSE REQUIREMENTS:
1. ATTENDANCE:
The class will meet once a week for 3 hours, covering a fifteen week period. The
students are required to take a great deal of responsibility for their own learning

Operations Management 2
Ateneo-Standard MBA Program
January 2015
outcomes. While in class, students are encouraged to actively participate in
discussions and group activities. Outside of class, students are expected to spend a
minimum of 15 hours per week to accomplish reading assignments, research work,
and various preparations for group presentations.
Since the individual class sessions cover specific topics, attendance is important and
critical to the learning progress of the students. As per school policy, students may be
absent for valid reasons for a maximum of 3 sessions only.

2. INDIVIDUAL AND GROUP ASSIGNMENTS:


As may be applicable, the case method and individual/group reports shall be used.
The students will be expected to do research work and share their learning in class.

The following rubric will be used in assessing the quality of written assignments:

STUDENT NAME ID SUBJECT SECTION TERM/YEAR EVALUATOR


(Last, First, Middle) NAME/SIGNATURE DATE

RUBRIC OBJECTIVE (based on AGSB learning outcome)

To assess the quality of written assignments. Weights as shown may be modified to put emphasis on specific criteria.

MEASUREMENTS
NO
CRITERIA WEIGHTS EXEMPLARY PROFICIENT SATISFACTORY UNACCEPTABLE SCORE COMMENTS
GRADE
4 3 2 1 0
Has very Has good Has limited Has inadequate No report
effective content and content and content and submitte
content and development, development, development, fails d.
development, develops develops ideas to develop ideas,
develops ideas clearly, briefly and using no business
ideas fully using inconsistently, concepts or terms.
using business using limited
appropriate concepts and business
Content and business terms, concepts and
1 25
Development concepts and presents terms.
terms, thorough
presents analysis of
insightful and most issues
thorough identified.
analysis of all
issues
identified.

Gives Gives Gives insufficient Lacks detail and No report


thorough sufficient detail and relevant relevant submitte
detail and detail and information, information, d.
relevant relevant problem is stated problem is not
information, information, but perhaps stated, constraints
problem and problem is poorly, no or not explained,
constraints clearly stated, limited discussion assumptions not
2 Completeness 25 and constraints of constraints and listed, conclusions
assumptions and assumptions. not stated.
are complete assumptions
and clear as are clearly
to enhance listed.
impact of
report.

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Ateneo-Standard MBA Program
January 2015
Writing Writing is Writing lacks Writing is No report
demonstrates accomplished clarity or unfocused, submitte
a in terms of conciseness and verbose, or d.
sophisticated clarity and contains contains serious
clarity, brevity conciseness numerous errors, errors, poorly
Writing
3 25 and and contains lacks organization organized
Mechanics
correctness, only a few
extremely well errors, well
organized organized

Submitted on Submitted a Submitted within a Submitted after a No report


time. day after the week from the week from the due submitte
4 Timeliness 25 due date. due date. date. d.

TOTAL 100%

OVERALL COMMENTS

The following rubric will be used in assessing the quality of the presentation:

STUDENT NAME (Last, First, Middle) SUBJECT SECTION TERM/YEAR EVALUATOR


NAME/SIGNATURE DATE

RUBRIC OBJECTIVE (based on AGSB learning outcome)

To assess the quality of class presentations. Weights as shown are equally applied but may be modified to put emphasis on specific criteria.
The first four criteria may apply to individual presentations within the group, while the last three criteria may apply to th e overall group presentation.

MEASUREMENTS
NO
CRITERIA WEIGHTS EXEMPLARY PROFICIENT SATISFACTORY UNACCEPTABLE SCORE COMMENTS
GRADE
4 3 2 1 0
Demonstrates Is at ease Is uncomfortable Presents little to no No
full knowledge with with information valuable material attempt
by answering expected and is able to and cannot answer is made
Subject all class answers to answer only questions about to
1 Knowledge/ 15 questions with all questions, rudimentary subject. present.
Content explanations without questions.
and elaboration.
elaboration.

Is well Has Shows minimal Lacks organization No


organized, organizing signs of and has little attempt
well prepared ideas but organization or evidence of is made
and easy to could have preparation. planning prior to to
2 Organization 15
follow. been much presentation. present.
stronger with
better
preparation.
Shows high Shows Shows Shows lack of No
confidence in general inconsistent confidence in attempt
delivery and confidence confidence in delivery, has too is made
does an with strong delivery, uses weak voice for the to
excellent job moments in low voice for majority to hear, present.
Verbal
in engaging delivery, people at the talking pace is
3 15
class, uses uses a clear back to hear, has consistently too
Communications
clear voice voice and inconsistent slow or too fast.
and precise appropriate talking pace.
terms. talking pace.

Operations Management 4
Ateneo-Standard MBA Program
January 2015
Holds Uses Reads mostly Reads the entire No
attention of consistently from notes, report from notes, attempt
entire direct eye displays minimal appears is made
audience with contact with eye contact with disengaged from to
Nonverbal
4 10 direct eye audience, but audience. the audience present.
Communications
contact, still returns to
seldom notes.
looking at
notes.
Visual aids Visual aids Visual aids are Visual aids show No
are clear, are clear, clear and correct no creativity or attempt
correct, correct, but are very clarity, have errors is made
usually reasonably wordy or could and are often to
creative and creative and have been more difficult to read present.
5 Visual Tools 15 easy to read, easy to read, helpful. weakening the
greatly enhancing presentation.
reinforcing presentation
and sometimes.
enhancing the
presentation.
Shows Finishes Finishes beyond Seems unaware of No
exceptional within the the allotted time. the time or how to attempt
Time
6 15 time allotted time. manage it. is made
Management
management to
skills. present.
Is participated Is Is presented by Is presented by No
equally by all participated some group only one group attempt
group in by all members. member. is made
members with group to
Teamwork/ teammates members but present.
7 15
Collaboration working from only some
others' ideas. teammates
are carrying
the
presentation.

TOTAL 100%

OVERALL COMMENTS

3. CLASS PARTICIPATION:
Each student is expected to actively participate in discussions on the assumption that
each brings a wide range of experience to the learning process. Active participation
may include asking thoughtful questions, being willing to consider new ideas, helping
the class understand complex ideas, having a cooperative attitude and a sense of
humor, and helping others comprehend the course materials. Consideration of other
students however, is important to avoid dominating class discussions.

4. RESEARCH WORK:
AGSB recommends the use of standard style guides of the American Psychological
Association (APA). The following websites are suggested as guide references:

 http://www.aresearchguide.com/styleguides.html
 http://apastyle.org/electref.html
 http://www.bedfordstrmartins.com/online/shrttoc.html

5. INTEGRATION AND METHODOLOGY


This course is offered to students who have completed the pre-requisite subjects. The
facilitator discusses the importance of OM decisions in relation to various sectors of
the company such as accounting and finance, marketing, human resources, ethics,
etc. The course is conducted with the use of interactive methods appropriate for adult
learners.
Operations Management 5
Ateneo-Standard MBA Program
January 2015
GRADING CRITERIA:
Students’ performance in the course will be graded in the following manner:
Attendance 10%
Class Participation 40%
Written Reports 20%
Written Examination 20%
Term Paper 10%
TOTAL 100%

The facilitator may however revise the grading criterion and discuss the details at the
beginning of the term.

SPECIAL ACCOMODATIONS:
If a student is in need of particular course adaptations or special considerations due to
certain constraints, arrangements must be made as soon as possible with the
facilitator.

ACADEMIC INTEGRITY POLICY:


Each student is assumed to be knowledgeable of the standards of conduct and
academic integrity that apply to academic undertakings. Academic dishonesty will not
be tolerated and will result in the maximum penalty allowable as defined in the Student
Guidebook. The following are considered serious violations:

 Cheating during exams.


 Submitting spurious reports copied from previous materials other than his/her own.
 Plagiarism; In understanding what constitutes Plagiarism, see the following sites:
http://www.engl.niu.edu/comskills/students/plagiarism/Plagiarism.html
http://www.monet.k12.ca.us/Challenge/Plagiarism/Plagiarism.htm

In addition to what are stated in the Student Guidebook, the following are examples of
academic dishonesty pertinent to the requirements of this course:
 Copying another student’s work including assignments and reports
 Use of “crib” sheets or other hidden notes for a quiz or an exam
 Receiving assistance from anyone else with take-home quizzes

INSTRUCTION MATERIALS:

1. Textbook: Jacobs, Robert F. and Chase, Richard B.


OPERATIONS & SUPPLY CHAIN MANAGEMENT14TH EDITION
McGraw-Hill Irwin © 2014

2. Other References:

Cachon, Gerard
MATCHING SUPPLY AND DEMAND: AN INTRODUCTION TO
OPERATIONS MANAGEMENT, 3RD EDITION
New York, NY: McGraw-Hill © 2013

Heizer, Jay and Render, Barry


OPERATIONS MANAGEMENT, 10TH EDITION
Prentice Hall, Inc. © 2011
Operations Management 6
Ateneo-Standard MBA Program
January 2015
Schroeder, Robert G.
OPERATIONS MANAGEMENT: CONTEMPORARY CONCEPTS
AND CASES, 4RD EDITION
Irwin McGraw-Hill © 2008

Meredith, Jack R. and Shafer, Scott M.


OPERATIONS MANAGEMENT FOR MBAs, 3 RD EDITION
John Wiley and Sons © 2006

3. Web References:

The following APS online library resources are available for access:
a. EBSCO
b. Accessing Marketline Advantage Online

The following internet resources can also be used:

http://www.quickmba.com/ops/vendor-managed- A discussion of the features of the vendor


inventory/ management inventory (vmi) approach and the
challenges that must be overcome for successful
implementation.
http://www.bola.biz/operations/prodesign/index. Lectures in product design and operations.
html
http://www.bola.biz/operations/service/index.htm Discussions about designing service operations,
l topic includes service design issues, engineering
a service, designing from a customer service and
quality perspective.
http://www.bola.biz/operations/types.html Provides the type of production systems.
http://www.bola.biz/operations/capacity.html Lectures about capacity planning, also includes
the capacity planning considerations such as
forecasting, pros and cons of chasing demand or
producing to a level capacity, planning systems,
job shop planning and linear programming.
http://www.bola.biz/operations/prodenviron.html Discussions about operations and the work
environment.
http://www.bola.biz/operations/prodesign/valuea Lectures about value analysis and engineering.
nal.html
http://www.bola.biz/operations/technol.html Provides discussions about operations
management and technology.
http:/www.bola.biz/operations/index.html Contains detailed lectures about work
measurement and method study.
http://www.bola.biz/operations/jobissues.html Provides the production technology and
job/employment issues.
http://www.bola.biz/operations/index.html Discussions in inventory management.
http://www.bola.biz/operations/purchasing Discussions in operations management and
/index.html purchasing.
http://www.bola.biz/operations/project/index.html Lectures and learning archive in project
management
http://www.bola.biz/quality/ Discussions about quality management systems.
http://www.bola.biz/bpr/bpr.html Lectures about business process re-engineering.

Operations Management 7
Ateneo-Standard MBA Program
January 2015
http://www.quickmba.com/ops/bullwhip-effect/ An introduction on the phenomenon of the
bullwhip effect observed in supply chains. Lists
some causes and countermeasures.
http://www.quickmba.com/ops/inventory- Describes a fixed time period inventory model for
management/ generating optimal order quantities in the
presence of demand variability.
http://www.themanager.org/Knowledgebase/Op Information on quality and standards on
erations/Quality.htm management portal.
http://www.informs.org/ Institute for operations research and the
management sciences. Good central resource for
materials in these fields.
http://www.quickmba.com/ops/lp/ Linear programming, include a problem
formulation checklist, linearity tricks, sensitivity
analyses, simulations, and more.
http://www.mapnp.org/library/ops_mgnt/ops_mg Operations management focuses on carefully
nt.htm managing the processes to produce and
distribute products and services.
http://www.ent.ohiou.edu/~manhire/cmba611/ch PowerPoint presentation on operations strategy
ap_02/tsld015.htm factors.
http://www.pom.edu/p304/ch2ppt/tsld001.htm PowerPoint presentation: operations strategy and
competitiveness.
http://www.quickmba.com/ops/qp/ Production system topics, including benefits and
costs of inventory, conveyor belt and production
cell systems, variability and queues in quality and
productivity.
http://maxwideman.com/pmglossary/index.htm Provides a project management glossary index.
http://www.bola.biz/operations/opstrat/ Provides specified, consistent achievable
objectives and sound implementation strategies
on operations strategy.
http://www.quickmba.com/ops/make-to-order/ Some actors that a firm should consider when
deciding whether to implement a make-to-order
production system.
http://www.quickmba.com/ops/scm/ Topics in supply chain management.

Operations Management 8
Ateneo-Standard MBA Program
January 2015
SESSION 1

INTRODUCTION TO OPERATIONS AND SUPPLY CHAIN


MANAGEMENT

Assignments to be completed prior to session 1:

1. Read Chapter 1 - Introduction

2. Be prepared to answer the Discussion Questions at the end of the chapter.

3. Be ready to explain the significance as well as cite possible applications to your own
companies of the following exhibits:
 Exhibit 1.1 - Process Steps for Men’s Nylon Supplex Parka
 Exhibit 1.3 - Supply Chain Processes
 Exhibit 1.4 - The Goods – Services Continuum

Learning Objectives:

At the end of this session, students are expected to:

1. Explain the concept of operations and supply chain management;

2. Distinguish between services and goods producing processes and identify the value
expected by the consumers from each process;

3. Apply the SIPOC model to manufacturing processes and service operations; and

4. Discuss the current major challenges in the field.

Activities:

1. The facilitator and students introduce themselves and clarify their expectations.

2. The facilitator discusses the course objectives, requirements, learning methodologies,


grading criteria, as well as the ground rules and group norms.

3. The class is organized into small groups. As much as possible, each group should
have a mix of members from the private, government, and non-profit organization
sectors.

4. The facilitator gives an overview of the SIPOC model of operations and supply chain
management. Students prepare a similar model of their own company. Selected
students will present their work to the class.

5. The facilitator leads the class discussion on the current issues in the field.

6. To wrap up the discussion, the facilitator draws from the students the main lessons
learned from the readings and discussions.

Operations Management 9
Ateneo-Standard MBA Program
January 2015
SESSION 2

STRATEGY

Assignments to be completed prior to session 2:

1. Read Chapter 2 – Strategy.

2. Be prepared to answer the Discussion Questions at the end of the chapter.

3. Be ready to explain the significance as well as cite possible applications to your own
companies of the following exhibits:
 Exhibit 2.1- The Triple Bottom Line -
 Exhibit 2.2 – Formulating an Operations & Supply Chain Strategy
 Exhibit 2.3 – Activity Systems Map-IKEA-Stylish Low Cost Furniture

4. Determine how productivity is measured in their respective companies. Make a list of


suggestions to improve productivity in their workplace.

5. Identify their company’s strategy and competitive advantage.

6. Be prepared to discuss in class the “Operations Strategy at ZARA” case found at the
end of the chapter.

Learning Objectives:

At the end of this session, students are expected to:

1. Compute productivity and the methods for improving productivity;

2. Discuss the Philippine’s OM practices which affects work force productivity in


comparison with other countries, and be able to identify reasons why the Philippines
is ahead of or behind neighboring countries; and

3. Illustrate a general framework of operations strategy and learn the various operations
strategies to achieve global competitive edge.

Activities:

1. The facilitator leads the class discussion on the following:


 productivity and the operation strategy framework;
 productivity of Philippine companies and draws from the students their
experiences in increasing productivity in their respective companies to remain
globally competitive;
 the strategy and competitive advantage of selected companies and
 the assigned case.

2. To wrap up the discussion, the facilitator draws from the students the main lessons
learned from the readings and discussions.

Operations Management 10
Ateneo-Standard MBA Program
January 2015
SESSION 3

DESIGN OF PRODUCTS & SERVICES

Assignments to be completed prior to session 3:

1. Read Chapter 3 – Design of Products & Services

2. Be ready to explain the significance as well as cite possible applications to your own
companies of

 Exhibit 3.3- House of Quality Matrix &


 Exhibit 3.7 Process Alternatives for a Family Restaurant

3. Research on how products or services are developed in your respective companies.

4. Select a major product or service and enumerate its current features.

5. Read the handouts on Service Excellence and Do you provide world class service?

6. Be prepared to discuss in class, the “IKEA: Design and Pricing” case found at the end
of the chapter.

Learning Objectives:

At the end of this session, students are expected to:

1. Identify the activities involved in product and service design; and

2. Apply the concepts of Quality Function Deployment /Designing Service Products to


their own companies.

3. Define what is “world-class” service and translate them into specific service
specifications

Activities:

1. The class starts with a brief review of the previous session’s topics.

2. Assigned groups present the key concepts in Designing Products and Services and
show how these concepts are applied to their companies.

3. The facilitator leads in the discussion on World-Class Service and Service Excellence.

Note: The facilitator has the option to do either Activity in Item 4. or Item 5 below.

4. The facilitator will assign groups to brainstorm on how to improve products or services
of a company selected from one of the group member’s company. Output of the groups
shall be posted in an easel chart or a Word Document for presentation to the class.

Operations Management 11
Ateneo-Standard MBA Program
January 2015
5. The facilitator leads a group discussion on the importance of designing products and
services that will work for society’s well-being and help improve health and safety. This
discussion may also include brainstorming as to possible products and/or services that
will cater to the C and D markets (or depressed communities), with the objective of
making the product not only affordable to this social class but will also provide
employment for the people in these communities.

6. The facilitator leads the discussion on the assigned case.

7. To wrap up the discussion, the facilitator draws from the students the main lessons
learned from the readings and discussions.

Operations Management 12
Ateneo-Standard MBA Program
January 2015
SESSION 4

MANUFACTURING PROCESSES & SERVICE PROCESSES

Assignments to be completed prior to session 4:


1. Read Chapter 7– Manufacturing Processes and Chapter 9 -Service Processes.
2. Understand the significance and cite possible applications to your companies of the
following exhibits:
 Exhibit 7.2-Product-Process Matrix
 Exhibit 9.3- Service-System Design Matrix

3. Be prepared to discuss in class the “Landmark Auto Parts, Inc.” case at the end of
Chapter 7.

4. Read the “A GP Surgery in the UK” case at the end of Chapter 9. Be ready to discuss
the case in class.

Learning Objectives:

At the end of this session, students are expected to:


1. Identify the activities involved in manufacturing and service process selection;
2. Differentiate the types of processes and the factors for selecting the process
appropriate to certain products and services;

3. Utilize break-even analysis in process selection; and


4. Apply the Service-System Design Matrix to actual situations in their companies.

Activities:

1. The class starts with a brief review of the previous session’s topics.

2. The assigned group presents the key concepts in production and service process
selection and shows how these concepts are applied in their respective companies.

3. The facilitator shows a video of the different types of processes.

4. The facilitator leads the discussion of the assigned case.

5. To wrap up the discussion, the facilitator draws from the students the main lessons
learned from the readings and discussions.

Operations Management 13
Ateneo-Standard MBA Program
January 2015
SESSION 5

PROCESS DESIGN AND ANALYSIS

Assignments to be completed prior to session 5:

1. Read Chapter 11 – Process Design and Analysis.

2. Select a major process in your company and prepare a Process Flow Chart and
Process Analysis Chart. Identify the bottleneck/s and recommend improvements.

Learning Objectives:

At the end of this session, students are expected to:

1. Define what a process is as well as the basic process measures;

2. Apply Process Flow Charts and Process Analysis Charts to actual situations in their
companies.

3. Understand the concepts of bottlenecks, line balancing, and various techniques in


process improvements and how they can be applied in their companies.

Activities:

1. The class starts with a brief review of the previous session’s topics.

2. The facilitator asks the students to work on the “State Automobile License Renewal”
case. (Handout). The facilitator processes the answers of the students to the caselet.

3. The facilitator gives a lecturette on process analysis and process improvement.

4. The assigned group presents and discusses how they applied process analysis to
specific processes in the workplace. It is recommended that, a representative from the
private, government or non-profit organization presents an application.

5. To wrap up the discussion, the facilitator draws from the students the main lessons
learned from the readings and discussions.

Operations Management 14
Ateneo-Standard MBA Program
January 2015
SESSION 6

SIX SIGMA QUALITY

Assignments to be completed prior to session 6:


1. Read Chapter 12- Six Sigma Quality.
2. Prepare a report on ISO 9000, ISO 14000, and on the Philippine Quality Award.

3. Be prepared to discuss in class the “Quality Management-Toyota” case found at the


end of the chapter.

Learning Objectives:
At the end of this session, students are expected to:
1. Discuss the principles of Total Quality Management, Six Sigma, and other Quality
management processes, and understand the differences between TQM and ISO 9000
and how local companies are faring in these quality measures;
2. Apply the various tools of TQM and Six Sigma to a selected government agency or a
non-profit organization; and
3. Discuss the role of the Quality Awards in promoting corporate excellence particularly
the Philippine Quality Award.

Activities:
1. The class starts with a brief review of the previous session’s topics.
2. The facilitator leads the discussion on Total Quality Management, Six Sigma and ISO
9000 and determines the awareness and level of application of these concepts in the
students’ workplace.
3. Under the guidance of the facilitator, group work on the use of some TQM tools (e.g.
fishbone diagram) is conducted. The facilitator then asks the students how these tools
would help in driving service excellence and be a competitive advantage of the Filipino
work force in the global arena.
4. The assigned group will present their research on the Philippine Quality Awards with
emphasis on how the PQA promotes corporate excellence.
5. The facilitator leads the class discussion on the assigned case. The class discusses
a local best practice company that exemplifies some of these service quality tools
which in turn has contributed to building great teams and provided better services of
value to the society.
6. To wrap up the discussion, the facilitator draws from the students the main lessons
learned from the readings, discussions and the exercises.

Operations Management 15
Ateneo-Standard MBA Program
January 2015
SESSION 7

MIDTERM EXAMINATION & PLANT VISIT


(Note: Plant visit is optional)

Assignments to be completed prior to the plant visit:

1. Research on how to conduct a plant visit. Review and Apply the Rapid Plant
Assessment at the end of Chapter 25 to a selected plant or service company.

2. Prepare a list of questions related to the following topics:

a) How operations management concepts discussed in class are carried out, e.g. how
the company designs and develops products and/or services, or what Quality
management initiatives are applied such as TQM, continuous improvement
programs, etc.

b) How actual practices at the site compare with what you have learned; including
reasons for variances.

c) How aspects of operations management that may not have been covered in class,
like maintenance, etc., are carried out in the plant; and

d) The role of operations management in meeting the objectives concerning the


country’s economy and environment.

Learning Objectives:

At the end of this session, students are expected to:

1. Assess the learning outcomes for the midterm period through an examination; and

2. Obtain an appreciation of operations management through a site visit, identifying


practices and tools that are being utilized by the company to help support its role as a
good corporate citizen.

Activities:

1. Written mid-term examination.

2. Half-day site visit to a selected manufacturing or service company. Due to time


constraints, the facilitator may choose not to conduct the site visit and, instead, show
videos of factories or establishments.

Operations Management 16
Ateneo-Standard MBA Program
January 2015
SESSION 8

PROJECT MANAGEMENT
STRATEGIC CAPACITY MANAGEMENT

Assignments to be completed prior to session 8:

1. Read Chapter 4-Project Management and Chapter 5- Strategic Capacity Management

2. Be prepared to discuss in class the “The Product Design Project” case found at the
end of the Chapter 4 or the King Edward Hospital case found at the end of Chapter 5.

3. Do a research on your company’s capacity, capacity utilization and current concerns,


especially those related to capacity.

Learning Objectives:

At the end of this session, students are expected to:


1. Apply the tools in Project Planning, e.g. Gantt Charts, PERT/CPM;

2. Manage a project taking into account team involvement, cultural sensitivity and value
of the project to the society.

3. Discuss the importance of Strategic Capacity Management;

4. Define the various capacity planning concepts:

a. Capacity
b. Best operating level
c. Capacity Utilization Rate
d. Economies & Diseconomies of Scale
e. Capacity focus
f. Capacity flexibility
g. Capacity cushion

5. Identify the considerations in adding capacity, taking into account the company’s
responsibility to meet the demands of the public for such services;

Activities:

1. The class starts with a brief review of the previous session’s topics.

2. The facilitator gives a lecture on project management, citing its importance and
challenges.

3. The facilitator leads the class discussion on the roles of a project manager, the project
management cycle (phases), the activities involved in each phase and the
competencies or skills required in each phase.

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4. The facilitator asks each group to brainstorm on what projects they can undertake to
help increase productivity or increase capacity or improve services in their company.
(Or How to increase capacity utilization if their company’s current problem is low
capacity utilization)

5. The facilitator asks some students to share their most difficult experiences on Project
Management and how they were able to overcome them.

6. The facilitator leads the class discussion on the assigned case.

7. To wrap up the discussion, the facilitator draws from the students the main lessons
learned from the discussions.

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SESSIONS 9 & 10

LEAN SUPPLY CHAINS


LOGISTICS, DISTRIBUTION & TRANSPORTATION
GLOBAL SOURCING AND PROCUREMENT

Assignments to be completed prior to session 9 & 10

1. Read Chapter 14-Lean Supply Chains


Chapter 15- Logistics, Distribution & Transportation
Chapter 16- Global Sourcing and Procurement

2. Be prepared to discuss in class the “Distribution Center Location” case found at the
end of the Chapter 15 and “Global Sourcing Decisions” case found at the end of
Chapter 16.

3. Prepare a Supply Chain diagram of your company.

Learning Objectives:

At the end of this session, students are expected to:

1. Discuss the supply chain strategies of their respective companies and identify how
they can take advantage of the global trend in outsourcing;

2. Describe Green Sourcing and its effects to the environment;

3. Understand the application of ABC Analysis and the Supply Positioning Model in
Strategic Procurement.

4. Identify the social and ethical implications of supply chain design and decisions e.g.
outsourcing, import facilitations, brokerage, etc.

Activities:

1. The class starts with a brief review of the previous session’s topics.

2. The facilitator leads the discussion on Supply Chain Management, its significance and
current trends.

3. The facilitator asks some students to present their companies’ Supply Chain diagram.

4. The assigned group makes a presentation on Green Supply chains and their
applications.
.

5. The facilitator leads the class discussion on the assigned case/s. (One case for each
session) The facilitator draws from the class the unethical practices in the supply chain
which normally takes place in dealing with suppliers. The class gives comments on
topics like; how big industrialists take advantage of relationships with dealers and
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distributors, the effect of the supply chain on the economy and the society as a whole,
etc.

6. The facilitator leads the discussion on Logistics, Transport & Distribution.

7. The assigned group makes a presentation on Global Sourcing & Procurement,


including ABC analysis and Supply Positioning Model.

8. To wrap up the discussion, the facilitator draws from the students the main lessons
learned from the discussions.

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SESSION 11

ENTERPRISE RESOURCE PLANNING SYSTEMS


SALES AND OPERATIONS PLANNING

Assignments to be completed prior to session 11:


1. Read Chapter 14- Enterprise Resource Planning Systems, Chapter 16 - Sales and
Operations Planning.
2. Be prepared to discuss in class the following case found at the end of the chapter 19

 Developing an Aggregate Plan -Bradford Manufacturing

Learning Objectives:
At the end of this session, students are expected to:
1. Discuss the different Enterprise Resource Planning systems and know how to
implement them.
2. Provide an overview of sales and operations planning activities, aggregate operations
planning, and aggregate planning techniques;
3. Translate business plans into production plans using various strategies and
alternatives;

Activities:

1. The class starts with a brief review of the previous session’s topics.

2. The facilitator leads a discussion on key concepts of Enterprise Resource Planning


Systems and Sales and Operations Planning. The facilitator divides the class into
groups. Each group will be assigned to prepare a specific operations plan for a specific
product or service. A representative from each group will present to the class their
group output.

3. The facilitator leads in the discussion of the assigned case.

4. To wrap up the discussion, the facilitator draws from the students the main lessons
learned from the discussions

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SESSION 12

INVENTORY MANAGEMENT MATERIALS REQUIREMENTS


PLANNING OR SPECIAL TOPIC ON
SERVICE MANAGEMENT
Note: The facilitator shall provide the Assignments, Learning Objectives and Activities for
the Special topic on Service Management.

Assignments to be completed prior to session 12:

1. Read Chapter 21- Materials Requirements Planning and Chapter 20 - Inventory


Management

2. Be prepared to discuss in class the “An MRP Explosion-Brunswick Motors” case found
at the end of Chapter 21

Learning Objectives:

At the end of this session, students are expected to:

1. Discuss MRP and its applications in promoting organizational competitiveness in


various sectors of society;

2. Differentiate MRP from traditional inventory models;

3. Create a Bill of Materials and a simple MRP spreadsheet for a private non-profit
organization;

4. Discuss inventory costs, inventory systems, fixed order quantity models, fixed time
period models; and

5. Apply inventory techniques to their workplace.

Activities:

1. The class starts with a brief review of the previous session’s topics.

2. The facilitator leads the discussion on MRP and Inventory Management

3. The facilitator or an invited resource person demonstrates or gives the students a walk-
through of MRP software.

4. The assigned group presents a BOM and MRP spreadsheet for a non-profit
organization.

5. Another assigned group presents Inventory Management concepts and applications.

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6. The facilitator leads the class discussion on the assigned cases.

7. To wrap up the discussion, the facilitator draws from the students the main lessons
learned from the readings and discussions.

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SESSION 13

WORKCENTER SCHEDULING or OPERATIONS


CONSULTING or THEORY OF CONSTRAINTS
or HEALTH CARE

TOPIC 1: WORKCENTER SCHEDULING

Assignments to be completed prior to session 13:


1. Read Chapter 22- Workcenter Scheduling
2. Be prepared to discuss “A Day in the Life of Frederick Gode- Operations Manager @
Bon Pain (handout)

3. Select a typical day in your office. Make a list of your activities with the corresponding
time. Categorize your activities into strategic, tactical or operational activities. Identify
time wasters and areas for improvements.

Learning Objectives:
At the end of this session, students are expected to:
1. Discuss the different roles of Operations Managers.
2. State the different Priority Rules and Applications.

3. Identify ways of becoming more effective Operations Managers through proper


scheduling and time management.

4. Apply the various methods in Shop Floor Control and Personnel Scheduling in Service
Organizations

Activities:

1. The class starts with a brief review of the previous session’s topics.

2. The facilitator leads the discussion on Workcenter Scheduling.

3. The facilitator selects a couple of students to present his/her assignment on “Their


typical day in the office.”

4. The facilitator leads a discussion on the assigned case.

5. To wrap up the discussion, the facilitator draws from the students the main lessons
learned from the readings and discussions.

TOPIC2: OPERATIONS CONSULTING

Assignments to be completed prior to session 13:


1. Read Chapter 25- Operations Consulting.
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2. Read Reengineering the Corporation by Michael Hammer and James Champy.

3. Select a process in your company and apply the tools of consulting in analyzing and
improving that process.

Learning Objectives:
At the end of this session, students are expected to:
1. Discuss the roles of OM Consultants, their ethical practices and methodologies;

2. Define the Reengineering principles and how they differ from TQM;

3. Discuss redesign techniques and tools taking into account how work culture is often a
necessary ingredient for reengineering to succeed; and

4. Utilize reengineering and process improvement practices.

Activities:
1. The class starts with a brief review of the previous session’s topics.

2. The facilitator leads the discussion on Operations Consulting and Reengineering with
special emphasis on
a. the social impact of reengineering or downsizing, and
b. the positive effects of process improvement and reengineering on
product/service quality, speed, productivity and competitiveness.

3. The facilitator selects a couple of students to present his/her assignment on Process


Analysis and Improvement and draws comments and conclusions from the class.
The facilitator chooses a local case where corporate and work culture has shaped the
future of the company and influenced majority of its decisions and have shown
tremendous success in this discipline.

4. To wrap up the discussion, the facilitator draws from the students the main lessons
learned from the readings and discussions.

TOPIC 3: THEORY OF CONSTRAINTS AND TOPIC 4: HEALTH CARE

NOTE: For topics 3 or 4, the facilitator shall provide the students with the
Assignments, Learning Objectives and activities for the session.

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SESSIONS 14

INTEGRATION OF OPERATIONS MANAGEMENT CONCEPTS


PRESENTATION OF GROUP PAPER/CASE HISTORIES

Assignments to be completed prior to session 14:

1. Review concepts discussed from Sessions 1 to 13.

2. Prepare a presentation of assigned group paper.

Learning Objectives:

At the end of this session, students are expected to:

1. Integrate the various concepts learned;

2. Apply relevant OM concepts to different companies and situations and appreciate their
inter-relationship with the other disciplines or functions in the organization; and

3. Synthesize the concepts learned from the course and discuss how these concepts will
help build the nation.

Activities:

1. The facilitator draws from the students various concepts they have learned from the
course. The facilitator guides the students in identifying which concepts are most
useful to their work.

2. Each group presents their OM paper. The paper must tackle and ensure that social
action programs, advocacy and awareness of socio-economic conditions are
incorporated.

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SESSION 15

FINAL EXAMINATION

Learning Objectives:

At the end of this session, students are expected to assess how well they learned the
concepts discussed during the term.

Activities:

1. The facilitator gives a written final examination for about two hours.

2. A short essay of about 2 pages on the following topics, may be included, as part of the
final exam:

 Revolutionizing operations management in the Philippine business landscape


 How OM can shape the Philippines as the outsourcing capital of the world
 Other topics as the facilitator may so assign

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