1. LSM 733- Production Operations Management OSMAN BIN SAIF LECTURE 1 1

2. Self Introduction Finance Graduate; – MSC. Accounting and Finance (University of Exeter, UK) – MBA- Finance (SZABIST, Islamabad) – Certified Financial Consultant (IFC, Canada) – Certifications in Project Management, Monitoring and Evaluation and Research Policy Development and Futures. Consultant with SDPI Senior Researcher with TP WING, MOC Visiting Faculty various universities and institutes. 2

3. Agenda for this Session Course Mission Course Objectives Expected Student Learning Outcomes – General – Specific Generic Skills Recommended Reading Text Book 3

4. Agenda for this Session (Contd.) Class Procedures – Presence – Participation – Internet exploration Assessment System – Quiz Test – Mid term exam – Final Exam 4

5. Agenda for this Session (Contd.) Course Structure / Contents Grading System Guidelines for written work, assessment and plagiarism 5

6. COURSE MISSION The Production Operations Management course prepares students for leadership positions in the production and service industries. 6

7. SUBJECT OVERVIEW Topics include the role of operations; the link between strategy and operations; productivity; decisions in the operations area; planning and control of inventory, projects and the transformation process including Total Quality management, Just-in-Time, kanban and 'lean production' systems. 7

8. SUBJECT OVERVIEW (Contd.) Students will understand the principles and practice of factors which influence the capacity to compete effectively in manufacturing and service operations 8

9. COURSE OBJECTIVES 1.Understand the role of operations management in the overall business strategy of a firm 2.Understanding the interdependence of the operating system with other key functional areas, like marketing, finance, accounting, human resource, etc. 9

10. COURSE OBJECTIVES (Contd.) 3.Identifying and evaluating key factors and the interdependence of these factors in the design and control of effective operating systems 4.Learning how to use a range of concepts and analytical tools to solve common operational problems such as demand forecasting, capacity planning, quality control, production planning, material planning and inventory control, etc. 5.To understand basic project management methodology 10

11. EXPECTED STUDENT LEARNING OUTCOMES GENERAL LEARNING OUTCOMES Upon completion of this course, Production Operations Management students will be able to: – Explain the major concepts in the functional areas of accounting, marketing, finance, and management. – Evaluate the legal, social, and economic environments of business. 11

12. EXPECTED STUDENT LEARNING OUTCOMES (Contd.) – Describe the global environment of business. – Describe and explain the ethical obligations and responsibilities of business. – Apply decision-support tools to business decision making. – Construct and present effective oral and written forms of professional communication. – Apply knowledge of business concepts and functions in an integrated manner. 12

13. EXPECTED STUDENT LEARNING OUTCOMES (Contd.) – Use specialized knowledge in Operations Management to solve business processes. Apply knowledge of fundamental concepts of operations management. Apply knowledge of approaches to operational performance improvement. 13

14. EXPECTED STUDENT LEARNING OUTCOMES (Contd.) – The functions within operations management in service and manufacturing industries, eg supplier management, inventory control, design, production planning, workflow management and customer service. 14

15. EXPECTED STUDENT LEARNING OUTCOMES (Contd.) SPECIFIC LEARNING OUTCOMES Learning Outcomes: Students who successfully complete this subject should: – The overall framework of operations management as part of organisational strategy. – How to plan capacity and facility usage. – The managerial issues involved in introducing new projects. 15

16. EXPECTED STUDENT LEARNING OUTCOMES (Contd.) – The different concepts of flexibility in service and manufacturing enterprises. – How to generate different manufacturing strategies. – The relationships between the manufacturing strategy of the enterprise and the competitive strategy for the business as a whole. 16

17. EXPECTED STUDENT LEARNING OUTCOMES (Contd.) – The role of quality in the operations process. – The implications for management of the differences between the various methods of organizing manufacturing eg batch production, jobbing, continuous production and large project manufacturing 17

18. GENERIC SKILLS: On successful completion of this subject students should have enhanced their skills in: – Ethical behavior in leadership and organizations – Analysis and problem solving – Capacity for intellectual curiosity, creativity and independent thought 18

19. GENERIC SKILLS (Contd.) – Communication of key ideas and theories within the discipline areas – Capacity for effective teamwork and collaboration – Information retrieval and application in relation to practical problems 19

20. RECOMMENDED READING TEXT BOOKS: Operations Management by Jay Heizer and Barry Render, 10 th Edition 20

21. RECOMMENDED READING TEXT BOOKS (Contd.) Modern Production / Operations Management by Elwood S. Buffa and Rakesh K. Sarin, 8 th Edition, Published by John Wiley and Sons. 21

22. CLASS PROCEDURES Presence. Students are required to see lectures at least 95% of total lectures. This will help them to achieve good grade and better understanding of the course. 22

23. CLASS PROCEDURES (Contd.) Participation. Students are highly expected to think ideas, thoughts, experiences, and arguments while going through the lectures. Although overviews of key points and issues are provided, it is required that students comprehend the materials in details, raise thinking and ideas 23

24. CLASS PROCEDURES (Contd.) Internet Exploration. Students are encouraged to harness the advancement of information and communications technology (ICT) in exploring knowledge and opportunities. Remember that in current circumstances, a clever person is not he/she who can answer all questions; rather, it is he/she who knows where to find answers. 24

25. ASSESSMENT Item Weightage Quizzes 10% Assignments 10% Graded Discussions 5% Mid Term examination 25% Final examination 50% 25

26. ASSESSMENT QUIZZ TEST – There will quiz test after every fifth lecture. MID TERM EXAM – There will be a mid term exams, after 15 th lecture. EXAMINATIONS – The purpose of Mid term and Final exam is to examine students’ knowledge and understanding on concepts learnt in the lectures. 26

27. COURSE STRUCTURE/ CONTENTS The course content is outlined around specific themes, issues and historical backgrounds which student must know, understand and relate them in order to understand need of Production operations management. In all, topics are grouped and discussed around Thirty two lectures, which, for the purpose of convenience, may be placed under four major sections. 27

28. COURSE STRUCTURE/ CONTENTS (Contd.) Section 1: Introduction to Production Operations Management – Chapter 1: Introduction to Production Operations Management What is production operations management? Organizing to produce goods and services. Why study POM What operation managers do The heritage of POM Operations in service sector Exciting new trends in operations management The productivity challenge Ethics and Social responsibility 28

29. COURSE STRUCTURE/ CONTENTS (Contd.) Chapter 2: The Global Environment and Operations Strategy – A global view of operations – Developing missions and strategies – Achieving competitive advantage through operations – Ten strategic POM decisions – Issues in operations strategy – Strategy development and implementations – Global operations strategy 29

30. COURSE STRUCTURE/ CONTENTS (Contd.) Chapter 3: Managing Projects – The importance of Project management – Project planning – Project scheduling – Project controlling – PM Techniques – PERT – Using Microsoft Project to manage projects 30

31. COURSE STRUCTURE/ CONTENTS (Contd.) Chapter 4: Forecasting Demand – What is forecasting – The strategic importance of forecasting – Seven steps in forecasting – Forecasting approaches 31

32. COURSE STRUCTURE/ CONTENTS (Contd.) Section 2: Designing Operations – Chapter 1: Product Design Goods and services selection Generating new products Product development Issues for product design Ethics, environmentally-friendly designs and sustainability Time based competition Defining a product Documents for production Service design Application of decision trees to product design 32

33. COURSE STRUCTURE/ CONTENTS (Contd.) Chapter 2: Quality Management – Quality and strategy – Defining quality – International quality standards – Total quality management – Tools of TQM – The role of inspection 33

34. COURSE STRUCTURE/ CONTENTS (Contd.) Chapter 3: Process Design – Four process strategies – Process analysis and design – Special consideration for service process design – Selection of equipment and technology – Production technology – Technology in services – Process redesign – sustainability 34

35. COURSE STRUCTURE/ CONTENTS (Contd.) Chapter 4: Location Decision – The strategic importance of location – Factors that affect location decisions – Labour productivity – Exchange rates and currency risk – Political risk, values and culture – Proximity to markets – Proximity to suppliers – Proximity to competitors 35

36. COURSE STRUCTURE/ CONTENTS (Contd.) Chapter 5: Layout Decision – The strategic importance of layout decisions – Types of layout – Office layout – Retail Layout – Warehousing and storage Layout – Fixed Position Layout – Work cells – Repititive and poduct oriented layout 36

37. COURSE STRUCTURE/ CONTENTS (Contd.) Chapter 6: Job Design – Human resource strategy for competitive advantage – Labor planning – Job design – Ergonomics and the work environment – Methods analysis – The visual workplace – Labor standards – Ethics 37

38. COURSE STRUCTURE/ CONTENTS (Contd.) Section 3: Managing Operations – Chapter 1: Managing Supply Chain The supply chain’s strategic importance Ethics and sustainability Supply chain economics Supply chain strategies Managing the supply chain E-procurement Vendor selection Logistics management Measuring supply chain performance 38

39. COURSE STRUCTURE/ CONTENTS (Contd.) Chapter 2: Managing Inventory – The importance of inventory – Managing inventory – Inventory models – Probabilistic models and safety stockmodels and safety stock 39

40. COURSE STRUCTURE/ CONTENTS (Contd.) Chapter 3: Aggregate Scheduling – The planning process – The nature of aggregate planning – Aggregate planning strategies – Methods of aggregate planning – Aggregate planning in services – Yield management 40

41. COURSE STRUCTURE/ CONTENTS (Contd.) Chapter 4: Material Requirement Planning – Dependant demand – Dependant inventory model requirements – MRP structure – MRP management – Lot sizing techniques – Extensions of MRP 41

42. COURSE STRUCTURE/ CONTENTS (Contd.) Chapter 5: JIT, Lean operations – JIT – JIT layout – JIT inventory – JIT scheduling – JIT quality – Lean operations – Lean operations in services 42

43. COURSE STRUCTURE/ CONTENTS (Contd.) Chapter 6: Maintenance and Reliability Operations – The strategic importance of maintenance and reliability – Reliability – Maintenance – Total productive maintenance – Techniques for enhancing maintenence 43

44. COURSE STRUCTURE/ CONTENTS (Contd.) Section 4: Quantitative Modules – Chapter 1: Decision Modeling The decision process in operations Fundamentals of decision making Decision tables Decision trees 44

45. COURSE STRUCTURE/ CONTENTS (Contd.) Chapter 2:Transportation Modeling – Transportation modeling – Developing an initial solution – The stepping stone method – Special issues in modeling 45

46. COURSE STRUCTURE/ CONTENTS (Contd.) Chapter 3: Queuing Models – Queuing theory – Characteristics of the waiting line models – Queuing costs – The variety of queuing models – Other queuing approaches. 46

47. GRADING SYSTEM GRADEABCDF %80-10070-7960-6950-590-49 47

48. GRADING SYSTEM (Contd.) D (50-59) means that you are able to summarize and order readings relevant to the topic. C (60-69) means that you do this with some greater precision and flair or more comprehensively and/or accessibly. 48

49. GRADING SYSTEM (Contd.) B (70-79) indicates that you have shown evidences of substantial and well argued independence of thoughts, insightful evaluation, or original research. A (80-100) indicates that you have added significant new values to existing knowledge or understanding through logic or evidence of some ingenuity, creativity, or excellence. 49

50. GUIDELINES FOR WRITTEN WORK, ASSESSMENT, AND PLAGIARISM At the University level, a high quality presentation and content is required. All works should be typewritten, proofread, and checked for accuracy before submission. Marks will be deducted for lack of referencing. The University has strict rules regarding honesty in-assessment. 50

51. GUIDELINES FOR WRITTEN WORK, ASSESSMENT, AND PLAGIARISM (Contd.) All students should be aware of the rules concerning misconducts in-assessment, which prohibit certain behaviors, such as: No part of the work has been copied from any other person’s work except where due acknowledgement is made in the text, 51

52. GUIDELINES FOR WRITTEN WORK, ASSESSMENT, AND PLAGIARISM (Contd.) No part of the work has been written by any other person except where such collaboration has been authorized by the lecturer concerned, and No part of the work has been submitted for assessment in another course in this or another part of the university except where authorized by the lecturer concerned. 52

53. Summary of this Session Self Introduction Course outline, Procedures and Structure 53

54. THANK YOU 54