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OM 4601
Introduction to Operations Management
Class Introduction, Summary and
Intro to Operations
Today’s Schedule
• Introduce Myself
• Introduce Yourself
• Syllabus and Class Structure
• Operations Intro and Video
• Kristens with Operations Strategy
Introducing Myself
• Joseph Sarkis
• Ph.D. from SUNY Buffalo
• Was in Texas now in Massachusetts
• Professor Operations Management
• Research Interests include Business and
Environment, MCDM, Operations Strategy,
Advanced Manufacturing Technology
• Homepage: www.clarku.edu/~jsarkis
Introducing Yourself
• Name
• A Brief Background
– Schooling
– Work Experience
– Concentration
– General Interests
• Fill out Information Sheet (if you haven’t
done so)
Syllabus and Class Structure
• Reading and Case Material
• P/OM Chase and Aquilano (2003)
• Reading Packets in Bookstore.
– 4 HBS cases, 1 NACRA case, 2 HBS readings
• Reserve readings.
– One article (Deming).
Syllabus and Class Structure
• Objective
– To provide a introductory view into techniques and
methodologies for managing productive resources or an
organization.
– A mix of qualitative and quantitative discussion and
presentation.
Syllabus and Class Structure
• Grading and Assignments
– 1 Team Case Write-ups - 25%
– 1 Team Company Evaluation - 30%
– 1 Midterm Exam - 25%
– Class Preparation and Participation - 20%
• Attendance in Class is required
– Absences will be detrimental to your standing in this
class.
Syllabus and Class Structure
• Teams and Team Projects
– Group Work is large percentage of grade
– Select by Second Half of Class hand in sheet with
names.
– Leftovers assigned by me.
– Cases will be assigned after I have group names.
– End of Semester...there are peer evaluations.
Syllabus and Class Structure
• Cases
– Help to learn from each other and “real” world
– Expect that you be prepared each week to discuss case
– Random calls will be made
– Be considerate to your fellow students (especially when
you strongly disagree)
– Try to discuss cases as a group outside of class (not just
for assigned case write-ups).
Syllabus and Class Structure
• Case Write-ups
– Need to hand in a 1-2 page executive summary of your
case analysis for every class with case
– Have a how to do cases reading for OM case analysis.
– Size of detailed writeup should be (at most) 8 single
spaced pages and any appendices.
– To help in your case writeups and discussion I will
provide you with some leading questions.
Syllabus and Class Structure
• Case Presentations
– For those assigned with the days detailed case a case
presentation is required (if more than 4 groups, no case
presentation, can be informal).
– Summarize major issues
– Your Recommendations
– Try to keep it to under 10 transparencies.
Syllabus and Class Structure
• Participation
– You need to show up for class
– You should be involved in discussion, this is an
important way to learn
– Talking for the sake of talking without much
contribution to the case is not a good way to get
participation credit
– Insightful comments are encouraged.
– Part of participation credit is from executive summary.
Hand in at beginning of class. Credit/No Credit for
exec summaries are given.
Syllabus and Course Structure
• Company Evaluation
– On the final day of class
• 10-15 page report on a company evaluation.
• presentation on your findings/recommendations
– Need to contact companies
– Write letter for permission/introduction
– Do a little research on Company
– Tour Company/Interview People
– Write thank you letter
– Be prepared call back for more info if needed.
– I’ll be your consultant
Syllabus and Course Structure
• Company Evaluation
– See listing of questions in Syllabus
– Having questions developed beforehand with an outline of your
report may be beneficial in making your time at the company
efficient and effective.
Syllabus and Course Structure
• Individual Assignments and Executive Summaries
– students need to hand in “executive summary” of each
case
– exec summary should include:
– a brief synopsis of the case,
– the major issues involved,
– and your recommendations.
• All Exec Summaries are due at beginning of class!
Introduction to Operations
What is Operations Management?
Operations management (OM) is defined as the design,
operation, and improvement of the systems that create and
deliver the firm’s primary products and services.
What is a Production System?
Defined
A production system is defined as a user of resources to transform
inputs into some desired outputs. Goods and Services are outputs.
What are the inputs, outputs, transformation process of Kristen’s?
Feedback mechanisms?
Is Kristen’s a service or good output?
Introduction to Operations
• Video – What are some of the major topics
of Operations Management?
• How much different is services than
manufacturing?
Strategy Process
Customer Needs
Corporate Strategy
Operations Strategy
Decisions on Processes
and Infrastructure
Operations Strategy
Steps in Developing a
Manufacturing Strategy
• 1. Segment the market according to the product
group.
• 2. Identify product requirements, demand
patterns, and profit margins of each group.
• 3. Determine order qualifiers and winners for
each group.
• 4. Convert order winners into specific
performance requirements.
Order Qualifiers and Winners
•Order qualifiers?
•They are the basic criteria that permit the firms
products to be considered as candidates for purchase
by customers.
•Order winners?
•They are the criteria that differentiates the products
and services of one firm from another.
IV.
Continuous
Flow
III.
Assembly
Line
II.
Batch
I.
Job
Shop
Low
Volume,
One of a
Kind
Multiple
Products,
Low
Volume
Few
Major
Products,
Higher
Volume
High
Volume,
High
Standard-
ization
Commercial
Printer
French Restaurant
Heavy
Equipment
Coffee Shop
Automobile
Assembly
Burger King
Sugar
Refinery
Flexibility (High)
Unit Cost (High)
Flexibility (Low)
Unit Cost (Low)
Exhibit 5.10
Cost
Quality
Delivery
Flexibility
Tradeoffs of Performance Metrics

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Operations Management Introduction

  • 1. OM 4601 Introduction to Operations Management Class Introduction, Summary and Intro to Operations
  • 2. Today’s Schedule • Introduce Myself • Introduce Yourself • Syllabus and Class Structure • Operations Intro and Video • Kristens with Operations Strategy
  • 3. Introducing Myself • Joseph Sarkis • Ph.D. from SUNY Buffalo • Was in Texas now in Massachusetts • Professor Operations Management • Research Interests include Business and Environment, MCDM, Operations Strategy, Advanced Manufacturing Technology • Homepage: www.clarku.edu/~jsarkis
  • 4. Introducing Yourself • Name • A Brief Background – Schooling – Work Experience – Concentration – General Interests • Fill out Information Sheet (if you haven’t done so)
  • 5. Syllabus and Class Structure • Reading and Case Material • P/OM Chase and Aquilano (2003) • Reading Packets in Bookstore. – 4 HBS cases, 1 NACRA case, 2 HBS readings • Reserve readings. – One article (Deming).
  • 6. Syllabus and Class Structure • Objective – To provide a introductory view into techniques and methodologies for managing productive resources or an organization. – A mix of qualitative and quantitative discussion and presentation.
  • 7. Syllabus and Class Structure • Grading and Assignments – 1 Team Case Write-ups - 25% – 1 Team Company Evaluation - 30% – 1 Midterm Exam - 25% – Class Preparation and Participation - 20% • Attendance in Class is required – Absences will be detrimental to your standing in this class.
  • 8. Syllabus and Class Structure • Teams and Team Projects – Group Work is large percentage of grade – Select by Second Half of Class hand in sheet with names. – Leftovers assigned by me. – Cases will be assigned after I have group names. – End of Semester...there are peer evaluations.
  • 9. Syllabus and Class Structure • Cases – Help to learn from each other and “real” world – Expect that you be prepared each week to discuss case – Random calls will be made – Be considerate to your fellow students (especially when you strongly disagree) – Try to discuss cases as a group outside of class (not just for assigned case write-ups).
  • 10. Syllabus and Class Structure • Case Write-ups – Need to hand in a 1-2 page executive summary of your case analysis for every class with case – Have a how to do cases reading for OM case analysis. – Size of detailed writeup should be (at most) 8 single spaced pages and any appendices. – To help in your case writeups and discussion I will provide you with some leading questions.
  • 11. Syllabus and Class Structure • Case Presentations – For those assigned with the days detailed case a case presentation is required (if more than 4 groups, no case presentation, can be informal). – Summarize major issues – Your Recommendations – Try to keep it to under 10 transparencies.
  • 12. Syllabus and Class Structure • Participation – You need to show up for class – You should be involved in discussion, this is an important way to learn – Talking for the sake of talking without much contribution to the case is not a good way to get participation credit – Insightful comments are encouraged. – Part of participation credit is from executive summary. Hand in at beginning of class. Credit/No Credit for exec summaries are given.
  • 13. Syllabus and Course Structure • Company Evaluation – On the final day of class • 10-15 page report on a company evaluation. • presentation on your findings/recommendations – Need to contact companies – Write letter for permission/introduction – Do a little research on Company – Tour Company/Interview People – Write thank you letter – Be prepared call back for more info if needed. – I’ll be your consultant
  • 14. Syllabus and Course Structure • Company Evaluation – See listing of questions in Syllabus – Having questions developed beforehand with an outline of your report may be beneficial in making your time at the company efficient and effective.
  • 15. Syllabus and Course Structure • Individual Assignments and Executive Summaries – students need to hand in “executive summary” of each case – exec summary should include: – a brief synopsis of the case, – the major issues involved, – and your recommendations. • All Exec Summaries are due at beginning of class!
  • 16. Introduction to Operations What is Operations Management? Operations management (OM) is defined as the design, operation, and improvement of the systems that create and deliver the firm’s primary products and services.
  • 17. What is a Production System? Defined A production system is defined as a user of resources to transform inputs into some desired outputs. Goods and Services are outputs. What are the inputs, outputs, transformation process of Kristen’s? Feedback mechanisms? Is Kristen’s a service or good output?
  • 18. Introduction to Operations • Video – What are some of the major topics of Operations Management? • How much different is services than manufacturing?
  • 19. Strategy Process Customer Needs Corporate Strategy Operations Strategy Decisions on Processes and Infrastructure Operations Strategy
  • 20. Steps in Developing a Manufacturing Strategy • 1. Segment the market according to the product group. • 2. Identify product requirements, demand patterns, and profit margins of each group. • 3. Determine order qualifiers and winners for each group. • 4. Convert order winners into specific performance requirements.
  • 21. Order Qualifiers and Winners •Order qualifiers? •They are the basic criteria that permit the firms products to be considered as candidates for purchase by customers. •Order winners? •They are the criteria that differentiates the products and services of one firm from another.
  • 22. IV. Continuous Flow III. Assembly Line II. Batch I. Job Shop Low Volume, One of a Kind Multiple Products, Low Volume Few Major Products, Higher Volume High Volume, High Standard- ization Commercial Printer French Restaurant Heavy Equipment Coffee Shop Automobile Assembly Burger King Sugar Refinery Flexibility (High) Unit Cost (High) Flexibility (Low) Unit Cost (Low) Exhibit 5.10