DSA 2016 Syllabus

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MANAGEMENT SCIENCE AND ENGINEERING

DEMAND AND SUPPLY ANALYTICS


Spring Semester 2015/2016

Professor Robert Phillips

All businesses face operational and pricing challenges including:


How to configure and operate their supply chain,
What kind of contracts to set with suppliers,
What inventory levels to carry at various points in the supply chain,
How to allocate products to sales channels and outlets,
How to price their products over time to different market segments.
These challenges are often addressed individually and in isolation but, in reality, all of these decisions
interact with each other. This class looks at the demand and supply management challenges faced by
companies in various industries and provides an introduction to the tools that can be used to address
these challenges. We pay particular attention to the challenges involved in coordinating different
decision areas across the firm. Specific topics covered include:
Pricing and revenue management,
Market segmentation,
Customized pricing,
Non-linear pricing,
Markdown pricing,
Consumer Choice Modeling,
Inventory-service tradeoffs,
Safety stock allocation,
Information sharing and contract design,
Supply chain coordination,
Behavioral issues, fairness, trust and altruism.

Prerequisites

A basic understanding of both probabilistic and deterministic


modeling.

Class Times

MW 2:40 3:55 PM
M&J Warren Hall 209

Required Class Package

Class Pack

Schedule

The first class is Wednesday, Jan 20, 2016: consistent with the
Engineering School Schedule.

Required Text

R.L. Phillips, Pricing and Revenue Optimization. Stanford University


Press, 2005.
(Available at the bookstore and on reserve in the Engineering
Library)
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General References

zer, . and Phillips, R. Oxford Handbook of Pricing Engineering.


Oxford University Press, 2012.
D. Simchi-Levi, P. Kaminsky, E. Simchi-Levi, Designing and Managing
the Supply Chain, McGraw-Hill/Irwin, 3rd edition, 2008.
K. T. Talluri and G. J. van Ryzin, The Theory and Practice of Revenue
Management, Springer, 2004.
These books are on reserve in the Engineering Library.

Teacher

Professor Robert Phillips


Uris 408
(212) 851-5815
[email protected]

Teacher Office Hours

Wednesdays. 4:00 6:00 PM

Teaching Assistant

TBA

T.A. Office Hours

TBA

Homework

There will be homework assignments throughout the class. You may


work with other members on these assignments, but each student
has to turn in an individual solution. Keep in mind that you will not
be allowed to collaborate on the exam questions. Homework is due
at the beginning of class. There is no credit for late homework.

Case Assignments

For classes with case assignments, each student group (three


students) will turn in a maximum 5 page write-up describing their
solutions. Students must be prepared to summarize the case and
suggest a solution in class. I will pick students at random to
summarize their case findings your ability to do so will affect your
grade.

Reading Assignments

The reading assignments will help you to better understand the


material covered in class. I may pick a student at random at the
beginning of class to evaluate whether you have completed the
reading assignment. These pop questions will be used as a bonus
for example, I may decide to raise the letter grade of a border case
student based on his/her performance on these quizzes.

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Handouts

There will be class handouts for each lecture summarizing the main
points covered. These handouts will also be posted on the course
website.

Groups

You will work in groups of three people on the project and on the
preparation of the cases. Please e-mail the TA and let him know
your group (one e-mail per group).

Exams

There will be one midterm exam and a final exam. For the midterm,
you can bring one double-sided sheet of notes. For the final you can
bring two double-sided sheets of notes.

Grading

Final Exam :
Mid-term :
Homeworks:
Project:
Participation:

Deadlines

I do not accept any late homework or any late case write-ups.

40%
25%
15% (total)
15%
5%

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