MODULE M3 (SUPPLY CHAIN QUALITY AND PERFORMANCE MANAGEMENT

MODULE EXIT-LEVEL OUTCOMES

 Understand operations management in the context of inputs, the transformation process, and product
and services outputs.
 Comprehend the eight essentials of organisational excellence advocated by the European Forum for
Quality Management.
 Define operations strategy and distinguish between the process component and infra-structure
component.
 Explore the sixteen principles of operations management and their influence on formulating,
implementing and improving operations strategy.
 Explain the importance of demand management and forecasting as an integral part of the capacity
planning and master scheduling cross-functional process serving internal customers.
 Illustrate that order fulfillment and procurement are both treated as cross-functional processes in the
“new economy” learning organisation, the first serving external customers and the latter internal
customers.
 Grasp that the partnership arrangement with suppliers is generally preferred by a majority of
organisations and that the adversarial “black box” approach is no longer favoured, particularly in project-
related procurement.
 Accept the importance of managing product design and commercialization as a cross-functional project
management process, and distinguish between product-, service- and process design.
 Distinguish between customer relationship management (CRM) and customer service management
(CSM) cross-functional processes serving external customers.
 Differentiate between a Total Quality Management (TQM) philosophy originating from the organisational
value system, and quality control (QC) actions that assure product and service quality.
 Recognise the importance of applying quality control and continuous improvement actions to all
organisational processes, the latter through an innovative project approach.
 Understand the concept “flow control” that focuses on the elimination of process waste generally
referred to as “the seven deadly wastes”.
 Assure that a high level of strategic organisational performance and excellence are achieved through a
balanced scorecard-programme management (BSPM) systemised approach, where process output
related key performance indicators (KPI’s) linked to critical success factors KSF’s) are measured, and
benefits of strategic importance appraised and reviewed.

Council Members: Chairperson: Mr Sekhopi Malebo (Chairperson) PGDipPM (Cranefield); Prof Simon Maimela BA, MA, PhD (Harvard); Dr Joyce Matube BA(SS), BA (Hons), MA(SS),
DPhil (Social Work); Dr Stanley Mpofu MComPM (Cranefield), PhD (Wits); Prof Raymond Parsons BCom, BA(Hons), DCom (hc), F.Ist.D;
Sinnah Ramakhula PGDipPM (Cranefield) BA Soc, MBA; Prof Erik Schmikl MA, MBL, DLitt et Phil, ITP (Harvard);
Principal: Prof Pieter Steyn (Principal) Pr Eng, BSc Eng, MBA, DCom
Cranefield College (Pty) Ltd – Administration: Cranefield House, 569 Rossouw Street, The Willows, Pretoria, Gauteng, 0184
Tel: +27 (0)12 807 3990, Fax: +27 (0)12 807 5559, Email: [email protected], Website: www.cranefield.ac.za
Main Auditorium: No 1 Second Road, MBA Conference Centre Complex, Midrand, Gauteng, South Africa.
Cranefield College, P O Box 70591, The Willows, 0041.
Reg. No: 1998/020558/07
"Registered with the Department of Education as a private higher education institution under the Higher Education Act, 1997, Registration Certificate No. 2000/HE 07/010."
 Learning Outcomes:

 On completion of this course you should be able to demonstrate the following generic and subject-
specific competencies:

Generic:

 Have a comprehensive knowledge and understanding of functional and cross-functional operations

Specific:

 Contextualise operations management and distinguish between the organizational value chain, chains of
customers and their basic requirements, as also, the supply chains and associated procurement and
logistics actions.
 Comprehend that a total quality management (TQM) philosophy is derived from the guiding principles of
the organisation’s value system and constitutes having a customer focus, ongoing continuous
improvement actions, empowering individuals and teams, and finally, following a systems approach in
the value chain based on measuring benefits of strategic importance that lead to appraisals and reviews.
 Define operations strategy as having a process component and an infra-structure component consisting
of human talent and information architecture, as also, aligning operations strategy with corporate
strategy based on the principles of operations management.
 Distinguish between cross-functional processes serving internal customers and those serving external
customers.
 Recognise that strategic transformation-, innovative continuous improvement- (including product
development and commercialization), capital expenditure (investment) project-portfolios; procurement;
demand management and capacity planning; and manufacturing flow management constitute cross-
functional processes serving internal customers.
 Recognise that project-portfolios serving market based clients; order fulfillment; customer relationship
management (CRM); and customer service management (CSM) constitute cross-functional processes
serving external customers.
 Master the quality imperative and how knowledge of process capability in the design of products,
services and processes lead to quality excellence, as also, effective and efficient process control and
improvement.

Council Members: Chairperson: Mr Sekhopi Malebo (Chairperson) PGDipPM (Cranefield); Prof Simon Maimela BA, MA, PhD (Harvard); Dr Joyce Matube BA(SS), BA (Hons), MA(SS),
DPhil (Social Work); Dr Stanley Mpofu MComPM (Cranefield), PhD (Wits); Prof Raymond Parsons BCom, BA(Hons), DCom (hc), F.Ist.D;
Sinnah Ramakhula PGDipPM (Cranefield) BA Soc, MBA; Prof Erik Schmikl MA, MBL, DLitt et Phil, ITP (Harvard);
Principal: Prof Pieter Steyn (Principal) Pr Eng, BSc Eng, MBA, DCom
Cranefield College (Pty) Ltd – Administration: Cranefield House, 569 Rossouw Street, The Willows, Pretoria, Gauteng, 0184
Tel: +27 (0)12 807 3990, Fax: +27 (0)12 807 5559, Email: [email protected], Website: www.cranefield.ac.za
Main Auditorium: No 1 Second Road, MBA Conference Centre Complex, Midrand, Gauteng, South Africa.
Cranefield College, P O Box 70591, The Willows, 0041.
Reg. No: 1998/020558/07
"Registered with the Department of Education as a private higher education institution under the Higher Education Act, 1997, Registration Certificate No. 2000/HE 07/010."