Course Title Introduction to Operations Management

Course Length Six weeks (24 contact hours)

Audience Start-ups, entrepreneurs and entry level professionals

Language of Instruction Material is in English. Explanation and discussions are in English & Urdu.

Course Description

In this course students will focus on:

 Operations Management (OM) manifests a dominant role in an organization for converting inputs into outputs.
 Selection of product / service
 Product/ Service and Process Design selection through forecasting
 Kano’s Design Elements of quality with regard to customers' perceptions and needs.
 Robust design, Reliability and Taguchi's approach.
 Design for Standardization , Customization and Mass Customization ,
 Determination of Capacity - Long-term and Short-term through Forecasting.
 Economic viability through break even analysis, Step Costs
 Process choice and facility layout
 Variety Volume Trade-off
Human Contact and Customization in Product and especially Service Design
 Becoming more responsive to the Customers' needs by adopting Cellular Layouts - clinching simultaneously the benefits of customization of a Job
Shop and Efficiency/ Low costs of Repetitive Assembly Lines

Module Learning Outcomes

By the end of this course, the students should be able to know:

LO1:  Pivotal role of Operations Management (OM) in an organization. Converting tangible inputs into outputs through process.
LO2:  How organizational decisions trickle down in the hierarchy - from Organizational to Functional.
 Developing Quality Parameters and adhering to them.
 Evaluating Departments through various measures of Productivity.
 Managing an effective Supply Chain.

LO3:  Developing Reliable Products through Robust Design.

 Being responsive to customers' needs through smart measures Mass Customization Modular Design. Delayed Differentiation etc.

LO4:  Determining Long-term Capacity Requirements through forecasting.

 Matching Capacity with economic viability through Break Even Analysis.
 Addressing day-to-day capacity issues through Revenue Management.

LO5:  Standardization vs Customization.

 Volume Variety trade-off.
 How Variability and Volatility in demand help determine Process Selection.

LO6:  Process Selection and Facility Layout are not only interdependent but their best combination can set the path to the organization's
success and be responsive to market needs with agility.

Lecture Module Name Key Concepts/Topics Covered

1 Lecture 01:
 What is Operations Management (OM)? Highlighting the line function in the Organization Structure.
 Production of goods and provision of services.
Operations  Difference between Tangible goods and intangible services.
Management -an
2 Introduction Lecture 02:
 Ensuring raw materials availability, scheduling and converting inputs into outputs through production
processes: merging electronic technology with operations management for Customer Ease and.
Convenience and Operations Productivity
3 Lecture 03:
 Assessing External and Internal Factors. How can an organization become more competitive through
adoption of SWOT Analysis?
 How Decisions are Hierarchical - Top Down
 Every individual function in an organization helps achieve competitiveness - HRM, Finance, Purchase,
IT, Marketing.
 Which function contributes the most towards accomplishing Organizational Productivity?
SWOT Analysis and
4 Productivity Lesson 04:
 Who establishes Productivity Standards and Calibrations?
 The Industry and Trade Standards are established to be followed by manufacturers or service providers.
 The Regulatory Body, if present, also plays a leading role.
 Product Profiling - matching the needs of the market with organization's production capabilities.
 Productivity Metrics: multifactor productivity, total productivity, growth in productivity.
 Handy reckoner for Operations Performance:
 Labour, Machine, Capital, Energy, Space Productivities

5 Lecture 05:
 Manufacturability and Serviceability
 Service : Service Delivery System, Product Bundle, Service Package
 Robust Design ‘
 Kano Model - Design Quality Elements
 Robust Design, Reliability under Normal Operating Conditions and
 Taguchi's Approach
Product and Service  Making Resource Sales - Warranties
Design  Phases in Production Design and Development - from Feasibility
 Analysis to Product Introduction to Follow-up Evaluation
 Designing for Production: R&D - Basic , Applied and Development

6 Lecture 06:
 Reverse Engineering and Leapfrogging
 Concurrent Engineering
 Why are services more customized than products?
  DFM, DFA, DFD, DFR and the 3 R's
 Reduce (Value Analysis), Refurbish/Remanufacture and Recycle
 Cradle to Grave Assessment and End of Life (EOL) Program

7 Lecture 07:
 Product Life Cycle (PLC) Management
 Degree of Standardization vs. Degree of Customization
 Designing for Mass Customization - Modular Design, Delayed Differentiation, Under the skin
Standardization

8 Lecture 08:
 Capital Intensity Labour Intensity Ratio
 Variety Volume Trade off
 Measuring Capacity - Designed Capacity, Utilization, Efficiency, Effective Capacity
 Forecasting for the Long Term Capacity Requirements

9 Lecture 09:
 Long Term Capacity Considerations
 Flexibility of Variety and Volume, Life Cycle (PLC) Stage, Systems Approach, Chunk Burden,
Capacity Smoothing Out seasonal idle capacity,
Determination Optimum Capacity, Incremental or Big Bang Capacity Expansion.

10 Lecture 10:
 Matching Capacity Requirement with Economic Viability through Break Even Analysis and Step Costs
 Profitability calculation through Cost Volume Analysis
 Managing Capacity - Day to day Operations through Forecasting and Revenue Management/Yield
Management - managing Seasonal Volatility in demand
 Evaluating Outsourcing – Make or Buy Decision
 Industries/Businesses facing dilemma of Excess and Idle Capacity: Health Care, Automobiles, Telecom,
Airlines, Hospitality.

11 Process Selection Lecture 11:

 Process Choice
 Job Shop, Batches, Repetitive, Continuous, Projects.
  Is it important to follow the above sequence of adoption of Process Degree of Customization and Degree
of Standardization?
 Variety Volume Trade off

12 Facility Layout Lecture 12:

 The two ends of the continuum - Process (Functional) Layout - Product (Sequential) Layout
 Comparison between Functional Layout and Cellular Layout
Advantages of Cellular Layout over Job Shop - a Process Layout
 Why would a shift from a Functional Layout to Cellular Layout occur?
 As of today which of the following would be the most cost-effective, flexible and responsive layouts on
the market:
Process Layout, Cellular Layout, and Flexible Manufacturing System.
Due Diligence conducted/certain table stakes to be fulfilled before opting for Cellular Layout