Emba Pom Syllabus

International Academy of Management and Economics Noli Santos International Tower, 1061 Metropolitan Ave. San Antonio Village Makati City, Philippines

MASTER IN BUSINESS ADMINISTRATION EMBA PROGRAM

COURSE SYLLABUS

BUS 502: Production and Operations Management

Professor: Pedrito A. Salvador E-mail Address: [email protected] Cell No. 63 09173882477

International Academy of Management and Economics Noli Santos International Tower, 1061 Metropolitan Ave. San Antonio Village Makati City, Philippines

EMBA POM SYLLABUS

Course Name: Production and Operations Management Professor: Pedrito A. Salvador E-mail Address: [email protected] Cell No. 63 09173882477

Course Description: The operations function is the heart of any business and as such is central to the success or failure of organizations. This course therefore aims to provide students with a valuable opportunity to gain an understanding of the theory and practice of organization’s management and to explore the increasingly vital role technology and innovation has to play in the operations management of the firm. Operations management is concerned with how organizations produce goods and services. Since the production of goods and services is the reason why organization exists, it is clear that the effective and efficient management of operations is a concern for all managers. This is regardless of the size or sector location of their organization. Managers should be able to create and maintain the necessary conditions for productive work, often in a climate of resource constraints and increasingly in a global context.

Course Objectives: After completing this course, students will be expected to be able to: Understand the theory and practice of operations management in both manufacturing and services. Develop a critical understanding of production technology and its significance for the innovating firm. Develop through discussion and debate, reasoning skills applicable to a range of technological and operational issues as provided in the assigned group case studies. Understand the social basis of production and changes in the division of labor. Appreciate information technology and its significance in the organization of production.

Key Students Skills: Communication Working with others Self Discipline Improving own learning and performance Information Technology Skills Numerical and Problem Solving Course Teaching and Learning Methods: Home Study Lecture Class Discussion Group/Student Case Presentation Video Clip Showing Special Project Research Course Resources: Textbook: Operations Management 8/e Principles of Operations Management 6/e Jay Heizer and Barry Render

Reference Books and Authors: Operations Management 1 .Aquilano, Chase Jacobs, 10/e 2. Stevenson, 10/e 3. James Evans, 5/e 4. Krajewski/Ritzman, 6/e 5. Brown et al 1/e Reference Web Sites: www.mhhe.com/pom : www.poms.org Prerequisites: OM, HRM, Managerial Statistics

Student Performance Measurement: Criteria

% Distribution

Attendance/Punctuality Student Case Analysis Group/Student Case Presentation Case Discussion/Participation Special Project

15 15 20 25 25 Total:

Grading

97-100…1.0 94-96…..1.25 91-93…..1.5 88-90…. 1.75 85-87…. 2.0 < 85…..5.0

100%

Course Guidelines:

1. Each student shall work on his own through home study of the POM topics as specified on the succeeding course schedule. Additional readings from other reference books and magazines or internet resources are highly recommended. This is for the student to master the detailed meanings of concepts and principles of POM 2. Assigned group/student shall work and present to the class the theory used and case analysis of the case studies provided in the syllabus. A copy of the case analysis and solution shall be submitted before the presentation. The Kepner and Tregoe method of case analysis and solution recommendation shall be used. Use of innovative PowerPoint presentation is encouraged. 3. Each non-presenting member of the class shall submit three-page theoretical summary of assigned topic and his own analysis of the assigned group case using also the KT method. It is expected that non-presenters shall use this report to challenge the analysis and solution of the assigned group. This is the basis of class participation. No late case study report shall be accepted. 4. Each student shall be required to undertake a special project during the course process. Special project aims to study and analyze business problems arising from the operation of an actual local service or a manufacturing company. The student shall submit a complete analysis and recommendation of the resolution of the problem. Use of KT format and inclusion of company introduction and background that leads to the formation of the major problem must be included. The problem might be related to one or more of the topics that we have studied and discussed from the course and shall be submitted at the end of the session. 5. Highest possible grade for any late special project report shall be 2.0.

Course Activities and Schedule: Session Activities 1.0

2.0

Teaching Method

Responsibility

Class Organization Course Definition Project Definition Student Performance Guidelines Course Activities/Schedule Case Analysis Format Case Study Method

Discussion

Professor

Operations Environment and Productivity

Lecture

Professor

Operations Strategy for Lecture Competitive Advantage/ Operations in a Global Environment

Professor

Video Clip: 3L Mfg. Company 3.0 Project Management Case Study: Denver International Airport

Class Discussion

Group 1

Describes the events surrounding the construction of the BAE baggage-handling system at the Denver International Airport. It looks specifically at project management, including decisions regarding budget, scheduling, and the overall management structure. Also examines the airport's attempt to work with a great number of outside contractors, including BAE, and coordinate them into a productive whole, while under considerable political pressures. Approaches the project from the point of view of BAE's management, which struggles to fulfill its contract, work well with project management and other contractors, and deal with supply, scheduling, and engineering difficulties.

4.0 Forecasting Case Study: The Launch of Hong Kong VOD

Class Discussion

Group 2

In March 1998, Hong Kong Telecom's Interactive Multimedia Services (IMS) unit launched the world's first commercial Video-on-Demand (VOD) system. Worldwide interest resulted from the implementation of the world's first commercial VOD system – an expensive hightechnology service for which consumer demand had yet to be proven – and from the launching of the first generation of interactive television (iTV) systems. In taking the new technology to market, how should IMS generate demand for the service, and how could it forecast technological adoption rates? What was the role of the government in regulating the new business environment? And what issues were associated with such large and long-term capital investments? This case asks students to examine the forecasting behind a new technology, discuss how to redefine business scope in a changing environment, and critically assess the concept of a "killer application" strategy in providing new IT services.

5.0 `

Managing Quality/Statistical Process Control

Case Study: General Electric

Class Discussion

Group 3

Jack Welch and the Corporate Executive Council of GE are faced with a decision about whether and how to implement a six sigma quality improvement effort in the context of many other initiatives already undertaken at GE in recent years.

Links: www.asq.org www.juran.com www.deming.com Video Clip: Motorola Six Sigma 6.0 Process Strategy and Capacity Planning Case Study: Align Technology Inc. Class Discussion

Group 4

Align Technology is a four-year-old medical products company that has invented a new product that requires new manufacturing processes. Demand for the new product has grown more slowly than initial forecasts predicted, and the cost structure is preventing the company from becoming profitable. The manufacturing process involves six different operations, located in California, Pakistan, and Mexico. The first dilemma requires downsizing the capacity until the demand grows. Increasing capacity in the future requires consideration of the time lags, costs, and incremental units of added capacity inherent in each of the six processes. Given the uncertainty of accurate sales forecasts as the company carries out new marketing initiatives, the manufacturing organization has been challenged to create a capacity plan to meet demand while lowering its fixed costs. Teaching Purpose: Analyzing and planning production capacity for a multiprocess and multilocation operation.

7.0 Location/Layout Strategy Case Study: Toshiba Ome Works.

Class Discussion

Group 1

In 1995, Toshiba was the market leader in portable computer sales worldwide. This case describes the assembly of portable notebook computers in Toshiba's Ome factory in Ome, Japan, providing insights into some of the reasons for Toshiba's success. In addition to describing production techniques such as dynamic line balancing, this case probes the nature of the Japanese workforce and the unique problems faced by Japanese businesses. Teaches best practices: design of efficient assembly operations, design of worker tasks; and analysis: belt driven assembly, cycle time, idle time, line balancing.

8.0 Supply- Chain Management Case Study: Electronic Company Distributors Video Clip: Macola Software

Class Discussion

Group 2

Discusses the role of distribution intermediaries in the electronic components industry, and describes operations at two of these distributors. Serves as a vehicle to discuss the functions provided by distributors in the channel. Lets students understand the differences between these distributors and discuss how each of them is going to deal with issues like consolidation and

the rapid growth of the Internet. Also introduces students to the complexity of managing operations at a small distributor.

9.0 Inventory Management Case Study: Blanchard Importing and Distributing Co. Inc

. Class Discussion

Group 3

Illustrates the two main types of errors resulting from use of the economic order quantity (EOQ) as a tool in production scheduling. Designed to permit class discussion to begin with a consideration of one common type of mistake, errors in calculation of the EOQ volume resulting from use of incorrect data for the input parameters of the formula. The analysis can then shift to a more general discussion of the second type of error, the misapplication of EOQ and reorder point (ROP) techniques to a given system. Class discussion can conclude with student recommendations of alternative techniques that may be better suited to the Blanchard operation than the EOQ/ROP method.

10.0 Material Requirements Planning/ERP Case Study: Tekronix, Inc. Class Discussion

Group 4

Enterprise Resource Planning (ERP) solution in its three global business divisions. This case tells the story of three implementations, each with its own character and requirements. Tektronix managers needed to synchronize the requirements of each division with the company's overall need to standardize business practices and its desire to adhere to a common business model across the enterprise. Details the difficulty of major business change in a mature business and technical environment. 11.0 Special Project Presentation

Class discussion

2 Groups/ 2 Students

Case Method of Instruction General Objectives 1.0 Case method of study is a very effective method in improving an individual’s ability to analyze a situation, establish premises, arrive at valid conclusions, decide on courses of action and visualize consequences and results. 2.0 The method is intended to expose students to business problems in a real setting. It enhances the dimensions of written and oral communications, judgments, stress tolerance, human relations, leadership, effective presentation and defense strategies. 3.0 It teaches students to recognize the underlying elements inherent in any business dilemma and to formulate solution in spite of the built-in limitations and contradiction. 4.0 It inevitably brings the priorities and concerns of several disciplines into focus. It develops managers with generalist perspectives through analytical and integrative thinking. 5.0 The method gives challenging exercises in personal interaction, becoming a training ground for students to develop the techniques of cooperative teamwork so essential to success in the corporate world. 6.0 It gives enough and adequate experience to students regarding ability to debate, to respond smoothly under pressure and criticisms, unlimited sharing of perceptions, impressions and work-related experiences with other students, that are all vital to succeed in the world of business ,economic, political, military and government bureaucracy. Finally, the purpose of case analysis is to teach students how to think, to exercise his power of analysis, logic, and his decision-making ability.

Case Presentation Guidelines Kepner and Tregoe Model 1.0 All presentation will be done in a manner that will simulate actual business presentation, i.e. use of overhead projector, in-focus projector, laptop, video showing etc. 2.0 Time allotment Presentation: Theory Used - 45 min. Case Analysis - 45 min. Break - 10 min. Class Discussion - 40 min. Recapitulation - 40 min. 3.0 Case Analysis Format I. Point of View Viewpoint shall be a decision maker. He can be the Production Manager, Operations Director or VP Manufacturing and Chief Operating Officer. Management Consultant, expert in operations can also assume the point of view. II. Definition of Problem Major problem only, not minor or symptoms III. Statement of Objectives Must - Objectives that are measurable in terms of time, cost, efficiency, and productivity. Wants - Objectives that are qualitative in nature. IV. Areas of Consideration All factors that causes or leads to the formation of problem and its effects. Organization, financial, cost and market characteristics, technology, product design, production systems, work environment, logistics systems etc. Statement of SWOT can also be considered.

V. Alternative Courses of Action 1.0 Alternatives that is mutually exclusive or independent to one another. 2.0 Each alternative shall be a possible solution to the problem, workable and can be implemented. 3.0 Each alternative is strengthened by advantages and weakened by disadvantages. 4.0 Refrain from status quo. VI. Recommendation Alternative that characterizes factors that will resolve the problem. This means, it has the highest number of advantages and lowest number of disadvantages. VII. Plan of Action These are activities needed to implement and strengthens the chosen alternative measured by time and who is responsible. VIII. Potential Problem Analysis Anticipated problems are assessed as a result or due to an effect of the action plans generated. IX. Fallback Analysis Corrective Measures to arrest potential problems. 3.0 Respect the assigned group during presentation of their report and analysis. 4.0 Everyone is encouraged to react and challenge the presenting group pertaining to the analysis and solutions they have generated. 5.0 Avoid non-relevant questions during question and answer portion. 6.0 Every student is a professional and possesses an ethical attitude. End

Pedrito A. Salvador Professional Background Prof. Ped Salvador is presently connected with International Academy of Management and Economics as a Professorial Lecturer, teaching Operations Management. Project Management, Business Calculus, Management Science, Multicultural Management, Global Management and Applied Statistics .He was also been a part time lecturer at DLSU- Dasmarinas, Cavite and Jose Rizal University handling industrial management and operations management subjects. He also works as an operations consultant and trainer for various clients in CALABARZON specializing in quality, work efficiency, cost reduction and productivity improvement. He also served as a member of Board of Governor of Philippine Council of Management and committee chair of professional development. He has with him wealth of experience from more than twenty years exposure in manufacturing operations. He served as a senior manager of production ,quality, logistics, maintenance, and engineering from noted electronics companies in the like of Magnetron Technology Corp.(subsidiary of Electronic Gruffen of Sweden), Philake Metal Corp.(Taiwanese Aluminum Heat Sink Co.),Amkor Anam( South Korean/American Semiconductor Co.) and Integrated Microelectronics Inc.( FilipinoAyala owned Semiconductor Co.). He has been exposed and acquired various training in the different lines of operations management specifically in the field of Manufacturing Engineering, Project Management, IT/ Kaizen/5S,Statistical Process Control, Total Quality Management, Total Productive Maintenance, Supply Chain Management, ISO 9000/14000, Design of Experiments, Six Sigma Quality ,Forecasting and Inventory Management. He was also able to conduct a lot of customer visits, supplier quality audits, attended Electronics trade fairs and conferences from Vallingby, Sweden; Tallinn, Estonia; Munich, Geislingen, Reutlingen,West Germany; Tokyo Japan, Hong Kong, Singapore and Kaohsiung, Taiwan. Professor Ped Salvador finished his B.S. Chemical Engineering from MIT, Manila, and Master in Business Administration from PCU, Manila and Ph.D. in Management from International University Foundation Inc. (currently known today as International Academy of Management and Economics, IAME) Makati City, Philippines.