UNIVERSITY OF TECHNOLOGY, JAMAICA
SYLLABUS OUTLINE
COLLEGE Business and Management
SCHOOL/DEPT School of Business Administration/Production and Operations
Management
COURSE OF STUDY Bachelor of Business Administration
LEVEL 3
MODULE TITLE Advanced Operations Management
MODULE CODE POM 3008
DURATION (Hours) 45 hours
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CREDIT VALUE 3
PREREQUISITES Introduction to Production Operations Management (POM 3001)
1.0 MODULE DESCRIPTION
This module is designed to introduce students to the topics and techniques necessary for
solving problems in the planning and controlling of manufacturing and service
operations. Specifically it seeks to develop the students’ knowledge of forecasting,
production planning, master scheduling, materials requirement planning, inventory
planning and world class manufacturing principles.
2.0 MODULE OBJECTIVES/LEARNING OUTCOMES
General Objectives
Upon completion of the module, the student should be able to:
At the end of this course students should be able to
1 Devise optimal inventory policies for different types of inventory
2 Determine appropriate forecasting techniques for varying time horizons
3 Execute the production planning process
4 Plan independent and dependent material requirements to meet the Master
Production Schedule.
5 Design reliability into productive systems
6 Determine the best maintenance systems to facilitate maximum efficiency of plant
at minimum cost.
7 Manage the flow of jobs using appropriate scheduling rules
3.0 MODULE CONTENT AND CONTEXT
Unit-1 Forecasting – Weeks 6 hours
Specific Objectives
At the end of this unit students should be able to:
1) Assess the strategic importance of forecasting to a business’ success
2) Discuss three time horizons for forecasting demand for a business
3) Recommend the use of suitable qualitative forecasting models
4) Compute a forecast for a given variable using naïve, moving averages, exponential,
seasonal or trend methods
5) Employ the use of a tracking signal
i. Defining forecasting
Forecasting time horizons
Types of forecasts
ii. The strategic importance of forecasting
iii. Seven steps in forecasting system
iv. Forecasting approaches
Overview of qualitative approaches
Overview of quantitative approaches
v. Exponential smoothing with trend adjustment
vi. Seasonal variations in data
vii. Monitoring and controlling forecasts – Tracking signal
viii. Forecasting in the service sector
Unit-2 Inventory Management – 6 hours
Specific Objectives
At the end of this unit students should be able to:
1) Prioritize independent demand stocks according to ABC analysis
2) Devise stock verification policies based on cycle counting
3) Recommend Economic Order Quantity for independent demand inventory
4) Choose an appropriate reorder point for independent demand inventory
5) Compute safety stock for independent demand inventory
6) Apply the production order quantity model to the appropriate situation
7) Calculate the appropriate purchase quantity using the quantity discount model
8) Use the appropriate probabilistic inventory model to determine a suitable inventory policy
i. The importance of inventory
ii. Managing Inventory
ABC analysis
Cycle counting
iii. Review of Inventory Models for Independent Demand
EOQ
POQ
iv. Probabilistic Models and Safety Stock
ROP for unknown demand
ROP for unknown demand and given service level
v. Single Period Inventory Model
vii. Fixed Period (Periodic Review) Inventory Model
Unit-3 Sales and Aggregate Planning – 6 hours
Specific Objectives
At the end of this unit students should be able to:
1) Explain the concept of aggregate planning
2) Prepare a graphical aggregate plan
3) Assess strategies for developing aggregate plans
4) Setup/solve optimal aggregate plans via the transportation method of linear programming
i. Defining sales and aggregate planning
ii. Overview of sales and planning activities
iii. The Aggregate operations Plan
Production rate
Workforce level
Inventory on hand
Production planning strategies
Subcontracting
Relevant costs
iv. Aggregate Planning Strategies
Demand options
Capacity options
Cut and try/chase strategy
Level scheduling
Transportation method
Unit-4 Material Requirement Planning– 9 hours
Specific Objectives
At the end of this unit students should be able to:
1) Diagram a product structure
2) Build a gross and net requirement plan
3) Calculate lot sizes for lot-for-lot, EOQ and PPB
4) Discuss two extensions of MRP
5) Examine the use of MRP
6) Assess the use of MRP in services
i. Material requirement planning (MRP) defined
Purposes of MRP
Objectives of MRP
Philosophy of MRP
Where MRP can be used
ii. Manufacturing resource planning (MRPII) defined
iii. A simple MRP example
Explain how quantities are calculated
Explain how lead times are offset
Explain how order releases and receipts are established
iv. Material requirements planning system structure
Demand for products
Bill of materials file
Inventory records file
General description of the MRP explosion process
v. An Example Using MRP
Forecasting demand
Developing a master production school
Bill of materials (product structure) file
Inventory records (item master file)
Performing the MRP (logic of the MRP computer program)
vi. Overview of Lot-sizing techniques in MRP systems
Lot-for-lot
Part period balancing (PPB)
Economic part period (EPP)
Economic Order quantity (EOQ)
Unit-5 Short Term Scheduling – 3 hours
Specific Objectives
At the end of this unit students should be able to:
1) Synthesize the relationship between short-term scheduling, capacity planning, aggregate
planning and master schedule
2) Employ the assignment method of assigning jobs to resources
3) Choose jobs using each of the priority sequencing rules
4) Construct a Job schedule using Johnson’s Rule
5) Validate finite capacity scheduling
6) Apply cyclical scheduling techniques
i. The importance of short-term scheduling
ii. Loading jobs
iii. Sequencing jobs
iv. Finite capacity scheduling
v. Scheduling services
Unit-6 Maintenance and Reliability– 3 hours
Specific Objectives
At the end of this unit students should be able to:
1) Discuss the strategic importance of maintenance and relaibilty
2) Establish system reliability
3) Assess mean time between failures (MTBF)
4) Differentiate between preventative and breakdown maintenance
5) Choose a maintenance plan based on preventative and maintenance costs
6) Explain autonomous maintenance
i. The strategic importance of maintenance and reliability
ii. Reliability
iii. Maintenance
iv. Techniques for enhancing maintenance
4.0 LEARNING AND TEACHING APPROACH
i. Lecture – Impart to students core information on various units outlined above.
Usually done in a face to face format in the classroom.
ii. Discussions – Usually conducted in tutorial sessions to ensure that students gain
knowledge from lecture sessions, and are able to apply
principles to real world problems. In areas of weaknesses,
knowledge is reinforced.
iii. Case Analyses – This provides students with opportunities to identify, analyze, and
recommend solutions to real world problems.
iv. Problem Solving – a class format in which the lecturer provides a structured
context for students working collaboratively to solve
problems.
v. Independent Learning – is a learning environment where students are actively
engaged in mastering module content and in
developing essential skills by working
independently or in self-managed teams. Oral and/or
written reports are submitted to the lecturer to
ensure coverage of the material.
vi. Projects – students, organized in groups or independently, conduct research on
various topics from material presented for submission to lecturer
for assessment.
vii. Textbook Reading – Students should review chapter(s) and lecture material prior to
the lecture.
5.0 ASSESSMENT PROCEDURES
Mid-module Test 25%
Project 25%
Final Exam 50%
Total 100%
6.0 BREAKDOWN OF HOURS
Classroom/Lectures – 13 hours
Tutorial – 26 hours
Assessment - 6 hours
7.0 TEXTBOOK REFERENCES
Required Text:
Jay Heizer and Barry Render, Operations Management, 10th edition, Pearson Prentice Hall,
Recommended Books:
J.R. (Tony) Arnold, Stephen N. Chapman, and Lloyd M. Clive, Introduction to Materials
Management, 6th edition, Pearson Prentice Hall,
Additional Readings:
Related Operations Management Texts
8.0 NAME OF SYLLABUS WRITER/DEVELOPER
Alexis Hewitt
9.0 DATE OF PRESENTATION OR REVISION
June 20th, 2012
10.0 DATE OF ACCEPTANCE
___________________________ ______________
Programme Director Date
_______________________________________ ______________
Office of Curriculum Development & Evaluation Date