COURSE OUTLINE – PRODUCTION OPERATIONS MANAGEMENT

DC SCHOOL OF MANAGEMENT

Course Objective: At the end of the subject, students will have understanding of
designing, organizing, scheduling and controlling the production / operation of
organisations. He / she will also be able to understand implications of production /
operations functions to other functions and vice-versa and also the strategic significance
of this function in the present day business context.

Duration of the Course: 30 Hours to be competed in 10 days from 06 to 15 Nov 08.

SESSION PLAN

Day 1 (3 Hours)

1. Introduction to Production and Operations Management

(a) Products and Services

(b) The Product – Process continuum
(c) The transformation process
(d) Product Design – Concepts
(e) Process Design – Types of processes and its characteristics

2. Facility Capacity Planning

(a) Need for capacity planning

(b) Types of capacity
(c) Ways of increasing effective capacity
(d) Role of forecasting in capacity planning
(e) Optimal capacity determination
(f) Strategic capacity planning as a key to competitiveness
(g) Decision tree analysis in facility capacity planning

3. Case - Indian Textile Industry

Day 2 (3 Hours)

4. Facility Location Planning

(a) Consequences of improper location planning

(b) Steps in facility location planning
(c) Operations strategies for multiple facilities
(d) Factors affecting facility location planning
 (e) Factor and Location rating
(f) Break Even analysis for facility location planning
(g) Simple Median Model
(h) Centre of Gravity method

5. Case – Tata’s dream car plant location

6. Facility Layout Planning

(a) Product Layout – Advantages and Disadvantages

(b) Designing and balancing Assembly Lines
(c) Process Layout - Advantages and Disadvantages
(d) Load – Distance Analysis in Process Layout
(e) Fixed Position Layout
(f) Cellular layout and Group Technology

7. Case – Maruti Udyog – Challenge 50 and Honda’s Mixed Model Assembly Lines

Day 3 (3 Hours)

8. Work Study, Method Study and Work Measurement

(a) Work Design

(b) Job design – Method Analysis, Job Enlargement, Rotation and
Enrichment, Principles of motion economy
(c) Work Measurement – Stopwatch Time study / Work Sampling
(d) Method Study

(i) Flow Process Chart

(ii) Employee – Machine Activity chart

9. Case – Taj Hotels

10. Project Management

(a) Network protocol and diagram

(b) CPM
(c) PERT
(d) Crashing of a project
(e) Resource Leveling

11. Case – E.Sreedharan and the Delhi Metro Rail Project

Day 4 & 5 (6 Hours)

12. Inventory Management

(a) Uses of inventory

(b) Costs associated with inventory
(c) Inventory Management systems

(i) Independent Demand IMS

(aa) For retailers

(bb) For Manufacturers

(ii) Dependent Demand IMS

(aa) MRP System

(bb) JIT System
(cc) Hybrid MRP-JIT System

(d) Classification of inventory

(e) Basic EOQ Model

(i) EOQ with quantity discount

(ii) EOQ with differential discount
(iii) EOQ with safety stock

(f) Material Resource Planning

(i) Calculation of order size in MRP

(aa) Lot for Lot method

(ab) EOQ Method
(ac) Least Total Cost Method
(ad) Least Unit cost method

(g) SCM concepts

Day 6 & 7 (6 Hours)

13. Overview of the operations scheduling and planning system

(a) Output planning

(i) Aggregate output planning

(ii) MPS
 (iii) MRP
(iv) Loading
(v) Sequencing
(vi) Detailed Scheduling
(vii) Expediting

(b) Capacity Planning

(i) Aggregate Capacity Planning

(ii) Rough-Cut Capacity Planning
(iii) Detailed capacity Planning
(iv) Short Term Capacity Control

(c) Aggregate Planning Process

(i) Concept of aggregation

(ii) Goals of aggregate planning
(iii) Strategies for aggregate planning

(aa) Three pure planning strategies

(ab) Steps in effective aggregate planning
(ac) Graphical method for aggregate output planning

14. Operations Scheduling

(a) Sequencing n jobs on one machine

(i) FCFS Method

(ii) EDD Method
(iii) SPT Method
(iv) Random Method
(v) LCFS Method

(b) Sequencing n jobs on 2,3 & m machines

(i) In the same job sequence

(ii) Johnson’s method

(c) Assigning n jobs to m machines

(i) Assignment model

15. Case – IndoChem

Day 8 & 9 (6 hours)

16. Cost of Quality

17. Total Quality Management

18. ISO 9000

19. Statistical Process Control

(a) Control Charts for Variables

(i) X Chart
(ii) R Chat

(b) Control Charts for Attributes

(i) p chart
(ii) c chart

(c) Acceptance Sampling and OC curves

20. Total Productive Maintenance

21. Value Analysis – Tata small car (Nano)

Day 10 (3 Hours)

22. Presentation by student syndicates (20 Minutes each). Class to be divided into 6
syndicates of 10 students each.

(a) World Class Manufacturing - Indian Scenario

(b) Kaizen
(c) Six Sigma
(d) Kan Ban
(e) Lean Production System
(f) Flexible Manufacturing

Internal Assessment

(a) Participation in the class

(b) Syndicate Presentation
(c) Case presentation

Reference Books
1. Modern Production and Operations Management : Elwood S, Buffa, Rakesh K.
Sarin, John Wiley & Sons eighth edition

2. Production and Operation Management : Everette, Adam Jr. Ronald J Ebert,

Prentice Hall of India fifth edition

3. Production and Operations Management :Kanishka Bedi, Oxford University Press

second edition