POST GRADUATE PROGRAMME IN MANAGEMENT

AY2015-16
TERM: II
TITLE OF THE COURSE: OPERATIONS MANAGEMENT- II
CREDITS: 3
Name of the Faculty
Prof. Omkar D. Palsule Desai
Prof. Sanjay Choudhari
Prof. Saurabh Chandra
Prof. Vinaysingh Chawan

Faculty Blok/
Room No.
C - 107
C - 105
A - 207
B - 201

Email

Telephone
Number
omkardpd@iimidr.ac.in +91-731-2439567
sanjayc@iimidr.ac.in
+91-731-2439577
saurabh@iimidr.ac.in
+91-731-2439530
vinaysingh@iimidr.ac.in +91-731-2439545

COURSE DESCRIPTION
Operations Management (OM) deals with the management of resources in the production of
goods and services. This course demonstrates various managerial challenges posed in
operational decision making in diverse settings. It provides the participants perspectives in
management of operations and develops the ability to take operations decisions analytically.
Moreover, it also provides understanding of the role of operations and its link to external
environment in developing competitiveness.
COURSE OBJECTIVES
1) Building analytical decision perspective to address short, medium and long term planning
and control issues in manufacturing and service operations.
2) Developing the ability to use well-established practices of operations in manufacturing
and service organization.
3) Exploring the role of world -class practices in operations from strategic and tactical
perspectives.
4) Examining and linking firms internal operations to external environment in order to
develop competitive advantage.
PEDAGOGY/TEACHING METHOD:
Mix of lectures, cases, discussions and class exercises.
Text Book for OM Course
Chase, R. B., Shankar, R. and Jacobs, F.R., 2014, Operations and Supply Management, 14th edition,
McGraw-Hill Education, New Delhi. (CSJ)

LEARNING OUTCOMES
At the end of the course student is expected to accomplish the following learning outcomes
(CLO). Alignment of CLO with the Programme Level Goals & Objectives and Assessment of the
learning outcomes of the course is presented below.

Course Learning Outcome

1. Building analytical
decision perspective to
address short, medium and
long term planning and
control issues

Program Level Goals/ Outcome

3.2 Uses available information
and suggested sources

Assessment Tool(s)
Embedded Question(s) in Quiz
and End-Term

3.4 Evolves ones own

perspective or takes a position /
makes judgement
7.1 Identifies the right set of
data with correct calculations to
facilitate decision making in
business

2. Ability to use wellestablished practices of

operations in
manufacturing and service
organization

7.1 Identifies the right set of

data with correct calculations to
facilitate decision making in
business

3. Exploring world-class
practices in operations
from strategic and tactical
perspectives.

3.3 Identifies and presents

appropriate evidence
supporting the analysis of
alternatives

Embedded Question(s) in Quiz

and End-Term

Embedded Questi on(s) in EndTerm

3.4 Evolves ones own

perspective or takes a position /
makes judgement
4. Linking firms operations
to external environment in
order to develop
competitive advantage
EVALUATION
Group Assignments
Quizzes
End Term examination
Total

3.4 Evolves ones own

Embedded Question(s) in Endperspective or takes a position / Term
makes judgement

Weightage
20
30
50
100%

SCHEDULE OF SESSIONS
Module I

INVENTORY MANAGEMENT

Module Objective : Exploring the importance of inventory management, associated costs,

techniques for controlling inventories, expected service level, optimal inventory levels with
respect to demand and supply uncertainty.
Sessions and Objective
Session 1, 2
Objective:
Reading:
Case:

Introduction to inventory management, ABC analysis, EOQ models

Understand the importance of inventory managementand to introduce basic
EOQ model
Chapter 12 Independent Demand Inventory Management, pp. 427-443
Bourland, K. (1993). J&G Distributors. Amos Tuck School.

Session 3
Objective:
Reading:
Case:

Quantity discount models

To apply and interpret the EOQ model in price discount
Chapter 12 Independent Demand Inventory Management, pp. 450 - 452
Bourland, K. (1993). J&G Distributors. Amos Tuck School.

Session 4, 5
Objective:
Reading:
Case:

Inventory control under uncertainty

To compute various service level parameters in inventory
Chapter 12 Independent Demand Inventory Management, pp. 453 - 465
Bourland, K. (1993). J&G Distributors. Amos Tuck School.

Module II

WAITING LINE MANAGEMENT

Module Objective: Discussing various aspect of managing waiting line, evaluating the tradeoff
between cost of waiting and cost of providing service ; and applying waiting line models in
service industry.
Sessions and Objective
Session 6, 7
Objective:
Reading:
Problem:
Session 8
Objective:
Case:

Models of waiting line in service and manufacturing

To study the single (M/M/1) & multiple servers (M/M/S) waiting line models in
the business situation and understand theavailable tradeoff
1. Maister, D. (1995). Note on the Management of Queues, HBS No. 9680053,
pp.1-14, Harvard Business School Publishing
2. Waiting Line Analysis, pp. 272-288 (Chapter 10,CSJ)
Class exercise
Waiting line management in s ervices
To apply the waiting line concepts in service industry
Whetsel, J. (1995). Megacard Corporation, Darden No. UV0329. Darden Business
Publishing

Module III

QUALITY MANAGEMENT

Module Objective: Exploring the importance of quality and evaluating and monitoring quality
based performance of manufacturing and service organizations.
Sessions and Objective
Session 9
Objective:
Reading:

Perspectives andtools for quality

To introduce the various concepts and importance of quality
Six Sigma Quality, pp. 362-368, 370-374 (Chapter 12, CSJ)

Session 10
Objective:
Reading:
Problem:

Quality Management Tools: Statistical process control

To study the use of process control charts for different situation
Statistical Quality Control, pp. 397-406 (Chapter 13, CSJ)
Class exercise

Session 11
Objective:
Readings:

Process capability and Six Sigma

To compute and interpret process capability to meet customer requirements
1. Six Sigma Quality, pp. 369-371 (Chapter 12, CSJ)
2. Statistical Quality Control, pp. 392-397 (Chapter 13, CSJ)
Class exercise

Problem:
Session 12
Objective:
Case:
Module IV

Quality management in practice

To demonstrate the application of quality practices
Deodhar, S., & Tirupati, D. (2002). Indian Food Specialties Limited, IIMA No.
CMA0805, IIM Ahmedabad
BEST PRACTICES IN OPERATIONS MANAGEMENT

Module Objective: Introducing the world-class best practices such lean system in designing
and managing operations system and demonstrating how these practices improve the overall
efficiency and effectiveness of firms.
Sessions and Objective
Session 13
Objective:
Case:
Reading:
Session 14
Objective:
Reading:
Session 15
Objective:
Case:

Toyota Production System (TPS) : Application in Service

To introduce and discuss TPS practices and its influence on performance of
service company
Upton, D., & Staats, B. (2006). Lean at Wipro Technologies, HBS No. 9607032,
Harvard Business School Publishing
Swank, C. (2003). Lean service machine, Harvard Business Review, pp. 1-8.
Lean Operations
To introduce various elements of lean manufacturing such as pull system,
quality, setup time reduction, KANBAN etc.
Lean Supply Chain, pp. 426-438, 441-444 (Chapter 14, CSJ)
Just in Time (JIT) implementation
To design the road map for JIT implementation and understand the various
issues involved in linking suppliers to customer through JIT.
Collins, R. (2004). Sunwind A.B. (A), IMD No. 631, IMD International
Publishing

Additional Readings
The following books are recommended for supplementary reading:
1.
2.
3.
4.
5.
6.

Nahmias, S., Production and Operations Analysis, 3rd Edition, Irwin (1997)
Chase, R. B., Shankar, R. and Jacobs, F.R., Operations and Supply Management, 14th
edition, McGraw-Hill Education (2014)
Krajewski, L. J., Ritzman, L. R., Malhotra, M. K. and Srivastava, S. K., Operations
Management - Processes and supply chain, 9th edition, Pearson (2010)
Stevenson, W. J., Operations Management, 9th edition, McGraw -Hill Education (2014)
Mahadevan, B., Operations Management Theory and practice, , 2nd edition, Pearson
(2010)
Heizer, J., Render, B., and Rajashekhar, J., Operations Management, 9th edition, Pearson
(2009)
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