OPERATIONS MANAGEMENT (SML 745)

(Core Course for MBA, DMS, IITD)

Course Coordinator: Dr. S. P. Singh

Contact: +91-11-2659-6302
E-Mail ID: surya.singh@gmail.com
1. Course Objective
This course is designed to familiarize with medium and short range planning & control
functions of production and service systems. The long term decisions like capacity and
location of facilities are assumed to be pre-decided. The focus is on meeting customers
requirement in time, within quality specifications and at competitive cost.

2. Details of course content and Week-wise breakup

WEEK 1, 2, 3
1. AGGREGATE PLANNING
1.1 Variables
1.2 Strategies
1.3 Graphic methods
1.4 Mathematical Optimization methods:
1.4.1 The Linear Decision Rule
1.4.2 LP Methods

WEEK 4
1A.

Design of Goods and Services

Strategy for design of Goods and Services
What are Goods and Services?
Product selection
o Product Life Cycle
Product Development
o QFD
o House of Quality
o Taguchi Method
o Taguchi Loss Function

WEEK 5
2. INVENTROY MANAGEMENT
2.1 Basic inventory model
2.2 Sensitivity analysis
2.3 Graphic Model
2.4 Multiple products & resource constraints
2.5 Inventory models with uncertain demand
2.5.1 Single period model
2.5.2 Order Quantity Reorder Point Model
2.5.3 Determining buffer stocks
1

2.6 Inventory control Systems

2.7 ABC classifications
2.8 MRP
2.9 JIT

Week 6
3. OPERATIONS SCHEDULING
3.1Job shop scheduling
3.1.1 Single Processor scheduling
3.1.2 Flow shop scheduling
3.1.3 General Job shop scheduling
3.2 Scheduling for batch shops
3.3 Scheduling for service systems

Week 7
4. PROJECT MANAGEMENT
4.1. Introduction to project management
4.2. Planning and Scheduling Networks
4.3. Activity on Arrow (AOA) and Activity on Node (AON)
4.4. The CPM model
4.5. Finding critical path
4.6. The PERT model
4.7. Network scheduling with limited Resources
4.8. Project Scheduling under Resource Constrained

Week 8
5. STATISTICAL PROCESS CONTROL
5.1. Process capability
5.2. Process control charts
6.2.1 Control Charts for Variables
6.2.2 X bar charts
6.2.3 R- Charts
5.3 Acceptance sampling plans
5.4 OC Curve

Week 9
6. WAITING LINE MODEL
6.1. Introduction to Queuing theory
6.2. Examples of waiting line model
6.3. Simple waiting line model
6.4. Application of waiting line model
6.5. Traffic intensity
6.6. Single server-single queue models
6.7. Multi-server queue models
6.8. Examples of queuing models

Week 10
2

7. MATERIALS RESOURCE PLANNING

7.1. Define MRP
7.2. MRP logic and Product structure tree
7.3. Master Production Schedule
7.4. Bill of material
7.5. Time fences, MRP Examples
7.6. Closed loop MRP
7.7. MRP-II and LOT Sizing

Week 11
8. MAINTENANCE AND RELIABILITY
8.1 The strategic importance of Maintenance and Reliability
8.2 Reliability
8.2.1 Improving Individual Components
8.2.2 Providing Redundancy
8.3 Maintenance
8.3.1 Implementing Preventive Maintenance
8.3.2 Increasing Repair Capabilities
8.4 Total Productive Maintenance
8.5 Techniques for Enhancing Maintenance

Week 12 -14
9. CASE DISCUSSION/ PRESENATION
All the cases have to be presented in the class and a case study report has to be
submitted later on by each group assigned.

3. Pedagogy
Classes will be conducted through PPTs and board

4. Evaluation criteria
Minor 1
:
Minor 2
:
Attendance
:
Case Study Presentation:
Class participation
:
Major
:
Total Marks
:

15 Marks
15 Marks
10 Marks
20 Marks
10 Marks
30 Marks (Full Course)
100

5. Text and reference books

Operations Management by Heizer Jay and Render Barry, Edition 8 will be the text book
for the course. But any book on Operations Management/ Production and operations
management available in the library can be referred.
Apart from above, I strongly recommend reading following books in your leisure time.
1) Factory Physics by Wallace J. Hopp and Mark L. Spearman (Edition 2) published by
McGraw? Hill.

2) The Machine that changed the world: The story of lean production by James P.
Womack, Daniel T. Jones and Daniel Roos Published by USA.
3) All three volumes of Goal written by Goldratt.

6. Attendance Policy
For attendance less than 75% one grade point will be deducted from the grade
actually awarded to the student.
Minimum attendance of 50% is required to appear in the Major examination.

Minimum mark to pass the course is 40% of the total marks.

Distribution of attendance of 10 marks:
o
o
o
o
o
o
o

< 50%, student will be not allowed to appear in the Major examination.
50% to < 75%, 0 marks and 1 grade less than the actual grade awarded.
75% to < 80%, 2 marks.
80% to < 85%, 4 marks.
85% to < 90%, 6 marks.
90% to <95%, 8 marks.
95% to 100%, 10 marks.