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Foundations of Operations Management - WK5 - Preparation For CLA2

This document provides an outline by the student of the key concepts they have learned over the first 5 weeks of an Operations Management course. It includes concepts around defining operations management, its relationship to other business functions, forecasting, capacity planning, quality control, and aggregate planning. The student also summarizes findings from previous assignments and outlines their plan to apply course concepts in an upcoming assignment on logistics and supply chain management using tools like MRP, ERP, and linear programming.

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Sushobhan
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0% found this document useful (0 votes)
135 views

Foundations of Operations Management - WK5 - Preparation For CLA2

This document provides an outline by the student of the key concepts they have learned over the first 5 weeks of an Operations Management course. It includes concepts around defining operations management, its relationship to other business functions, forecasting, capacity planning, quality control, and aggregate planning. The student also summarizes findings from previous assignments and outlines their plan to apply course concepts in an upcoming assignment on logistics and supply chain management using tools like MRP, ERP, and linear programming.

Uploaded by

Sushobhan
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© © All Rights Reserved
We take content rights seriously. If you suspect this is your content, claim it here.
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Discussion Question 1 – CLA2 Preparation & Course Learning Outcomes

Welcome to week 5 of your course. This discussion question will help you prepare for your
CLA2 paper and final CLA2 PPP and as such, will have a fair amount of detail. Read the CLA2
assignment listed in week 8 of the course. Then, please provide an outline that itemizes the
concepts that you will include in your CLA2 paper and final PPT. Please be sure to include
concepts learned in the course and information (findings, conclusions) from your PA1, and
CLA1 papers. Provide some brief details for each item that is outlined. Please keep in mind that
you should have place-holders for material not yet covered in lecture from week’s 6 and 7. Here
is an itemized list that summarizes the requirements of this DQ (include every item in the bullet
list below, or you will not receive full credit):
● Outline that itemizes concepts learned in the course
● Include information (findings, conclusions) from your PA1, and CLA1,
● Brief details for each item that is outlined
● Place-holders for material not yet covered

Foundations of Operations Management is a course that focuses on operation


management as the control and regulation mechanism of transformation of inputs into finished
goods and services through constant feedback and measurement mechanism. This course
explains how it is one of the primary business functions and help us realize what aspects we
should include as a decision-maker to make important business decisions. Some of the core
concepts that we studied during the first five weeks of this course are definition and interrelation
between three functional areas of organizations; marketing, operation and finance, life cycle
assessment, capacity planning, forecasting, and supply chain management (Stevenson, 2018).
Outline of Concepts Learnt in the Course
We started off the first class of the course by discussing what goods and services include
via the goods-service continuum that aimed to divide different particulars into goods and
services like how teaching is primarily a service but something like steelmaking is included
largely in goods category. We studied why we should study operations management and
discussed points like interconnected relationship between departments like finance, marketing
and accounting and operations management. We then studied about the three fundamental areas
of organization; marketing, operation and finance along with other functional areas like legal,
accounting, personnel and MIS. We then studied the transformation process of value addition.
We learnt about key issues of today’s business operations like economic conditions, innovation,
risk management and cyber security. We learnt briefly about history of operation management
form industrial revolution followed by scientific management, HR management, decision models
and management sciences and Japanese manufacturing. We learnt about concepts like ability,
six-sigma and lean system. We discussed the cases of failure of Kodak and success of Fuji
because of its portfolio diversification. We then discussed why organizations fail where we
talked about reasons like neglecting of operations strategy. We discussed components of
competitiveness like product & service design, cost, location, quality, flexibility, service, supply
chain management and inventory management. We discussed five competitive forces like entry
barrier, supplier power, buyer power, threat of substitutes and competitive rivalry. To discuss on
competitiveness, we discussed external factors like economic conditions, political conditions and
legal conditions and internal factors like customers, technology, products, services and supplies.
We discussed about quality-based and time-based strategies. We also studied about productivity,
its definition, calculation method and factors affecting productivity (capital, method, quality,
technology and management).
In the second week of the course, we discussed on forecasting. For that, we discussed
about aspects of forecasting, common features of forecasting, elements of good forecast, steps in
forecasting process and forecast error. We discussed how forecasts should be timely, accurate, be
written, cost-effective and simple. For forecasting, we need to determine purpose of forecasting,
establish time frame, obtain, filter and analyze data, make the forecasts and monitor the errors.
The error is calculated as difference of actual data and forecast. Many approaches can be taken to
forecasting like judgmental, consumer surveys, Delphi method, qualitative and quantitative
approach. We also discussed about product & service designs. For this, we discussed the
economic, social and demographic, political, legal, competitive, cost and technological
components of design process. We also discussed about human centered design and life cycle
assessment. We discussed about capacity planning in its relation to changes in demand,
technology and environment. We discussed about defining and measuring capacity. To better
understand capacity planning, we studied about the determinants, steps and factors involved.
Capacity planning is affected by factors like facility, policy factors, operational factors, etc. and
is determined by making estimates, evaluating them, identifying alternatives, conducting
analyses, assessing issues and implementing them while keeping the results monitored. We
understood cost-volume analysis, economies of scale and diseconomies of scale.
In the third week, we discussed about the efficiency and sustainability of process types.
We discussed about facility layout. We did an activity to better understand location analysis.
During this we understood the importance of location, parameters up for consideration,
processing possibilities and supply chain limitations. We learnt that there are few location
options; expansion, shift, new creation, shutting down and doing nothing. For global locations,
we understood trade agreements need to be understood.
In the fourth week of the course, we studied about quality control and corrective action to
be taken for the same. We learnt about why quality is important, where quality issues arise from
and about the ‘1-10-100’ rule. We learnt about tests like UPS altitude test and Leibherr-Vibration
Test. The later test helps in quality analysis by measuring environmental phenotypes and the
abnormalities in qualities can be detected in this manner (Wei, 1990). We studied the process of
quality analysis as definition, measurement, comparison, evaluation, correction and monitoring.
We also conducted mathematical discussion of calculation of upper control limits and lower
control limits.
In the fifth week of the course, we studied about the concept of aggregation. We studied
the components of intermediate plan like employment, output, finished goods, inventories, sub-
contracting and backorders. We studied the relation between aggregate planning and supply
chain and importance of aggregate planning in planning, strategic, budgeting and
synchronization process. We studied about demand quality and timing of demand. We learnt
about business variation and how it affects a market’s demand and organization’s ability to
supply. We learnt about input options to aggregate planning like resources, policies, costs and
demand forecast. We studied demand options in pricing, promotion, back orders and new
demand. We also studied supply options like overtime, inventories and subcontracting. We learnt
the techniques for aggregate planning as determining demand, capacity, policies, cost and
alternatives.
In the remaining classes, we will study about other foundational concepts of operation
management like
- MRP and ERP
- Inventory Management
- JIT and Lean Operations
- Supply Chain Management
- Scheduling
- Project Management
- Management of Waiting Lines
- Linear Programming
Findings from assignments
From the PA1 assignment that we solved previously, I learnt that there are number of
ways strategies are formed and decisions are made which concerns operations management. If
the operational strategies hence made align with organizational strategy, then the organization
will be more productive and overall competitive. These provides a good floor for decision
making. Other decision making insights can be provided by analysis like Life Cycle Assessment
which eventually helps in maintaining capacity planning such that is ensured that long terms
supply equals long terms demands. We will get further insights into topics like product and
service design, capacity planning and strategies in our CLA1 assignment.
Preparation for CLA2
For the upcoming CLA2 assignment, we have been asked to present a logistics analysis
on inputs, outputs and supply requirements by including manufacturing models, linear
programming and pathway of production to procurement of products. The primary method of
tying inputs, outputs and materials to planning and operation management is MRP and ERP
(Chung & Synder, 2002) which I will discuss about in detail in my CLA2. From the insights I
have gained, I will be presenting the assignment in the following outline:
- Introduction
- Internal and External Processes
- MRP (Material Requirement Planning)
- ERP (Enterprise Resource Planning)
- MRP and ERP Processing
- Linear Programming
- Manufacturing Models
- Trajectory of Operation Management
- Conclusion
Final Conclusion
Summarizing the learnings from all the classes and the previous assignments have
provided me with new insights to further my CLA2 assignment.

References

Chung, S. H., & Snyder, C. A. (2000). ERP adoption: a technological evolution


approach. International Journal of Agile Management Systems.
Stevenson, W. (2018). Operations management (13th ed.). McGraw-Hill Higher Education.
Wei, F. S. (1990). Analytical dynamic model improvement using vibration test data. AIAA
journal, 28(1), 175-177.

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