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MG 375 Production and Operations Management
Degel, Thomas M.

Course Number: MG 375
Course Title: Production Operations Management
Instructor: Thomas M. Degel
Phone: (Home) 452-1651 or (Work) 771-4423
e-mail: or
Term Dates: 10 January - 13 March 2005
Meeting Times: Monday and Wednesday, 7:45 - 10:15 PM
Site: Malmstrom Base Education Center

The mission of Park University, an entrepreneurial institution of learning, is to provide access to academic excellence, which will prepare learners to think critically, communicate effectively and engage in lifelong learning while serving the global community.

Park University will be a renowned international leader in providing innovative educational opportunities for learners within the global society.

Course Description: Study of the design, planning and operations and control of manufacturing processes, material management, inventory, quality control systems, work measurement and production standards. Prerequisites: MA 120, BA/MG360, BA/MG352 or equivalents.

Course Goals: At the completion of the class, students will possess the ability to:
1. define the key terms/factors/methods of quality management, systems design, system operation, and system control, forecasting, inventory and material management, and scheduling;
2. solve typical problems using forecasting models, transportation models, queuing models, and inspection and acceptance sampling models;
3. apply key concepts and techniques to production and service processes, and discuss the assumptions and limitations of each model and technique; and,
4. discern how management is affected by (and affects) the social, economic, and political systems and processes in domestic and international markets.

Student Learning Objectives: At the end of the course, the student should possess the knowledge and/or ability to:
1. Define operations management and describe its historical evolution.
2. Discuss the primary ways businesses compete and list five reasons why some are poor competitors.
3. Define strategy, explain how it is different from tactics, and compare organizational strategy and operations strategy.
4. List the steps of the forecasting process and describe what makes a good forecast.
5. Compare three qualitative forecasting techniques and three quantitative techniques.
6. Describe how we measure, evaluate and control forecasting accuracy.
7. List the main objectives of product and service design and explain the strategic importance of both product design and service design.
8. Name and describe the phases in product design and development and in service design and development.
9. Define reliability and use reliability measurement techniques.
10. Explain the importance of capacity planning and evaluate capacity alternatives.
11. Describe and utilize techniques for making decisions under certainty and uncertainty.
12. Describe three basic processing and layout types.
13. Explain the importance of job design and describe two basic approaches to designing jobs.
14. List the major factors in making location decisions and apply location decision making techniques.
15. Identify the determinants and costs of quality and use various quality tools.
16. List the elements of the control process and utilize control charts and run tests.
17. Determine the quality of inspected samples.
18. List the requirements and objectives of effective inventory management.
19. Describe and use the EOQ model, ERQ model, quantity discount model, and ROP model.
18. Prepare aggregate plans and compare their costs.
19. Describe the benefits and requirements of MRP and ERP.
20. Explain Lean Operations system.
21. List the goals, benefits, and building blocks of JIT.
22. Explain scheduling and the importance of good scheduling.
23. Describe the benefits of managing a supply chain, and the pitfalls of neglecting to do so.
24. Describe and construct PERT and CPM networks.

Faculty’s Educational Philosophy: To provide an interactive learning environment focusing on critical thinking and the exchange of ideas; and to provide an understanding of the basic concepts of managing production and service operations. Quantitative techniques and models will be used to facilitate transition from academic analysis to practical application of concepts in concrete production management and operations management situations.

Attendance Policy: Students are expected to attend each class session. Absences due to illness or work-related conflicts will be excused by the instructor. Any assignments or exams missed because of absence must be made up within the enrolled term. In the event of two consecutive weeks of unexcused absences in a term of enrollment, the student will be administratively withdrawn, resulting in a grade of “F.” An Incomplete will not be issued to a student who has unexcused or excessive e absences recorded for a course. Students receiving Military Tuition Assistance (TA) or Veterans Administration (VA) educational benefits must not exceed three unexcused absences in the term or enrollment. Excessive absences will be reported to the appropriate agency and may result in a monetary penalty to the student. Reports of “F” grades resulting from excessive absence for students receiving financial assistance from agencies not mentioned above will be reported to the appropriate agency.

Late Submission of Course Materials: Assignments submitted late may not be accepted and, if accepted, will receive a percentage grading penalty.

Course Assessment: Students will be assessed (graded) on class participation, written and oral assignments, and mid-term and final examinations.

Classroom Rules of Conduct: Attend class and be on time. Be prepared for class – read and be prepared to discuss the assigned readings, cases, and problems. Participate in class discussions – this is a very important part of your education. Be prepared for examinations – assigned readings will not always be reviewed in-depth, but examinations will be from both assigned readings and class lectures and discussions.

Course Textbook: Stevenson, William J., Operations Management, Eighth Edition, 2005, McGraw-Hill Irwin.

Academic Honesty: Academic honesty is required of all members of a learning community. Hence, Park will not tolerate cheating or plagiarism on tests, examinations, papers or other course assignments. Students who engage in such dishonesty may be given failing grades or expelled from Park University.

Plagiarism: Plagiarism is “the appropriation or imitation of the language or ideas of another person and presenting them as one’s original work.” It sometimes occurs through carelessness or ignorance. Students who are uncertain about proper documentation of sources should consult their instructors.

Disability Guidelines: Park University is committed to meeting the needs of all students that meet the criteria for special assistance. These guidelines are designed to supply directions to students concerning the information necessary to accomplish this goal. It is Park University’s policy to comply fully with federal and state law, including Section 504 of the Rehabilitation Act of 1973 and the Americans with Disabilities Act of 1990, regarding students with disabilities, and , to the extent of any inconsistency between these guidelines and federal and/or state law, the provisions of the law will apply. Additional information concerning Park University’s policies and procedures related to disability can be found on the Park University web page:

Class Schedule:
Week Chapter Topic Assignment
1 Introduction and Class Overview
1 Introduction to Operations Managemenpp 3-26 2 Competitiveness, Strategy, Productivpp 35-53
2 3 Forecasting pp 65-99
4 Product and Service Design pp 121-150
Supplement: Reliability pp 155-161
3 5 Strategic Capacity Planning pp 169-188
Supplement: Decision Theory pp 195-204
6 Process Selection and Facility Layoupp 217-251
4 7 Design of Work Systems pp 297-328
8 Location Planning and Analysis pp 347-368
5 Mid-term Exam
9 Management of Quality pp 381-419
6 10 Quality Control pp 431-456
Supplement: Acceptance Sampling pp 470-477
11 Inventory Management pp 483-
7 12 Aggregate Planning pp 541- 13 MRP and ERP pp 575-601
14 JIT and Lean Operations pp 617-642
8 15 Scheduling pp 655-677
16 Supply Chain Management pp 693-719
17 Project Management pp 727-758
9 Review and Summarize
Final Exam

Grading Policy: Learning the material in this course is important and is the main criteria the instructor will use to assign final letter grades. Exams: The Mid-Term Exam will include material from Chapters 1-8. The Final Exam will be comprehensive, but will emphasize material from Chapters 9-17. Assignments and Cases: All assignments, cases, and presentations must be completed and turned in prior to the Final Exam. Penalties will be assessed for late (unexcused) assignments and cases.

Final letter grades will be determined using the following measurements:

Assignments/Cases 40%
Mid-term Exam 30%
Final Exam 30%
TOTAL 100%
92 - 100% = A 83 - 91% = B 74 - 82% = C 65 - 73% = D 64 or less = F :