QUAN 3600 Lecture Notes

SECTION B

QUAN 3600 Home Page

January 8

Introduction

After class (Homework):

  • Read Chapter 1.
  • Answer Chapter 1 Discussion Questions: 1, 5b, 6.

 

January 10

Strategy / Project Management

Before class:

1. Have you ever shopped somewhere primarily because you like the way they "do things"? If so, think about what made this company better and/or different?

2. What does the term "strategy" mean to you? How about "competitive advantage"?

3. Read the Skinner article (see below).

4. Read textbook chapter 2: Operations Strategy. 

5.  Skim chapters 3 and 4.

6. Read section 3.4, QFD.

After class:

1. What are the "operational methods" employed by companies you admire? How does this give them a competitive advantage?

2. How could your company (now or in the future) exploit the strategic power of operations?

3. Answer Discussion Questions:

Chapter 2: 1, 15.

Chapter 3: 10.

Chapter 4: 1, 10.

Lecture notes | Blank QFD form

Skinner article

Outline:

  • Models
  • Measurement
  • Tools

 

Project Management Concepts

Before class:

1. Read textbook chapter 14: Project Scheduling.

2.  How would you sequence steps for completing a school project?  Can you show those steps graphically?

After class:

1. How would these tools be useful in organizing your work?

2.  Answer Chapter 14 questions:

Discussion Questions: 6, 7.

Problems: 1 (all parts except c), 2 (part a ONLY).

Lecture Notes

EXCEL template

1st example | 2nd example
Outline:
  • Concepts
  • GANTT chart
  • Pert Diagram
  • Exercises

 

January 17

Quality Philosophy

Before class:

1. How would you define quality? Give an example of a quality product and a quality service. Is there a difference in what constitutes a quality product versus a quality service?

2. Why is quality important today?

3. What do you know about Deming? Juran?

4. Read textbook chapter 8: Managing Quality.

After class:

1. What is the relevance of the Deming chain reaction?

2. What is the significance to a company of the Kano model?

3. What is the one most important thing you learned in this discussion?

4.  What could you do to avoid "paradigm paralysis"? (both now and in the future)

 

Lecture notes

Outline:

  • Deming Chain Reaction
  • Kano Model
  • Umbrella Model
  • Paradigms

 

 

January 22

Organizational Quality Models

Before class:

1. If you want to really learn how to do something you want to learn from the best. The Malcolm Baldrige National Quality Award (MBNQA) seeks out "the best". What do you know about this award? Do you know of any companies that have won the award? If so, what do you know about these companies?

2. Research companies that have won the Baldrige by browsing the "Winners Showcase" at the NIST web site.

3. Research the award criteria at the NIST web site.

4. Read the "Why Apply" section at NIST.

5. Read textbook chapter 8: Managing Quality.

6. Read GE Letter to Shareholders information on six sigma (see below).

After class:

1. How could you apply the criteria even if your company is not planning on applying for the Baldrige?

2. Explain the major concepts of the "triangle model" discussed in class.

3. Explain the flow and the major characteristics of the MNP model discussed in class. How might this apply to your semester project?

4.  Answer Chapter 8 Discussion Questions: 4, 12.

Lecture notes

Semester Project Model

Outline:

  • Triangle model
  • Six Sigma
  • MBNQA
  • MNP Problem Solving Model
  • Semester project model

 

January 24

Process Analysis

Before class:

1. Review the concepts of descriptive statistics (graphical and numerical) - typically found in chapters 2 & 3 of a statistics textbook (e.g., Anderson, Sweeney and Williams, Statistics for Business and Economics, 7 ed., chapters 2 & 3).

2. Review the process of finding areas under a normal curve (typically chapter 6 of a statistics textbook).

3. Read textbook chapter 9: Quality Control and Improvement.

4. MJII

After class:

1. Review the procedures we discussed in class. You should be very comfortable with computing means, computing variances/standard deviations, constructing histograms, constructing box and whisker plots, finding the probabilities of non-conformance and computing process capability indices.

2. Think about how you use the numerical and graphical results to better understand processes. How could this be applied to your semester project?

Lecture notes

Data forms: 1 2 3 4

Outline:

  • Data collection
  • Graphical methods
  • Numerical methods
  • Process capability
  • Percent non-conforming material

 

 

January 29

7 QC Tools & Variation Concepts

Before class:

1. Browse through the 7 QC Tools material on line at the GOAL/QPC web site.

2. Read the Memory JoggerII material on each of the 7 QC Tools.

3. Browse the following tutorials available off Clemson University web site for CQI.

4. Read textbook chapter 9.

5. MJII

After class:

1. What are the 7 QC tools and what is the use of each?

2. Think about the applicability of these tools to your semester project.

3. You should be very comfortable in constructing and interpreting Pareto and cause-and-effect diagrams.

4. Why are these 7 QC tools useful?

5. Work through the tutorials at the Clemson site.

6. Review the chapter examples and the end of chapter solved problems.

7. Answer Chapter 9 Discussion Questions: 1, 2, 3, 4, 9.

Lecture notes - tools II

Lecture notes - var concepts

Exercise forms

APQC Process classification framework

Outline:

  • 7 QC Tools
  • Processes
  • Red bead
  • Common vs. special cause
  • Why control processes? (SPC vs. inspection)

 

Example application of semester project concepts and QC tools

 

January 31

Control Charts

Before class:

1. How long does it take you to drive to school? Does it take exactly the same time every day? Why does it take more (or less) some days?

2. Read "Problem Solving" web page at GOAL/QPC.

3. Read textbook chapter 9.

4. MJII

After class:

1. What are the sources of variation in the variable you are studying in your semester project?

2. Explain the difference between common cause and special cause variation.

3. Consider the process of service in a commercial bank and the quality characteristic of "time waiting in line." Identify three likely common causes of variation and three likely special causes of variation.

Lecture notes

Wheeler Chart

Individuals chart form & graph

EXCEL data in self extracting .exe file | [How to unzip this type file]

Outline:

  • Conceptual view
  • I-MR chart and interpretation
  • Types of charts

 

 

February 5

Attribute and Variable Control Charts 

Before class:

1. Read MJII pages 36-51.

2. Read textbook chapter 9.

After class:

1. Review the procedures for constructing an individual-median moving range control chart, an X-bar R control chart, and a p control chart.

2. How do we determine if a control chart reveals an "out of control" condition?

3. What does it mean if a process is "out of control"?

4. Work Chapter 9 Problems: 1, 4, 8.

Lecture notes-same as last lesson

X-bar R chart form

 

Outline:

  • X-bar and R charts
  • P charts
  • Additional examples
 

 

February 7

Laboratory #1 Exercises

We will work additional SPC problems and explore EXCEL capabilities.

EXCEL data for lab exercises Lab assignment

General instructions for spreadsheet labs

 

February 12

Review

A review is YOUR time to come to class PREPARED to ask specific questions for clarification and additional explanation.  It is NOT a time for me to "teach you the exam" or to work HOMEWORK problems for you that you have not yet "had time" to work.  

 

February 14

Waiting Lines

Before class:

1. Think about the last time you had to wait for service. What kind of service were you waiting for? How long did you have to wait? How many others were ahead of you in line? Did you receive the service you came for? How well did the servers treat you? How might the service have been improved? As a manager, how would you react to your complaints -- that is, what specific action would you take to correct any perceived shortcomings in the service?

2. What dollar value do you place on the time you spend waiting for service? How long of a waiting line will you tolerate without balking or refusing to get in the queue? How does your reaction to a long waiting line vary with the type of service facility you patronize and with your personal needs at the time?

3. Read textbook technical chapter 1: Queueing (found on CD).

After class:

1. Review the waiting line models discussed.

2. Review the examples and the solved problems at the end of the chapter.

3. What is the major cost tradeoff that must be made in managing waiting line situations?

4.  Answer Technical Chapter 1:

Discussion Questions: 1, 2, 3, 6.

Problems: 1, 6, 11.

Lecture notes 

Technical Chapter 1 (pdf file)

 

Outline:

  • Models
  • Examples
  • Exercises

 

 

February 19

Exam 1

 

February 21

Laboratory #2 Exercises

Lab Instructions | EXCEL file

 

February 26

Forecasting

Before class:

1. Assume you work in one of the following industries and that your job is to forecast demand for your company's products:

  • Lumber
  • Refrigerators and major appliances
  • Glass
  • Concrete
  • Golf carts
  • Clothing
  • Medical care

Besides time and factors that are within the company's control (e.g., advertising budget and number of outlets), what external demographic, economic, social, or other factors would you expect to have a close effect on the demand for your company's products? Why?

2. What strategies are used by supermarkets, airlines, hospitals, banks and cereal manufacturers to influence demand?

3. Read textbook chapter 11: Forecasting.

After class:

1. Review the different types of forecasting models. We are concentrating on the moving average, exponential smoothing, exponential smoothing with trend and regression.

2. Review the chapter examples and the end of chapter solved problems.

3. Answer Chapter 11:

Discussion Questions: 7, 9, 11.

Problems: 2, 9a | Supplement - 2

Lecture notes 

EXCEL notes

 

Outline:

  • Moving averages
  • Exponential smoothing
  • Regression
  • Smoothing with trend
  • Using EXCEL

 

February 28

Laboratory #3 Exercises

Lab Instructions | EXCEL file

 

March 5 & 12

Inventory Management

Before class:

1. Why would a company want to hold inventory?

2. Read textbook chapter 15: Independent Demand Inventory.

3. What is the difference between independent demand and dependent demand?

4. What are the functions (purposes) inventory performs? 

5. What are the two general types of inventory systems?

After class:

1. What two basic questions must be answered by an inventory-control decision rule?

2. Why is it desirable to classify items into groups, such as the ABC classification does?

3. What are the advantages of lower inventory? Is the goal "zero" inventory?

4. You should be able to identify the appropriate type of inventory model to apply and then solve problems for each type. Look at solved problems at the end of the chapter.

5. Review the chapter examples and the end of chapter solved problems.

6. Answer Chapter 15:

Discussion Questions: 1, 6, 8, 10.

Problems: 1, 6(a -ONLY), 7, Supplement 4.

Lecture notes  | Revised Lecture Notes

 

 

Outline:

  • Concepts
  • Types of models
  • Fixed order models
  • Uncertainty
  • Fixed time models
  • Newsboy model
  • Lab Exercise

 

March 7

Laboratory #4 Exercises

Lab exercise  |EXCEL

 

March 12

Aggregate Planning

Before class:

1. Read textbook chapter 12: Facilities and Aggregate Planning. Think about the following questions:

a. What does it mean to aggregate?

b. What is the relationship between a firm's aggregate plan and its ability to compete in the areas of: cost, quality, dependability, flexibility, time and service?

c. In what ways can a firm make temporary changes in capacity so that it can better accommodate actual or anticipated orders?

After class:

1. One way to adjust capacity is to manipulate the workforce. What means are available to adjust workforce capacity? Under what conditions is workforce adjustment difficult?

2. What is the master production schedule?

3. What are the pure strategies for production planning?

4. What production strategies are available to a firm if it cannot hold inventories and customers will not back order? What strategies are available if the firm can hold inventories and customers will back order? Can you think of an example of each situation?

5. Answer Chapter 12:

Discussion Questions: 6, 8, 9, 10.

Problems: 4 (a - ONLY).

Lecture notes 

Outline:

  • capacity (facility) planning concepts
  • aggregate planning concepts and models

 

 

March 14

Optimization

Before class:

1. Read textbook technical chapter 5: Linear Programming.

2. What are the four properties of linear programming problems?

After class:

1. You should be able to solve a linear programming (LP) problem grahically, including identifying the optimal solution and computing the value of the objective function at the optimal solution.

2. You should be able to formulate an LP problem by reading a description of the problem and translating the description into a mathematical description including constraints and objective function.

3. Review the chapter examples and the end of chapter solved problems.

4. Answer Technical Chapter 5:

Discussion Questions: 1, 2.

Problems: 1,2 (graphical).

Technical chapter 5 (pdf)

Lecture notes

Blank graph

Outline:

  • Concept
  • Graphical Example
  • Exercises
  • EXCEL solutions

 

top of page

March 19

Optimization

Before class:

1. Read textbook technical chapter 5: Linear Programming.

2. Look at the tutorial at Frontline systems (see below).

After class:

1. You should be able to use the SOLVER to solve linear programming (LP) problems.

2. You should be able to interpret the results of an LP problem solved using a spreadsheet optimizer (e.g., what is the optimal solution and what is the value of each decision variable).

3. Answer Technical Chapter 5 Problems 1, 2 (EXCEL).

Lecture notes

Lab exercise shell

 Outline:
  • Modeling using EXCEL
  • Aggregate Planning Exercise

 

March 21

Review

 

March 26

Laboratory #5 Exercises

Lab exercise (aggregate planning)

 

March 28

Exam 2

 

April 2-7

Spring Break!

 

April 9 & 11

MRP

Before class:

1. Read textbook chapter 16: MRP.

2. What does 'MRP' stand for?

3. What is the difference between independent demand and dependent demand? Which type does MRP consider?

4. What forms of operating organizations are best served by MRP?

After class:

1. What are the weaknesses of MRP?

2. What are the primary inputs and outputs for an MRP system?

3. What is the importance of the master production schedule in an MRP system?

4. You should be familiar with the terms used in MRP such as planned order release and scheduled order receipts.

5. You should be able to draw the product structure tree for a product situation and then determine the units of components needed and the time needed. This will result in knowing the order releases (time and quantity) of components.

6. Review the chapter examples and the end of chapter solved problems.

7. Answer Chapter 16 questions:

Discussion Questions: 1, 2, 12.

Problems: 3, 6a.

Lecture notes

In class exercise

MRP forms

Outline:

  • Concepts
  • Process
  • Example
  • Exercises

 

 

April 16

JIT

Before class:

1. How does JIT differ from MRP?

2.  Read textbook chapter 17: Just In Time Systems.

2. Stopping waste is a vital part of JIT. Think about your favorite fast food restaurant -- can you identify some sources of waste and how they may be eliminated?

3. Why must JIT have a stable schedule? What objections might a marketing manager have against uniform plant loading?

After class:

1. What are the weaknesses of JIT?

2. What are the "seven zeros"?

3. What did you learn from the Styro video?

4. You should be able to compare and contrast MRP versus JIT and identify which approach is more suitable in different situations.

5.  Answer Chapter 17 Discussion Questions: 5, 6, 7, 8, 9, 10.

Lecture notes

Outline:

  • Concepts
  • Video
  • Illustration
  • 7 Zeros

 

 

April 18

Distribution

Before class:

1. Skim chapter 10 and technical chapter 4.

After class:

1. You should be able to construct a network model and interpret the results.

Lecture Notes

 

Outline:

  • Network Model Concepts
  • Spreadsheet Lab
Lab 6 distribution exercise

Lab 6 distribution exercise shell

 

April 23 & 25

Project Presentations

(STEP 4: PARTS 1-3 AND STEP 7: PART 2)

 

April 30

Semester Wrap Up

 

Final Exam

See course calendar for dates.  This exam is COMPREHENSIVE.

 

 
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