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MNG 606 : Operations Management (Part II)

Course Description: Manufacturing industries are in the business of converting inputs into
outputs (product or service) which is of added value to the end customer(s). To extract maximum
value out of the constrained resources, it is necessary to design product or service processes to be
most efficient. Once the product/service and relevant processes are established, it is necessary to
manage those processes, so that goods or service are produced with optimal efficiency and
effectiveness. In this context, managing processes means planning and controlling the available
resources/capacity in terms of labour, capital, production units, and materials. Smooth flow
material and information plays a critical and significant role in the performance of those
processes. Right materials, in right quantity and in right time are absolutely essential for efficient
utilization of capacity and world class manufacturing. In this part, we will have a detailed insight
of various aspects of operations planning and control, starting from design till delivery stage and
current world class manufacturing strategies.

Instructor: Dr. Indrajit Mukherjee, SJMSOM , IIT Bombay


Pedagogy: This course is a mixture of lectures on theoretical concepts, simple, examples and
case discussions. To foster a productive learning environment, it is important that everyone come
to class prepared.

Reference Books

L. Narshimhan, D. W. McLeavey, P. J. Billington, Production Planning and Inventory Control,

2nd Edition, PHI Learning, NewDelhi, 2009.
T. Arnold, Introduction to Materials Management, 3rd Edition, Prentice Hall
L. J. Krajewski, L.P. Ritzman, and and M . Malhotra, Operations Management: Strategy and
Analysis, 6th ed., Pearson Education, 2002.
J. S. Martinich, Production and Operations Management: An Applied Modern Approach, John
Wiley and Sons, Inc., 1999.

Grading Scheme

(a) QUIZ/Assignment/Presentation 15%

(b) Midterm Test 35%
(c) Term-end Examination 50%

*Assignment (if any) is an exercise to be done by each group. You should review actual problem
situation and come up with an analysis as best as you can and answer the questions that are given.
Prepare a short and concise (typically within 3 pages in double spacing) note and submit hard

copy on specified data in the class. The quality of approach/ideas/points you propose will
determine your marks in Assignments/Presentation.

Teaching Plan
No of Lectures Topic(s)
1-4 (10 Hour) Demand Forecasting, Manufacturing Strategy,
MRP Framework, Inventory Management, Master
Production Schedule, Available to Promise. **Case
5-6 (4 Hour) Material Requirements Planning System, Product
Structure and Level Coding, MRP Calculations,
Lot sizing, Production Activity Control. Capacity
Planning and Control. **Case Discussion.
7-8 (4 Hours) World Class Manufacturing Strategies. Toyota
Production System and Concept. Just-in-Time
Manufacturing, Lean Inventory. **Case
7-9 (4 Hours) Six Sigma Philosophy and road map for
Excellency. **Case Discussion.
10 (2 Hours) Theory of Constraints (TOC)-based Production
Scheduling. Group Presentation
**Case to be discussed in class will be provided beforehand for reading