BA 554 Spring 2014 Syllabus_last Updated 04-03-2014
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Transcript of BA 554 Spring 2014 Syllabus_last Updated 04-03-2014
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BA 554 GLOBAL OPERATIONS CAPSTONE (3 credits) Spring, 2014
Professor Guanyi Lu Office 309 Bexell Hall
Email [email protected] Phone 541.737.3995
Prerequisites BA 551, BA 561, & BA 552 (may be completed concurrently)
Class sections Section 001, 06:00 08:50 pm, Wed, Bexell 321
Office hours 12:15 13:45 am TR & by appointment. Students are welcome to visit
other times.
Reading packet Required Harvard Business Cases are listed below. The cases are copyrighted
material and each student must purchase individual copies of the reading.
Text books (all are optional)
Managing Business Process Flows. By Anapindi, Shopra, Deshmukh, Mieghem, and
Zemel. 3rd edition, Prentice-Hall: Upper Saddle River, NJ (2011). ISBN-13: 978-
0136036371
Factory Physics. By Hopp and Spearman. 3rd edition, Irwin: Chicago (2011). ISBN-13:
978-1577667391
Dynamic Manufacturing. By Hayes, Wheelwrigth, and Clark. Free Press, New York
(1988). ISBN-13: 978-0029142110
Class format A mixture of lecture and the case method
Course Objectives
There are four basic objectives for this course: Aligning operations with corporate strategy,
analyzing and improving processes, and managing supply chains.
Analyzing & Improving Processes. Operations often is associated with a particular functional area
of a firm. Academically, operations management includes the study of managing processes.
Whether a process is completing a securities transaction, performing the month-end accounting
function, or scheduling an advertising campaign, the activities required form a process that can be
analyzed by the tools explored in this course.
Operations Strategy. Building on earlier courses, a major component of this course will be strategic
alignment. Operational decisions are not neutral with respect to strategy. Specific operational
configurations benefit some strategic goals while harming others.
Managing Supply Chains. Supply chain management represents the conscious effort by firms to
develop and run supply chains, rather than individual firms, in the most effective and efficient way
possible. Supply chains include physical activities (such as receiving goods, production, and
transportation) and informational activities (such as product design, purchasing, and planning). The
term chain is used because these activities typically link the efforts of many different companies
and functional areas. The benefits of cooperation between supply chain partners are quantified and
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several methods of achieving cooperation are studied. Supply chains also frequently cross
international borders. Specific problems relating to international supply chains will be discussed.
Requirements and Evaluation Criteria
Class Contribution 40
BP case Presentation (wk10, in class) 30
Final Exam (BP case report) 30
Total 100 points
Grades will be assigned based on the following scale:
A > 92 C 73 - 78
A minus 91 - 92 C minus 71 - 72
B plus 89 - 90 D plus 69 - 70
B 83 - 88 D 63 - 68
B minus 81 - 82 D minus 61 - 62
C plus 79 - 80 F
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embarrassment of my calling on you. You should be able to identify the key issues, problems and
opportunities facing the central case protagonists, to articulate and evaluate alternative approaches
to problems, and to describe the course of action that you recommend and the reasons for yours
recommendations. I may begin the discussion with one of the questions in the syllabus or with
another question.
It is important to appreciate that every student is an important cog in the class discussion, and that it
is equally important that each of us listen carefully to one another and attempt to build on or
constructively critique prior comments. Please resist the temptation to jump to topics that are not
specifically open for discussion. Some of the specific things that will have an impact on effective
class contribution and on which you will be evaluated include:
Is there a willingness to take intellectual risks and test new ideas or are all comments safe? (For example, repetition of case facts without analysis or conclusions or repeating comments
already been made by someone else do not represent intellectual risk-taking nor do they earn
credit towards your class contribution evaluation.)
Is the contributor a good listener?
Are the points made relevant to the discussion? Are they linked to the comments of others and to the themes that the class is exploring together?
Do the comments add to our understanding of the situation? Are they incisive? Do they cut to the core of the problem?
Is there a willingness to challenge the ideas that are being expressed by discussants or the professor?
Does the contributor integrate material from past classes or the readings where appropriate? Do the comments reflect cumulative learning over the strategy course and the MBA curriculum or
does the contributor merely consider each case in isolation?
Finally, I understand that participating in class can be an intimidating experience initially, and I will
try to help you in any way that I can. I will evaluate each persons contribution for each and every
discussion class and keep a running score on class contribution. With that in mind, your
commitment to contributing to this environment not only determines the success of the class, but
also helps to define your grade in the course. Consequently, your attendance is vital and will affect
your contribution score. While it is your business whether you want to attend class and contribute,
your classmates also bear the cost when you fail to do so. Thus, in an effort to internalize the
externality arising from absences from class, you will bear the cost to your contribution score when
you choose to miss a class.
As required by school policy, grading will be based on relative rather than absolute standards.
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BP case Presentation (MBA exit presentation)
Students need to present their study of the BP case twice in groups. Group assignments are listed in
the syllabus. They first present in week eight as part of the MBA exit examination. Feedback will be
provided by the faculty advisory team for further improvement. They will then present the same
case again in class in week 10. The credit the students earned in week 10 presentation will be used
to calculate their final grade of this course (i.e., BA 554).
Final Exam (BP case report)
The final exam will be given during the universitys scheduled exam period. Each group will turn in
a 40-page written report at the end of the term (including tables, figures, appendixes, etc.).
Specifically, there will be two deliverables due in week 3 and week 6 respectively. Faculty advisory
committee will review these deliverables and provide comments/suggestions. Students must
incorporate the feedback into their final 40-page report before final submission. I reserve the right
to add additional written assignments during the term, particularly if I feel that the class is
failing to prepare adequately for case discussions.
Academic Integrity
Upon accepting admission to Oregon State University, a student immediately assumes a
commitment to accept responsibility for learning and to follow the philosophy and rules of the
Honor System at OSU. Failure to abide by the universitys rules on academic honesty will
result in failing the class. Students should be aware of what constitutes cheating as well as
plagiarism. See details at:
http://oregonstate.edu/studentconduct/http:/%252Foregonstate.edu/studentconduct/code/index.php.
Students with Disabilities
The Americans with Disabilities Act (ADA) is a federal anti-discrimination statute that provides
comprehensive civil rights protection for persons with disabilities. Among other things, this
legislation requires that all students with disabilities be guaranteed a learning environment that
provides for reasonable accommodation of their disabilities.
Accommodations are collaborative efforts between students, faculty and Disability Access Services
(DAS). Students with accommodations approved through DAS are responsible for contacting the
faculty member in charge of the course prior to or during the first week of the term to discuss
accommodations. Students who believe they are eligible for accommodations but who have not yet
obtained approval through DAS should contact DAS immediately at 737-4098.
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Course Schedule (subject to change) Date Topic Note
Apr-02 (wk1)
Course Overview, Brief of Syllabus
Lecture: Process Analysis-1
Apr-09 (wk2) Lecture: Process Analysis-2
Apr-16 (wk3) Process Analysis. Discussion Case:
Donner Company
BP case deliverable 1 due
Apr-23 (wk4) Lecture: Quality Management and SPC
Apr-30 (wk5) Process Improvement. Discussion Case:
Process control at Polaroid (A)
May-07 (wk6) Lecture: Managing Uncertainty
BP case deliverable 2 due
May-14 (wk7)
Operations Strategy. Discussion Case:
Display Technologies, Inc. (Abridged)
May-21 (wk8)
Lecture: Forecasting, Planning, and Matching of
Demand with Supply
MBA exit examination
May-28 (wk9)
Supply Chain Management. Discussion Case:
Leitax (A)
Jun-04 (wk10) Final presentation of BP case
Time and Place TBD Final Exam BP case final report due
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Assigned Student Groups (BP case)
Number Student Names Faulty Advisory Committee Group 1 De Oliveira, Rodolfo Henriques
Zhang, Pei
Shen, Yiwen
Zhang, Ling
Zhaohui Wu (Chair)
Keith Leavitt
Peter Frischmann
Group 2 Narendra, Vivek
Ma, Zhiyao
Li, Xiaocheng
Group 3 Ahishalioglu, Ahmet Berk
Gao, Yang
He, Letian
Li, Ang
Yusoon Kim (Chair)
Jim Moran
Erik Larson
Group 4 Hemmatian, Iman
Kong, Lingbo
Xie, Danli
Group 5 Chandler, Kaitlyn
Yang, Luyang
Xiao, Xiong
Shi, Xiaole
Guanyi Lu (Chair)
Ping Hsieh
Marina Puzakova
Group 6 Hudson, Alicia N
Kasama, Ryota
Xu, Ying
Wu, Dan
Group 7 Koch, Defne Cakin
Yuan, Yuxi
Liang, Zifeng
Hai, Sang
Randal Smith (Chair)
Nancy King
Richard Martell
Group 8 Smith, Rachel Michelle
Ye, Chujun
Ma, Yifu
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READINGS AND PREPARATION QUESTIONS (Tentative)
SESSION 1 Process Analysis
Case: Donner Company (HBS 9-689-030)
Optional Reading: Process Fundamentals (HBS 696023)
Preparation Questions:
1. What is the normal process flow of the production system at Donner? Draw a process flow
diagram.
2. What is Donner's "information system"? How does information from the customer get to the right
place?
3. What orders would you schedule on the Micronic Jr. CNC drill? On the CNC router?
4. Assume a normal process flow. What is the standard production time required to produce an
order of 8 circuit boards (one panel)? Of 40 circuit boards? Of 200 circuit boards? Of 800 circuit
boards?
5. What is the capacity of the electroplate operation?
6. During September 1987, what was the capacity utilization (capacity actually used divided by the
total capacity available) of operations such as soldermask, electroplate, metallize, and drill?
7. What are the discernible problems facing Donner?
8. What specific action(s) should Mr. Plummer take to solve these problems? Make explicit
recommendations and, if possible, justify the required investment.
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SESSION 2 Process Improvements
Case: Process control at Polaroid (A) (HBS 9-693-047)
Optional Reading: Constructing and Using Process Control Charts (HBS 686118)
Process capability by DRM Associates
Preparation Questions:
While the elaboration of the statistical process control charts is intricate and satisfying, make sure
that you dont spend all your energy developing the charts. This is the first case outside the process
analysis module and it begins to broaden our focus. Please consider in your analysis the strategic
and long term implications of SPC for Polaroid.
In the mid 1980s, one of Polaroid's instant film plants is reassessing its traditional approach to
quality and is trying to move itself onto a new improvement path. Management must decide what
recently gathered data reveal about process control and what actions are appropriate. The reading
provides an introduction to Statistical Process Control (SPC). (Note: polaroid.xls contains data in
case exhibits 1, 3, 5 and 6.)
1. What is the magnitude of the cost of the quality problem at the R2 plant? How effective were its
past procedures for quality management?
2. What are the goals of the Greenlight project? How are these goals to be attained?
3. Using the data in the exhibits and the note on process control charts, construct and analyze the
appropriate SPC charts. What conclusions should Rolfs draw?
4. What recommendations would you make to Rolfs in order to address both near- and longer-term
issues?
Process capability by DRM Associates : http://www.npd-solutions.com/proccap.html
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SESSION 3 Operations Strategy
Case: Display Technologies, Inc. (Abridged) (HBS 9-699-006)
Preparation Questions:
1. What are DTIs strengths and weaknesses? What does it deliver to its customers that Sharp and
other competitors do not?
2. What must DTI do to be successful? Would these be different if DTI were not a joint venture of
the two giants, IBM and Toshiba? What does it take to be outstanding in the flat panel display
business?
3. What principles and concepts does one apply to improving a complex production system such as
flat panel process technology?
4. What should Shima-san do? How will his previous experience shape his decision?
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SESSION 4 Supply Chain Management
Case: Leitax (A) (HBS 9-606-002)
Preparation Questions:
1. Based on the description of planning system before the Redesign Project which function or
individuals should be held responsible for the planning problems in FY 2002? In FY 2004?
2. What is your assessment of the consensus forecasting process?
3. Based on the description in the text and the evidence in Exhibits 6 and 9, what went wrong with
the SF6000 forecast?
4. What are the core elements that Fowler and McMillan should strive to maintain?
5. How would you recommend the process be improved if at all?
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Appendix: A brief of the Case Method: Why we rely on discussion learning1
A significant amount of our class time will be spent discussing business cases. Why do we rely on
the case method so extensively and how do these discussions enhance our learning? The case-study
method brings a real world approach to business education in at least three important ways. First,
case discussions generate a dynamic process of vigorous questioning and responding, examination
and debate among students and discussion leader. Because strategy issues are often characterized by
ambiguity, complexity or uncertainty, this course is more about asking the right questions than it is
about knowing the right answers. Rather than simply lecture about the current state of best
practices, we recognize that theories change over time but reasoning skills survive. So the case
method helps students to refine their skills as insightful questioners, rather than just good answer-
finders. In this model of learning, it is the journey more than the destination that matters. In
addition, discussion learning requires all students to participate actively in the learning experience.
The MBA degree is about more than just acquiring a tool box of analytical skills. It is also about
developing the ability to contribute to the group so that we expand the boundaries of everyones
learning. Just as in management, there is no formula that you can follow for every case.
Nevertheless, over the course of the academic quarter, students gradually build on a combination of
theory and analysis as well as judgment and experience to acquire important skills that the general
manager needs. The case method requires a high level of student commitment where students
personally engage the problem and own the solution. Consequently, the case method is inherently
a student-oriented process. Walter Wriston has said, Good judgment comes from experience.
Experience comes from bad judgment. As in the real world, the case method replicates the trial-
and-error experience of seasoned managers, thereby deepening judgment. It also does so in the low
risk environment of the classroom where career casualties are not at stake.
Second, the case method trains students to think as administrators (rather than as scholars), so that
they: (1) see a problem looking for solutions rather than a concept looking for applications, (2)
focus on defining and prioritizing a maize of tangled problems and determining which one(s) to
attack with the limited time and resources available, (3) appreciate differing agendas and points of
view, and (4) take action, not just report findings.
Third, by linking analysis with individual action, the case method encourages moral awareness by
requiring students to take a stand. The give-and-take of case discussion often brings to the surface
subtle ethical dilemmas that might otherwise be missed. The case method helps students learn to
assess and embrace the tradeoffs among different stakeholders interests. The case method requires
students to use all of their knowledge, skills and experience to respond in real time to the questions
raised in class and to effectively communicate their ideas to classmates to create a greater shared
understanding of the problem at hand. Thus, students also become the teachers as well as learners.
In sum, we teach with case studies because the method embodies important values of professional
education. The case method is not simply a technique; it is a rich philosophy about judgment,
analysis, action and learning. (The preceding was adapted from an article by Robert F. Bruner)
While our applications will emphasize exercise of judgment, by no means is this course theory
free. We will learn to break down complex problems into manageable analytical issues where we
can then apply a rigorous set of theoretical tools. The analytical approaches in our strategy tool kit 1 This section and class contribution were mainly adapted from Robert F. Bruner and Jay Dial.
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will be covered in the required readings and lectures prior to each case. These readings have been
carefully selected to convey often complex topics in a concise, understandable manner. In general, I
have assigned managerially-oriented readings and spared you the pain of reading pointy-headed,
scholarly-type articles. Since these readings articulate much of the theoretical content of the course,
they will be crucial to your comprehension of our course concepts. It is extremely important that
you read, study and discuss the articles with each other when assigned so that you will be able to
apply the concepts to our case discussions.
The key requirement of this course is that you THINK. This course requires that you synthesize
material that you have learned in prior classes in your business education in conjunction with new
concepts we will introduce. I will ask that you add a dose of common sense and filter these ideas
through your own experiences and world view. We will reach consensus on some issues, yet
many among you will have differing interpretations as we proceed through the course. This is the
nature of strategy and policy issues. You may find yourself occasionally frustrated by the ambiguity
and the difficulty of assimilating conflicting points of view. Welcome to real life!
Our challenge in this course will be to integrate your learning from other courses in a synthesis with
new material introduced here to see how operations managers develop functional strategies into
overall business and corporate strategies and to see how their chosen strategies are implemented.
While this may not happen overnight, over the course of the quarter, you can expect to begin to see
how the pieces fit together. You will be better prepared to enhance your careers with a more
comprehensive vision of the firm as a whole and your role in it, hopefully.