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BA 380: Operations Management OVERVIEW

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BA 380: Operations Management OVERVIEW. TOPICS RELEVANT TO BA 499. Forecasting Decision Making Location Planning Cost Volume Analysis (a.k.a Breakeven Analysis) Reliability. Inventory Management Scheduling Project Management Waiting Lines Quality Control and more.

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topics relevant to ba 499
TOPICS RELEVANT TO BA 499
  • Forecasting
  • Decision Making
  • Location Planning
  • Cost Volume Analysis

(a.k.a Breakeven Analysis)

  • Reliability
  • Inventory Management
  • Scheduling
  • Project Management
  • Waiting Lines
  • Quality Control
  • and more...
slide3

Cost Volume Analysis

Financial

Planning

Material Resource

Planning

System Design

Inventory

Management

Scheduling

Location and

Capacity Planning

Process

Selection

Forecasting

important recurring themes
Important Recurring Themes

Decision Making involves

  • Recognizing and Identifying Problems
  • Responding to Opportunities
  • Weighing COST versus BENEFIT of Service
  • The Use of analytical (quantitative and qualitative) tools
    • Accounting principles (e.g. cost/benefit analysis) Classification of COSTS as variable or fixed
    • Statistical concepts (e.g. probabilities and probability distributions)
    • Computer software (Excel skill)
    • Formulas – in English please!
    • Graphs – worth a thousand words (says who?)
    • Interactive simulations
total cost graph quality control

Total Cost of

Quality

Cost of

Inspection

Cost of Passing

Defectives

Optimum

Amount to

Inspect

Total Cost GraphQuality Control

$

Amount to Inspect

total cost graph inventory management

Total Cost of

Inventory

Annual Holding

Cost

Annual Ordering

(Setup) Cost

EOQ

Total Cost GraphInventory Management

$

Q

total cost graph queuing servers

Total Cost of

Service Capacity

Cost of

Service Capacity

Cost of Customers

Waiting

Optimum

Service Capacity

Total Cost GraphQueuing (Servers)

$

Number of Servers

formulas in english please

Annual Ordering (setup) Cost

Annual Purchasing Cost

Annual Holding Cost

FormulasIn English please!
graphs worth a thousand words english

Maximum inventory

Maximum run size

Cumulative

Production

Inventory consumption

Inventory buildup

t1

t2

to

Run time

‘Idle’ time

GraphsWorth a thousand words (English)

Time

excel skill automating tedious repetitive computation
Excel SkillAutomating tedious, repetitive computation

Important Excel Functions

  • Absolute vs. relative cell address
  • Use of Named cells/ranges
  • Vlookup function
  • If function
  • Graphing
  • Active worksheets
excel skill automating tedious repetitive computation14
Excel SkillAutomating tedious, repetitive computation

Important Excel Functions

  • Absolute vs. relative cell address
  • Use of Named cells/ranges
  • Vlookup function
  • If function
  • Graphing
  • Active worksheets
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