ISQA 459/559

Production Planning & Control

Professor Mellie Pullman
Winter 2009
Thursday 5:40-9:20 PM

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Today’s Activities
• Introduction
• Syllabus & Important Dates
• What is Production Planning &
Control?
• Demand Management

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You can call me:
• Mellie
OR
• Dr. / Professor Pullman

Office hours:
Wed: 4:00-5:30 PM
or by appointment

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Course Format
• Allowed 10 minutes break
per hour of teaching
– 5:40 to 7:10-ish PM
– Break 20 min
– 7:30-ish to 9-ish PM

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My Background
• BS &MS (Mechanical Engineering-Alternative
Energy Systems)
• MBA & Ph.D. (Operations Management &
Marketing Models)
• Work Experience
– Engineer
– Brew-master
– Landscape Contractor
– Quality Manager for Black Diamond Mountaineering
& Ski Products
– Consulting

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Consulting :Product & Process Design
– Cirque Du Soleil
– Hotels & Airports
• Boutique Hotels
• Hyatt
• O’Hare International
– Ski resorts
– Black Diamond
Mountaineering
– Nestle
– Vodafone

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 Teaching
• 15 years covering many types of classes
– Supply Chain Management
– Operations Management
– Global Management
– Simulation & Modeling
– Entertainment Management
– Service Operations Management
• Cornell, London Business School, Colorado
State University, Southern Methodist
University, University of Colorado, and
University of Utah.

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Other fun facts…

• Writing & publishing articles & books

• Traveling, rock climbing, skiing
(Nordic racing, telemarking & back-
country) cooking and checking out
food producers, wineries, breweries,
and restaurants.

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 What about you?
• Please spend a few minutes filling out this
index card with:
– Your preferred first name
(& last name)
– Contact email
– Where are you from?
– Work experience
– Your dream job & a local company that intrigues
you (someplace you would like to visit)
– Fun facts about you (things that you would be
doing if you weren’t working or in school)

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Tell your neighbor about yourself
• Your neighbor will introduce you to
the class
(don’t read the card, tell us the significant
things you remember about the person
after your discussion)

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Course Description
• Understanding the role of production
planning in the operations strategy of
the firm,
• Understanding the mechanics of
developing production plans,
• Developing basic computer skills
(spreadsheets) for planning and other
activities,
• Learning how to communicate goals
and schedules across an organization.

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Specific Topics
• in-depth analysis of integrated
operations management systems:
– Forecasting
– Operations planning and control
– Material requirements planning
– Master production scheduling
– Capacity planning
– Just-in-time/Toyota Production System
– Job Shop Scheduling

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The Classroom Mix
• Lectures, Case Discussions,
Games & Classroom Exercises
• Guest Speakers
• Field Trips

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Intellectual Contributions
Individual 3 Homework Problem 25%
Activities Sets
Integrative Quiz-3 25%
parts
Class Participation 10%

Toyota Case & Field 10%

Trip Write-up
Case: Greaves 10%
Brewery
Group Activities In Class Games 20%
write-up &
performance
Total 100%

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Individual Work
• 3 Problem Sets (25 %)
– Problem Set 1(1/22)
– Problem Set 2 (2/12)
– Problem Set 3 (3/12)
• 2 Cases (20%)
– Greaves Brewery (next week)
– Toyota Case & Field Trip
• 3 Part Quiz (25%)

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Problem Sets
• Applications of all methods
• Good practice for work
environment
• Homework format
– Typed and complete sentences
– Well organized and labeled
Spreadsheets
– Consider that your evaluator is a
work supervisor
• Late homework 50% penalty

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 Extra Credit
• Interesting current articles brought
in for class discussion on relevant
topics will contribute extra credit
to your participation points.
– Newspaper
– Popular press
– Internet
• 5 points max

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Group Activities
(Team of 3 people)
• Game Preparation &
Performance(20%)
– Lamson Corp (next week)
– Again Agame
– B’s Wax Candle
– Shell Game Job Shop Scheduling
• You will evaluate your team
members participation at the end
of the quarter.

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Class Etiquette
• Laptop should be used for working on
computer exercises only,
• Calculators will be very helpful for in-
class exercises,
• Cell phones/Blackberries/etc. should
be turned off for class periods,
• Please be respectful of your classmates
and professor by listening when they are
talking and not creating side
conversations.

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Laptops & In-Class Games
• One person from your team
should have pre-loaded the
template for the day’s simulation
game.
• Please come prepared for all
games with a full understanding
of the instructions and a strategy.
• You will not be able to keep up
with the fast pace if you come in
clueless.

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Teaching Philosophy
• Classes are not professor versus student.
They are professor and student trying to
achieve the same goal – preparing the student
for the working world.
• I will expect that you are putting time into this
class outside of our meeting times. For
instance, I will expect that you have read the
assigned readings and done the homework
before class.
• If you ever are wondering why I have
structured the class a particular way or given
a particular assignment, ask me. Often, the
answer may help you better understand the
material and the goals of this class.

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 REQUIRED MATERIALS
• 1. The Fundamentals of Production
Planning and Control, by Stephen N.
Chapman, published by Pearson Prentice
Hall. ISBN-0-13-017615-X. (Henceforth
referred to as “Text”) Price ranges from
$40 (used) to $71 (new) at bookstore.
• 2. Cases Packet (Required) available at
Copy Center

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Challenge Level
• This class
– is very challenging
– requires your full engagement and preparation
– will prepare you for a real planning job
– Will take your spreadsheet skills to new
heights
– Is not for people looking for a easy ride
• Please drop this class if you do not feel
like you will have at least 4 hours/week
(outside of class) to allocate to working
on readings and spreadsheet problems.

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Production Planning and Control

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Operations & Supplier Capabilities and
Production Plan

• Who ?
• What ?
• Where ?
• When ?

Right Arrive Arrive To support

Quantities of at the right At the right Production &
Materials time place Distribution

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Specific Production Strategy creates
different planning needs

• Make-to-Stock
• Assemble-to-order
• Make-to-Order
• Engineer-to-Order

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 Make-to-Stock

• Issues around
– Planning for Materials
– Planning for Production
– Inventory Management
– Potential waste and cost issues around poor planning?

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 Assemble-to-Order

• Issues around
– Planning for Materials
– Planning for Production
– Inventory Management
– Potential waste and cost issues around poor planning?

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 Make-to-order or Engineer-to-order
Firebikes Custom Bikes

• Issues around
– Planning for Materials
– Planning for Production
– Inventory Management
– Potential waste and cost issues around poor planning?
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Trends influencing
Production Planning & Control
• Internationalization
– World wide manufacturing
network
– Plug & Play manufacturing
• Role of Customer
– Responsiveness (product &
process flexibility)
– Improved Service
– Mass customization
• Variety
• High Volumes

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 Sales & Operations
Aggregate Plan
Direction Setting
Resource Planning Demand Management
(long term)

Master Production
Scheduling Engine
(mid term)
Detailed Capacity Detailed Material
Planning Planning

Material & Capacity

Plan

Back end
Shop Floor Systems Supplier Systems
(Short term)
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Class break
• Please form a 3 person team for
group activities
• I will take your photograph to
put on your index card. (Note: If
you have been in my class
before, I don’t need your photo).

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