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Sunday, 8:15 – 9:45 Room: Encino
Title: Reengineering Case Studies and Simulations
Chair: Jose Antonio Dominguez Machuca, University of Sevilla
SA1D1 Applications of Mass Customization to Small Manufacturing, A. Kimbrough Sherman, Loyola College, Baltimore, MD 21210, firstname.lastname@example.org, Harsha B. Desai, Loyola College, Baltimore, MD 21210, email@example.com, Kiran Desai, University of Memphis, Memphis, TN 38152, firstname.lastname@example.org.
Since 1996, Igneous, Inc., a manufacturer of skis for extreme downhill freeskiers, has sought entry into the market by producing a "custom crafted" product. Manufacturing one ski at a time by hand provides little margin and consumes most of Igneous’ resources. In this case study we explore the quest for an appropriate technology and production method by the president of Igneous to improve the fledgling company’s ability to meet a swiftly rising demand. We discuss the existing and the improved process flows, working to maintain the "custom" nature of the product. We conclude with recommendations that can be applied to similar small, niche manufacturers.
SA1D2 Process Re-engineering a Chemical Plant Equipment Maintenance Activity, Han P. Bao, Old Dominion University, Norfolk, VA 23529, email@example.com, Uday Kulkarni, Old Dominion University, Norfolk, VA 23529, firstname.lastname@example.org.
Process Reengineering is an approach to dramatically improve operating effectiveness through redesign of critical processes. This paper is about a case study involving the application of Process ModelTM to a petrochemical industry equipment maintenance activity. The main purposes were to create and validate the process model against real time data, then set up a series of simulation runs to identify solutions for solving bottlenecks and hidden problems in the process. The modeling process includes consideration of time-constrained resources and stochastic maintenance duration times. The simulation results compare favorably with actual incidences observed at this facility.
SA1D3 A Process Improvement Methods Study: Splicing Belts, Mary Gander, Winona State University, Winona, MN 55987, email@example.com
This paper describes how a process improvement team of machine operators at a composites materials manufacturing company learned process improvement methods in a course provided by their company, and applied these methods in a successful project involving their splicing belts. A description of the situation prior to improvements is given along with data gathered by the team. A detailed description of what the team did, in sequence, and what they discovered, how they arrived at their improvement strategies, and how these were implemented, along with the results and supporting data, are given in the paper.
SA1D4 System Configuration and Customer Service Levels in Dial-up Modem Pools, Paul Schikora, Indiana State University School of Business, Terre Haute, IN 47809, firstname.lastname@example.org.
Growth in the Internet user base has led to an explosion in demand for the dial-up modem access to Internet Service Providers (ISP). At times, this growth has left ISPs with insufficient capacity to meet short-term demand. The traditional response has been to add capacity, but such a response may not be feasible over finite horizons. This leads to imposing connect-time limits to more equitably distribute resources among the customer base. This research examines the effect of time limits and modem pool configurations on two key customer service measures.
Sunday, 8:15 – 9:45 Room: Sabino
Title: Knowledge Management and Learning
Chair: Joyce Hoffman, Stephen F. Austin State University
SA2D1 Production as Serial Reconception, Robert Austin, Harvard Business School, Boston, MA 02163, email@example.com, Lee Devin, Swathmore College/The People’s Light and Theatre Company, Swarthmore, PA 19081, firstname.lastname@example.org, Jonathan West, Harvard Business School, Boston, MA 02163, email@example.com.
We propose a framework for understanding a category of production processes that are increasingly important, those in which the product is emergent rather than formally predefined. By juxtaposing and exploring similarities between processes for developing open source software, producing premium wines, and mounting theatrical productions, we derive shared characteristics which together define a mode of production we call “reconception.” Reconception can be contrasted with the “replication” mode that has traditionally been favored in operations settings, which is typified by mass production. Production structured to facilitate reconception may be more useful than those structured to facilitate replication in a variety of contexts.
SA2D2 Learning, Product Integration, and the Dynamics of the Make/Buy Decision, Geoffrey G. Parker, Tulane University, New Orleans, LA 70118, firstname.lastname@example.org, Edward G. Anderson, The University of Texas at Austin, Austin, TX 78712, edAnderson@mail.utexas.edu.
Everyone agrees that the decision to make or buy product components is of paramount importance to firms. However, most normative theory on outsourcing ignores how learning affects product design over time. By opening the economic black box of the firm to include the effects of learning on both component production and the integration of components into a complete product, we develop a model of sourcing that better explains certain real-world phenomena. In particular, we show how sourcing decisions that improve a firm’s short-run performance can have a long-run performance penalty. Additionally, we explain how outsourcing part of a component run can outperform either complete outsourcing or complete insourcing.
SA2D3 The Effect of Knowledge Management on the Performance of NPD, Yang Jie, The Chinese University of Hong Kong, Hong Kong, China,Yangjie@baf.msmail.cuhk.edu.hk.
Awareness of the importance of knowledge management (KM) is at a high level. Activities underlying Knowledge Management in an organization comprise acquisition, innovation, protection, integration and dissemination. Arguing that KM affects key new product development (NPD) process by influencing the input and output of knowledge. Employing factor analysis and regression model, this paper examines the relationship between KM and NPD performance, and finds some interactions between KM and moderators also have significant effect on the performance of NPD. These findings imply that if organizations fail to understand the subtle ways in which different features of KM influence product development, they may fail to harvest the full value of organizational learning.
SA2D4 Inward Operational Technology Transfer: An Information Based Typology, Gregory N. Stock, Hofstra University, Hempstead, NY 11549, email@example.com, Mohan V. Tatikonda, University of North Carolina, Chapel Hill, NC 27599, firstname.lastname@example.org.
This paper develops a conceptual typology of inward operational technology transfer. The typology applies general theories of organizational information processing and interdependence to the specific context of inward technology transfer. We characterize the three dimensions of the typology: technology uncertainty of the technology that is transferred, organizational interaction between the technology source and recipient, and transfer effectiveness. Appropriate matches of technology uncertainty and organizational interaction result in four archetypal cases called “transfer process types” which represent effective technology transfer. We present stylized and real-life examples of effective matches, and the paper concludes with implications for theory and practice.
Sunday, 8:15 – 9:45 Room: Suite 415
Chair: Kasra Ferdows, Georgetown University
SA8A1 The Role of Operations Managers in the Massive U. S. Trade Imbalance: How Much is Our Fault? Wickham Skinner, Harvard University (emeritus), HC61 Box 282B, St. George, ME, 04557, email@example.com
The U. S has been running an enormous unfavorable trade balance, with imports of manufactured goods at unprecedented levels, massively outrunning our ability to export. The result is a need for an offsetting flow of funds into the U. S., which, gigantic in scale, has been provided by foreign investments. The situation is precarious, depending on foreign investor confidence to continue.
Our inability to compete in many industries is central to the situation. Why can't we do better? How much of the competitive disadvantage can be laid at the feet of the operations function? How much are we simply victims of forces beyond our control? This paper explores these issues at both a macro and micro level.
SA8A2 Managing Operational Knowledge in Global Networks, Kasra Ferdows, McDonough School of Business, Georgetown University, Washington, DC, 20057, firstname.lastname@example.org
What is the best way to manage operational knowledge, especially when a company has many factories or other operating units around the world? I suggest (i.e., hypothesize) that the approach should depend on two key attributes of this knowledge: first, to what extent it is explicit and second, how fast it is changing. Operational knowledge is the real know-how of the company—how to do things—and is different from causal and situational knowledge.
I use published data on multinational subsidiaries to test the hypothesis. Four generic types of operational knowledge, depending on its explicability and volatility, are then identified, and it is shown why each requires a different approach for managing the knowledge. I illustrate these approaches through four case examples (AOL, Club Med, McDonald’s and Dell). Finally, I suggest four generic network architectures that would fit each approach.
SA8A3 A Decomposition Approach to Linking Strategic Objectives with Preliminary Manufacturing Design Decisions, James W. Duda, 77 Massachusetts Avenue, Building 35-135, Massachusetts Institute of Technology, Cambridge, MA 02139, email@example.com ; David S. Cochran, 77 Massachusetts Avenue, Building 35-130, Massachusetts Institute of Technology, Cambridge, MA 02139, firstname.lastname@example.org
In the early stages of production system design it is critical that designers understand how decisions regarding system configuration will impact the ability to meet strategic objectives. A general decomposition of the requirements and design elements of a manufacturing system is used to link preliminary design decisions with the firm's strategy. It will be shown how the selection of a manufacturing system configuration (job shop, FMS, "lean" cell, etc.) can impact the system's ability to satisfy the general requirements. These general requirements can then be related to aspects of manufacturing strategy (cost, quality, flexibility, etc.).
SA8A4 Measuring Strategy, Challenging Strategy, Andrew Neely, Center for Business Performance, Cranfield School of Management, Cranfield, MK43 OAL, UK, email@example.com , Mohammed Al Najjar, Judge Institute of Management Studies, University of Cambridge, Trumplington Street, Cambridge, UK.
Organizations the world over are re-engineering their measurement systems. Often in an attempt to move away from financially oriented, historically focused measures, to those that better reflect the value customers receive through the products and services they experience. Commentators in the field acknowledge that appropriate measures allow managers not only to monitor the implementation of strategy, but also to influence it. Even more recently, people have begun to argue that appropriate measures furnish managers with the data they need to challenge their strategies. This paper presents data gathered over a three-year period that demonstrate how managers can use their measurement data to challenge their organisation's operations strategies, and explores the reasons why more managers do not do that.
Title: Environment and Administrative Issues
Chair: Lawrence Fredendall, Clemson University
SA4F1 Evaluation of the Integration of the Management of Safety of the Work to the ISO9000/CD2-2000 and BS8800, in a Company of the Building Site Section, Sub-Section Constructions, in the City of Rio de Janeiro: A Study of Case, James Hall, Universidade Federal Fluminense, Rua Passo da Patria, 156 Bloco D, Sala 240, Sao Domingos, Niteroi, RJ, Brasil CEP 24.240-210, Quelhas@civil.uff.br, Sérgio R. Leusin, Universidade Federal Fluminense, Rua Passo da Patria, 156 Bloco D, Sala 240, Sao Domingos, Niteroi, RJ, Brazil CEP 24.240-210
This work will evaluate the insertion of the management of the safety of the work in a context integrated with ISO9000 Norm (with its revisional process for CD2-2000) and BS8800 Guide-Norm in a company, analyzing it and positioning it in a context of competitive advantage for reduction of accidents and occupational diseases. It will allow the direct management in the "construction sites" to become more preventive and safe. This evaluation will act since the Anticipation or Planning phase will consolidate during the productive process.
SA4F2 The introduction of an Information-based Environmental Management System with Work Groups, Peter Letmathe, Clemson University, 107 Sirrine Hall, Clemson, SC 29634-1305, firstname.lastname@example.org. Lawrence Fredendall, Clemson University, 123A Sirrine Hall, Clemson, SC 29634-1305, email@example.com.
This paper examines the use of an Environmental Management System (EMS) to achieve both environmental protection and economic objectives. This paper explores 3 variables: 1) the advantages/disadvantages of an EMS based on the ISO 14001 standards; 2) the use of work groups to involve employees; and, 3) the use of an environmental cost accounting system. Environmental cost systems are an extension of traditional cost accounting systems to document all environmentally significant flows of material and energy and measure their costs. This paper explores the proposition that the use of a formal EMS, an environmental cost accounting system and the use of work groups for EMS implementation increases a firm's competitive advantage.
SA4F3 The Impact of the ISO 14001
Environmental Management System on Plant Operations, Gyula Vastag, Department of Marketing and Supply Chain Management
The Eli Broad Graduate School of Management, N 370 NBC
Michigan State University, East Lansing, MI 48824, firstname.lastname@example.org; Dennis A. Rondinelli, Kenan Institute of Private Enterprise Kenan-Flagler Business School, Campus Box 3440, University of North Carolina, Chapel Hill, NC 27599-3440,
Using a case study of a manufacturing plant that was among the first in the United States and the world to certify its environmental management system (EMS) under ISO 14001 standards, we examine the impacts of the (EMS) and the ISO certification on plant operations. We use a structured conceptualization method, involving five managers and ten Pollution Prevention (P2) team members from the plant, to define and analyze the conceptual domain of the impacts. The analysis shows that as a result of the certification process, employees and managers experienced attitudinal changes and the plant realized operational improvements. The attitudinal changes were related to increased awareness of environmental matters both among employees and managers. The operational improvements increased the plant's effectiveness and efficiency. _________________________________________________________________________
Title: Leaving From Platform Nine and Three-Quarters: Innovations in Experiential Learning Techniques for Teaching Supply Chain Management
Chair: M. Eric Johnson
SA5G1 The Internet Beer
Game and a New E-Business Simulator, F.
Robert Jacobs, Kelly School of Business, Indiana University, 1309 E.
Tenth St., Bloomington IN 47405.
812-855-8440, Fax: 812-856-5222. email@example.com.
This presentation describes
an Internet implementation of the Beer Distribution Game. Many teachers
demonstrate the bullwhip effect that is often observed in supply chains by
playing this game with their students. This implementation has the advantage of
considerably reducing the time required to play the game.
In addition, a new Internet based game called the E-Business Simulator will be demonstrated. This game closely models the action of an Internet business where sales and purchases are made through e-commerce sites such as e-STEEL or VerticalNet. The player must make purchasing, production and sales decisions as part of the simulation.
SA5G2 Learning Exercises using Siemens Supply Chain Simulator as a Platform, Joyce S. Mehring, College of Management, University of Massachusetts Lowell, One University Avenue, Lowell, MA 01854, Joyce_Mehring@uml.edu, 978-934-2760.
Siemens Supply Chain Simulator, a physical model of a complete supply chain, provides a setting for instructors to teach a variety of supply chain issues. This paper describes our experience with two exercises that we developed and used with the game: an undergraduate exercise to introduce students to supply chains and a graduate exercise to study the coordination of supply chain activities.
SA5G3 The Integration Aspect of
Supply Chain Management: A Framework and a Simulation, Ram Ganeshan, PO Box 8975, School of Business,
College of William and Mary, Williamsburg, VA 23185. (757) 221 1825; firstname.lastname@example.org; Tonya
Boone, PO Box 8975, School of Business, College of William and Mary,
Williamsburg, VA 23185. (757) 221-2073; email@example.com; Alan J. Stenger, 509 BABI, Smeal
College of Business, Penn State, University Park, PA 16802. (814) 865-3923; firstname.lastname@example.org.
The concept of supply chain management seems to be an essential element in many of today's operations and logistics management programs. Yet, there is still a lack of integrative frameworks and teaching tools that specifically tie different supply chain concepts together. This paper has two specific objectives. First, we describe an intuitive hierarchical framework that instructors can use as a convenient "road map” to classify and categorize supply chain concepts. Second, and also the focal point of this paper, we will describe in detail a tool, the Supply Chain Simulator (SCS), that helps the student appreciate the scope of decisions that need to be made, and their impact on managing today's complex supply chains. The supply chain simulator is based on the hierarchical approach, and has been successfully used to teach supply chain management to students at the undergraduate, MBA, and at the executive levels of education.
SA5G4 Experiential Learning Techniques for Supply Chain Concepts, M. Eric Johnson and David Pyke, Tuck School of Business, Dartmouth College, Hanover, NH 03755. 603-646-0526, Fax: 603-646-1308. M.Eric.Johnson@Dartmouth.EDU.
Many schools of management and engineering are adopting integrated curricula that prepare students to design and manage complex global webs of material and information. In a newly released book, we present the curriculum used by many top engineering and graduate business schools for courses in supply chain management. In this session we will discuss some of novel learning techniques described in that book.
Sunday 8:15 – 9:45 Room: Lantana
Title: Production Scheduling
Chair: Funda Sahin, Texas A&M University
SA6H1 Process Reengineering--Closing Circles with Waste Management, Predrag Jovani, ITNMS (Institute for Technology of Nuclear and Other Raw Mineral Materials), 86 Franche d' Esperey St., 11000 Belgrade, Serbia YUGOSLAVIA, email@example.com, Ozren Oci, NIS Refinery Pan~evo, Serbia /Yugoslavia.
Abstract: High operating rates of the refinery processes and associate high R&D costs, are probably the main reasons why process reengineering of the refinery need to involve waste treatment. This paper presents a study on a pilot plant level, considering the possibility of using pretreated refinery waste as the raw material. That includes slight improvements in the main refinery process to obtain what we called “controlled” waste, or “programmable” waste, which could be transformed into a secondary raw material. Several results were obtained during the pilot plant experiments. Spent catalysers were treated with the standard solvent extraction process for metal extraction, which was followed NaOH treatment for the g-Al2O3 extraction. Obtained raw materials, metals and g-Al2O3 ceramic, proved to be economically efficient.
SA6H2 Bicriteria Scheduling Using Genetic Algorithms, Murat Koksalan, Middle East Technical University, Industrial Engineering Department, Ankara, 06531 TURKEY, firstname.lastname@example.org, Ahmet Burak Kaeha, Middle East Technical University, email@example.com.
We develop genetic algorithms for two single machine bicriteria scheduling problems. In both problems we try to generate all efficient solutions. In the first problem we consider minimizing total flow time and number of tardy jobs and in the second problem total flow time and maximum earliness. Both problems are known to be NP-hard. We conduct experiments and compare the obtained results with those of come lower bounds and previous research. The results are favorable.
SA6H3 Optimal Production-Scheduling with Equipment Calibration, Cleanup, and Inspection Costs, Funda Sahin, Texas A&M University, Department of Information & Operations Management, Lowry Mays College and Graduate School of Business, College Station, Texas 77843, firstname.lastname@example.org, Powell Robinson, Texas A&M University, email@example.com.
This paper considers a production-scheduling problem with equipment setup costs. In addition, a fixed cost, associated with equipment cleanup and end item inspection, is applied to each day’s production. Daily output is limited but can be expanded with overtime. The objective is to serve all demand while minimizing the sum of setup, overtime and inventory carrying costs. We develop an algorithm for solving the problem and apply it to a series of test problems facing two manufacturers of food products. The test results are promising with a potential 7% cost savings.
SA6H4 Scheduling Parts in a Robotic Cell Served by a Dual Gripper Robot, Chelliah Sriskandarajah, University of Texas at Dallas, P.O. Box 830688 - J04.7, Richardson, Texas 75083-0688, firstname.lastname@example.org, Suresh P. Sethi, University of Texas at Dallas, email@example.com.
We consider the problem of scheduling multiple parts in a robotic cell served by a dual gripper robot. Both the robot move cycle and the sequence of parts to produce need to be chosen in order to minimize the cycle time required to produce a given set of parts which is equivalent to throughput rate maximization. We consider simple robot move cycles that produce one unit. Choosing such a cycle reduces the cycle time minimization problem to a unique part sequencing problem. We investigate the complexity status of the part sequencing problems and develop efficient solution procedures to solve them.
Sunday, 8:15 – 9:45 Room: Suite 405
Title: Manufacturing Cell Design
Chair: J. T. Black
SA7C1 Manufacturing Cell Design for Lean Production Systems, J. T. Black, 307
Dunstan Hall, Auburn University, AL 36849, (334) 844-1375, email: firstname.lastname@example.org, David S. Cochran, M.I.T. Room 35-132, 77
Massachusetts Avenue, Cambridge, MA 02139, Tel: 617-258-6769, Fax:
617-258-7488, email: email@example.com.
In recent years, many POMS textbooks have published examples of U-shaped manned manufacturing cells without adequate explanation of how these cells work and what makes them unique. Manufacturing cells are designed for flexibility - changes in product design and external customer demand can be easily accommodated. The machine tools in the cells are designed with safety, quality, reliability and internal customer requirements (ergonomics) in mind. Two examples of manufacturing cells will be presented. The first example will be the widely published interim cell design which uses machine tools that were designed for job shops, not for cells but arranged in U-shaped designs and modified to meet system design constraints. The fundamental design equations for daily demand, machining time, processing time, and cycle time will be explained.
Title: Project Management
Chair: Robert L. Bregman, University of Houston
SB1H1 An Analysis of Preemptive Project Expediting, Robert L. Bregman, University of Houston, College of Business Administration, 4800 Calhoun Rd., Mail Stop 6282, Houston, Texas 77204-6282, firstname.lastname@example.org.
With the fast pace of technological development in today’s economy, it is imperative that firms effectively manage project timelines to remain competitive. Usually, this is done in a reactive manner. That is, firms react to problems and expedite as necessary. An alternative preemptive expediting approach, where the probability of project completion is maximized by preemptively expediting project activities before problems are identified, is presented and tested with two experiments in this paper. The first experiment compares performance of the reactive and preemptive approaches. The second experiment further examines the merits of the preemptive approach with various levels of computer-based support.
SB1H2 Real-World Relative Robustness of Critical Chain Project Management Methods, Adrian Done, UESE- University of Navarra, Avda. Pearson, 21, 08034, Barcelona, Spain, email@example.com; Jaume Ribera, UESE- University of Navarra, Avda. Pearson, 21, 08034, Barcelona, Spain, firstname.lastname@example.org
This study takes a hard look at how the acclaimed Critical Chain method compares to the more established Critical Path (CPM) and PERT methods for project management. Currently available software is used to manage a set of distinct projects, chosen for their spread of complexity and uncertainty.
Simulation runs subject the projects to varying conditions that could challenge the actual manager, and ultimate time and cost performance is determined for each project and management method used. Results show the relative robustness a project manager can expect from Critical Chain, CPM and PERT methods when faced with real-world conditions and expectations.
SB1H3 The Identification of Problems of Network Scheduling in Multiple Projects, Edward D. Walker II, Georgia Southern University, P.O. Box 8152, Management Department, College of Business Administration, Statesboro, Georgia 30460, email@example.com, James F. Cox III, University of Georgia, firstname.lastname@example.org.
In 1997 Goldratt published Critical Chain in which he applied the principles of theory of constraints to the management of single projects and revolutionized the way single projects are managed. However, there has been little research examining the issues of planning and controlling projects in the multiple project resource constrained environment. This presentation will seek to identify the network problems of multiple projects via a hands-on demonstration; the problems will then be discussed and verified using simple thought experiments.
Title: Management Initiatives
Chair: Alex J. Ruiz-Torres, Florida Gulf Coast University
SB2D1 Future Research Directions in Project Management, Dwight Smith-Daniels, Arizona State University, Tempe, AZ 85287, email@example.com.
During the past ten years there has been a renewal of interest in Project Management on the part of industrial firms, particularly in the high-technology sector. Relatively high failure rates for new product and process development projects has led to a variety of initiatives designed to improve the project management capabilities of these organizations. In this paper we briefly characterize and review the major research streams in project management literature during the past ten years, and suggest additions and extensions for the future.
SB2D2 Case Studies on the Effectiveness of Shopfloor Improvement Teams, Anton Grutter, University of the Western Cape, Belville 7535, South Africa, firstname.lastname@example.org, Norman Faull, University of Cape Town, Rondebosch 7701, South Africa, email@example.com.
This paper reports three case studies of firms that undertook significant efforts to implement teamwork on their shopfloor. The cases were all from large corporate manufacturers, but were chosen to represent different process types. Although the initiatives were all deemed successful, some complicating factors with respect to worker participation are reported on. Meredith's (1998) suggestion to use case studies as a basis for theory formulation is followed to generate the hypothesis that task orientation is associated with effective implementation and stakeholder orientation is associated with sustainability. A brief analysis of a fourth case is used to provide preliminary support for the hypothesis.
SB2D3 Worker Discretion in Production Job Design, Robert F. Conti, Bryant College, Smithfield, RI 02917, firstname.lastname@example.org.
Engineers design jobs, not just machines, and product and process designers need guidelines to achieve appropriate levels of worker discretion. Researchers agree that workers should exercise discretion in Continuous Improvement activities but there is disagreement regarding discretion in production tasks. In “The Machine That Changed the World”, Womack calls for “stamping out” craft work and worker discretion. In contrast, Lund, et al, recommend discretionary process changes by workers as a general principle in “Designed to Work”. The author studied job designs at several factories to formulate a preliminary discretion model: Jaguar Motors, Waterford Crystal, Hoshizaki Electric, Toyota Motors, Steuben Glass and Martin Guitars.
SB2D4 A Plant's Technology Approach and Emphasis: A Contextual View, Kathleen E. McKone, Babson College, Babson Park, MA 02457, email@example.com, Roger G. Schroeder, University of Minnesota, Minneapolis, MN 55455, firstname.lastname@example.org.
While research has identified potential benefits of specific technology development practices, the literature has largely failed to identify contextual issues that influence these practices. This paper explores the contextual differences of plants to better understand what types of companies have stronger technology development emphasis and approaches. We propose a theoretical framework for understanding the relationship between the context in which a plant operates and the practices that develop the technology base of the plant. We test this framework using data from 163 plants to determine what types of companies are most likely to aggressively pursue technology development at the plant-level.
Title: Workflow Scheduling and Process Design
Chair: Mary Gander, Winona State University
SB8D1 Flexibility in Assembly Lines: The Relationships Between Efficiency, Capacity and Product Mix Flexibility, Aaron Paul Blossom, Bristol Software, Inc., Rockford, MI 49341, email@example.com, James R. Bradley, Cornell University, Ithaca, NY 14853, firstname.lastname@example.org.
The assembly line may be made much more flexible with regard to product mix by adding slack capacity and using a different sequencing algorithm. We have presented and quantified by simulating with manufacturers’ data a means by which a modest reduction in efficiency of the assembly line can lead to greater gains in the larger manufacturing system of which the assembly line is a part. The benefits of making an assembly line flexible include: reduced order fulfillment time, reduced dealer inventory costs, reduced transshipment costs between dealers, fewer obsolete units sold at a discount, and increased sales.
SB8D2 Scheduling N Products on a Single Facility with Time Varying Demands and Inventory/Backorder Penalties, Bajis Dodin, University of California Riverside, Riverside, CA 92521, Mohsen ElHafsi, University of California Riverside, Riverside, CA 92521.
We consider a single production facility capable of producing N products each demanded as a varying rate throughout the planning horizon. The production facility produces, with a fixed production rate, only one product at a time. Given the initial inventory for each product and a finite planning horizon, the problem is to identify the production schedule with the minimum inventory holding and backordering costs. Dominance relations between products and a strong lower bound on the optimal cost rate are derived. Together, they are used in a branch and bound algorithm to generate the optimal schedule. The computational results show that the dominance relations along with the bounding procedure are very effective in trimming down the branch and bound tree to a very small size, hence tremendously reducing the CPU time.
SB8D3 Leveraging The Potential Of Process Technology Through Workflow Scheduling: A Simulation Approach, Paulo J. Gomes, Boston University, Boston, MA 02215, email@example.com.
The paper proposes that further improvements on the efficiency of process technology can be achieved by changing the rules and methods through which work is organized. The implementation of information-based process technology in a bank's check processing system provides the context for the study. I use a simulation approach to assess the benefits of introducing alternative workflow scheduling rules after implementation of the new technology. Results from a hypothetical setting, using data from an actual check processing center, demonstrate the cost advantages of introducing a priority-based scheduling rule. The implications and problems associated with practical implementation are discussed.
SB8D4 Work-In-Process Inventory: Where Does It Come From and Why Is There So Much Of It?, Joyce Hoffman, Stephen F. Austin State University, Nacogdoches, TX 75962, firstname.lastname@example.org, Joseph G. Ormsby Stephen F. Austin State University, Nacogdoches, TX 75962, email@example.com.
Work-in-process inventory planning and control has been an on-going problem for the foundry division of a manufacturer of heavy machinery. The division, best described as a jobbing facility, produces castings using a no-bake sand molding process. This research examined and analyzed the process to positively identify the most critical areas of in-process inventory and to determine the best approach either through modern technology or smarter management techniques to aid in improving the process. Problems and constraints are identified and recommendations are made for both process and management.
Title: Quality and POM in Perspective
Chair: Gyula Vastag, Michigan State University
SB4F1 Twentieth Century Bookends, Charles Gallagher, Andreas School of Business, Barry University, 11300 NE 2nd Avenue, Miami Shores, Florida, 33161,
With little exaggeration, it can be said that management theory in the twentieth century opened with Frederick Taylor's ideas and closed with those of W. Edwards Deming. Taylor's Scientific Management was quickly accepted. Deming, on the other hand, brought a subtle, more philosophical message. Only after the Japanese achieved post-World War II manufacturing success and credited Deming did his ideas gain currency.
This paper compares the management theories of these two titans, then looks at the limitations of science in management. As a new century begins, it may be these limitations which leave the door open to new management theories.
SB4F2 Looking Ahead by Looking Back: Swift, Even Flow in the History of Manufacturing, Roger W. Schmenner, Indiana University, Kelley School of Business, 801 W. Michigan St., Indianapolis, IN 46702, firstname.lastname@example.org
Manufacturing history is too often neglected in operations management and its lessons lost. Its usefulness for testing theory is under-appreciated. This paper uses critical aspects of the history of manufacturing to provide support for the Theory of Swift, Even Flow as an explanation of productivity gain. The rise of Britain in the Industrial Revolution and the rapid overtaking of Britain by the United States and Germany are argued to be thoroughly consistent with Swift,
Even Flow, thereby vindicating both theory and the usefulness of history.
SB4F3 Is Anybody Listening? An Investigation into Popular Advice and Actual Practices, Gyula Vastag, The Eli Broad Graduate School of Management, Department of Marketing and Supply Chain Management, Michigan State University, East Lansing, MI 48824, email@example.com, D. Clay Whybark, Kenan-Flagler Business School, Campus Box 3440, University of North Carolina, Chapel Hill, NC 27599-3440, firstname.lastname@example.org.
In the decade of the mid 1980s to the mid 1990s, management gurus and academics alike were touting the advantages of speed over quality and were suggesting other initiatives. Early in this period the Global Manufacturing Research Group gathered data on manufacturing practices and performance in non-fashion textile and small machine tool firms. Later, follow-up data were gathered from some of the same firms. Data from the two periods are used to determine the extent to which actual practices changed and what effect that might have had on performance. Personal interviews and case studies corroborate some of the findings in the survey data.
Title: Strategic Issues in Supply Chain Management
Chair: Aleda V. Roth, University of North Carolina at Chapel Hill
SB5A1 Revisiting Maquiladora Operations: Low Cost Production or World Class Suppliers? Vicki Smith-Daniels, Manufacturing Institute and Department of Management, Arizona State University, Tempe, AZ 85287-5106, email@example.com
Fierce competition forces companies to rationalize their global production and supply chain strategies. Foreign direct investment in maquiladora operations has usually been directed toward low-skilled, low-value added assembly operations. As companies are finding that world class production capabilities are more critical to competitiveness than low costs, maquiladoras are undertaking a number of different strategies and developing manufacturing competencies beyond their exclusive low cost charter. Using data collected from 49 senior managers in Sonoran maquiladoras, this exploratory study investigates strategic and operational issues.
SB5A2 Distribution Channels as Multiple Strategic Options for the Firm: Emerging Issues for Operations Strategy, Eve D. Rosenzweig, Kenan-Flagler Business School, Campus Box 3490, McColl Building, University of North Carolina at Chapel Hill, Chapel Hill, NC 27599-3490, firstname.lastname@example.org, Aleda V. Roth, Kenan-Flagler Business School, Campus Box 3490, McColl Building, University of North Carolina at Chapel Hill, Chapel Hill, NC 27599-3490, email@example.com
In today’s hypercompetitive environment, supply chain design demands a strategic perspective. In particular, competitive pressures such as globalization, the proliferation of customers’ needs, and the emergence of electronic markets have forced organizations to reconsider their distribution channel strategies. Organizations are increasingly employing multiple strategic options to achieve not only market coverage, but also to develop multiple strategic options for use in fast-changing environments. Yet it remains unclear as to what implications these new distribution channel strategies have for the firm. We provided an in-depth, multidisciplinary assessment of how the increasingly strategic role of distribution channel design has required an extension in the existing operations strategy paradigm.
SB5A3 Multiple Criteria Logistics Models to Support Operations Strategy, Siddhartha Syam, College of Business, Marquette University, Milwaukee, WI, 53201-1881, firstname.lastname@example.org
Logistics has become the latest battleground for competition between firms, mainly as a result of changes in the strategic environment, such as deregulation and the rise of global supply chains. Facility location models are obsolete in two significant aspects:
a) They use a single criterion, i.e., cost minimization, while industry competes on multiple fronts (cost, market share, etc.).
b) Location models determine cost based on commodity flows, but ignore the significant cost implications of shipment composition and timing.
The purpose of this paper is to redress some of the shortcomings noted above and provide an integrated model for facility location.
SB5A4 Vertical Integration and Operations Infrastructure, Mike Lewis, Warwick Business School, University of Warwick, Coventry, CV4 7AL, UK OMML@rapier.wbs.warwick.ac.uk , Paul Walley, Warwick Business School, University of Warwick, Coventry, CV4 7AL, UK OMPW@rapier.wbs.warwick.ac.uk
There has been a move from vertically integrated structures, where a large part of the supply system was owned by one organisation. Theoretical cost and control advantages of vertical integration were difficult to achieve in practice. Additionally, these systems lack flexibility. However, modern information technologies, such as enterprise resource planning systems, are becoming more widely used to integrate supply chain infrastructure. A key question is whether or not these systems also create inflexibility and control difficulties. This paper will evaluate a case example of infrastructural integration to assess the similarities and differences between the two forms of integration.
Chair: Major Steve Swartz
SB6E1 A Simulation Model for Studying Capacity Management in Service-Oriented Supply Chains, Edward G. Anderson, The University of Texas at Austin, CBA 4.202, The University of Texas at Austin Austin, Texas 78712, EdAnderson@mail.utexas.edu, Douglas J. Morrice, The University of Texas at Austin, CBA 5.202, The University of Texas at Austin Austin, Texas 78712, Morrice@mail.utexas.edu
For decades, the Beer Game has taught complex principles of supply chain management in a finished good inventory supply chain. However, services typically cannot hold inventory and can only manage backlogs through capacity adjustments. We propose a simulation game designed to teach service-oriented supply chain management principles and to test whether managers use them effectively. For example, using a sample of typical student results, we determine that student managers can effectively use end-user demand information to reduce backlog and capacity adjustment costs. The game can also demonstrate the impact of demand variability and reduced capacity adjustment time and lead times.
SB6E2 A Comparative Study Of The Total Cost Of Ownership And Analytic Hierarchy Process Approaches To The Supplier Selection Problem, Khurrum S Bhutta, University of Texas at Arlington, Department of Information Systems & Management Science, Box 19347, University of Texas at Arlington, Arlington TX 76019, email@example.com, Faizul Huq, University of Texas at Arlington, Department of Information Systems & Management Science, Box 19347, University of Texas at Arlington, Arlington TX 76019, firstname.lastname@example.org
Traditionally the relationship between a company and its suppliers has been a distant one, the need has arisen to close this gap by integrating their business processes and thus adding a value-focus over the entire supply chain. Analytical Hierarchy Process (AHP) and Total Cost of Ownership (TCO) are two frameworks used to cope with multiple criteria situations involved in supplier selection. This paper will provide a comparison of the two approaches and will attempt to look at how AHP can be modeled to take advantage of TCO methodology to make it more robust.
SB6E3 Time-Phased Rationalization Of Material Movement In Support Of Corporate Objectives: The Advanced Logistics Project, Maj. Stephen M. Swartz, Air Force Institute of Technology, Dept. of Operational Sciences (ENS), Building 640/Room 2002, 2950 P. Street, Wright-Patterson AFB, OH 45433-7765, Stephen.Swartz@afit.af.mil
In today's competitive, global markets, corporate objectives may require the rapid start of operations in a new location, often far away from the current distribution network. When the transportation "pipeline" to the new location is constrained by either cost or capacity, a critical management problem is how to time-flow or phase the shipment of material into the new location in order to achieve the greatest value of on-site capability as quickly as possible. The research presents a structured approach to this problem from a military perspective (DARPA's Advanced Logistic Project), but with application to civilian for-profit and not-for-profit organizations.
SB6E4 Supplier User Interfacing -
Modeling To Assist In Strategic Decision Making, Kenneth Tillery, Ph.D, Middle Ten. State Univ. Murfreesboro, TN 37132,
email@example.com, Kiran Desai, Ph.D, Univ. of Memphis, Memphis, TN 38152, firstname.lastname@example.org. , Arthur L. Rutledge, Ph.D., Mercer University Stetson School of Business, Atlanta, Ga.30303, email@example.com, Kimball Bullington, Ph.D., Middle Tennessee State University, Murfreesboro, TN 37132, firstname.lastname@example.org.
The importance of supplier-user interfacing continues to be a major factor in developing and maintaining a competitive advantage. As this area continues to develop there is a need on the part of either party (supplier or user) to ascertain the competitive nature of their relationships. This paper uses an adaptation of the BCG matrix to examine the positioning of their respective partners. Suggestions as to strategic alternatives available coming from this position assessment are proposed
SB6E5 Modelling And Simulation Of Complex Supply Chains, Jack G.A.J. van der Vorst, Wageningen University, Management Studies Group, Wageningen University, Hollandseweg 1, 6706 KIN Wageningen, The Netherlands, Jack.vanderVorst@alg.bk.wau.nl
The paper presents a logistical methodology for modeling the dynamic behavior of food supply chains. By applying discrete-event simulation the impact of Supply Chain Management scenarios on chain performance can be assessed. The modeling method is based on the concepts of business processes, business entities, design variables and performance indicators. The results of two case studies are discussed where the modeling method is applied and major performance improvements are identified. The simulation model is validated by expert testing and field tests in which simulated scenarios were implemented in real life.
Sunday, 10:15 – 11:45 Room: Suite 405
Title: Wands and Wizardry for OM Teachers: Creative Activities, Exercises and Exams
Chair: Kent Bowen, Harvard Business School
SB7G1 Simulation in Teaching and Learning: Experiencing the “Doing” Simulation of the Design and Operation of a Factory, Kent Bowen, Harvard Business School, Soldiers Field Road, Boston, MA, 02163, email@example.com
For 6 years we have used a hands on factory simulation to teach operations principles and practices. This intensive exercise requires 6-8 person teams and 4-6 hours of preparation before each team runs its factory for 20 min. This business objective is to assemble 40 circuit boards (3 different models), and each team’s performance is measured (quality, cost and delivery). The simulation has been used for MBA students (800 at a time) and for senior executives. For the executives, the simulation is run for 3 successive cycles where 2 improved factory designs are tested following coaching and re-design time.
SB7G2 A Discovery Exercise for Teaching Operations Strategy, Brad C. Meyer, Drake University, CBPA, Aliber Hall, Des Moines, IA 50311, bradley.meyer@Drake.edu.
This session will describe an assignment I use when covering the subject of operations strategy. Students are asked to visit two vastly different “grocery” stores that I have selected. One is a full service store that defines its mission broadly as meeting daily needs. The second store, Aldi, defines its mission as providing staple food items at minimum cost. The students are asked to identify the competitive priorities of each store and then describe how each store has conformed its operations to their competitive strategy. I have consistently had very positive feedback from this assignment.
SB7G3 The Performance Final, Nancy Lea Hyer, Owen Graduate School of Management, Vanderbilt University, 401 21st Avenue South, Nashville, TN, 37204, firstname.lastname@example.org
Rarely do we tap the creative potential of our students when giving a final exam. In the “performance final” student in a second year MBA elective are tasked with “doing something creative” with material that has been covered in the course. They select any class subject and have ten minutes in which to make their creative presentation. The only requirements are that they must communicate a key insight from the class, and that they must do it in a way that is engaging. Students have written and performed short plays, develop board games, composed songs, written and recited poetry, and created and filmed short video clips. This presentation will discuss the mechanics and learning objectives of a “performance final.”
Title: Manufacturing Systems and Information Management
Chair: J. T. Black, Auburn University
SC1C1 Equipment Design for Manufacturing Cells, Jorge, F. Arinez, M.I.T. Room 35-135, 77 Massachusetts Ave., Cambridge, MA 02139, (617) 253-1811, email: , David S. Cochran , M.I.T. Room 35-132, 77 Massachusetts Avenue., Cambridge, MA 02139, (617) 258-6769, email:
Lean manufacturing is an operational approach to improving the performance of manufacturing systems. The implementation of manufacturing cells is one aspect of lean manufacturing frequently adopted. The establishment of cells often requires redesign of equipment to meet the requirements of the cell and the manufacturing system. However, companies often face difficulty in obtaining such equipment because of the recentness of lean manufacturing concepts and due to a lack of structured methods for communicating system requirements to equipment designers. This paper reviews some of these requirements and presents a structured approach that enables companies to design equipment suitable for manufacturing cells.
SC1C2 Technology Management - Integrating Technology into Business Planning, Clare Farrukh, Centre for Technology Management, Institute for Manufacturing, Cambridge University Engineering Department, Mill Lane, Cambridge CB2 1RX England, email: , Bob Phaal, Centre for Technology Management, Institute for Manufacturing, Cambridge University Engineering Department, Mill Lane, Cambridge CB2 1RX England, David Probert, Centre for Technology Management, Institute for Manufacturing, Cambridge University Engineering Department, Mill Lane, Cambridge CB2 1RX England.
Technology management focuses on the effective management of both new and existing technologies to maintain a stream of products or services to the market. It deals with all aspects of integrating technological issues into business decision making, from strategy to operations. This paper explores practical approaches to technology planning in the context of existing frameworks (e.g. Porter’s value chain), and a new framework which links technology, new product development and business planning in the company context. It will also present the latest results from a ‘fast-start’ process for technology roadmapping, an increasingly popular technique for supporting integrated planning within manufacturing companies.
SC1C3 Designing a Factory with the Future in Mind, S. Taj, 4073 Parkstone, Troy, MI 48098, (313)993-1208, email: , George Pfeil, 1113 Pine Valley Drl, Suffolk, VA 23434, (757)539-5302, email: Richard Sullivan, NGV. Manufacturing Gmbh, Linderstrasse, D-06809, Roitzsch, Germany, email: Sullivan@nvg.com, James Hutka, NVG, 6600 New Venture Gear Drive, East Syracuse, NY 13057, (313)432-4014, email: David Cochran, M.I.T. Room 35-132, 77 Massachusetts Avenue, Cambridge, MA 02139, Tel: 617-258-6769, Fax: 617-258-7488, email: .
In this paper, we present the design and launch of a new manufacturing plant in Europe. The plant will produce powertrain products for the European automotive industry. The production system is designed according to the objectives of lean manufacturing. The manufacturing system is based on linked-cell layout. The machining cells are linked to the assembly cells, which are linked directed to customers. This linked-cell layout provides each customer with a clearly defined value stream. The manufacturing systems are designed to be improvable. Production System Design and Depolyment Framework principles have been applied to the design of the linked-cell manufacturing system. This framework has been developed by Professor Cochran and the Production System Design Laboratory at the Massachusetts Institute of technology.
This paper investigates why machines are presently designed to reduce unit labor cost by increasing the speed of the machine or by eliminating direct labor altogether with automation. Machine design practices are currently shown to be operationally focused rather than system focused. This paper illustrates the way the unit cost equation and operationally-focused machine design approaches combine to result in costly factory-system implementations that do not achieve the enterprise objectives. Examples of the hidden costs that are not disclosed by the unit cost equation are then identified.
Title: Production Planning
Chair: Amy Zeng, Worcester Polytechnic Institute
SC2H1 Production Planning and Scheduling in a Healthcare Industry, Bahador Ghahramani, University of Missouri - Rolla, Engineering Management Department, School of Engineering, Rolla, Missouri 65401-0249, email@example.com.
The primary purpose of this project was to improve services, operations, and scheduling of a Healthcare Industry (HCI). As part of this project, the author used various production and scheduling optimization techniques to reach the project’s objectives. HCI was founded in 1929 and was established with the concept of “Bring the home into the hospital.” Innovative products and dedication to its customers are the primary operation and business focus. This HCI is a recognized leader in the worldwide healthcare community.
Short term workforce planning of labor-intensive transfer lines is addressed in this paper. Although the products (e.g. trucks) are assembled on a serial line, they show large differences in the processing times at each station.
These differences are due to the assembling options provided to the customers. Given the assignment of operations to stations, we have to find a loading sequence for the products, a worker allocation and a floater time allocation in order to minimize the whole labour costs at the line. We develop a solution approach for this problem considering a rolling planning horizon. Numerical results show that relevant savings can be achieved.
SC2H3 A Model for Production Planning with an Uncertain Approval Date, Arthur V. Hill, University of Minnesota, Operations & Management Science Department, Curtis L. Carlson School of Management, Minneapolis, Minnesota 55455-0413, firstname.lastname@example.org, William J. Sawaya III, University of Minnesota, email@example.com.
Demand for medical devices such as pacemakers is growing rapidly with the “technology push” of new microelectronics and the “demand pull” of an aging population. Production planning for these products is increasing in importance as demand increases, competition intensifies, and product lifecycles shorten. An uncertain government approval date makes it difficult to create production plans for phasing-out the existing product and phasing-in the replacement product. This paper presents a model for finding the optimal phase-out and phase-in dates. The paper also reports on an implementation in a Fortune 500 medical device firm.
SC2H4 Stock and Capacity Planning for Lumpy Demand, Victor Portougal, Department of CIS, College of Business Administration, Georgia State University, PO Box 4015, Atlanta, GA, firstname.lastname@example.org
The importance of communications between sales, marketing and operations management has been recognized long ago. The theory of production planning (with focus on capacity management) has been significantly developed in the last decade. The efficacy of incorporating these communications as a routine part of production planning is illustrated by a case study of Ernest Adams Ltd, a leading New Zealand food manufacturer. By improving the production planning system and interface between sales, marketing and operations management just for one year the company reduced its workforce by 20%, overtime use by 50%, and at the
same time increased production volumes.
SC2H5 Using Quantity Discounts to Coordinate One Manufacturer and Two
In this paper, we develop a model to examine the effectiveness of using quantity discounts to coordinate the production and order cycles for a system consisting of one manufacturer and two heterogeneous buyers. The analysis of the model developed and the numerical computation indicate that the benefit of coordination decreases with the degree of heterogeneity of the buyers. The conditions under which it is profitable for the manufacturer to coordinate with the heterogeneous buyers are demonstrated through numerical examples.
Sunday, 12:45 – 2:15 Room: Suite 415
Title: Competitive Practices in Quality and Productivity
Chair: Hesan A. Quazi, Nanyang Technical University
SC8F1 Quality Management Practices in Selected Asian Countries: A Comparative Study, Chan, Teng Heng, Nanyang Technical University, Nanyang Business School, Nanyang Avenue, Singapore 639798, email@example.com, Hesan A. Quazi, Nanyang Technical University, Nanyang Business School, Nanyang Avenue, Singapore 639798, firstname.lastname@example.org
This comparative study reports the findings on quality management practices in nine Asian countries. Almost all of these countries experienced high GDP growth (exceeding 10%) in the late 1980's for almost a decade. Industrialization and economic growth have concurrently spurred the development of quality management practices in these countries. The pace of development and adoption of a comprehensive quality management system in these countries are captured. The findings on the quality management practices across the Asian countries are valuable for the MNCs that have operations in these countries and for those organizations who want to enter into this region.
SC8F2 Competitive Practices for Manufacturing in a Transition Economy, Ronald Ebert, 322 Middlebush Hall, Department of Management, University of Missouri, Columbia, MO 65211, email@example.com, Liviu Florea - , 322 Middlebush Hall, Department of Management, University of Missouri, Columbia, MO 65211, firstname.lastname@example.org, Dan Cernusca, University of Sibiu, Romania
This contributed paper identifies practices for greater competitiveness used by firms that are passing from a centralized economy into a market economy environment; it evaluates these practices against corresponding ones identified in world-class firms. The paper is based on the unpublished study "An Assessment of Progress Towards World Class Manufacturing: Results and Recommendations", which explores World Class Manufacturing concepts as they
apply in Romanian manufacturing. In-depth surveys captured employees' perspectives on quality management, their perceptions about quality-related issues in the overall company, and quality practices in their workplaces, and are assessed in a Romanian firm that is considered as representative for transition to a market economy.
SC8F3 Aggregating Value to Manufacturing Services: Integrating Sociotechnical and Quality Function Deployment Approaches, Gustavo A. Carrillo Guzmán, Ph.D., Universidade Federal de Minas Gerais, Departamento de Engenharia de Producao, email@example.com, Lin Chih Cheng, Ph.D. Universidade Federal de Minas Gerais, Departamento de Engenharia de Producao,
The contract manufacturing (CM) industry suffers a unique problem in developing countries: OEMs strategy to only create and design products, leaves lower value-added manufacturing tasks to CMs. This promotes a 'commoditization' of manufacturing services at developing nations. This calls for two types of actions: (1) searching strategies that involve higher value-added content and, (2) developing, adapting and applying different tools to improve operational efficiency. In order to contribute to crystallize these actions, this paper sheds some light on how to integrate different tools which possess different conceptual approaches. A case study was developed at an Electronic CM by action research engagement mode. Specifically, the paper discusses how QFD and advanced sociotechnical (ST) conceptual tools were applied simultaneously in order to obtain improvements beyond the manufacturing sphere - market, logistic and distribution areas.
This paper reports on the Quality Management practices of ten prominent New Zealand manufacturing companies. Case study based research examined the Quality Management practices of companies that had a known commitment to excellent quality. Key findings from the study indicated that quality management had been recently introduced, and was also relatively informal, company specific, and ISO 9000 oriented. In addition, some factors that may be considered specific to the New Zealand environment were found. These were the small size of New Zealand companies, cultural diversity, loyal employees and the Do-It-Yourself mentality of many New Zealanders.
Title: Strategy Issues
Chair: Ram Narasimham
SC4E1 The Value of Supply Chain Management for Operations Strategy, Serkan B. Celtek, Univ of Texas at Brownsville, School of Business, Brownsville, TX 78520, firstname.lastname@example.org, Jose V. Gavidia, UTPA, Edinburg, TX 78539, email@example.com
The strategic. importance of the operations function within it firm has been stressed in the operations management (OM) literature. Furthermore, supply chain management (SCM) has been receiving increased attention from both researchers and practitioners. SCM encompasses a wide variety of Interdisciplinary topics, such as supplier selection, quality management across the supply chain, scheduling, logistics, information flows, distribution channels, and customer satisfaction. It is vital to note that the SCM activities should be integrated into a firm's operations and corporate strategy so that firms can gain competitive advantage and improve their performance in their respective industries. The purpose of this study is to establish the strategic components of a SCM model and develop a framework integrating strategy, SCM, and performance constructs. Future research will be concerned with deriving testable hypothesis from the framework and validating the proposed linkages.
SC4E2 Supply Chain Strategy In Emerging Markets, S. V. Conceicao, Federal University of Minas Gerais, Anexo da Engenharia–PCA, Caixa Postal 209, 30161-970 Belo Horizonte – MG Brazil, firstname.lastname@example.org, A. S. Souza, Federal University of Minas Gerais, Anexo da Engenharia–PCA, Caixa Postal 209, 30161-970 Belo Horizonte – MG Brazil
Based on a survey in the automobile industry supply chain, the article is developed in three steps. First of all, the article analyzes ten major variables that characterize the turbulent environment that the firms have to face when operating in emerging markets. Second, it points out the risks and opportunities to establish long-term partnership in emerging markets supply chain. Third, based on our survey and in the best practices in the supply chain, the article provides a new strategy framework to help firms to be successful in three critical area in emerging markets supply chain: purchasing and logistics, manufacturing and product development partnership.
SC4E3 Strategic Supply Chain Design: An Analytical Model, Behnam Nakhai, Ph.D., Millersville University of Pennsylvania, Department of Business Administration, Millersville, PA 17551-0302, Behnam.Nakhai@Millersv.edu
The growing popularity of outsourcing as part of competitive strategy of many firms in recent years has attracted an increasing amount of attention on the part of POM experts. This has resulted in the emergence of the "Supply Chain Management" field. Ironically, however, much of the attention in this growing field has been on operational aspects of management decisions with little attention paid to design decisions from a strategic perspective. This paper examines through an analytical model the linkages between supply chain design, positioning decisions, as well as other design decisions of the firm.
SC4E4 The Effect of Alignment Between Supply Chain Management Strategy and Diversification Strategy on Performance, Ram Narasimhan, Michigan State University, Department of Marketing and Supply Chain Management, Eli Broad Graduate School of Management, Michigan State University, East Lansing, Michigan 48824, email@example.com, Soo Wook Kim, Michigan State University, Department of Marketing and Supply Chain Management, Eli Broad Graduate School of Management, Michigan State University, firstname.lastname@example.org
This paper discusses the effect of alignment between the strategic factors of supply chain management and the level of market/product diversification on business performance and supply chain management performance. The paper suggests a conceptual framework linking supply chain management strategies to company-level strategy and other functional strategies. The model proposed in this research can be used to achieve supply chain integration.
SC4E5 Supply Chain Strategy in Emerging Markets, Samuel Vieira, Federal University of Minas Gerais, Anexo da Engenharia - PCA, Caixa Postal, 209, 30161-970 Belo Horizonte - MG BRAZIL, email@example.com, Antonio de
Souza, Federal University of Minas Gerais, Anexo da Engenharia - PCA, Caixa Postal, 209, 30161-970 Belo Horizonte - MG BRAZIL,
Title: Service Product Development
Chair: Larry J. Menor, University of Western Ontario, Canada
SC5B1 A Method for Aligning a Service-delivery Process with Stakeholder
Management Strategy, Rita DiMascio, School of Business Operations Management, University of Western Sydney, PO Box 10, Kingswood NSW 2747, Australia, firstname.lastname@example.org
A stakeholder-based performance measurement system has recently been proposed that links organisational performance to stakeholder satisfaction, which in turn is linked to process outcomes. Process outcomes are not, however, linked to process 'inputs' - a drawback which limits the extent to which a process can be 'engineered' for maximum organisational performance. This paper overcomes this drawback in a service delivery process by making this link and by applying manufacturing improvement tools: Taguchi methods, flowcharting and simulation. The technique was illustrated on a patient-treatment process within a public hospital.
SC5B2 Evidence for an Integrated Product-Service Matrix: Developing the Tangible Dimension, Alan Pilkington, Royal Holloway, University of London, Production and Operations Management, Egham, Surrey TW20 0EX, United Kingdom, email@example.com
With the current focus of attention on developing Operations Management theory has come efforts to formalise the product-process matrix and the proposal of several service-based equivalents. This paper considers the status of these models and, using an empirical analysis based on the work of Collier and Meyer, identifies that they can be linked by a common third axis derived from existing service-product classifications.
SC5B3 Knowledge Management and Service Operations: A Synergy Exposed, Craig M. Froehle, University of North Carolina at Chapel Hill, Kenan-Flagler Business School, CB #3490, Chapel Hill, NC 27599-3490, firstname.lastname@example.org,
Aleda V. Roth, University of North Carolina at Chapel Hill, Kenan-Flagler Business School, CB #3490, Chapel Hill, NC 27599-3490, email@example.com, Ann S. Marucheck, University of North Carolina at Chapel Hill, Kenan-Flagler Business School, CB #3490, Chapel Hill, NC 27599-3490, firstname.lastname@example.org
By examining service operations through the lens of knowledge management (KM), we generate new insights into information technology’s role in the service delivery process. Drawing from information theory and contemporary research on individual and organizational learning, we develop a model of the knowledge and information transfers among knower, learner, and the environment. Unlike previous frameworks, however, this model decouples the learner from the knower and explicitly incorporates the concepts of environment, medium, and context. Then, by applying this KM-based model to Wemmerlov’s (1990) taxonomy of service processes, we are better able to determine when service systems are likely to benefit from technology application.
SC5B4 Batching in a Mass Service Operation, Jacob V. Simons, Jr., Georgia Southern University, P.O. Box 8152, Statesboro, GA 30460-8152, email@example.com, Gregory R. Russell, Georgia Southern University, Georgia Southern University, P.O. Box 8152, Statesboro, GA 30460-8152, firstname.lastname@example.org
Job batching in manufacturing has been well-researched. While batching is also employed in mass services, it is not clear to what extent the manufacturing theory may be transferred. We studied a single case with multiple instances of batching. Our findings indicate that while the factors that affect batching in manufacturing still apply, so do additional factors. The net effect is a broader set of considerations which influence the determination of when batching is desired in mass services and how big batches should be.
SC5B5 Theoretical and Statistical Modeling: An Empirical Investigation of New Service/Product Development Competence and Performance, Larry J. Menor, University of Western Ontario, London, Ontario N6A 3K7, Canada, email@example.com, Aleda V. Roth, University of North Carolina at Chapel Hill, Chapel Hill, NC 27599-3490, firstname.lastname@example.org
New services development (NSD) has become an important competitive necessity in many service industries. However, NSD remains among the least understood topics in the service management literature. We introduce the construct of an “NSD competence” and empirically examine its relationship with NSD performance. We hypothesize that an NSD process focus, market acuity, service innovation strategy, service culture, and IT experience determines a service firm’s NSD competence. This NSD competence, in turn, drives NSD performance. The empirical results indicate a causal linkage between NSD competence and NSD performance, suggesting that an integrated management of NSD enhances the likelihood of success.
Title: Concurrent Engineering and Rapid Prototyping
Chair: Paul Schikora, Indiana State University
There is a lot of active engineering research in the fields of innovation and technology management. In particular there is wide interest in ways to minimize the length and the cost of the innovation cycle in industry. Integrating product and process design is one of these approaches and several alternatives have been proposed to attain those objectives. For instance, modular product design methods may be applied to process design as well. Concurrent engineering methods have been tried in several industries, in particular for the design of flexible manufacturing systems.
SC6D2 IT Infrastructures for New Product Development in Strategic Alliances, Darren B. Meister, Queen's University School of Business, Kingston, Ontario K7L 3N6, Canada, email@example.com, Donald Gerwin, Carleton University, Ottawa, Ontario K1S 5B6, Canada.
SC6D3 The Product Manufacturability Interface with Marketing and Industrial Design, David P. Christy, The Pennsylvania State University, University Park, PA 16802, firstname.lastname@example.org.
The effective design of products and services requires greater integration than ever before between technical feasibility studies, realization, manufacturability, aesthetics, demand analysis, channel design, and the design of the business model. Observations of student design teams provide a laboratory setting to generate hypotheses about how this integration works, mainly by observing the effects when elements are absent. This paper reports on the observation of more than 25 design teams and the products that they envisioned and prototyped. In each case, the effectiveness of the prototype, reasonableness of the demand estimates, and appropriateness of the business model are evaluated.
SC6D4 An Analytic Network Process for the Evaluation of Time Compression Technology, Athakorn Kengpol, University of Nottingham, Nottingham, NG7 2RD, United Kingdom, email@example.com, Christopher O'Brien, University of Nottingham, Nottingham, NG7 2RD, United Kingdom.
This paper proposes a framework for evaluating Time Compression Technology (TCT) of which Rapid Prototyping technology (RP) is an example. The approach applies the Analytic Network Process (ANP) instead of the more familiar Analytic Hierarchy Process (AHP) to quantify the impact of the value of reducing development time through investment in TCT. The research has involved collaboration with eleven companies in a variety of industrial sectors in the United Kingdom and Austria. The results and sensitivity analysis of a comparison between conventional and TCT technology are presented for a number of cases.
Title: So What and Who Cares: Do Students Think OM Really Makes A Difference?
Chair: Lee Kirche, University of Houston
SC7G1 How Valuable Is the Core Operations Management Class? Students' Perceptions at One University, Britt M. Shirley, College of Business, The University of Tampa, 401 West Kennedy Boulevard, Box 152F, Tampa, FL 33606-1490, BMShirley@aol.com; Ali Jenzarli, College of Business, The University of Tampa, 401 West Kennedy Boulevard, Box 15F, Tampa, FL 33606-1490, firstname.lastname@example.org
Business schools generally require that students take a course in the functional areas of marketing, finance, and operations. Unfortunately, students often enter the core operations course with little knowledge of what the course involves. Even while taking the class, students occasionally feel that none of the topics relate to their interests or professional goals. Our paper surveys students in the capstone business policy course at the University of Tampa and assesses their perceived value of the course in an absolute sense and relative to other courses in the College of Business core.
Results of research on factors that influence academic performance in undergraduate business courses have been reported frequently in the academic literature. Most studies have involved introductory courses in accounting, economics, or finance. This study investigates student performance in an introductory operations management course, and extends the research beyond the usual ability and aptitude factors into other ability areas, cognitive aspects, and environmental considerations. Data for the sixty-seven students involved in the study were derived from their performance in the course, a survey they completed, and student records. The study was carried out using simple linear correlation analysis and stepwise multiple regression analysis.
SC7G3 Empirical Investigation of Student’s Learning on the Operations Management (OM) Core Course, Lee Kirche, Decision and Information Sciences Department, College of Business, University of Houston, Houston, TX 77204-6282, email@example.com; Sukran Kadipasaoglu, Decision and Information Sciences Department, College of Business, University of Houston, Houston, TX 77204-6282, firstname.lastname@example.org; Basheer Khumawala, Decision and Information Sciences Department, College of Business, University of Houston, Houston, TX 77204-6282, email@example.com.
We investigate the impact of student’s perceptions and prior knowledge of OM on the resulting learning in the core course. We have a two-stage survey study. The first survey is administered on the first day of class and the second survey on the last. The survey is administered in multiple classes, class sizes ranging from 50 to 350 students. Multivariate analysis techniques are initially used to refine and validate the survey instrument. Subsequently, Structural Equation Modeling is used to test the model developed to describe the relationships among the students’ perceptions and prior knowledge of OM, the population characteristics, and the amount of learning that takes place in the core OM course. This study is the first of a series that will be repeated in multiple semesters.
SC7G4 Teaching Operations Management to Historically Disadvantaged Students in South Africa, Anton Grutter, University of the Western Cape, Priv Bag X17, Bellville, 7535, South Africa, firstname.lastname@example.org
The University of the Western Cape is categorized as an"historically disadvantaged university" and draws it students from communities where the education systems have all but collapsed. Creating learning experiences for these students is a general challenge, but developing an understanding of the effective management of operational resources when student's often only have experience of extreme resource scarcity presents particular challenges. This paper presents the model, a simplified version of Hill's 1995 model of manufacturing strategy, used to introduce students to operations management. It also reports on the introduction of mind maps to strengthen the cognitive skills development of the students and the case study assignment which enables students to apply the model in a real world situation.
Title: Service Productivity Improvement
Chair: Paul Rackow, Fordham University
SD1B1 Experience versus Learning: An Empirical Analysis of Minimally Invasive
This paper examines learning curves in healthcare. In contrast to previous research, we argue that learning curves may vary across organizations engaged in the same learning task. We investigate this issue in cardiac surgery departments implementing a new technology for less invasive cardiac surgery. We report on analysis of detailed data on procedure times from a sample of 662 patients who underwent this operation at 16 different institutions. This unique data set allows us to estimate learning curves across organizational settings. We find evidence that the slope of the learning curve varies significantly across organizations. Theoretical and practical implications of the findings are discussed.
SD1B2 The Effect of Capacity Utilization on Service Quality: A Longitudinal Survey of Service Improvement, Stuart Chambers, University of Warwick, Warwick Business School, Coventry. CV4 7AL., United Kingdom, email@example.com, Adrian Watt, University of Warwick, Warwick Business School, Coventry. CV 4 7AL, United Kingdom, firstname.lastname@example.org
Research show that service quality often deteriorates as capacity utilization increases. This paper reports the results of a longitudinal research project conducted over a period of four years, investigating the effect of varying levels of demand within mass customer service organizations, upon the customers’ perception of the many aspects of the service quality they received. The initial results combined with customer importance priority rankings, were intended for incorporation in capacity/demand and facilities planning, and resource allocation for service improvement. The later results enable an assessment of the effects of operational changes on service quality and the methodology’s robustness over time.
SD1B3 Productivity Improvement of Mail Delivery: A Case Study of Korean Postal Services, Seung-Kyu Rhee, Korea Advanced Institute of Science and Technology, Graduate School of Management, 207-43 Cheongryang, Seoul 130-012, Korea, email@example.com, In-kyung Song, Korea Advanced Institute of Science and Technology, Graduate School of Management, 207-43 Cheongryang, Seoul 130-012, Korea, firstname.lastname@example.org
Facing the challenges of express courier services and Internet communications, postal service providers all over the world need radical improvements in the delivery performances. Variability in mail volumes across different regions and seasons, changing mail characteristics, and restrictive workforce policies make the task very complicated. Automation technologies for address recognition, sorting, and delivery point sequencing have been introduced to improve the service productivity, the result of which vary widely depending on the management policy. In this paper we examine the delivery productivity issues in Korea, Japan, USA, and Germany, and then explain how different management approaches result in different performances.
Quality in healthcare is reflected by outcome measures of a series of clinical results. Proposed measures suggested by the JCAHO are discussed together with the techniques used in analyzing quality. Some examples of real world results in cardio-thoracic surgery, Bowel surgery, and Orthopedic surgery are presented.
SD1B5 Identifying a Common Set of Weights Appealing to All DMUs in Data Envelopment Analysis, Daniel L. Tracy, Washington State University, Pullman, WA 99164-4736, email@example.com
Data Envelopment Analysis (DEA) is a mathematical programming approach to measuring the efficiency of a Decision Making Unit (DMU) relative to a group of DMUs. When they have multiple inputs and/or outputs, weights must be assigned to each input/output. Each DMU may choose different weights to put themselves in the best light. However, in practice, most managers evaluate DMUs based on deterministic criteria. Even when considering a fairly homogenous group of DMUs, specialization may occur resulting in disagreements regarding the weight structure. A model with an application is offered to identify a common set of weights agreeable to all DMUs.
Title: Management Issues
Chair: Joel D. Wisner
SD2E1 Cooperative Supply Chain Configuration Management Suggested Track: Global Supply Chain Management, Cbaru Chandra, University of Michigan-Dearborn, Industrial &: Manufacturing Systems Engineering Department, 4901 Evergreen Road, Dearborn. MI 48128-1491, firstname.lastname@example.org, Alexander V. Smirnov, University of Michigan-Dearborn, Industrial &: Manufacturing Systems Engineering Department, 4901 Evergreen Road, Dearborn. MI 48128-1491, email@example.com
A cooperative supply chain is an arrangement whereby its members achieve coordination through negotiations and compromise, in honoring commitments made to each other. Such an arrangement offers opportunities to design, model, and analyze problems with local perspective of a Member and global view of a Group. It also holds the potential of emergence of divergent supply chain network topologies, in order to satisfy dynamic market conditions. These unique configurations and associated problems require formulations in relation to a framework, recognizing their domain dependence within the domain independent environment of the supply chain. In this paper, we present a framework that enables configuration management of a cooperative supply chain based on the principles of collaborative engineering of its functional domains.
SD2E2 Can We Use Financial Portfolio Management Theory To Assess Risks In Supply Chain?, Kiran Desai, Ph. D., University of Memphis, Fogelman College of Business and Economics, Memphis, TN 38152, firstname.lastname@example.org, Harsha B. Desai, Ph.D., Loyola College, in Maryland, Baltimore, MD 212 10, email@example.com
Supply chain management has gained currency as the final frontier of business. The risks associated with supply chain management from a buyer's perspective include the quality of a supplier's goods, supplier's long-term solvency, supplier's ability to manage downward pressure on its prices, supplier's ability to use the latest in appropriate technology, and the supplier's ability to deliver on time. On the other hand, portfolio management in finance affords us an opportunity to examine the risks of various investment alternatives. We explore the application of portfolio theory to the evaluation of the risks in supply chain management using several real life examples.
SD2E3 Transportation Problems with Exclusionary Side Constraints and Some Solution Methods, Minghe Sun, The University of Texas at San Antonio, Division of Management and Marketing, College of Business, San Antonio, TX 78249, firstname.lastname@example.org
Many practical distribution and storage problems can be modeled as transportation problems with exclusionary side constraints. In such problems, as in traditional transportation problems, goods at a set of source locations need to be shipped to, and stored in, a set of warehouses at possible minimum total shipping and handling cost. In addition, a warehouse may not be allowed to receive goods simultaneously from some sources because goods incompatibility may cause damage or deterioration to the goods and/or to the facility. Mathematical formulations of the problem are discussed. Currently available heuristic solution procedures and exact solution algorithms are examined
SD2E4 Distribution And Customer Interaction Issues In Supply Chain Management, Joel D. Wisner, CPM., CTL, University of Nevada, Las Vegas, Dept. of Management, Las Vegas, NV, 89154-6009, email@example.com, K.C. Tan, CPM., CPIM, University of Nevada, Las Vegas; Dept. of Management, Las Vegas, NV, 89154-6009, KCTan@nevada.edu
The term, supply chain management has been used to describe the integration-of distribution activities by wholesalers and retailers, as well as manufacturer attempts to integrate supply activities. Today, no universally accepted definition exists for supply chain management or its associated activities. Toward that end, a comprehensive survey administered to US materials management professionals sought to identify the current state of the art in supply chain management and to identify purchasing, production, and distribution issues associated with supply chain management. This paper reports the findings with respect to the distribution and customer contact activities of firms practicing supply chain management. A number of significant findings are reported.
SD2E52 Trends in the global automotive industry – a survey study of OEM and supplier strategies and relations, Fredrik von Corswant, Chalmers University of Technology, SE-412 96 Gothenburg, Sweden, firstname.lastname@example.org, Peter Fredriksson, University of Technology, SE-412 96 Gothenburg, Sweden, email@example.com
Intense global competition and structural changes characterize the automotive industry today, profoundly affecting the operations manager. This paper provides up-to-date facts, analyses and implications based on the involved managers' perspectives on the past, present and future situation in the automotive industry. The results from a survey, answered by auto manufacturer and global supplier managers, indicate differences between suppliers and manufacturers regarding operations strategy and future plans. Suppliers are for instance most urgent to go global, while manufacturer managers emphasize product cost and innovation as key performance criteria. Though, both parties will continue the commenced ways of outsourcing and downstream integration.
Sunday, 2:30 – 4:00 Room: Suite 415
Title: Information Technology
Chair: David McCutcheon
SD8E1 Impacts of Internet-based Communication on Supply Chain Management, David McCutcheon, University of Victoria, Faculty of Business, firstname.lastname@example.org
There has been some debate about the probable impact of Internet-based systems on buyer-supplier relationships. Steinfield, Kraut and Plummer (1997) reviewed findings of previous studies and concluded that, overall, "extranet" systems would lead to strengthening of existing buyer-supplier relationships and reductions in the typical supplier base. Most of these studies were at a macroeconomic level. More relevant for most firms is the Internet's likely impact at the industry or business unit level. Here, I discuss some factors that may influence how Internet-based technologies could affect "make or buy" decisions, depending on the type of business and purchase involved.
SD8E2 Supply Chain Management as an Approach to Knowledge Management, Dr. Peter Milling, Industrieseminar der Universitat Mannheim, D - 68131 Mannheim, Germany, email@example.com, Dipl.-Kfm. Ulli H Konig, Industrieseminar der Universitat Mannheim, D - 68131 Mannheim, Germany, firstname.lastname@example.org
Up to now, Knowledge Management (KM) was either related to IT-based explanations or metaphysical theories. However, the goal of KM can be seen as an equivalent to logistics. Therefore the taken approach tries to find parallels between the more strategically oriented KM and the Operations Management based Supply Chain Management. We like to show alternative ways to solve the problem of Knowledge-distribution within organizations. To do this, we use computer based simulation models that are not merely mathematical but also structural and nonlinear.
SD8E3 Information Sharing in the Supply Chain, Ahmet S. Ozkul, Clemson University, Department of Management, 101 Sirrine Hall, Clemson, SC 29634-1305, email@example.com, Steve Davis, Clemson University, Department of Management, 101 Sirrine Hall, Clemson, SC 29634-1305, firstname.lastname@example.org
This paper develops specific information sharing models for manufacturing supply chains that share manufacturing planning information. Using a simulation methodology, performance of a supply chain is studied with different information sharing structures and richness levels of shared information. The paper also addresses such problems as the "bullwhip effect" with the decentralized information sharing model, and '"nervousness" with the centralized information sharing model.
SD8E4 Information Technology and Its Impact on Logistics Strategy: An Australian Perspective, Stephen Miles Waters, 9 Cowan St, Oyster Bay 2225 NSW Australia, email@example.com
The purpose of this paper is to review literature on Logistics with specific emphasis on Information Technology and it's impact on Logistics Strategy. This paper is the result of research carried out as part of a doctorate. There will be a focus on Australian research. articles written by Australian authors or with Australian content. The paper will also highlight both well-researched issues and those neglected and in need of further research. The paper will contribute to information on the subject of Logistics, and provide information to Logistics practitioners in all countries.
Title: Innovation and Product Re-design
Chair: Paul Schikora, Indiana State University
SD4D1 Modularization of Complex Products, Magnus Persson, Chalmers University of Technology, S-412 96 Gothenburg, Sweden, firstname.lastname@example.org, Tobias Holmqvist, Chalmers University of Technology, S-412 96 Gothenburg, Sweden, email@example.com
In recent years, product modularization has received increasing interest among both practitioners and academics. A literature survey resulted in four different methods for modularization. The aim of this paper is to analyze these methods applicability for four basic product architectures. The results show that the modularization methods are useful for products with simple product architecture, i.e. one function is allocated to one physical module. However, concerning more complex architectures in which several functions are allocated to several physical modules, the methods seem insufficient. Therefore, to make the methods suitable for complex products, areas for further development are suggested and discussed.
SD4D2 Parts Reduction Initiatives: A Review of the Literature, Mary Gander, Winona State University, Winona, MN 55987, firstname.lastname@example.org
As more companies become aware of the tremendous potential benefits that can be gained from improvement of design of products, not just designing for ease of manufacture (DFM) but also, designing for enhancement of efficiency, quality, and cost savings throughout a manufacturing company's operations, including improved supplier service and customer satisfaction (called "design for system optimization" or DSO), an increasing number of parts reduction initiatives are being reported in the literature with interesting patterns of benefits. Many of these offer great opportunities for learning. This paper reviews studies and reports of parts reduction programs. It also reviews related initiatives to increase use of common parts and processes, increase use of standard parts, and design for maximizing point of differentiation.
SD4D3 Managing Innovation in UK and German Manufacturing Companies, Keith Goffin, Cranfield School of Management, Cranfield, Bedford MK43 0AL, England, email@example.com, Rolf Pfeiffer, Marek Szwejczewski, and Bertram Lohmuller, Cranfield School of Management and Export-Akademie Baden-Wurttemberg.
In today’s increasingly competitive international business environment, manufacturing companies are looking for ways to become more innovative – more successful at developing new products and processes on a regular basis. This paper reports on a project, which used a combination of survey and case study research to investigate how innovation is managed in the electrical engineering and engineering sectors in Germany and the UK. The results show that managing innovation is a complex and challenging task for which there are no simple solutions. These results have important implications for both practitioners and researchers focusing on innovation in manufacturing industry.
SD4D4 Perceived Product Quality: A Conceptual Model, Dan Heiser, DePaul University, Chicago, IL 60604, firstname.lastname@example.org, Lori Cook, DePaul University, Chicago, IL 60604, email@example.com.
Previous conceptual models for assessing product and service quality have become important instruments in understanding consumer behavior and the perceived quality of an organization’s market offerings. However, many organizations’ offerings don’t fit the traditional definition of a manufactured good or a service. Organizations now focus on building long-term relationships and the experiential elements of their market offerings. In addition, recent advances in multiple technologies provide an unprecedented opportunity to redefine long-established market niches. This paper proposes an integrated model of product quality to accommodate the expanding definition of a market offering and to reflect the affect of advances in technology.
SD4D5 Operations Analysis of Space Transportation Systems, Alex J. Ruiz-Torres, Florida Gulf Coast University, Fort Myers, FL 33965, firstname.lastname@example.org, Carey McCleskey, NASA, Kennedy Space Center, FL 32899, email@example.com.
The growing emphasis on affordability for space transportation systems requires the assessment of new space vehicles for all life cycle activities, from design and development, through manufacturing and operations. This paper addresses the operational analysis of launch vehicles, focusing on modeling the ground support requirements of vehicle architecture, and estimating the operational costs and flight rate. This paper proposes the use of Activity Based Costing (ABC) modeling for this analysis. The model uses expert knowledge to determine the activities, the activity times, and the activity costs based on vehicle design characteristics. The approach provides several advantages to current approaches to vehicle architecture assessment including easier validation and allowing vehicle designers to understand the cost and cycle time drivers.
Title: Human Resources In Support of POM
Chair: Nancy Lea Hyer, Vanderbilt University
SD5F1 Selection, Training and Development of Cell Personnel, Nancy Lea Hyer, Owen at Vanderbilt, 401 21st Avenue South, Nashville, TN, 37204, firstname.lastname@example.org; Urban Wemmerlov, School of Business, University of Wisconsin-Madison, Suite 4284 Grainger Hall,
975 University Avenue, Madison, Wisconsin 53706, email@example.com
Many organizations with cells acknowledge that one of their greatest challenges is selecting and preparing cell personnel -- those who will work in and manage cell activities -- for their new responsibilities. Based on extensive field research and a review of the operations management and human resources literature, we present a preliminary framework for cell personnel selection, training and development. In particular, we explore the criteria and processes organizations use to select cell personnel, the training they provide, and the ways in which they develop cell employee capabilities over time. We highlight key challenges, company “best practices,” and unanswered questions. Finally, we offer a number of propositions to be explored in future studies.
SD5F2 Gender Effects on Executive Performance: A Case of Hong Kong India and Malaysia, Manjulika Koshal, Ohio University, Department of Management Systems, College of Business, 528 Copeland Hall, firstname.lastname@example.org. Peter Johansen, Ohio University, 1 South Congress Street Apt. #F, Athens, Ohio 45701, email@example.com. Ashok Gupta, College of Business, Ohio University, Athens, OH 45701, USA firstname.lastname@example.org. Rajindar Koshal, Ohio University, Haning Hall, Athens, OH 45701
In the interdependent global economy, the need for women to undertake leadership positions is becoming more important. A large percentage of the world population lives in South Asia and the Indian Subcontinent region, making these regions important for growth. This study is based on the surveys of perceptions of men and women managers from India, Malaysia and Hong Kong. This paper attempts to study if gender affects the leadership styles of executives and the major barriers affecting the advancement of women. The findings are interesting and surprising.
SD5F3 Strategic Role of Human Resource Management in Total Quality Organizations, Hesan A. Quazi, Nanyang Technical University, Nanyang Business School, Nanyang Avenue, Singapore 639798, email@example.com
The extent of strategic role played by the Human Resource Management department/division in Total Quality organizations operating in Singapore was explored. A pre-tested questionnaire was mailed to 200 ISO 9000 certified companies from which 64 completed surveys were received. A comparative analysis between the firms based on the ownership and size were carried out. Results indicate that the HR departments are not fully functioning at the strategic level. The size of the organization and the length of time of ISO 9000 Certification were found to have impact on the level of participation of the HR department in the TQ process.
Title: Innovations in Delivering POM in the First Year MBA Program: Integration and Scheduling
Chair: F. Robert Jacobs and Jim Patterson, Indiana University
SD6G1 POM in the First Year MBA at Indiana University, F. Robert Jacobs, Kelley School of Business, Indiana University, Bloomington, IN 47405, firstname.lastname@example.org
SD6G2 How to View Your First Year MBA Program as a Project?, James H. Patterson, Kelley School of Business, Indiana University, Bloomington, IN 47405, email@example.com
In this invited session, Bob Jacobs will describe the efforts at Indiana University to develop and implement a highly integrated first year MBA curriculum. Bob will describe the content and timing of the operations management segments and how they blend with the other functional elements of the core. In addition, Bob will describe what is necessary to make an integrated core a reality-the barriers, the benefits, the costs, and the consequences. A discussion and presentation will follow this by Jim Patterson and Bob on how the first year integrative core is modeled as a project. Precedence requirements on the order in which topics are covered, as well as the inclusion of constraints on both classroom and faculty availability are considered in the model. There will be ample opportunity for questions and comments.
Title: Taming the Dragon in the Basement: An ERP Tutorial
Chair: Sue Siferd, Arizona State University
SD7G1 A Tutorial on Enterprise Resource Planning Systems (ERP) and Other e-business Issues, Sue Perrott Siferd, Arizona State University, College of Business, Dept. of Supply Chain Mgt., P.O. Box 874706, Tempe AZ 85202, firstname.lastname@example.org; Julie Smith David, Arizona State University, College of Business, School of Accountancy & Information Management, P.O. Box 873606, Tempe AZ 85202, email@example.com, Susan Amundsun, Arizona State University, College of Business, Dept. of Supply Chain Mgt., P.O. Box 874706, Tempe AZ 85202, firstname.lastname@example.org
Integrated, enterprise-wide systems have become the de facto standard for transaction processing in organizations. At Arizona State, we are challenged by choices about the best pedagogy to use in preparing our students to deal knowledgeably with rapidly changing technology. We have experienced success using ERP systems in our accounting and information systems curriculum at undergraduate and MBA levels. Now we are introducing ERP and e-business concepts throughout our business curriculum. We will share our successes and failures as we present an overview of ERP systems, their relationship to supply chain management, and other e-business issues.
Title: Quality and Strategy
Chair: John F. Dalrymple, RMIT
SE1F1 International Business Profile Benchmarking for the SME Sector-
A Method of Targeting POM Improvement, John F Dalrymple, Computing Devices Professor of Quality Management Centre for Management Quality Research at RMIT, PO Box 71, Bundoora 3083 Victoria Australia
This paper explores some of the issues surrounding quality in SME’s and presents results of a study of an international business profile benchmarking tool. This instrument has the potential to identify the relative strengths and weaknesses of small and medium sized companies by comparison with their international counterparts of a similar size, turnover, number of employees and industry sector. Information provided by this instrument may enable areas to be targeted for improvement in the SME’s production operations management. The ability to benchmark across the business profile against international competitors presents possibly the first such opportunity as global purchasing is adopted.
SE1F2 Evaluation Of Strategic Models Of Quality Management As Leverage In The Search Of Excellence: A Case Study In The Building Industry, Eliana Anunciação Alves de Souza, Mestranda em Engenharia Civil - Universidade Federal Fluminense (UFF) Rua República do Perú, 238/902 - Copacabana - CEP 21.021-040 - Rio da Janeiro, RJ – Brasil, e-mail: email@example.com, José Rodrigues de Farias Filho, D.Sc. Universidade Federal Fluminense - Rua Passo da Pátria, 156 - Bloco E - Sala 329 Boa Viagem - Niterói- RJ - Brasil - CEP 24.240-210, e-mail: firstname.lastname@example.org
The objective of this work is to analyze the quality management models used by companies in the metropolitan area of Rio de Janeiro in order to evaluate the relation between these models and the growing results in its business. In a context where the competition increases more and more, the understanding that an increment in revenues and reduction in operation costs, can both be achieved through a better efficiency, productivity and the adequate use of capital investment leading to the competitive advantage.
SE1F3 The Adoption Of Total Quality Management Strategy – TQM - Such As Catalyst In Organizational Process Relationed With The Innovation And Change Process, Sergio Lessa de Gusmão, Travessa Marrocos, 55 - Porto Alegre, RS - CEP: 91370240 – BRASIL, email@example.com
As the innovation and change process are important for to get and maintain a competitive advantage, this paper present that the enterprise must be oriented for process which guide your actions for the knowledge of the enterprise competitive dimensions, your position inside the supply chain and, consequently, to develop a technological strategy. In this context, the Total Quality Management, which is a global strategy, could be adopted such as catalyst in the process giving the direction for all enterprise decisions related with the innovation and change process, optimizing the results in order to reach organizational goals for improve your surviving and growing.
SE1F4 Performance Measurement and the Competence Approach to Strategy, Mike Bourne, Centre for Strategy and Manufacturing Performance, Institute for Manufacturing, Mill Lane, Cambridge CB2 1RX, England, firstname.lastname@example.org; John Mills, Centre for Strategy and Manufacturing Performance, Institute for Manufacturing, Mill Lane, Cambridge CB2 1RX, England, email@example.com; Ken Platts, Centre for Strategy and Manufacturing Performance, Institute for Manufacturing, Mill Lane, Cambridge CB2 1RX, England, firstname.lastname@example.org; Andy Neely, Centre for Strategy and Manufacturing Performance, Institute for Manufacturing, Mill Lane, Cambridge CB2 1RX, England, email@example.com., Huw Richards, Centre for Strategy and Performance, University of Cambridge, Mill Lane, Cambridge, CB2 1RX, England, firstname.lastname@example.org
Currently, performance measurement is seen as an effective tool for translating strategy into action (Kaplan & Norton, 1996). To date, most performance measurement system design processes have adopted an external, or market based, approach in the tradition of Porter (1980). As a result, the internal, or competence approach, has been widely ignored. An effective performance measurement system is designed to focus effort and resource. It is therefore important to develop key measures for learning and the development of competences. This paper will develop a competence driven framework for performance measurement and illustrate this using case study examples.
Title: Performance Measurement
Chair: Bih-Ru Lea, University of Louisville
SE2H1 The Impact of Forecast Error and Management Accounting Alternatives on Manufacturing Performance, Bih-Ru Lea, Computer Information Systems, College of Business & Public Administration, University of Louisville, Louisville, KY 40292, email@example.com; Wen-Bin Yu, Computer Science & Engineering, Speed Scientific School University of Louisville, Louisville, KY 40292, firstname.lastname@example.org
Since safety stock is used to cope with demand forecast error, mangers of risk-seeking, risk-averse, or neutral type is likely to determine safety stock differently that resulted in different master production schedule, various ending inventory levels, and inventory related costs. Since different management accounting alternatives treat inventory differently, the decision of safety stock will then affect manufacturing performance. This study uses simulation modeling to examine the interactions of various safety stock levels, management accounting alternatives, product mix algorithm, and product complexity on various manufacturing performance over a 3 year planning horizon. The results of this study will help managers of various types to identify an appropriate safety stock level and management accounting alternative under manufacturing settings.
SE2H2 Performance Analysis of a High-Speed Production Line Using Simulation, M. Ali Montazer, University of New Haven, Department of Industrial Engineering, West Haven, Connecticut 06516, email@example.com, Troy W. Turner, University of New Haven.
A simulation model of an existing high-speed liquid filling production line was developed, using ARENA HiSpeedSim software. The production line includes eight different processing stations, more than 200 feet of accumulating-type conveyors and thirty photo-eyes that electronically control the production process. The line is capable of producing 200 bottles of liquid per minute, 24 hours per day seven days per week. The simulation model developed may be used to identify bottleneck stations as well as the optimal line settings, including conveyor lengths and speeds as well as photo-eye locations in order to maximize throughput. Initial experimentation with the model has provided alternative settings that would increase throughput more than eleven percent over the current throughput.
SE2H3 Developing Internet-Based MRP-DSS for Classroom Use, Philip S. Chong, California State University, 1250 Bellflower Blvd., Department of Management/HRM, Long Beach, California 90840, firstname.lastname@example.org.
This paper describes the design, development, and implementation of an Internet version of MRP-DSS, a Manufacturing Resource Planning Decision Support System (http://mrpdss.wide-link.com/). It will describe the unfolding experience of MRP-DSS starting from an MSDOS BASIC version in 1984 to a DBASE Clipper version in 1992, and now to an Internet version in 1999. It will focus its description on enhancements in capability and benefit to the user as a result of rapidly evolving new system technologies and platforms. MRP-DSS has many experienced users in both business and educational applications. The paper will discuss issues and challenges from the users’ perspectives of the evolving advantage, versatility and future potential of Internet, as MRP evolves into ERP and Supply Chain Management applications. Sample screen displays of Internet MRP-DSS will be used to demonstrate its design features, user interfaces and functional capabilities.
SE2H4 The Evolution of the Balanced Scorecard: Frameworks, Design Processes and Implementation, Michael Shulver, University of Warwick, Warwick Business School, Coventry, CV4 7AL UNITED KINGDOM, email@example.com, Gavin Lawrie, 2GC Active Management, Henrik Andersen, 2GC Active Management.
Abstract: Perhaps the most famous performance measurement and strategy articulation methodology is Kaplan and Norton’s Balanced Scorecard. Since its inception in the early 1990s the Balanced Scorecard framework has evolved considerably. Further, academics and consultants have developed increasingly sophisticated models of design and implementation, such that today, the scorecard process and outcome is far removed from its archetype. This paper will review and critically appraise this evolution, drawing on the considerable academic literature on the scorecard, as well as several case studies of scorecard design and implementation. The paper reveals several flaws in the most common approaches to scorecard design.
Sunday, 4:15 – 5:45 Room: Suite 415
Title: Production Issues
Chair: Hale Kaynak
SE8E1 Logistical Complexity: Its Effect On Implementing Just-In-Time Purchasing, Hale Kaynak, University of Texas - Pan American, Department of Management, Marketing, & International Business, College of Business Administration, 1201 West University Drive, Edinburg, TX 78539-2999, firstname.lastname@example.org, Aytunc Atabek, University of Texas - Pan American, Department of Management, Marketing, & International Business, College of Business Administration, 1201 West University Drive, Edinburg, TX 78539-2999, email@example.com
With the increasing use of supply chain management practices, more and more companies are focusing on just-in-time purchasing (JITP) techniques to coordinate and integrate their inventory management activities. On the other hand, the literature suggests that the firms producing logistically complex products may experience difficulties in implementing JITP. This study empirically investigates the relationship between the logistical complexity and the extent of JITP implementation. Data for this research were collected through a cross-sectional mail survey from firms operating in the US. The findings and implications for future research are discussed.
SE8E2 The Effects of Purchasing Practices on Competitive Capabilities: An Empirical Investigation, Xenophon Koufteros, Florida Atlantic University, 320 SE 2nd Ave, Ft Lauderdale, FL 33301, firstname.lastname@example.org, Mehdi, Kaighobadi, Florida Atlantic University, 320 SE 2nd Ave, Ft Lauderdale, FL 33301, email@example.com
Competitors driven by increasing customer demands for new and differentiated products and by pressures to enhance quality and reduce cost are finding that improvements in purchasing practices become indispensable. This research reports on an empirical study which uses a sample of 150 firms in four industries and relates key purchasing practices to competitive capabilities Purchasing practices include supplier selection, supplier development, and purchasing involvement in product development. The methods involve an exploratory factor analysis and reliability analysis where the measurement model is examined. This is followed by the testing of a structural model that relates purchasing practices to competitive capabilities.
SE8E3 Reverse Logistics in Manufacturing: The Managing of Returned Merchandise, William R. Sherrard, Ph.D, CPIM, San Diego State University, Information and Decision Systems Department, College of Business Administration, San Diego, CA 92182-8234, firstname.lastname@example.org, Mark Rosenbaum, San Diego State University, Information and Decision Systems Department, College of Business Administration, San Diego, CA 92182-8234, email@example.com, Feraidoon (Fred) Raafat, PhD, San Diego State University, Information and Decision Systems Department, College of Business Administration, San Diego, CA 92182-8234, firstname.lastname@example.org
Based on the current trend, a significant amount of a manufacturer's profitability depends on its ability to plan for a secure and effective distribution system in two directions, goods to and from the customer/retailer. A major premise supporting this statement is the dynamic change occurring in retailing. As American retailers have liberalized return policies, under the auspices of customer service, both manufacturers and retailers are confronting a plethora of returned merchandise. This paper describes and addresses this problem and proposes some solutions to American manufacturers and retailers.
Title: Layout and Process Design
Chair: Wen-Chyuan Chiang, University of Tulsa
SE4D1 Visual Layout Design System, Wen-Chyuan Chiang, University of Tulsa, Tulsa, OK 74104, email@example.com, Panagiotis Kouvelis, Washington University, St. Louis, MO 63130.
This paper presents an integrated visual facility layout design system to solve facility layout design problems with geometric constraints. The system employs a tabu search algorithm as the search engine with heuristic neighborhood control and manual interference mechanism to obtain good solutions. The software implementation will be demonstrated.
This paper is aimed at studying focused cellular manufacturing. We define focused cellular manufacturing as a layout scheme that groups components by end-items and forms cells of machines to fabricate and assemble end-items. It is not classified as a cellular manufacturing layout since it does not attempt to take advantage of process similarities. It also is not classified as a flow shop since there are no machines dedicated to individual operations and the machines are not arranged in a series. The results indicate that the focused cellular manufacturing scheme has a batching advantage (i.e., it has to wait less time to batch components before assemble). This advantage dominated the balanced machine utilization benefit of the job shop layout scheme. The job shop was only able to overcome the batching advantage when there were small batch sizes or large set-up time magnitudes.
SE4D3 The Impact of Flexible Process Capability on the Product-Process Matrix: an Empirical Examination, Sonny Ariss, The University of Toledo, Toledo, OH 43606, firstname.lastname@example.org, Qingyu Zhang, The University of Toledo, Toledo, OH 43606, email@example.com
Hayes and Wheelwright (1919) provided the product-process matrix to emphasize the importance of the cooperation of manufacturing (processes) and marketing (products) to achieve unified goals based on Skinner’s tradeoff theory. But recently some authors (Ferdows and De Meyer, 1990; Noble 1995) have empirically verified that firm can achieve multiple competitive performances simultaneously. Especially high flexible process capability greatly enlarges the feasible zones and reduced constrained zones in the product-process matrix. Therefore, product-process matrix needs some modifications. This paper discussed and empirically tested the impact of flexible process capability on product-process matrix, and provided further evidence of the compatibilities of multiple competitive performances rather than tradeoffs.
SE4D4 Elaboration of an Evaluation Instrument for the Total Safety Management (TSM) for the Building Site Industry, Sub-Section Constructions, in the Metropolitan Area of Rio de Janeiro, Brazil, James Hall, Universidade Federal Fluminense, Sao Domingos, Brasil, firstname.lastname@example.org, Jose Rodrigues de Farias Filho, Universidade Federal Fluminense, Sao Domingos, Brasil.
Title: 2+2=3???: Reaching the Quantitatively Challenged POM Student
Chair: Harry M. Rosen, Baruch College
SE5G1 Teaching Quality Concepts in POM. Tsong-how Chang, Department of
Industrial and Manufacturing Engineering, University of Wisconsin-Milwaukee, P.O. Box 784, Milwaukee, WI 53201, email@example.com
Introduces a non-traditional approach to the teaching and practice of queues for analysis, design, and management of production and service operations. Through illustrations, we show how and why the concepts and methods of statistical process control are incorporated into the modeling process of a queue as well as the actual application of such models. Examples are given to demonstrate the improved validity and effectiveness of queueing, that in turn help enhance the student's interest in OR.
SE5G2 Learning Manufacturing Planning and Control by Developing and Using a Spreadsheet MRP System, C. David Wieters, Department of Management, College of Business Administration and Economics, New Mexico State University, Las Cruces, New Mexico, firstname.lastname@example.org
This paper proposes an experiential approach to learning manufacturing planning and control procedures and concepts. Students cast in various organizational roles develop and use a spreadsheet model in a hypothetical firm to detect and respond to operating issues in purchasing, warehousing, logistics, quality, engineering changes, and marketing practices. An In-basket methodology guides students through a sequence the issues and experiences supported by a Material and Capacity Resource Planning spreadsheet. Data definition skills, spreadsheet skills, and problem driven learning are the goals. A senior level undergraduate course in production planning and control is the setting.
SE5G3 Teaching Rolling Horizon Production Planning Via Case Studies, Henry S. Maddux, Department of Management and Marketing, Sam Houston State University, Huntsville, TX 77341-2056, mgt email@example.com.
The process of implementing a rolling horizon production plan is often confusing to students. The process of updating inventory and workforce conditions as well as forecasts while tracking cost performance becomes understandable when one actually applied the process in practice or through a simulation. This session will present an actual case set in the wood processing industry. The planning problem is complicated by high seasonality of demand and limited ability to carry inventory. A linear programming approach to the problem will be presented. The step-by-step procedure of teaching model formulation, solution, updating, and cost tracking will be outlined. The nature of cycling through future planning periods will be demonstrated using actual class experiences.
SE5G4 Communicating Operations Management: Exercised to Explain Models, Concepts and Outputs to Non-POM Professionals, Harry M. Rosen, Professor and Chair, Department of Management, Zicklin School of Business, Baruch College, C.U.N.Y.
Our students may master sophisticated quantitative models, yet have difficulty explaining their results without resorting to jargon. And the challenge of communicating results of analyses to intelligent, but uninformed audiences, is generic to many aspects of business.
Therefore, three cases were added to core OM courses, requiring students to:
1-Describe a complicated quantitative model.
2-Describe the output of quantitative analysis.
3-Describe, from beginning to end, a model, its application, the output, and recommendations.
These cases will be presented, along with a discussion of student response. Our unique approach to distinguishing problems of style, from problems of substance, will also be described.
Chair: Amiya K. Chakravarty
SE6E1 Invited Tutorial: Electronic Chains of Suppliers and Customers, Amiya K. Chakravarty, A.B. Freeman School of Business, Tulane University, firstname.lastname@example.org
Digital connectivity, far from being just a passive technology enabler of fast and reliable data transfer, has major strategic implications for the entire value chain. These come from being able to integrate the adaptability of a modular supply chain with process alignment in an integral supply chain. It can also redefine values (in a value chain) by rapidly adding or deleting entities, and by leveraging economic externalities through connectivity. The three major dimensions of electronic connectivity in a supply chain thus are ownership, process alignment, and adaptability.
In this tutorial we examine the issues surrounding the creation and operation of digital supply networks. These include, new business models using the Internet, extended and virtual enterprises, value-chain reengineering, digital process alignment for collaboration; aggregator, assembler, and alliance models of E-marketplace; agility in a digital enterprise, channel assembly, transaction speed, inventory routing, cash-to-cash cycle, supplier capabilities, supply contracts, and online auctioning (products, components, and capacity).
Sunday, 4:15 – 5:45 Room: Suite 405
Title: Case Research Workshop
Presenter: Jack Meredith
SE7R1 Case Research Workshop, Jack Meredith, Babcock Graduate School of Management, Wake Forest University, Jack.Meredith@mba.wfu.edu
The goal of this workshop is to foster interest and help develop expertise in on-site study as a rigorous, highly-publishable mode of conducting research aimed at developing managerially-useful operations management theory. Participants will be sent 3-4 similar papers from other participants to evaluate and critique based on a brief, standard form supplied to them. The participants will be divided into small groups in the workshop, each coordinated by an associate editor of the Journal of Operations Management who also reviewed that group's set of papers. Each participant will then receive constructive recommendations from the other participants as well as the AE about how to improve their paper for publishability. The AE will also explain the reviewing process and offer suggestions for successfully navigating this process.
Title: Unfogging the future of OM Teaching: The Internet, the Web and You!
Chair: David Dilts, University of Waterloo
MC3G1 E-Education: How Internet Technology will Transform Education, Xue Bai, Depart. Of ISDS, Virginia State University, P.O. Box 9038, Petersburg, VA 23806, email@example.com; Fidelis Ikem, Depart. Of ISDS, Virginia State University, P.O. Box 9038 Petersburg, VA 23806, firstname.lastname@example.org
In recent years, the Internet has become increasingly important within the higher education system. So far it has served as a popular delivery tool for distance education and has supported conventional education. However, the Internet is changing the world in so many ways that there is no doubt it will play an increasingly important, expanded role in education. It is likely that the extent of its impact will resemble the dramatic changes that E-commerce and E-business have brought in the way the world does business. Instead of physically going to traditional shopping centers, people view and buy what they need from virtual shopping centers through the Internet.
MC3G2 Teaching POM by Internet is Good POM, Paul Randolph, Information Systems and Quantitative Sciences, Texas Tech University, Lubbock, TX 79409-2101, email@example.com; Brian Neureuther, College of Business, Garnder-Webb University, Boiling Springs, NC 28017-7208, firstname.lastname@example.org.
Distance learning is a growing and important method of instruction in today/s university environment. We discuss the use of MOO, a text based distance learning medium, and its application to graduate level production and operations management courses. Benefits and drawbacks from the use of this medium in the context of POM are discussed using actual course experiences gathered over several years. We further examine this medium in terms of its viability in the future in comparison to other distance learning methods and pedagogues.
MC3G3 Decision Time: POM Dot Com, David Dilts, Professor of Management Sciences, Faculty of Engineering, University of Waterloo, Waterloo, Ontario, Canada N2L 3Gl, email@example.com.
The Internet is radically changing both the appearance and the practice of POM in industry. In academics, the access to pervasive information has dramatically modified how students complete their out of class work. However, this revolution is barely making inroads into the classroom, with some professors feeling that using PowerPoint presentations as the height of computer-based teaching. The question then becomes: will POMers in academia be up to the challenge of the task of drastic transformation required for the new Internet world or will we again take a back seat as our industrial colleagues lead the way?
Title: Classroom Magic: Making OM Come Alive—A Tutorial
Presenter: Roberta Russell, Virginia Tech
MC5G1 Enhancing Education through Active Learning and Technology: A Workshop of Tools, Techniques and Experiences with the Intro POM Course, Roberta S. Russell, Pamplin College of Business, Virginia Tech, 1007 Pamplin Hall, Blacksburg, VA, 24061, firstname.lastname@example.org
Recent studies of today's university students reveal that as a group they are goal-oriented, confident, willing to work, and technologically savvy. But they also come to the university with fewer skills, a habit of success (not necessarily earned), and inexperienced in the process of thought and reasoning. The dissonance between student and faculty expectations coupled with increased class sizes and fewer faculty resources have created a frustrating learning environment at best. This workshop presents the author's experiences using active learning techniques and technology to "reach the student" in the intro POM course and build a foundation for continued learning.
Title: Simulation—Its Not Just for Research Anymore!
Chair: Ken Cutright, Ohio University
MD3G1 Using Factory Software to Improve Integrative Learning, Edie K. Schmidt, Ph.D., Purdue University, Department of Industrial Technology, 1416 Knoy Hall, West Lafayette, IN 47907-1416, email@example.com
Studies show that straight lecture does not always motivate students to learn and integrate topics. This presentation describes how Factory Software (James E. Ward, Associate Professor, Purdue University) was used to enhance student interest in course topics and improve the analysis and synthesis skills of operations management students. Initially, the Factory software was used to demonstrate the real-time effect of planned releases to the net requirements. However, the impact was a more meaningful association of related topics, such as job scheduling, lot sizing, and work center loads. The software package not only enhanced the knowledge base of the student but also improved the student’s abilities to analyze and synthesize course topics.
MD3G2 Learning Using Simulation: Applying Theory of Constraints for Process Improvement, Patrick W. Shannon and Phil Fry, College of Business and Economics, Boise State University, 1925 University Drive, Boise, Idaho 83725, firstname.lastname@example.org
Since Eliyahu Goldratt popularized the theory of constraints in his books, The Goal, and Its Not Luck, POM courses have expanded coverage of concepts such as Throughput, Cycle Time, and WIP. This paper describes a hands-on educational exercise and case study in which students are challenged to improve TP and CT for a manufacturing process using ProModel software. Students must allocate a fixed budget over a 4-month period. Process changes (reducing mean and variation in processing times, adding capacity, etc.) have a specified cost. Students modify the ProModel simulation model and prepare a report which shows their systematic changes and corresponding results.
MD3G3 The revamping of an old excellent tool to teach MRPII/ERP, Henrique Luiz Corrêa, São Paulo (FGV) Business School, Av Nove de Julho, 2029, 10º andar, 01313-902 São Paulo, Brazil, email@example.com
Teaching finance-only-interested Business students manufacturing planning & control is no easy task. Very dynamic in nature, MPC systems training using static methods (overhead projections, discursive sessions) is both ineffective and boring for nowadays students, brought up in the MTV & Internet era of quick cuts. Competitive business games seem to be much more appropriate and participative, allowing students to learn by doing. Based on the old ITEC simulation game, a brilliant teaching tool developed by Prof. Bill Berry & team at the University of North Carolina more than 10 years ago, an Excel-based graphic interface was developed and a new way of utilizing ITEC was created to result in a highly effective method to teach both Operations Strategy and Manufacturing Planning & Control. These novelties are described and 5 years of experience successfully teaching more than 100 groups of students and practitioners using the revamped ITEC are discussed.
MD3G4 A Visual Basic Simulation for Teaching Production and Operations Management, Ken Cutright, College of Business, Ohio University, Athens, Ohio, 45701, firstname.lastname@example.org, Clarence Martin, College of Business, Ohio University, Athens, Ohio, 45701, email@example.com.
This paper describes a simulation model of a discrete-parts manufacturing facility currently being used to teach both graduate and undergraduate operations courses. The nature of the facility (product mix, workstations, etc.) is driven by a database so, although several thoroughly tested databases are provided, instructors can easily design their own “facilities”. Students must make decisions regarding capacity, equipment purchases, workforce size and worker assignments, inventory management, production and purchase orders, overtime/undertime, etc. The software provides the user with considerable control over the production process including such options as order splitting, expediting, order pre-empting, and prioritizing.
Title: Quidditch in the Classroom
Chair: D. Clay Whybark, University of North Carolina, Chapel Hill
MD5G1 Quidditch in the Classroom, D. Clay Whybark, Kenan-Flagler School, University of North Carolina, Chapel Hill, NC 27599-3490, firstname.lastname@example.org. Roger Schmenner, Associate Dean – Indianapolis Programs, Kelley School of Business, Buskirk Professor of Manufacturing Management, Co-Director, IU CIBER, 801 W. Michigan St., Indianapolis, IN 46202, email@example.com.
Quidditch is a wildly exciting game involving six goals, four balls, and 14 people on broomsticks. Wouldn’t we like our classrooms to be just as riveting? In this invited session, Roger Schmenner and Clay Whybark (two wildly innovative and effective teachers), will lead us through an interactive session focused on identifying and addressing the barriers to “Quidditch in the Classroom.”
Chair: Joyce Hoffman, Stephen F. Austin State University
TA1D1 Managing Complex Organizations: Toyota Production System Rules-in-Use, Steven Spear, Harvard Business School, Boston, MA 02163, firstname.lastname@example.org.
The Toyota Production System has been linked to Toyota’s outstanding performance (low cost, high quality, short lead times, and flexibility). This paper looks beyond the familiar TPS tools to search for the underlying principles for how this management system works. Field investigations of 176 days at 33 sites in Japan and North America lead to a recognition of distinct patterns that appear as “Rules” for designing, operating, and improving work-activities, connections between activities, and pathways constructed from connected activities are fundamental. These Rules and their logic will be detailed.
TA1D2 Modularity in Organizational Design, Steven Spear, Harvard Business School, Boston, MA 02163, email@example.com.
Organizations managed according to the “Rules-in-Use” that are the essence of the Toyota Production System are nested modular. This structure, sometimes used for managing product design projects, is particularly effective for managing collaborative work in production settings. It allows responsibility to be assigned so that individual work can be done in an outstanding fashion, so that the pieces can be integrated into a coherent, effective whole, and so that innovation can occur frequently both locally and at the system level. This paper explains how the Rules create a modular organization and why a modular organization can outperform those that are not.
Title: Manufacturing Performance and Improvement
Chair: Par Ahlstrom, Stockholm School of Economics
TA2A1 Sustaining Manufacturing Improvement, Par Ahlstrom, Stockholm School of Economics, P. O. Box 6501, SE-113 83 Stockholm, Sweden, firstname.lastname@example.org, Christopher A. Voss, London Business School, Sussex Place, Regent's Park, London NW1 48A, UK, email@example.com
Sustainable manufacturing improvement is becoming a prerequisite for long-term competitive success. The key is developing a long-term improvement path, rather than gleaning quick hits from different fads. Yet, sustainable manufacturing improvement is not an easy task. The paper focuses in issues in sustaining manufacturing improvement. Based on fifteen case studies of UK manufacturing companies, the paper illustrates the obstacles companies experienced in sustaining manufacturing improvement over time. These are focusing on the "flavor of the month", achieving only islands of excellence, and experiencing initiative overload. Mechanisms used to overcome the obstacles are the second part of the paper.
TA2A2 Linking Manufacturing Strategy and Manufacturing Improvement Programs: The Current Characteristics and Future of Korean Manufacturing Sector, Seung-Kyu Rhee, Korea Advanced Institute of Science and Technology, 270-43 Chenongryang, Seoul 130-012, Korea firstname.lastname@example.org , Sooyiol Lee, Korea Advanced Institute of Science and Technology, 270-43 Chenongryang, Seoul 130-012, Korea, email@example.com
Manufacturing strategy is about linking manufacturing decisions and activities with corporate strategy. Korea has developed a strong manufacturing base in several different industries. But little is known about the manufacturing strategy of Korean firms. We develop a model examining the manufacturing strategy, leadership, improvement, and their performances. Classification of different manufacturing strategy and their performances are established from a sample of 200 Korean companies using the framework.. We explain the current characteristics of Korean manufacturing companies and the challenges for them to be more competitive in the future.
TA2A3 Concept Management: Japan's Integrated Tool for Adjusting Manufacturing Performance, Gerhard Plenert, 8545 Sunset Avenue, Fair Oaks, CA, 95628, firstname.lastname@example.org
There has been a strong movement going on in Japan, which includes companies like Toyota, Sony, and Mitsubishi, which integrates Breakthrough Thinking (BT), World Class Manufacturing (WCM), and Total Quality Management (TQM). This new movement has been labeled Concept Management (CM). From BT we get a revolutionary way to develop product and process improvement ideas by moving away from the slowness and costliness of root cause analysis. From WCM we get the formal structure around which the ideas are turned into goals. From TQM we get the continuous improvement process for idea/change implementation.
Chair: Shailesh Kulkarni
TA3E1 Outsourcing Components of the Value Chain: An Empirical Investigation, Dr. Markus Biehl, International University in Germany, D-76646, Bruchsal, email@example.com, Dr. Michael Alan Smith, University of North Carolina – Charlotte, 9201 University City Blvd, Charlotte, NC 28223, firstname.lastname@example.org, Dr. Edmund Prater, University of Tennessee – Chattanooga, 615 McCallie Ave, Chattanooga, TN 37403, email@example.com
Most firms outsource some function and many outsource several. We analyzed the outsourcing practices of 250 firms of various sizes and industries. Our findings indicate that some functions are outsourced simultaneously significantly more often than others. As expected, some of these functions fall within the same area of the value chain. However others do not. For these we propose explanations based on existing theory and point out areas where further exploration is required.
TA3E2 Outsourcing in the Presence of Concave Cost Functions: Insights from Simple Models, Shailesh Kulkarni, University of North Texas, Box 305249, Denton, TX 76203, firstname.lastname@example.org, Amitabh Raturi, University of Cincinnati, ML #0130, Cincinnati, OH 45221, email@example.com
In this paper we develop simple mathematical models for gaining insight into the outsourcing decision taken by firms. Essentially we capture the impact of supplier's cost structure and scale economies through quantity discounts offered by him/her, versus the scale economies enjoyed by the firm through in-house manufacturing. The conflicts at a strategic decision making level which may arise out of such a situation present an interesting trade-off at the buyer-supplier relationship interface especially in the presence of demand uncertainty.
TA3A3 International Developments in the Aerospace Sector, Roger Maull, University of Exeter, School of Business and Economics, UK, R.S.Maull@exeter.ac.uk, T Williams, University of Exeter, School of Business and Economics, UK, T Pavelle, University of Exeter, School of Business and Economics, UK, B Ellis, University of Cambridge, Department of Engineering, UK, N Cox, University of Cambridge, Department of Engineering, UK, M Gregory, University of Cambridge, Department of Engineering, UK, N Sandys, GKN Westland Aerospace
This paper will identify the major issues effecting strategy makers in the aerospace sector. These issues are global in impact rather than purely national. The research team has been engaged in analysing the development of competencies and changes in supply chains across four major products; Eurofighter, Lockheed Martins C-130J, Airbus 3 series, Boeing. Our early indications are that the major issues fall into five headings. This paper will provide an integrated approach to analysing these five issues. We will provide guidelines for those developing operations strategy in the aerospace supply chains at all levels from Prime through 3rd tier.
TA3A4 Geographic Optimisation and Distributed Coordination in International Manufacturing: in Search of Holistic Configurations, C. Pongpanich, Cambridge University, Centre for International Manufacturing, Institute for Manufacturing, Mill Lane, Cambridge CB2 1RX, UK, firstname.lastname@example.org, Y. Shi, Cambridge University, Centre for International Manufacturing, Institute for Manufacturing, Mill Lane, Cambridge CB2 1RX, UK, and M. J. Gregory, Cambridge University, Centre for International Manufacturing, Institute for Manufacturing, Mill Lane, Cambridge CB2 1RX, UK
The manufacturing globalisation evolves through geographic relocation worldwide and distributed coordination synergistically in manufacturing systems. This paper examines these two dimensions of manufacturing globalisation based on two empirical case studies. Firstly, the issues of manufacturing location decisions in multinational corporations are investigated. The dynamic characteristics for the optimisation of facility locations are identified. Secondly, three types of coordination mechanisms in distributed manufacturing networks are analysed. The leverages come from product, process and management three levels. Finally, the paper introduces a new holistic framework representing the complex global manufacturing network systems with geographic optimisation and distributed coordination characteristics.
Title: Quantitative Techniques for Production Planning
Chair: Mehmet Barut, Clemson University
TA4H1 Multi-Product Batch Scheduling For Lead-Acid Battery Assembly Line, Yousef A.Y. Al-Turki, Ph.D., King AbdulAziz City For Science and Technology, P. O. Box 53726 Riyadh 11593, Saudi Arabia
Batch scheduling, if done randomly, could be harmful to productivity. Less time would be available for actual production because more time would be spent due to setups. In this paper, we present a heuristic methodology to minimize the batch production setup times. It was then applied to a real life company in the Lead-Acid battery industry. We present the experiences gained from it. Preliminary results show that the methodology is robust and very beneficial. Further, we have investigated the effect of setup time period and the batch size in terms of units that can be produced during operation time.
TA4H2 A Heuristic Algorithm for Allocating Capacity to Multiple Classes of Products, Mehmet Barut, email@example.com and V. Sridharan, firstname.lastname@example.org, Department of Management, 101 Sirrine Hall, Clemson University, Clemson, SC 29634-1305
Limiting the scope to MTO manufacturing environments, this paper develops a heuristic, called DCAP, for allocating scarce capacity, in the short run, to multiple-product classes. Deploying a decision theory based approach, DCAP attempts to maximize profit by discriminating between product classes based on their relative profitability. Efficacy of DCAP is evaluated by comparing its performance to a base case and an upper bound, under a wide variety of operational conditions. The results indicate that DCAP is an effective heuristic in obtaining near optimum solutions and its performance is substantially superior compared to the base case.
TA4H3 Production Disaggregation Using Optimization Models, Ricardo Néstor
Nancy Beatriz López, email@example.com, Juan Damiani,
Ingeniero Industrial, Departamento de Ingeniería – Universidad Nacional del Sur
Av. Alem 1253 – (8000) Bahía Blanca – REPUBLICA ARGENTINA
This work analyses how to separate production planning in units of final product in order to facilitate the future programming at shop level. It uses no linear models to determine production programming. These mathematical models and an easy-to-use software can help medium and small companies to reduce improvisation, providing them an appropriate methodology.
The production disaggregation has been done considering principally the following criteria: the company policy to satisfy product demand, maximum and security stock levels, set-up costs and depletion time for each product. The inputs for this work comes from a real case of aggregate production planning solved using optimization techniques.
TA4H4 Heuristic Procedures for Flexible Flow Shops to Minimize Total Flow Time, Suna Kondakci Koksalan, Middle East Technical University, Industrial Engineering Department, Ankara, 06531 TURKEY, firstname.lastname@example.org, Meral Azizoglu, Middle East Technical University, email@example.com, Ergin Cakmak, Middle East Technical University.
A flexible flowshop is a generalization of multi-stage flowshop with a number of parallel machines at each stage. In this study we analyze a flexible flowshop problem where we minimize total flow time. We present three heuristics which we then use in the branch and bound method we developed to find the optimal schedule. Computational experience reveals that the heuristics are very efficient and the developed branch and bound algorithm is capable of solving moderate sized problems in reasonable solution times.
TA4H5 Safety Stock Considerations for a Serial Line Based on Cost Structure, Variability of Demand and Control Strategy, Gary Clendenen, University of Texas at Tyler, Dept. of Management, Marketing, & General Business, School of Business Administration, Tyler, Texas 75799, firstname.lastname@example.org, Dan Rinks, Louisiana State University.
A nonlinear optimization model based on the restoration concept is used to explore the relationship, for a serial production line, between safety stock and several factors. The factors examined in the simulation study include cost structure, variability of final demand, and control strategy (kanban versus full information). It is shown that different control strategies require very different placements and amounts of safety stock for "good" performance. The trade off between the use of information and amounts of safety stock needed is explored under each of the two control strategies and suggestions are presented
Title: The Impact of Quality and Productivity on Performance
Chair: Satya Chakravorty, Kennesaw State University
TA5F1 What Affects Productivity? Paulo Amary Freire Bruno, Graduated Student
Master Degree in Production Engineering (UFF), R. 145 Lote 17 Quadra 300 Camboinhas Niterói, RJ. Brasil – CEP 24.358 – 030, email@example.com;
José Rodrigues de Farias Filho, D. Sc., Universidade Federal Fluminense (UFF) – Rua Passo da Pátria, 156 – Bloco E - Sala 329 Boa Viagem – Niterói – RJ –
Brasil – CEP 24.240 – 210, firstname.lastname@example.org
In this article, the authors give a broad view on the productivity issues. To them, productivity is not a simple mathematical relation between outputs and inputs. It is the result of a large variety of factors acting combined or independently. To explain this view, elements like Investments, Manpower, Environment, Quality, Research & Development, Information Technology, among others, will be treated in a modern and updated vision. Additionally, tools like Benchmarking, Balanced Scorecards and Activity-Based Costing will be discussed concurrently to support the idea that productivity “will come” if the “right path” is followed.
TA5F2 The Shingo Prize for Excellence in Manufacturing: An In-Depth Analysis, Satya S. Chakravorty, Kennesaw State University, Michael Coles College of Business, 1000 Chastain Road, Kennesaw, GA 30144-5591, Satya_Chakravorty@coles2.kennesaw.edu. J. Brian Atwater, Colorado State University, College of Business, 213 Rockwell Hall, Fort Collins, CO 80523-1275, Brian_Atwater@mail.biz.colostate.edu. Ross E. Robson, Utah State University, The Shingo Prize for Excellence in Manufacturing, College of Business, 3521 University Blvd., Logan, UT 84322-3521, email@example.com.
Since 1989, the Shingo Prize for excellence in Manufacturing has recognized manufacturing companies or plants in the United States, Mexico, and Canada, for successful implementation of world-class practices. The Shingo Prize emphasizes: adoption of proven world-class practices, the improvement of operations and processes, and the integration of other business functions. To date 51 manufacturing companies or plants have received the Shingo Prize including Exxon, Johnson and Johnson, Lucent Technologies, Johnson Controls, Ford Motor Company, and Wilson Sporting Goods. The Shingo Prize recipients provide strong evidence of the value in using the Shingo Prize program to guide the application of world-class manufacturing practices.
TA5F3 A Look at Total Quality Management's (TQM) Effectiveness, Raj Selladurai, Northern State University, School of Business, 1200 S. Jay St., Box 174, Aberdeen, SD 57401, firstname.lastname@example.org.
Total Quality Management (TQM) has been in practice for many years now. Several American companies and organizations worldwide have implemented various principles of TQM in their operations. However, the effectiveness of TQM has not been clearly determined yet and a review of the TQM literature reveals some mixed results. Some studies show a positive relationship between TQM and high performance suggesting its effectiveness, whereas others point to the doubts and apparent failures of the method. This study takes a look at the TQM process from an effectiveness point of view and attempts to shed some light on this controversial but highly significant topic.
TA5F4 An Empirical Test of the Linkage between Conformance Quality and Productivity Performance in Service Organizations, Kefeng Xu, University of San Antonio, Division of Marketing and Management, 6900 North Loop 1604 West, San Antonio, Texas 78249-0634, email@example.com, Jayanth Jayaram, University of Oregon, Charles H. Lundquist College of Business, Eugene, OR 97403, firstname.lastname@example.org, Sanjay Ahire, Indiana University at South Bend, 1700 Mishikawa Avenue, P.O. Box 7111, South Bend, IN 46634-7111, email@example.com, Ming Xu, Chinese Textile University, visiting at Dipartimento di Economia e Produzione, Politecnico di Milano, Sede di Como, P.le. Gerbetto, 6, 22100 Como, Italy.
Using the context of service firms in China, we tested and found support for the arguments of Crosby (1996) that conformance quality and productivity are positively related. The results also indicate that enablers such as service customization, planning, top management commitment and employee recognition had a significant impact on conformance quality. Service customization had a moderating influence on the link between quality management practices (e.g., training in SPC) and both, conformance quality and productivity. Resource management and human resource management were found to have substitutive effects on conformance quality, but complementary effects on productivity.
Tuesday, 8:15 – 9:45 Room: Lantana
Title: Towards Hogwarts: Student Learning in Perspective
Chair: Vicki Smith-Daniels, Arizona State University
TA6G1 Learning Community Models: Application to School of Business Program, Dr. Patricia A. Lapoint, McMurry University, School of Business, McMurry Station, Box 398, Abilene, Texas 79697, firstname.lastname@example.org.
The "learning community" concept has received widespread attention by colleges and universities throughout the United States as an innovative undergraduate teaching and learning process. At the undergraduate level, most of the curricular applications are in the general education courses and arts and sciences courses. Very few colleges or schools of business structure their academic programs around the "learning community" concept.
This paper will explore how the "learning community" concept can be applied to business programs in order to achieve the benefits and goals of improved academic quality in their programs through curricular coherence, innovation, and the development of intellectual and social community for both business students and faculty.
TA6G2 An Exploratory Study of Student Project Team Learning Outcomes, Vicki Smith Daniels, Arizona State University, Manufacturing Institute and Department of Management, Tempe, AZ 85287-5106.
The student project team experience has become a way to blend traditional instruction with experiential, cooperative practice based methods. In this paper, we explore how students learn in teams, what they learn, and how to best design team projects. Using data collected from a survey of 77 MBA students, this paper reports on three learning outcomes including know-who learning, depth learning, and integration learning.
TA6G3 The Do’s and Don’ts of OM Curriculum Design, Rob James, DeVry University, 250 North Arcadia Avenue, Decatur, GA 30030-2198, Rjames@faculty.atl.devry.edu.
This presentation describes the history of one institution’s efforts to design and deliver OM curriculum. While at one point in time as many as 1000 students per semester were enrolled in these classes, recently enrollments have fallen precipitously to about 100 each term. Lessons learned and ‘do’s and don’ts will be shared.
Tuesday, 10:15 – 11:45 Room: Encino
Title: Information Technology
Chair: Binshan Lin, Louisiana State University
TB1C1 Analysis of the application of performance indicators in the development of software projects of the Software Brazilian Industries, Gabriela Maria Cabel Barbarán, DEP, EPUSP, University of Sáo Paulo, Sáo Paulo, Brazil, email: Paulino Graciano Francischini, DEP, EPUSP, University of Sáo Paulo, Sáo Paulo, Brazil,
The way the Software Brazilian Industries are evaluating the development of their software projects, the types of indicators they are using and the approaches they are considering for elaborate these indicators. The results of a survey with 40 companies demonstrate few industries use performance indicators to evaluate their software projects. In this way, this work intends to contribute to a larger development and implanation of performance indicators systems, elaborated in consistency with the objectives and competitive strategy of the industries, which allow corrective actions intended to the increase the performance of their projects.
TB1C2 Different Slopes for Different Folks”: Investigating the Impacts of IT-Enables Process Improvement on Operational Performance, Mark Cotteleer, Harvard Business School, Morgan Hall T-19, Boston, MA 02163 Telephone (617) 495-6126, email: email@example.com & David Upton, Harvard Business School, Morgan Hall T-41, Boston, MA 02163 Telephone (617) 495-6636, email: .
Resource-based views hold that firms compete based on portfolios of capabilities embedded in products and processes. Extensive research has investigated the role of these capabilities in New Product and Manufacturing Process development. Less attention has been paid to the “Coordinative” processes that make up the backbone of organizational information processing.
This research utilizes an innovative data collection methodology to capture comprehensive performance data on ERP implementations at 24 sites within three global companies. Differences in operational improvement profiles are investigates across multiple performance measures. Key assumptions about the nature of technology-enabled improvement, both within and across sites are explored.
TB1C3 Methodology And Tools For Integration of External Information to The Internal Data Warehousing, Regina C. M. Lais , Al. Cinderela 364 - ITU - SP - BRAZIL , 55 11 78241569, email: firstname.lastname@example.org, email@example.com, Marcelo Pessao , Al. Cinderela 364 - ITU - SP - BRAZIL , 55 11 78241569, email: .
The external information required for a company’s effective process of decision, comes in different forms - text, image, audio, video and formatted data; from different media - newspaper, internet, radio, TV as well as verbal contacts. A methodology is suggested in this paper, for collecting, filtering, organizing, formatting and presenting these different pieces of unstructured data, in a data mining-type searching structure allowing interaction with internal structured data, permitting dynamical retrieving, manipulation and analysis from the decision makers. It discusses the role of the company’s library or information center (IC) and how it can take advantage of the internet/intranet structure and tools to manage these relevant external information in magnetic media.
TB1C4 Online Procurement and Its Managerial Implications: A Case Study, Binshan Lin, Department of Management and Marketing, College of Business Administration, One University Place, Louisiana State University - Shreveport, Shreveport, LA 71115, (318) 797-5025 email: .
The promise of online procurement has made it one of the hottest topics of e-commerce. This case study provides a concrete framework to help managers rethink about procurement and focus on how to manage online issues. We discuss driving factors and operational insights for successful implementation of this technology. Major issues are explored and strategies are suggested as well.
TB1C5 A Systematic Approach Measuring Productivity of Natural Language Voice Response Application in Call Centre Environment (Theoretical Framework), Simon Poon, School of Business and Industry Operations Management, University of Western Sydney, Nepean, Corner of James Ruse Drive and Victoria Road, Rydalmere, NSW 2116, Australia, email: , Veerappan Jayaraman, School of Business and Industry Operations Management, University of Western Sydney, Nepean, Corner of James Ruse Drive and Victoria Road, Rydalmere, NSW 2116, Australia, email:
The advanced speech recognition technology can provide solutions to many call centre businesses that require intensive caller-agent routine interactions. However, a reliable, up to 98% accuracy, Natural Speech Recognition engine does not guarantee a successful NLVR application because the recognition engine only works as a matching function between the speech spoken by the caller and the vocabulary and dialogue databases. The proposed paper will suggest a systematic approach to develop a NLVR application to improve call centre overall productivity. A logical approach will be to monitor the accuracy and productivity after the deployment of the NLVR application in the call centre environment. This paper will also suggest four development stages to ensure successful NLVR deployment: Design, Trial Application, Pilot Application and General Deployment. Within different stages, different performance indicators are employed in order to monitor the application process. Finally, the productivity measured can be used to assist call centre management to efficiently plan and schedule the manpower in order to improve customer satisfaction.
Title: Production Control
TB2H1 Implementation Issues in Just-in-Time Inventory Systems, Syed Shahabuddin, Central Michigan University, Department of Management and Law, Smith 207F, Mt Pleasant, Michigan 48859, firstname.lastname@example.org, Larry Jenicke, Central Michigan University.
JIT is the most discussed topic in the literature. Professionals are excited about the concept due to its successful use in Japanese business organizations. The most important reasons for its success, however, are the culture, the geography, and the business environment in which JIT has been adopted. Thus, unless an organization understands the basic requirements of the JIT system, the system will most likely fail or will be costlier than the already tested and tried systems. Before adopting the JIT system, one should ask the question: does it fit my organization's philosophy and culture? My paper will discuss JIT and its problems.
TB2H2 Development of a Cost-Based Production Planning and Control System, Rolf Hermann Erdmann, Universidade Federal de Santa Catarina, USFC - Centro Socio Economico, CEP 88040-900 - Florianópolis - SC, BRAZIL, email@example.com, Luis Daniel Pittini Strumiello, Faculdade Adventista Paranaense, firstname.lastname@example.org.
This work is a proposal of PCP for clothing companies. It structures an information system starting with the planning and ending with the production control, emphasizing the production costs. The proposal includes the creation of a design bank of products and process times. This provides the fast calculation of the process times for each new product or the products mix to be manufactured, enabling costs planning with relative easiness. The work is settled down efficient procedures avoiding unnecessarily complex calculations.
TB2H4 From Push to Pull Scheduling—A Company Case Study, Steve Martin, Coventry University, School of Engineering, Engineering Business Support Group, Priority Street, Coventry, CV1 5FB UNITED KINGDOM, email@example.com.
Dawes cycles are an old established cycle manufacturer operating in Birmingham within the U.K. Operating a make-to-stock policy their current manufacturing system is based on batch production with manufacturing scheduling managed using an MRP system. Currently manufacturing 5 cycle sizes and 35 cycle model types a feature of current manufacturing is frequent schedule changes and component shortages. This paper will describe the development at Dawes Cycles of a pull-system of leveled scheduling based on finished good stock demand and identify both the measurable benefits and challenges with adopting this approach.
This paper deals with WIP´s impacts in terms of the Theory of Constraints (TOC) bottom-line measures (Throughput-Operational Expenses-Inventory) specifically in continuous process industries, requiring packaging, large-scale raw-materials extraction and long-run transport chain, like a cement mill plant. These industries typically operate in a push system from the raw-material source to the packaging area. The main consequence is lacking of synchronization in the supply chain, resulting in larger inventory and costs. An approach for the supply synchronization was elaborated using the principles of the Drum-Buffer-Rope technique. ____________________________________________________________________________________________
Title: Quantitative and Control Chart Methods
Chair: Bruce Feiring, Suffolk University
TB3F1 Applying Statistical Concepts to Manufacturing, David S. Ang, Auburn University Montgomery, School of Business, P.O. Box 244023, Montgomery, AL 36124-4023, Dang@monk.aum.edu
No two parts produced are precisely the same. Differences will exist between them. No two persons will obtain identical measurements using manual measuring instruments when the measurements are to be determined by the twist of the fingers. The analysis of such variation requests the use of descriptive statistics and statistical concepts. This paper intends to reveal the tremendous analytical power of statistical concepts.
TB3F2 Coordinating Quality Control and Maintenance Policies, Kevin Linderman, University of Minnesota, Operations and Mgmt Sciences, Minneapolis, MN 55419, firstname.lastname@example.org, Kate McKane, University of Minnesota, John Anderson, University of Minnesota,
Quality control is an effective tool for identifying and resolving process problems prior to producing non-conforming product. However, process variation is also tightly linked to the condition of the production equipment. Therefore, control of the process may be improved if quality control methods are supplemented with equipment maintenance policies. We investigate coordinating control chart design and maintenance policies based on economic criteria. By jointly optimizing the policies, we provide a policy that helps control the quality of production through both quality inspection and maintenance activities.
We propose a rank-based process control chart that is distribution-free and does not require any parameter estimations. The non-parametric control chart is based on the rank distribution of the cumulative sum of individual observations. When the process is in control; the changes of ranks in successive cumulative sums follow a specific transition probability matrix in the Markov chain. Using the chi-square goodness-of-fit test for the Markov chain, we can determine whether or not the observations come from the process with the given transition probability matrix. In a Monte Carlo simulation, we compare the performance of the rank-based control chart with
those of other traditional control charts.
TB3F4 Analyzing the Costs of Poor Quality for an
Bruce R. Feiring, Suffolk University, Management Department, Beacon Hill 8 Ashburton Place, Boston, Massachusetts 02108-2770
The individual parts from a critical finishing operation can be considered as a Markov process involving inspection, parts scrapped, parts used-as-is by concession or regraded for alternative applications, and parts moved to inventory. The four states of the Markov process can be related to Juran's cost of poor quality: namely, the internal and external failure costs, and the appraisal and prevention costs. An annual total cost function based on the costs of poor quality and the four state Markov process is developed.
Tuesday, 10:15 – 11:45 Room: Carranz
Title: System and Process Design Issues in Operations Strategy
Chair: Paul Mulligan, Babson College
TB4A1 Operations Redesign as a Response to Market Dynamics, Paul Mulligan, Tomasso Hall, Babson College, Babson Park, MA 02457, email@example.com , Alfred Nanni, Tomasso Hall, Babson College, Babson Park, MA 02457.
Acme truck, a manufacturer of heavy duty trucks, historically generated over 65% of revenues from government contracts. Significant cuts in defense spending resulted in a major loss of sales. Acme responded by shifting strategy, making a series of acquisitions based, in turn, upon a radical change in manufacturing strategy. Operational restructuring included increased capacity and mix flexibility via line redesign, new quality programs, and shifts in supplier management. This paper will present observations from three Acme SBUs which demonstrate both dramatic improvements in operational capabilities and pitfalls in the change process. Specific focus areas include manufacturing flexibility, supplier management, quality, and inventory reduction.
TB4A2 A BPR Case Study in a Machine Building Company, Axel Brassler, Technical University of Ilmenau, Department of Production Management, P. O. Box 10 05 65, Germany 98684 Ilmenau, firstname.lastname@example.org
The investigations were carried out in the manufacturing department of an enterprise for turbine vanes. Aim of the case study was the reorganization of the production system. Both new machines and varied supply chains should lead to the improvement of the production processes.
The computed Process Value Indicators allows to compare the different alternatives of strategic production decisions. As a general principle, the higher the PVI, the better the process. In order to evaluate non-quantifiable criteria we use the known scoring models. Both PVIs and Scores lead in their combination to meaningful information for the judgment of the strategic production decisions.
TB4A3 The Role of Operations Strategy in Creating and Sustaining Strategic Resonance, Steve Brown, School of Management, University of Bath, Claverton Down BATH B.A.N.E.S BA2 7AY UK email@example.com
The need to see manufacturing as strategic has gained in popularity and importance since Skinner’s major contribution. However, many publications concentrate on how manufacturing capabilities need to be Lean, Agile and to satisfy requirements of Mass Customization but say little in terms of how operations strategy contributes to achieving these, and other capabilities. This paper provides evidence of plants within firms that create and sustain strategic resonance – a dynamic process ensuring continuous linkages and harmonization between:
The paper concludes that operations strategy is a vital factor and that, in large firms, strategy needs to be plant-specific.
TB4A4 Manufacturing Strategy in the Rio Grande do Sul State Spring Industry, Augusto Alquez Vaz Costa, Ponticia Universidade Catolicia do Rio Grande do Sul, Rua Mariante 1076, Apto 21, Porte Alegre/RS/Brazil, CEP 90-430-180, firstname.lastname@example.org
This study focused on the Rio Grande do Sul State spring industry. The objective of the study was the assessment of manufacturing effectiveness based on the WHEELWHRIGHT and HAYES (1985) four-stage framework. Additionally, the study contributed to the operationalization of the four-stage approach. On the basis of empirical data, we concluded that the industry presents, in general, second stage characteristics. The manufacturing function was seeking to maintain parity with the rest of the industry.
Title: Supply Chain Improvements
Chair: Vicki Smith-Daniels
TB5E1 Multi-Stage Inventory Management Practices and Supply Chain Velocity: An Empirical Study, Philip T. Evers, University of Maryland, The Robert H. Smith School of Business, College Park, MD 20742, email@example.com, Elliot Rabinovich, University of Maryland, The Robert H. Smith School of Business, College Park, MD 20742, firstname.lastname@example.org
In many industries. manufacturers face an increasing need to manage the inventory of raw materials. work in process, and finished goods in a way that allows them to effectively meet customer demands. This paper presents a cross-industry empirical analysis of the importance that different inventory management techniques (EOQ, MRP, and JIT) play throughout multiple supply chain stages (inbound activities, manufacturing operations, and outbound activities). It also demonstrates the effects that the use of these inventory management policies has on supply chain performance. specifically on the reliance on inventory as a buffer between firm supply and customer demand and on supply chain velocity (measured as inventory turns).
TB5E2 Improving Forecasts With Lead-Time Data, J. Gaylord May, Wake Forest Univ., Dept. of Mathematics and Computer Science, Box 7388 Reynolda Station, Winston-Salem, NC 27106, email@example.com,edu, Joanne M. Sulek, North Carolina A&T State Univ., School of Business and Economics, Greensboro, NC 27411, firstname.lastname@example.org
In many forecast applications orders that have been received through the current time period contain partially complete customer requirements for a number of time periods in the future. Such lead-time information may exist in a variety of businesses such as product delivery in manufacturing, beneficiary payments in life insurance, investment payments in banking and ticket sales in airlines. This paper describes a model that is designed to utilize such incomplete lead-time data when forecasting future customer requirements. Results are included from testing the model. These tests utilize historical records obtained from both manufacturing and service organizations.
TB5E3 An Exploration of the Similarities and Differences of Managing Hardware and Software Supply Chains, Vicki Smith-Daniels, Arizona State University, Manufacturing Institute and Department of Management, Tempe, AZ 85287, email@example.com
Software is everywhere. It is embedded in the products and services we buy and serves as the spine for most organizational decision making processes. When the software industry committed to "opening" their systems, dynamic software supply chains emerged. While a lot has been written about the managing hardware supply chains, there have been few research studies on software acquisition, outsourcing, and supply chain management. Based on industry focus groups, we present a framework of the similarities and differences of hardware and software supply chains.
Tuesday, 10:15 – 11:45 Room: Lantana
Title: Internet Services
Chair: Madeleine E. Pullman, Southern Methodist University
TB6B1 The Impact of Internet Marketing on Call Centre Operations, Rita DiMascio, School of Business Operations Management, University of Western Sydney, PO Box 10, Kingswood NSW 2747, Australia, firstname.lastname@example.org
Though customers can often contact a firm's call-centre from a Web-page, call-centres often handle these queries poorly. As the Internet and call-centres are becoming popular marketing channels, poor management of their interaction will affect the performance of thousands of call-centres. This study systematically determines how Internet-marketing impacts call-centre operations by placing the centre in an organisational-system framework and using semi-structured interviews with centre managers. It fills a gap in operations management and marketing literature and helps call centres improve customer service.
TB6B2 Electronic Commerce: Obsolescence or Renaissance of Service Management? How a New Communication Mode is affecting the Service Encounter, Wayne C. Johansson, University of Southern California, Bridge Hall 401, Los Angeles, CA 90089-0809, email@example.com; Sulin Ba, University of Southern California, Bridge Hall 401, Los Angeles, CA 90089-9809, firstname.lastname@example.org; Richard B. Chase, University of Southern California, Bridge Hall 401, Los Angeles, CA 90089-0809, email@example.com
Electronic Commerce (EC) is creating exciting challenges for service management. Existing models in the literature either do not generalize to include both EC and traditional encounters or may imply relationships contrary to current experience. This gives rise to two fundamental questions: “How does the Internet affect service?” and, “How is customer satisfaction affected?” The Service Profit Chain and C-SQ-P Model provide the framework for our investigation into these questions. We administered an exploratory survey to firms that utilize both EC and traditional methods of customer contact. We identified commonalities and patterns that could explain detriments of customer satisfaction on the Internet. The resulting theoretical framework and research hypotheses can help reconcile the SPC and C-SQ-P views through process variability (complexity, divergence, and error) and the framework and model is also sufficiently robust to generalize to any EC business transaction.
TB6B3 A Study of Bank Customer Internet Feedback Systems, William J. Corney, University of Nevada, Las Vegas; College of Business, Dept. of MGT, Las Vegas, NV, 89154-6009, Joel D. Wisner, University of Nevada, Las Vegas; College of Business, Dept. of MGT, Las Vegas, NV, 89154-6009,
To remain competitive, service firms must frequently assess customer satisfaction regarding current goods and services, as well as customer desires for additional goods and services. Customer feedback forms are commonly visible to customers when interacting with services such as hotels, banks and retail establishments. Many services today though, are attracting customers using the Internet. Customer comments are also garnered in this way as well, as company web pages are well suited for these types of standardized forms. Our study identified the 100 most widely accessed U.S. bank Internet sites for the purpose of assessing their customer feedback capabilities. The forms were assessed for their overall design, ease of use, types of encouragement offered for filling out the forms, and other specific information sought.
Though customers can often contact a firm's call-centre from a Web-page, call-centres often handle these queries poorly. As the Internet and call-centres are becoming popular marketing channels, poor management of their interaction will affect the performance of thousands of call-centres. This study systematically determines how Internet-marketing impacts call-centre operations by placing the centre in an organisational-system framework and using semi-structured interviews with centre managers. It fills a gap in operations management and marketing literature and helps call centres improve customer service.
Madeleine E. Pullman, Southern Methodist University, Information and Operations Management, Dallas, TX 75272, firstname.lastname@example.org
Ulrike Schultze, Southern Methodist University, Information Systems and Operations Management, Dallas, TX 75272, email@example.com
Today, two emerging business trends are occurring simultaneously: companies are attempting to build more engaging experiences for their customers and customers are increasingly shifting their service business to the Internet. At the convergence of these trends, we explore several issues in this paper. How does this convergence change the existing business models, level of customer participation, environmental relationship or connection, and brand identity? What does this imply for effective web site design for services? How will new innovations enable web based service experiences? What opportunities should “bricks and mortar” services exploit to compete with web-based services?
Title: Measuring Performance I
Chair: Douglas Stewart, Michigan State University
TC1F1 New Approaches for Logistic-Benchmarking in the Clothing Industry, Jörg Nottmeyer, Forschungsinstitut fur Rationalisierung, (FIR) an der RWTH Aachen, Pontdriesch 14/16, D-52062 AACHEN, No@fir-main.fir.rwth-aachen.de
In view of immense pressure of competition among German clothing companies, it is a basic need for enterprises to assess their logistical efficiency. Potentials for rationalization often lie in the logistical system but are rarely recognized by responsibles. Therefore, a system providing logistical measures of comparable enterprises is useful. In contrast to a direct comparison of companies, the instrument of a supra-company comparison provides an analysis of logistical achievements by means of indexes established from real relevant measures. This article describes the new approaches of the specific performance measurement for the clothing industry.
TC1F2 Performance Measurement Systems: Theory in Practice, Gyula Vastag, The Eli Broad Graduate School of Management, Department of Marketing and Supply Chain Management, Michigan State University, East Lansing, MI 48824, firstname.lastname@example.org, Douglas M. Stewart, The Eli Broad Graduate School of Management, Department of Marketing and Supply Chain Management, Michigan State University, East Lansing, MI 48824, email@example.com.
This paper discusses the characteristics that ideally all performance measurement systems should have. Specifically, the paper introduces the means-end hierarchy as a way of discussing the shifting emphasis from measures at a high level of abstraction (development of corporate strategy, for example) to specific performance measures used to control shop floor activities. The theoretical requirements are confronted with the in-depth analysis of the performance measurement systems of two large multinational corporations. These examples showed that the same theoretical guidelines can be achieved using very different approaches and systems that reflect the unique requirements and pressures under which these corporations operate.
TC1F3 Learning Curves in Cardiac Care, J. Deane Waldman, MD., University of New Mexico, School of Medicine, Albuquerque, NM 87106, firstname.lastname@example.org, Steven A. Yourstone, Ph.D., University of New Mexico, Anderson Schools of Management, Albuquerque, NM 87131.
It is generally accepted in the management literature that a predictable relationship exists between the cumulative production volume and the time required to complete a batch or an individual unit of product. T. P. Wright first reported an exponential learning curve phenomenon for airframe manufacturing in a classic paper in 1936. Numerous articles in the medical literature have described a strong volume-outcome relationship for various procedures and conditions from neonatal intensive care through pancreatic cancer surgery and trauma surgery. Physicians and medical scientists have found that the learning curve phenomenon is as true in health care as it is in manufacturing.
TC1F4 Managing the Evolution of Measurement Systems, Kennerley, Mike, Cranfield University, School of Management, Centre for Business Performance, Cranfield, Andy Neely, Cranfield University, School of Management, Centre for Business Performance, Cranfield.
Survey data suggests that between 40 and 60% of companies will have significantly changed their measurement systems between 1995 and 2000. Most of these initiatives, however, appear to be static. Consideration is being given to what should be measured today, but little attention is being paid to the question of what should be measured tomorrow. Measurement systems are dynamic. They have to be modified as circumstances change. Yet few oganisations appear to have systematic processes in place for managing the evolution of their measurement systems and few researchers appear to have explored the question - what shapes an organisation's measurement system. The research reported in this paper seeks to address this gap in the literature by presenting data that describes the forces that shape the evolution of the measurement systems used by different organisations.
Tuesday, 12:45 – 2:15 Room: Sabino
Title: Operations Strategy Framework
Chair: Norman Faull, University of Cape Town
TC2A1 Expanding the Boundaries of the Operations Strategy Process: Lessons from Corporate Strategy, David L. Barnes, Open University Business School, Walton Hall, Milton Keynes, MK7 6AA UK, email@example.com
Consideration of process in operations strategy has changed little since Skinner's original prescriptive model. This was firmly rooted in the dominant top down, rational corporate planning paradigm of that era. In contrast, corporate strategists have subsequently broadened their thinking about the strategy process to develop both descriptive and prescriptive models. These now encompass a wide range of perspectives (cultural, political, cognitive, etc.). This paper draws on case study research of the operations strategy process in practice, to argue that operations strategy can learn much by expanding its boundaries to embrace the concepts and methods of corporate strategy.
TC2A2 A Competency and Resource-based Framework for Operations Strategy, John Mills, Department of Engineering, University of Cambridge, Mill Lane, Cambridge, CB4 2HA, firstname.lastname@example.org , Michael C. S. Bourne, Department of Engineering, University of Cambridge, Mill Lane, Cambridge, CB4 2HA, email@example.com. , Kenneth W. Platts, Department of Engineering, University of Cambridge, Mill Lane, Cambridge, CB4 2HA, firstname.lastname@example.org
Writers on resource-based and competence or capability theory occasionally hint or assume that these theories are related. There is, however, little in business or operations strategy literature that explicitly integrates these theories. In this paper we assemble an architecture, which integrates theory from both literatures, including the following concepts. The competences that customers recognize, like rapid product delivery, are often reliant on supportive meta-competences, which may be technological or organizational. Resources are the building blocks of any competence and the performance of a competence is partly dependent on their configuration, which is heavily dependent on the competencies of managers and staff.
The core design of implementation is based on strategic, systemic and shopfloor considerations, using the so-called “3S” model. The 3S model was evolved in a climate of management-shop floor mistrust: the South African industrial scene of the 1990's. It incorporates principles of productivity management as well as the Terry Hill approach to manufacturing strategy. More recently the 'elements' of David Upton's (1998) approach to an improvement strategy have been incorporated in the model, together with the 'innovation-values fit' of Klein and Sorra (1996). Case study research has yielded practical insights. The revised model is presented.
This paper seeks to answer an old question: whether there is really a serious difference between manufacturing strategy and international manufacturing strategy. Based on twenty detailed case studies in four sectors, the paper presents three typical cases of manufacturing globalisation in multinational corporations and illustrates some new challenges when manufacturing crosses the borders and becomes a global player. It analyses the classical manufacturing strategy framework and the new challenges that framework faces. Finally, it introduces a new framework tackling the international manufacturing strategic issues and guiding the future research work.
Title: Operations Strategy in Services and Construction
Chair: Rhonda L. Hensley, North Carolina A and T State University
TC3A1 A Model to Explain How a Call Centre Evolves, Rita DiMascio, School of Business Operations Management, University of Western Sydney, PO Box 10, Kingswood NSW 2747, Australia, email@example.com
One would expect that call centres would be highly valued within their organisations because of their contstant contacts with the customer. Yet this is not so. The status of these centres vary across organisations from 'low value' and a necessary evil to cutting costs, growing markets. This study aimed to explain why their status varies across organisations. A model was built which shows how call centres evolve in status. This model could well be applied to the manufacturing function which Hayes and Wheelwright  have noted also developed in stages.
TC3A2 Electronic Auction Strategies and Their Impact on Operations, Rhonda L. Hensley, School of Business and Economics, North Carolina A&T State University, 336-334-7656, extension 4032, firstname.lastname@example.org
This paper presents a model of electronic auction sales strategies and discusses their impact on operations. Three strategies are identified: substitute, selective, and access. The substitute strategy used electronic auctions as a routine sales channel. Selective sellers sell products at auction only to accomplish specific goals such as supporting regular channels or to control inventory levels. The access strategy uses electronic auctions as a marketing tool to provide exposure to customers who might not otherwise come in contact with the company products. The differing demands on operations functions such as scheduling, inventory control, and shipping are discussed.
TC3A3 Analysis of Cooperation Network Phenomenon in the Brazilian Telecommunication Industry, Maria Elena Leon Olave, Escola Politecnica, University of Sao Paulo, Av. Professor Almeida prado No. 128, Travessa 2, Sala 216, CEP: 05508-900, email@example.com ,Joao Amato Neto, Escola Politecnica, University of Sao Paulo, Av. Professor Almeida prado No. 128, Travessa 2, Sala 216, CEP: 05508-900, firstname.lastname@example.org
This paper describes the business cooperation network phenomenon among small and medium telecommunication enterprises in the state of Sao Paulo, Brazil. The main goal was to identify formation advantages and drawbacks. A detailed questionnaire was applied. Among the many advantages we may highlight technology access. Results lead to the conclusion that small and medium telecommunication owners in Brazil are not used to join themselves for a common goal and problem solving. The concept of mutual collaboration as a worldwide adopted alternative for companies grew interested in acquiring a better cooperation knowledge in order to survive and allow technology sharing.
TC3A4 A Diagnosis of the Production Function Perception in the Building Business: A Case Study, Claudia Helena Lima, Universidade Federale Fluminense, Rua Passo da Patria, 156 Bloco E, sala 329, Boa Viagem Niteroi, RJ, Brazil, Eliana A. Alves de Souza, Universidade Federale Fluminense, Rua Passo da Patria, 156 Bloco E, sala 329, Boa Viagem Niteroi, RJ, Brazil, email@example.com , James Hall, Universidade Federale Fluminense, Rua Passo da Patria, 156 Bloco E, sala 329, Boa Viagem Niteroi, RJ, Brazil, firstname.lastname@example.org , Paulo Amary Freire Bruno, Universidade Federale Fluminense, Rua Passo da Patria, 156 Bloco E, sala 329, Boa Viagem Niteroi, RJ, Brazil, email@example.com , Jose Rodrigues Farias Filho, Universidade Federale Fluminense, Rua Passo da Patria, 156 Bloco E, sala 329, Boa Viagem Niteroi, RJ, Brazil, firstname.lastname@example.org
Our objective is to develop a diagnosis in the construction field. Our framework is based on studies performed by Arnoldo Hax and Nicolas Majluf regarding competitiveness and the Shingo Prize. Existing reports show lack of consistent use of adequate parameters to evaluate Production Function as a competitive weapon. Brazilian companies have low productivity level. Our aim is to relate this poor performance to the misuse of strategic management techniques. The analysis will cover production levels, financial health, marketing position, and process of strategic development and level of benchmarking. To conclude, a final report including recommendation will be issued to guide.
Chair: Mohammad Bsat
TC4E1 A Review Of The Literature On Supplier Selection Models In Manufacturing Environments, Mohammad Z. Bsat, Jackson State University, Department Of Management, P.O. Box 18230, Jackson; Ms 39217-0730, email@example.com, Astrid M. Beckers, Middle Georgia College, Director of Foreign Languages, Cochran, GA 31014, Abeckers@warrior.mgc.peachnet.edu
Manufacturing institutions are practicing a new, more dedicated way of conducting short and long-range business. This new approach positions each firm to do what it does best while at the same time spreads the risks of asset ownership and minimizes the risks of market fluctuations. The old strategy of switching suppliers in the aim of decreasing total costs or improving delivery times has largely been abandoned.
This research work investigates the different models representing the product-related characteristics that lend importance to the process of selecting source suppliers.
TC4E2 An Empirically Derived Taxonomy of Manufacturing Supply Chains, Christopher W. Craighead, University of Texas – Arlington, Dept of ISMS, Box 19437, Arlington, TX 76019, firstname.lastname@example.org
As the research in the area of Supply Chain Management progresses, there is a need to develop units of analysis that capture the complexities of and interrelationships within supply chains. Utilizing survey responses from a diverse group of 336 U.S. manufacturing facilities as an input into hierarchical and subsequently non-hierarchical cluster analysis, the study’s intent is to develop a taxonomy of common supply chains that may be used for further study. Preliminary results indicate that there are five distinct supply chain profiles.
TC4E3 Enhancing Manufacturing Flexibility Through An Integrated Supply Chain Strategy, Goke Oke, Cranfield School of Management, Centre for Logistics and Transport, Cranfield, Bedfordshire, MK 43 OAL, United Kingdom, email@example.com, Mark Barratt, Cranfield School of Management, Centre for Logistics and Transport, Cranfield, Bedfordshire, MK 43 OAL, United Kingdom, firstname.lastname@example.org
Flexibility is often seen as a "panacea" for manufacturing companies experiencing increasingly complex and turbulent environments. One significant source of flexibility in manufacturing plants derives from integration with supplier and customers in the supply chain. However, little empirical research has been carried out to show the link between effective supply chain management and manufacturing flexibility. This paper reports the results of an empirical research study carried out in two LTK manufacturing companies in the electronics and household goods sectors. Drivers for supply chain flexibility are identified and a model that relates supply chain strategies with increased manufacturing flexibility is developed.
TC4E4 Internal Lean Manufacturing Practices and Just-in-Time Logistics, Yen-Chun Wu, SHU-TE Institute of Technology, Department of Business Administration, 59 Hun-Shan Rd., Hun-Shan Village, Yen-Chau, Kaohsiung County 82442, Taiwan, email@example.com
As automobile manufactures are striding toward the lean direction and demand JIT logistics from suppliers, suppliers with lean systems in place are more likely to be incorporated into the total system. For manufacturers, supplier support is a key element for the successful implementation of lean production. This exploratory study, based on a survey of over 100 large first-tier auto parts suppliers in the United States, investigates whether external JIT logistics practices can be facilitated by supplier's use of internal lean manufacturing techniques inside the plant.
Title: Effective Change
Chair: Herbert Blake
TC5E1 Quality Logistics Planning: A Key For Managing Competitively The Supply Chain, Dr. Mokhtar Amami, Royal Military College of Canada, Business Administration Department, PO Box 17 000 Stn Forces, Kingston, Ont. CANADA, K7K 7B4, firstname.lastname@example.org
Pitfalls in managing supply chains are numerous. Furthermore, not much emphasis has been devoted to the role of planning as an essential business process. Although Improvement is needed in all forms of planning, this article will focus on quality logistics planning in manufacturing. We describe the logistics planning problem, attempt to characterize quality logistics planning, and use the characterization to formulate management issues for managing competitively the supply chain.
TC5E2 Learning From Our Mistakes, Hilary Bates, Warwick University, Hilary.Bates@warwick.ac.uk
Given the shortage of critical longitudinal studies it is possibly premature to label any one industrial supply network as an example of best practice which other companies should follow. This paper proposes that one way of understanding how networks should be organised is to study the mistakes which companies have made in their dealings with one another. This work draws upon some elements of systems theory and the less well-known theories of cognitive neuropsychology. The paper investigates instances where networks have become flawed and seeks to learn more about networks as a consequence of observing these mistakes.
This paper briefly reviews the basic elements of Supply Chain Management such as information, communication, cooperation, and trust; and then we review key SCM tools including strategic alliances, outsourcing, cycle-time reduction, and information systems. The primary focus is a discussion of the application of these strategic and operational elements and tools at Hewlett-Packard (Roseville) in its Business Critical Computing Business Unit that produces computer server solutions for customers worldwide. Specific elements of the Supply Chain have been reengineered to increase the efficiency and effectiveness of BCC’s manufacturing and distribution. These changes, and their expected results, are generally described.
TC5E4 How To Achieve Supply Chain Reengineering, Jacques H. Trienekens, Wageningen University, Management Studies Group, The Netherlands, Hollandseweg 1 Wageningen, Jack.Trienekens@alg.bk.wau.nl
The paper presents a method for supply chain reengineering (including case applications) which is based on a process approach to supply chains. In this approach we view chains as networks of customer oriented and cross functional processes with precedence relationships. The method comprises of 4 steps:
-Definition of the research objective (e.g. throughput time reduction).
-Definition and decomposition of chain links (involving management as well as physical flow characteristics of supply chains).
-Analysis of the supply chain with as major aspects: process configuration, order penetration points, lead times and information architecture.
-Reengineering based on a general list of SCM redesign principles.
Tuesday, 12:45 – 2:15 Room: Lantana
Title: Exploding Snap Meets Operations Management: Good Games, Exercises and Activities for the OM Classroom
Chair: Susan Pariseau, Merrimack College
TC6G1 Desktop Products: Active Learning About Design and Processing Principles,
Craig McLanahan, Ph.D., Salem, Massachusetts
Desktop Products are products or services created in the classroom to demonstrate principles and practices of design, process selection, and specification of materials, methods, and tooling. The products are the choice of the students, but the processes taught replicate good practice in industry. Students learn firsthand about the integrative nature and challenge of these activities. The unit is taught in small groups as an active learning exercise over four to six class sessions. This paper presents the teaching plan, observations, and assessment results from using the author’s Desktop Products unit in two separate runs of the undergraduate POM course.
TC6G2 Using the Egg-Box Game to Teach Project Management, Linda L. Stanley,
Our Lady of the Lake University, School of Business, 411 S.W. 24th Street
San Antonio, TX 78207, email@example.com
This presentation will introduce "The Egg-Box Game," an in-class experiential exercise that enables an instructor to simulate the project management environment. Student teams of twelve to fifteen members, with a box of materials including a raw egg, are given forty-five minutes to create a new product that protects the egg from breaking but also meet customer requirements -- creativity at a low price. The exercise provides a good introduction to several project management concepts, including slack, precedence relationships, the critical path, and PERT/CPM diagrams.
TC6G3 Otto’s Auto Parts – An Integrated Case Study for Teaching Production and Operations Management, Thomas Wedel, Ph.D., Department of Management Science, California State University, Northridge.
Over the past several years, I have developed a case study called “Otto’s Auto Parts” which integrates many of the subjects covered in POM into one interrelated case. The case requires students to formulate and solve on the computer the topics of forecasting, linear programming, MPR, inventory theory, queuing theory, transportation method, and simulation using realistic data and situations presented in the case. Each student’s set of data is unique. Students prepare a consultant’s report based on the computer results. I will distribute copies of the case to attendees for their use.
TC6G4 Exploring the PDCA Cycle in the Quality Management Course, Susan E. Pariseau, Department of Management O-8, Merrimack College, 315 Turnpike Street, North Andover, MA 01845, firstname.lastname@example.org.
Students in an undergraduate seminar in Quality Management are required to participate in a “Quality Improvement Story” at the College. Under the guidance of the professor, a problem area is selected where those individuals needed to effect a change have indicated a willingness to participate in a continuous improvement effort. Using quality management tools, including the seven tools for management and planning, the augmented student team begins the PDCA cycle. A problem is identified, the root cause is found, possible improvements are explored and a recommendation is communicated in both a formal presentation and a written report.
Title: Inventory Management
Chair: Gary Clendenen, University of Texas at Tyler
TD1H1 Investigating the Impact of Safety Stock on Schedule Instability, Xue Bai, Virginia State University, Department of ISDS, P.O. Box 9038, Petersburg, Virginia 23806, email@example.com, Steve Davis, Clemson University, firstname.lastname@example.org, Fidelis Ikem, Virginia State University, email@example.com.
Frequent changes to production schedules in a material requirements planning (MRP) environment can lead to confusion at the shop floor level and reduced productivity. One approach suggested in the literature to reduce instability is to introduce safety stock at the master production schedule level to act as a buffer against differences in actual and forecast requirements. Safety stock reduces the impact of deviations of actual demand from forecast and thus, reduces the need for changing the MPS schedule. Contrary to prior research, our research concludes that safety stock did not necessarily improve schedule instability. This paper is intend to formally investigate the effectiveness of carrying safety stock to reduce schedule instability when demand is uncertain over the planning horizon. Simulation experiments are conducted to determine the impact of safety stock under a wide range of operating conditions represented by various levels of demand uncertainty, cost structure, lot-sizing rules, planning horizon length, and frozen interval.
TD1H2 The Use of Simulation Software to search for Good Parameters in the Management of Spare Parts Inventory, Henrique Luiz Correa, Sao Paulo Business School - FGV, Rua da Consolacao, 3414 / 501, 01416-000 Sao Paulo, BRAZIL, firstname.lastname@example.org, George Paulus Pereira Dias, University of São Paulo, email@example.com, Marcos Augusto Vasconcellos, Sao Paulo Business School - FGV, firstname.lastname@example.org.
Independent demand inventory management models are a deceiving area in Operations Management. One particular situation is the management of spare parts, for example in a large industrial facility. Lamps, standard o-rings and bearings can frequently have a stable well-behaved demand but in many situations the bulk of the investment in spare parts inventory is exactly composed of parts the demand of which is anything but stable. Lumpy-type of demand is frequently found in corrective maintenance. This paper proposes the use of modern simulation software in helping practitioners define inventory management systems parameters - e.g. safety stocks and reorder points for spare part items whose demand follows a difficult to predict lumpy pattern, using a principle which resembles but goes beyond the focus forecasting logic in the sense that it incorporates numerical search procedures.
TD1H3 The Optimal Policy of an Inventory with ARMA Lead Time Demand, Kal Namit, Winston Salem State University, email@example.com, Fidelis Ikem, Virginia State University, School of Business, Petersburg, Virginia 23806, firstname.lastname@example.org, Jim Chen, Norfold State University, email@example.com.
Generally in determining the optimal policy of an inventory model with a stochastic demand, one has to deal with mean rate of demand, standard deviation, safety factor, forecast and lead-time. The calculation of the re-order point is typically based on the assumption that the mean rate of demand is deterministic and is a function of time. This is far removed from reality. In this research paper, we will look into the calculation of reorder point, safety stock and order quantity of an inventory based on the assumption that the process generating demand data can be forecasted by ARMA Box-Jenkins model.
Title: Operations Productivity
Chair: Chris Craighead, University of Texas at Arlington
TD2H1 An Integrated Model for the Management of Change in SMEs, P.A. Smart, University of Exeter, Department of Business and Management, School of Business and Economics, Rennes Drive, Exeter, EX4 4RJ UNITED KINGDOM, P.A.Smart@exeter.ac.uk, Roger S. Maull, University of Exeter, R.S.Maull@exeter.ac.uk, A. Vinelli, University of Padova, ITALY, A. De Toni, University of Padova.
Competitive pressures have caused a large proportion of firms to re-think their strategies, and to develop their capabilities. Capability development requires an understanding of the configuration of operations, an alignment with customer requirements and an appreciation of the standards of performance (best practice) exhibited by competitive companies. While each of these issues has been dealt with in the strategy literature, little work has been undertaken to integrate these perspectives into a useful operational model. This paper presents a theoretical model which integrates these strategy perspectives with a model of organizational configuration. The paper describes the use of this model to support process improvement in Small and Medium sized Enterprises (SMEs) in three European countries.
TD2H2 Methodology to identify functions that will add value to ERP’s in Brazil, Prof. Edison S. Monteiro, UNIP - UNIVERSIDADE PAULISTA, Rua Dr Bacelar,1212 Mirandópolis 04026-002 São Paulo SP Brasil,Email : firstname.lastname@example.org; Prof Dr. Antonio R. Albuquerque, UNIP - UNIVERSIDADE PAULISTA, Rua Dr Bacelar,1212 Mirandópolis, 04026-002 São Paulo SP Brasil, Email : email@example.com
The proposal of this paper is of presenting a Methodology to identify functions that add values to the systems ERP's (SAP, QAD, SSA, JDEDWARDS, MICROSIGA, MAGNUS). This methodology was divided in 8 phases and it was developed using the ideas of the techniques of “Analysis of the Value” which is used broadly all over the world in the industry. The methodology suggests an important work to help the companies to identify special functions. So much the customers as the users which need to do use of those “New Functions” that are not still available or incorporated in the systems ERP ', they can use it. After applying the Methodology in 25 companies in the Brazilian market, we obtained ourselves the main functions that add values to the systems ERP's as a result of the research.
TD2H3 Repetitive Strain Injuries and Production Flexibility in Brazil, Renata C.
Vasconcelos, cep 15050-140, Rua Santo Ignacio de Loyola, 54, Bairro Anchieta, Sao Jose do Rio Preto - SP, BRAZIL, firstname.lastname@example.org, J. A. Camarotto, email@example.com, M. M. Suguihura, firstname.lastname@example.org.
Repetitive strain injuries (RSI), a huge problem, can affect people at the most productive age. The worker reliability presents relapses many times, the treatment is difficult, there isn’t medical specialization on occupational strain injuries in several places around Brazil (Alves, 1995; Almeida, 1995). This paper contains a general view about RSI and their tendency about production flexibilization in Brazil. An important question appears: if RSI have origin at work, and the tendency is changing work through production flexibilization, what would happen to the RSI?
TD2H4 A Comparative Case Analysis of Enterprise Resource Planning (ERP) Systems Implementation and Performance - Oracle, Rajagopal Palaniswamy, The University of Toledo, The College of Business Administration – ISOM, Toledo, OH 43606, email@example.com, Tyler Frank, The University of Toledo, Tfrank3@netscape.net.
Enterprise Resource Planning (ERP) systems have been enabling firms to attain information technology integration and interface various functional units easily that makes the communication across the entire organization efficient and effortless. In this research the issues and performance of Oracle ERP is discussed based on the case analyses conducted in manufacturing firms located in Ohio and Wisconsin. The driving forces, various issues and the performance of the systems are discussed. Similar to other ERP systems such as SAP and Baan, Oracle systems enable firms to perform better by simplifying and streamlining their information retrieval and dissemination processes.
Tuesday, 2:30 – 4:00 Room: Madero
Chair: Patrik Jonnson, Vaxjo University
TD3A1 Empirical Measures of Volume Flexibility, Eric P. Jack, Department of Quantitative Methods and Operations Management, University of Cincinnati, Cincinnati, OH 45221, firstname.lastname@example.org , Norman T. Bruvold, Department of Marketing, University of Cincinnati, Cincinnati, OH 45221, email@example.com , Gary Raines, College of Business Administration, University of Cincinnati, Cincinnati, OH 45221, firstname.lastname@example.org , Amitabh Raturi, Department of Quantitative Methods and Operations Management, University of Cincinnati, Cincinnati, OH 45221, email@example.com
This paper develops and validates new methods for measuring volume or output flexibility. Other researchers use variability in sales to measure flexibility and conclude that small firms are more volume flexible. But, variability in sales essentially measured diversity in the environment, and, therefore, it may not be a valid measure of flexibility. Our measures consider the combined impact of both the firm’s technology and environmental diversity, by incorporating process properties such as inventory levels and cost incurred in meeting sales variation. Using 20 years of Compustat data, our results show that small firms may actually be less volume flexible than large firms are?
TD3A2 Achieving Capacity Flexibility in UK Manufacturing Plants: Mechanisms and Their Usage, Goke Oke, Cranfield School of Management, Cranfield, MK43 OAL, UK, firstname.lastname@example.org; Colin C. New, Cranfield School of Management (retired), Quinta dos Amanderros, Vila Fria, Portugal, email@example.com
The importance of capacity flexibility in coping with turbulent market environments has been widely discussed. However, little empirical research has been carried out to explore the mechanisms available to plants to achieve such flexibility and their degree of usage. This paper reports the results of a major survey, which identified the mechanisms used to achieve labour capacity flexibility in UK manufacturing plants. Identified mechanisms are not sector dependent, but they do depend on specific market conditions, and their perceived costs and benefits.
The paper conceptually and empirically discusses the role of equipment maintenance in the manufacturing process. It is based on two surveys, with 284 and 324 responses respectively, to Swedish manufacturing companies and a case study conducted at a Swedish manufacturing plant. The findings from the surveys describe the present level of investment in various strategies, techniques, tools, and organizational design for equipment maintenance. They also explore the impact of differing maintenance approaches on contextual factors and operational performance. Findings from the case study describe how a process oriented and proactive maintenance approach was implemented in a new plant, and explain the effects of the new approach.
TD3A4 The Evolution of Standards and Its Impact on Operations Management, C. Ruth Harris, School of Business and Economics, Wilfrid Laurier University, Waterloo, Ontario, Canada, firstname.lastname@example.org , M. De, School of Business and Economics, Wilfrid Laurier University, Waterloo, Ontario, Canada
Standards arise in industries with pressures from various sources. For this research, the pressures are grouped into four categories: limitations of physics, random chance, industry competition, and industry cooperation. We examine the different impacts that the different sources of standardization have on operations of an individual firm.
Tuesday, 2:30 – 4:00 Room: Carranz
Title: Global Issues
Chair: Richard E. Peschke, Moorhead State University
TD4E1 A Conceptual Model of a Global Supply Chain Resource Planning Software, S. V. Conceicao, Federal University of Minas Gerais, Anexo da Engenharia–PCA, Caixa Postal 209, 30161-970 Belo Horizonte – MG Brazil, email@example.com, C. V. Carvalho, Federal University of Minas Gerais, Anexo da Engenharia–PCA, Caixa Postal 209, 30161-970 Belo Horizonte – MG Brazil, A. S. Souza, Federal University of Minas Gerais, Anexo da Engenharia–PCA, Caixa Postal 209, 30161-970 Belo Horizonte – MG Brazil,
The paper provides a conceptual model of a GSCRP – Global Supply Chain Resource Planning software. It involves the detailed development of supporting tools and it's associated technological and organizational processes to enable the GSCRP software implementation.
The operating mode of each element that compounds the pillars of the GSCRP software is described in detail. The investment in technology and organizational changes as well as the interface with the ERP – Enterprise Resource Planning software is also discussed.
The model also points out information access problems. Several levels of access based on information needs of each firm in the supply chain were created.
TD4E2 A Framework to Evaluate Global Supply Chain Performance Measurements, Fernando M. P. Giacon, EFEI–PPG–CPG-P, AV. BPS 1303, Bairro Pinheirinho, Itajuba, MG, Brazil, firstname.lastname@example.org, Dagoberto Alves de Almeida, EFEI–PPG–CPG-P, AV. BPS 1303, Bairro Pinheirinho, Itajuba, MG, Brazil, email@example.com
This paper proposes a graphical and analytical framework to develop global supply chain performance measurements. As well as, many specific performance measurements are presented in order to illustrate the model. The model compares planned performance measures with the current ones. In this manner, decisions may be made through the knowledge of how far the supply chain performance is of its expected goal. Consequently, the model allows the monitoring of supply chain improvement processes eventually implemented, as the inclusion of a new supplier. Therefore, another contribution of the model is the evaluation of suppliers' performance measures according to a set of selected minimum performance criteria.
TD4E3 Supply Chain Management: Case Study Experiences from Australia, Professor Amrik Sohal, Monash University, PO Box 197, Caulfield East VIO 145, Australia, Amirk.Sohal@BusEco.monash.edu.au, Mr. Damien Power, Monash University, PO Box 197, Caulfield East VIO 145, Australia, Dr. Mile Terziovski, Monash University, PO Box 197, Caulfield East VIO 145, Australia
This paper presents the findings from the first two phases of a three-phase project that examines supply chain management in Australian industry. Phase I involved a series of focus group discussions involving staff from one of Australia's major retailers. Stage 2 involved detailed in-company research to document, in the form of case studies. How suppliers have adopted the supply chain management strategy and practices, the specific benefits achieved and the problems/challenges faced. The key findings from the research conducted to date are discussed and details of phase 3) of the project that involves a large questionnaire survey are outlined.
TD4E4 Measuring Supply Chain Flexibility, Benita M. Beamon, University of Washington, Industrial Engineering, Box 352650, Seattle, WA 98195-2650, firstname.lastname@example.org
Supply chain (SC) flexibility is a critical issue in supply chain systems research that has been rarely addressed in the literature. Flexibility, which is a measure of potential, is an important characteristic of high-performance supply chains. This paper discusses the importance and role of flexibility in SC performance evaluation, describes the major types of SC flexibilities, and provides new and existing measures that can be used to describe SC flexibility.
Title: Designing Service Jobs
Chair: Karen J. Napoleon, University of Georgia
TD5B1 Matching Customer Scripts and Service System Designs to Improve Service Quality, Douglas M. Stewart, Michigan State University, The Eli Broad Graduate School of Management, Department of Marketing and Supply Chain Management, East Lansing, MI 48824-1122, email@example.com
Recent work has highlighted an important, yet mostly overlooked cause of service failures – a mismatch between the customer’s chosen script and the service of delivery system. This results in the customer engaging the service under a set of rules of behavior and expectations of performance that differ from those the service provider actually offers. Although the error is on the part of the customer, it is attributed as a failure of the service. This paper will address the causes of mismatch, and provide guidelines for script sensitive design, the elicitation of desired scripts, and handling of intentional mismatches.
TD5B2 The Effect of Organizational Commitment and Job Satisfaction of Customer Contact Personnel on Customer Satisfaction in the Service Industry, Charles R. Emery, Anderson College, 316 Boulevard, Anderson, SC 29621, firstname.lastname@example.org, Lawrence D. Fredendall, Clemson University, 123-A Sirrine Hall, Clemson, SC 29634-1305, email@example.com
In services, employees who have customer contact directly influence customer satisfaction. It is expected that higher job satisfaction and organizational commitment on the part of customer contact personnel will lead to higher customer satisfaction. Since teams reduce isolation and improve communication among employees, it is expected that customer contact personnel who are part of teams will have higher job satisfaction and higher organizational commitment and consequently, will generate higher customer satisfaction. This is examined in an empirical study of automobile dealer service garages. There was a statistically significant relationship between profit, productivity and job satisfaction.
TD5B3 Developing a Teller-Staffing Plan in a Rural Bank: A Queuing Simulation, Joseph G. Ormsby, Stephen F. Austin State University, Box 9070 SFA Station, Nacogdoches, TX 75962-9070, firstname.lastname@example.org, Joyce Hoffman, Stephen F. Austin State University, Box 9070 SFA Station, Nacogdoches, TX 75962-9070, email@example.com
This paper demonstrates how a rural bank used a queuing simulation to develop a teller-staffing plan. Given basic design parameters that the bank deemed important for customer service, a teller-staffing plan was developed through the use of a multi-channel, single phased queuing system. The queuing study resulted in a staffing plan that achieved all of the design parameters, and did not result in any additional cost or personnel layoffs.
TD5B4 Sequential Investment in IT Upgrades and Worker Skill to Improve Performance in Service Operations, Karen J. Napoleon, University of Georgia, Terry College of Business, Brooks Hall, Athens, GA 30602, firstname.lastname@example.org, Cheryl Gaimon, Georgia Institute of Technology, DuPree School of Management, 755 Ferst Drive, Atlanta, GA 30332-0520, email@example.com
Organizations consistently seek ways to improve their productive resources, and information technology has been recognized as a key resource. However, despite large investments in information technology, many organizations fail to achieve significant returns. This paper analyzes the investment, implementation, and utilization of IT through the introduction of a formal dynamic model of a worker information-technology system. We examine the manner in which management policy during the implementation process impacts the firm's long-term performance level. We investigate management decisions concerning investment in technology upgrades, investment in work force training, and the timing of the information technology upgrade.
Tuesday, 2:30 – 4:00 Room: Lantana
Chair: Ravi Paul
TD6E1 Order Review and Release (ORR) Usefulness in a Flow Shop, Ravi Paul, Clemson University G07 Sirrine Hall, Clemson, SC 29672, firstname.lastname@example.org
Use of Order Review and Release (ORR) mechanisms as an effective means to control WIP is controversial. Some writers and studies have asserted that order release is very important to the successful operation of the entire manufacturing system. While some others argue that the use of good dispatching rules makes ORR a much less needed function. Also, most of the studies done to date are in a job shop environment. A consistent and well-defined theory about what shop conditions are most important to the realization of benefits from ORR in a Flow Shop environment does not exist. This study hopes to provide a basis for the determination of ORR usefulness in a flow shop. This can then be used to compare with the results obtained from previous job shop studies. Another important objective is to investigate the interaction between ORR and other shop conditions such as dispatching rules, due date tightness, and load limits. And finally, it hopes to shed more light on the WIP/workload balance vs. due date delivery performance trade-off issues clearly seen in the previous studies of this nature.
TD6E2 Quantitative And Qualitative Factors In A Supplier Selection Process, Luiz Ferdinando Perassa, EFEI - PPB - CPG-P, AV.BPS 1303, Bairro Pinheirinho, Itajuba, MG, Brazil, email@example.com, Dagoberto Alves de Almeida, EFEI - PPB - CPG-P, AV.BPS 1303, Bairro Pinheirinho, Itajuba, MG, Brazil, firstname.lastname@example.org
This article proposes a supply chain methodology to evaluate acquiring, processing and sales factors, both in quantitative and in qualitative terms. The qualitative parameters is dealt by means of the AHP method. Usually, the qualitative factors are not regarded in decision-making process to select suppliers. Accordingly, a chart of factors, including the external ones, that influence the selection process is also provided, together with their related performance measures. The proposal is illustrated through its application in a manufacturing process case study.
TD6E3 Building A New Supply Chain. Partnership And Risk Sharing, Seung-Kyu Rhee, KAIST (Korean Advanced Institute of Science and Technology), Graduate School of Management, 207-43 Cheongryang, Seoul 130-012, Korea, email@example.com, Wonhee Lee, KAIST (Korean Advanced Institute of Science and Technology), Graduate School of Management, 207-43 Cheongryang, Seoul 130-012, Korea, firstname.lastname@example.org
When a firm tries to establish a new supply chain with new product, it is very difficult to persuade suppliers and distributors to share the vision and the the risk involved. Behind any partnership agreement or contract what always matters most is how to share the risk o the new venture. Distributors' practice of free return and suppliers' practice of quantity discounts are not helpful for partnership. We analyze a PC manufacturer case, which shows us that chain leader has to take a bigger risk to build a new supply chain. A better approach is suggested using a simple model.
TD6E4 The Impact Of Transportation Cost On The Performance Of Supply Chain In The Vendor-Managed Inventory Program, Zhong Yao, City University of Hong Kong, Dept of Mgmt Sciences, City University of Hong Kong, Tat Chee Avenue, Kowloon Hong Kong, email@example.com, Xiande Zhao, City University of Hong Kong, Dept of Mgmt Sciences, City University of Hong Kong, Tat Chee Avenue, Kowloon Hong Kong,
In this paper, we investigate the operational benefits of vendor-managed inventory (VMI) under considering transportation costs. The supply chain considered in this study is consisted of one capacitated supplier and N retailers. Customer demands are stochastic and occur at the retailer sites. An integer programming model is built to handle this problem. The model’s optimal solution is obtained by the heuristic method. We find that the transportation cost has a significant effect on the performance of the supply chain. The conclusion generates insight into the operational benefits of VMI as well as understanding the value of VMI programs and can guide the practitioners to implement the VMI.
TD6E5 Can Goliath and David Work Together? Afonso Carlos Correa Fleury Production Engineering Department, Universidade de Sao Paulo, Brazil, firstname.lastname@example.org
Developing small firms in emerging economies to become suppliers of high tech global industries. The recent movement of high tech global corporations toward emerging economies such as Brazil created the demand for the development of local suppliers. Although the subject is not new the conditions under which that is taking place are rather different from previous experiences. The differences are mainly related to the overall speed of change and the level of quality requirements typical of industries such as computers and telecommunications. Thus, the difficulties that large foreign firms encounter to develop local suppliers are magnified. This paper, based on follow up studies on the creation of three supply chains, presents some guidelines to facilitate: i) the way that foreign firms have to search, approach and evaluate potential local suppliers;, ii) the way that local firms have to assess the trade-offs when targeting to become global
Tuesday, 2:30 – 4:00 Room: Suite 405
Title: Building the Next Generation of OM Courses
Chair: Dan Rinks, Louisiana State University
TD7G1 House of Quality: A Class Exercise And A Teaching Improvement Tool, Nezih Altay, Lowry Mays College of Business, Texas A&M University, 322 Wehner, 4217 TAMU, College Station, TX 77843-4217, mailto:email@example.com
Every class establishes its own character, needs and requirements throughout the semester. It is not uncommon to teach multiple sections of the same course, and end up with different student evaluations. Thus, it is necessary to customize our teaching style based on student expectations.
With large classes this seems to be an impossible task. Quality Function Deployment's House of Quality can ease the pain when used as a mid-semester improvement tool, a class exercise, and a future course development tool. Our paper will demonstrate the uses of House of Quality in a college requirement POM course.
TD7G2 Running and Growing the Small Company, Kent Bowen, Paul Marshall and Steven Spear, Harvard Business School, Soldiers Field Road, Boston, MA, 02163, firstname.lastname@example.org, email@example.com, firstname.lastname@example.org
Over the past four years we have developed a case-based, second year MBA course where the central perspective is that of the company president leading the design, improvement and running of operations-type activities. The setting of the smaller enterprise has advantages to both students and instructors because of the reduction in the complexity, scale and scope of the organization, and the close connection of a particular decision to outcomes. The study of a diverse set of small companies and developing an understanding of “how things work” is the basis for constructing a framework and operations management principles.
TD7G3 Using the Lego Robotic Invention System to Teach Project Management, Dan B. Rinks, Information Systems and Decision Sciences, E.J. Ourso College of Business Administration, Louisiana State University, Baton Rouge, LA 70803, email@example.com.
In order to speed product development, reduce cycle times, etc. companies are increasingly organizing their efforts around projects. This has created a need for a set of new employee skills. At the specific request of employers, we were asked to develop a course on Information Technology Project Management for our Information Systems majors. Students take this course early in their curriculum; thus, the students have few skills to bring to bear on a real IT project. This paper reports on the use of the Lego Mindstorms Robotic Invention System as a vehicle for teaching project management skills.
TD7G4 New Innovations in Teaching and Learning Process for Technical Institutions, Joel Hemanth, Professor, Department of Mechanical Engineering, Siddaganga Institute of Technology, TUMKUR-572 103, Kamataka, India.
May be great teachers are born and not made, but good teachers can be made by proper planning. According to several educationalists, a teacher spends 75% of the working day in communication. Teacher, students and curricula are the three major components in any educational institution. Buildings, books, laboratories etc. are the one which aids the teaching process. The most important of all is the art of teaching so that students are engaged in the process of learning. The success depends on new methods adopted in teaching which is the communication between a teacher and the student. The present investigation was carried out in a technical institute to study the following:
1) Preparation and planning; 2) Teaching-learning evaluation cycle; 3) Introduction to teaching and preparation; 4) How to sustain students interest in the learning process; 5) Modernization of techniques of teaching; 6) Motivation of students in the learning process. Results are presented.
Title: Measuring Performance II
Chair: Majid Jaraiedi, West Virginia University
TE1F1 An AHP Model Linking Academic Reward Systems With A Process of Faculty Evaluation, Masood A. Badri, United Arab Emirates University, College of Business & Economics, Department of Business Administration, P.O. Box 17555, Al-Ain, United Arab Emirates, Masood@uaeu.ac.ae.
This paper examines how institutions of higher education might operationalize performance evaluation as related to research, teaching, and service. An Analytic Hierarchy Process (AHP) model is developed that allows decision makers to couple performance evaluation and academic rewards offered by institutions of higher education. The academic reward systems might include promotion decisions, merit pay, tenure, long-term contracts, and annual rewards of excellence. The model could be used to make judgment on the qualification of candidates for such reward systems considering one (some rewards are given for achievement in only one area), or all three components of research, teaching, and service.
TE1F2 A Comparison of Productivity and Performance of Management and MIS Faculty, Daniel Hotard, Southeastern Louisiana University, Hammond, LA
John Tanner, University of Louisiana at Lafayette, Lafayette, LA
Michael Totaro, University of Louisiana at Lafayette, Lafayette, LA
Performance and productivity of business faculty are judged largely on their teaching and research with varying emphasis given to each of these components. Separate surveys of Management and MIS faculty are used to compare performance, productivity, and perceptions of the relative importance of teaching and research efforts for the two groups. Respondents indicated their scores on teaching evaluations and the number of publications which they had authored in different categories as well as other information. General results indicate that MIS faculty average slightly higher overall teaching scores, while the Management faculty produce more research publications on average.
TE1F3 Development Of A Methodology To Calculate The Road User Cost And Perform Economic Majid Jaraiedi, Ph.D., Wafik H. Iskander, Ph.D., P.E., Venkat Rajamohan, M.Sc., Department of Industrial and Management Systems Engineering, West Virginia University, P. O. Box 6070, Morgantown, WV 26506-6070, firstname.lastname@example.org, (304) 293-4607 Ext. 708
A new methodology and software were developed to calculate the road user cost, and perform economic analysis. Calculation of road user cost in projects costing over $25M is a Federal mandate that must be incorporated into all highway construction and improvement projects. The
software was developed in Visual Basic 6, which interacts with the cost tables, stored in MS-Excel workbook. This software facilitates the computation of road user cost and the performance of economic analysis in a more efficient manner. It enables planners and decision-makers to rationally select the most desirable alternative for building and refurbishing segments of public highways.
Tuesday, 4:15 – 5:45 Room: Sabino
Title: Current Issues in Operations Strategy
Chair: Marty Corbett, Intel Ireland
TE2A1 Enhancements to The Balanced Scorecard Philosophy for Better Competitiveness, Satish Mehra, Scott Surbrook, The University of Memphis
Fogelman College of Business and Economics, Memphis, TN 38152, Smehra@memphis.edu
The Balanced Scorecard (BSC) concept was proposed as a comprehensive philosophy of managing business operations. Focal points of action required detailed planning by all functional areas, and all personnel in each area, towards reaching consensus on various goals, targets, measures, and initiatives. This planning process focused upon four key perspectives of success faced by various businesses—Financial, Customer, Internal Processes, and Learning and Growth. In our view, an important perspective has been left out of the BSC philosophy, i.e., one of the Environment. In this paper, we extend the BSC philosophy to include this additional focal perspective, and justify its inclusion in the total scheme of managing operations for enhanced performance.
TE2A2 Life at the Sharp End: How Production and Operations Managers See Their Worlds of Work, Peter G. Burcher, Aston Business School, Aston Triangle, Birmingham B4 7ET, UK, email@example.com , Gloria L. Lee, Aston Business School, Aston Triangle, Birmingham B4 7ET, UK, firstname.lastname@example.org , Amrik Sohal, Department of Management, Monash University, PO Box 197, Caulfield East, VICTORIA 3145, AUSTRALIA, amrik.sohal@BusEco.monash.edu.au
Over the past two decades, firms have come under increasing pressure through global competition, to improve their operations and production and operations managers are expected to make major contributions to this challenge. As part of a global study of these issues in North America, Australasia and Europe, this paper examines how well prepared are such managers in Britain, how they view their worlds of work, their satisfactions and their frustrations.
Ireland Assembly Test has been identified as the focus plant for the Intel Xeona microprocessor. Intel must provide products and services that are individualized, short-lived, information rich, and exchanged through relationships with customers. To compete in continually fragmenting global markets, it was necessary to “embed” learning and employee empowerment in the culture and practice of the organisation. It has been a key practice for management to create a culture that motivates people to commit themselves to performing in an ever changing environment, and to express acknowledgment and appreciation of employees who have worked well and hard to further the goals of the organisation.
Chair: Richard E. Peschke
TE3E1 Solving The Time-Cost Trade-Off Problem In Schedule Control, Han P, Bao, Ph.D., Old Dominion University, Department of Mechanical Engineering, Norfolk, VA 23529, email@example.com, Hisham. Abdelsalam, GRA, Old Dominion University, Department of Mechanical Engineering, Norfolk, VA 23529, firstname.lastname@example.org
The classical solution to the problem of trading completion time of a network of tasks to increased cost is now widely available. A new approach to solving this problem is presented in this paper that demonstrates a truly interactive scheduling concept involving object data base manipulation and the programming techniques through active-X linkages. While a demonstration of the approach is based on a simple case study, the potential for its application to huge network diagrams will be the key finding of this paper.
TE3E2 Price Discount Based On Options As An Inducement Of Information Sharing In Supply Chain Management, Fujun Lai City University of Hong Kong, Department of Management Sciences, Hong Kong, email@example.com, Weihua Shi, City University of Hong Kong, Department of Economics and Finance, Hong Kong, firstname.lastname@example.org
Information sharing, as an important, supply chain coordination method, is investigated by numerous researches. The erstwhile studies show, however, that retailer cannot benefit, or benefit much less than supplier, from the supply chain through information sharing. This situation heavily dampens retailer's incentives to share information. Price discount is a common method to coordinate the supply chain, but this paper shows that simple price discount cannot elicit the valuable information from retailer and improve the performance of entire supply chain. To deal with this problem, this paper employs price discount based on options to induce retailer's valuable information sharing.
TE3E3 Total Quality Management in the Supply Chain: An Optimization Tool for Selecting Supplier Quality Development Programs, Ahmet S. Ozkul, Clemson University, Department of Management, 101 Sirrine Hall, Clemson, SC 29634-1305, email@example.com, Semra Boran, Sakarya University, Department of Industrial Engineering, Turkey
Total Quality Management (TQM) philosophy recommends eight practices to improve the quality which are management leadership/quality policy, training, product/service design. supplier quality management, process management. quality data/reporting, employee relations, role of the quality department. Since end product quality depends on the procurement of the defect free parts, part quality across the supply chain is particularly important. Supply Chain Management (SCM) approach emphasizes coordinated efforts across the supply chain to achieve a global optimum. This paper develops a decision making tool by combining these two philosophies to help practitioners decide which links (suppliers) in the chain should be improved and which TQM programs (training, process development, etc.) should be selected to get the best results under a limited supply chain development budget. The Dynamic Programming based tool selects the right supplier development programs that minimize the scrap across the chain.
Tuesday, 4:15 – 5:45 Room: Carranz
Chair: Jose Gavidia
TE4E1 Application of Multi-Attribute Theory on the Operationalisation of a Make-or-Buy Framework, Laura Canez, University of Cambridge, Institute For Manufacturing, Mill Lane, Cambridge CB2 1RX, firstname.lastname@example.org, Ken Platts, University of Cambridge, Institute For Manufacturing, Mill Lane, Cambridge CB2 1RX, kwp@eng,cam.ac.uk and David Probert, University of Cambridge, Institute For Manufacturing, Mill Lane, Cambridge CB2 1RX, email@example.com
The make-or-buy question represents a fundamental dilemma faced by many companies. However, companies often fail to consider the strategic implications of these decisions and the need to take account of a wide range of factors other than cost. In order to address such a decision a make-or-buy framework, which encapsulates all relevant factors has been developed. The operationalisation of the framework has been undertaken using Multi-Attribute Decision Making theory (MADM). This paper describes the operationalisation of the framework and discusses the practical implications of the application of this theory. An in-company case study is presented to illustrate such issues.
TE4E2 A Content Model of Information Exchange in the Supply Chain, Jose V. Gavidia, University of Texas-Pan American, College of Business Administration, Edinburg, TX 78539, firstname.lastname@example.org, Scrkan B. Celtek, University of Texas at Brownsville and Texas Southmost College, School of Business, Brownsville, TX 78520, email@example.com
One of the components of supply chain management most widely cited in the literature is the use of information systems to communicate information to other supply chain members. As firms evolve from competitive supplier relationships to dyadic cooperation, to supply chain integration, there is an increased need for information sharing that will allow synchronization, coordination, and reduction of waste. Recent advances in information technologies make possible the assumption of perfect, real time communication across firms. This paper analyzes the content of the information to be exchanged, and proposes relationships between information flows and supply chain performance measures.
TE4E3 Virtual Logistics in Virtual Organisations, Otto Jockel, Cranfield School of Management, Centre for Logistics and Transport, Cranfield, Bedfordshire, MK 43 OTF - United Kingdom, O.Jockel@cranfield.ac.uk, Ulrich Franke, Cranfield School of Management, Centre for Logistics and Transport, Cranfield, Bedfordshire, MK 43 OTF - United Kingdom, U.Franke@cranfield.ac.uk
The integration of management processes across organisational boundaries is a key postulate of modern logistics or supply chain management. In recent publications the term 'Virtual Logistics' has been used to describe a new approach to logistics management. Based on the results of a case study that was conducted in Germany the core elements of this new logistic management concept are explored. Several distributors of roller bearings who formed a horizontal virtual organisation, Bearing Partners, are using a 'Virtual Logistics Centre' as co-ordination and integration tool for logistics management processes. The findings of this study reveal that the Virtual Logistics Centre was developed as a tool to manage logistics activities within the Virtual Organisation and are rooted in the common strategic objectives of its members to share high value logistics resources and to pool purchasing power. A key of 'Virtual Logistics' is the use of information and communication technology (ICT). Furthermore the study gives evidence that the formation of a virtual organisation is rooted in close co-operation based on mutual trust and long term commitment.
TE4E4 Controlling the Variability in the Global Supply Chain Management Network Through Internet Web-Based Technologies, Pedro Reyes, 13776 Heartside Place, Farmers Branch, Texas 75234, firstname.lastname@example.org
Global strategic advantage is when all conditions of managing the supply chain are integrated so that communication flows forward and backward throughout the chain. However, there are difficulties in an effective network due to variability along the supply chain. This variability affects the flow of material throughout the chain. Sources of variability stems from the supplier's network, the organization's manufacturing process, or the customer's network. Controlling variability requires innovative approaches by linking the information systems of suppliers, manufacturers, and customers through Internet web-based technologies providing daily updates to supply-demand data for controlling and planning inventory replenishment throughout the entire system.
Title: A Focus on Integration: Helping Students Put the Pieces of the OM Puzzle Together
Chair: Alan Betts, Warwick University
In the teaching of Operations Improvement the development of process knowledge is presented as an important central concept. Translating the concept into action may often prove to be a challenging task for educators and learners alike, often relying on the use of illustrative examples to explicate the core philosophy. As part of a series of exercises to demonstrate the importance of developing Process Knowledge (Bohn 1994) we developed an interactive compluter simulation of a call centre operation in which a number of competing teams of 5/6 members are formed, each member having a functional responsibility. Following their preparation of an influence diagram, the teams use the computer simulation to enhance their process understanding through their development of structured experiments.
TE5G2 An Integrative Case, Rolf Erdmann, Dr. Universidade Federal de Santa Catarina (UFSC), email@example.com; Luis Strumiello, Faculdade Adventista Paransenso, firstname.lastname@example.org.
This work reports a case which intends the teaching of the Production and Operation Management in post graduation courses. The case and its derivations are the central theme of the course, linking several specialty areas, as planning, programming, purchases, stocks, logistics and maintenance, facilitating the exploration of occurrences in the productive system. This leads to the necessary knowledge of the concepts of the Production and the other areas, configuring a systematical practice, allowing to exercise the reaction face to the events of a complex reality.
TE5G3 An Experiential Learning System for Production Planning and Control, Chuda Basnet, Department of Management Systems, University of Waikato, Private Bag 3105, Hamilton 2020, New Zealand, Chuda@waikato.ac.nz.
This paper presents a spreadsheet based simulation game for teaching/learning production planning and control concepts such as forecasting, material requirements planning, order review and release. In this game the student plays the role of a production planner managing two products, for which customer orders are placed in variable quantities throughout the week. The student builds forecasting and material requirement planning systems to help them in their task. Initial student responses have been favorable.