Piedmont Project 2005Piedmont Project 2005

Rich MettersRich MettersGoizueta Business SchoolGoizueta Business School

My goal is to further incorporate the three foci of the Piedmont Project into my courses:My goal is to further incorporate the three foci of the Piedmont Project into my courses:(1)(1) Environmental Sustainability,Environmental Sustainability,(2)(2) Social Justice, andSocial Justice, and(3)(3) Connection to Place.Connection to Place.

Rather than constructing a new course along these lines, I have sought to include these issues in the fourRather than constructing a new course along these lines, I have sought to include these issues in the four courses I currently teach. I started to educate myself on the first two topics last year and found that therecourses I currently teach. I started to educate myself on the first two topics last year and found that there is a large amount of teaching material available in my field. is a large amount of teaching material available in my field.

Pedagogically, approximately one-third of the class time in business schools is spent on “case studies” of Pedagogically, approximately one-third of the class time in business schools is spent on “case studies” of particular business situations. The BELL project (Business-Environment Learning and Leadership, particular business situations. The BELL project (Business-Environment Learning and Leadership, bell.wri.org) has approximately 50 class-length case studies available for use. Additionally, I came acrossbell.wri.org) has approximately 50 class-length case studies available for use. Additionally, I came across Interface Corp. personnel who agreed to be guest speakers for my class. A case study has also been Interface Corp. personnel who agreed to be guest speakers for my class. A case study has also been written about Interface by Harvard Business School.written about Interface by Harvard Business School.

The incorporation of these themes are listed by each class. The syllabi for the classes are attached. The incorporation of these themes are listed by each class. The syllabi for the classes are attached. Piedmont Project related material is listed in bold type.Piedmont Project related material is listed in bold type.

Course: Supply Chain Management“Supply chain” refers to the common business practice of one company buying parts from another “Supply chain” refers to the common business practice of one company buying parts from another company, who in turn buys parts from another company, etc. The companies are linked together in a company, who in turn buys parts from another company, etc. The companies are linked together in a “chain” of supplying each other. “chain” of supplying each other.

While virtually all students come into the course believing that their particular firm should not promote While virtually all students come into the course believing that their particular firm should not promote spoiling the environment and causing social injustice, they draw the line at supply chain partners. The spoiling the environment and causing social injustice, they draw the line at supply chain partners. The typical response is, “that’s a different company in a different country, who are we to say what they can or typical response is, “that’s a different company in a different country, who are we to say what they can or cannot do?” cannot do?”

To engage students in a discussion of what responsibility a supply chain partner has in changing policies To engage students in a discussion of what responsibility a supply chain partner has in changing policies in a different company, I now use the following case studies and guest speaker:in a different company, I now use the following case studies and guest speaker:

Green supply chains: Guest Speaker Jim Hartzfeld, VP – Sustainable Business

Strategy, Interface Research Corp.Case study: Interface’s Evergreen Services Agreement

Birth to death product design case study: Birth to death product design case study: Bayerische Motoren Werke AG (A) Bayerische Motoren Werke AG (A)

Supply Chain Ethics case study: Levi Strauss & Co.: Global Sourcing

The Interface speaker and case study discuss the transformation of Interface into one of the world’s The Interface speaker and case study discuss the transformation of Interface into one of the world’s leading environmentally friendly manufacturers.leading environmentally friendly manufacturers.

The caseThe case Bayerische Motoren WerkeBayerische Motoren Werke concerns the requirement of the German government that concerns the requirement of the German government that auto manufacturers be responsible for the entire life cycle of their products. Under laws established in auto manufacturers be responsible for the entire life cycle of their products. Under laws established in the early 1990’s each car manufacturer is responsible for the dismantling and final disposal of their cars. the early 1990’s each car manufacturer is responsible for the dismantling and final disposal of their cars. The case discusses how cars should be designed differently up-front with sustainability in mind. `The case discusses how cars should be designed differently up-front with sustainability in mind. `

The The Levi StraussLevi Strauss (denim jeans) case examines social justice. As a company, Levi Strauss has policies (denim jeans) case examines social justice. As a company, Levi Strauss has policies against using suppliers that use various forms of forced labor or operate in countries with policies that against using suppliers that use various forms of forced labor or operate in countries with policies that assist forced labor. At the time, the Chinese policy of making employers force employees to obey the assist forced labor. At the time, the Chinese policy of making employers force employees to obey the “one child” rule, as well as various human rights abuses, causes Levi Strauss to withdraw from the “one child” rule, as well as various human rights abuses, causes Levi Strauss to withdraw from the Chinese market.Chinese market.

Course: Service OperationsThis course is concern with how service sector companies deliver services to the customer. In general, This course is concern with how service sector companies deliver services to the customer. In general, service sector firms do not cause much pollution, nor do they face many international issues. However, I service sector firms do not cause much pollution, nor do they face many international issues. However, I have endeavored to create a “connection to place” in this course. The majority of my MBA students stay have endeavored to create a “connection to place” in this course. The majority of my MBA students stay in the Atlanta area. Consequently, to ground these students in the Atlanta area, and to make them feel a in the Atlanta area. Consequently, to ground these students in the Atlanta area, and to make them feel a connection to more than the bars, I have incorporated the following:connection to more than the bars, I have incorporated the following:

Guest speakers: Vega String Quartet and Will Ransom, Music DepartmentGuest speakers: Vega String Quartet and Will Ransom, Music DepartmentClass will be held at the Schwartz Performing Arts Center.Class will be held at the Schwartz Performing Arts Center.

Atlanta Symphony Orchestra Atlanta Symphony Orchestra Guest: John Sparrow, Vice President and General Manager, Guest: John Sparrow, Vice President and General Manager, Atlanta Symphony OrchestraAtlanta Symphony OrchestraVisit to ASOVisit to ASO

All of these components of the course represent the “hidden curriculum.” The official pedagogical reason All of these components of the course represent the “hidden curriculum.” The official pedagogical reason to incorporate them is to examine the operations of providing customer experiences. The actual reason to incorporate them is to examine the operations of providing customer experiences. The actual reason is to provide students with a connection to Emory and the Atlanta area.is to provide students with a connection to Emory and the Atlanta area.

Will Ransom of the music department has partnered with me to provide my students an experience in theWill Ransom of the music department has partnered with me to provide my students an experience in the Schwartz Center. Although the Schwartz Center is contiguous to the business school, 95% of my Schwartz Center. Although the Schwartz Center is contiguous to the business school, 95% of my students have never set foot inside it. Using a concert in the Center as a ruse, the magnificent students have never set foot inside it. Using a concert in the Center as a ruse, the magnificent architecture and sound qualities of the Schwartz Center are presented to the students.architecture and sound qualities of the Schwartz Center are presented to the students.

For the Atlanta Symphony Orchestra (ASO), once again the case discussion is a ruse to get them to go For the Atlanta Symphony Orchestra (ASO), once again the case discussion is a ruse to get them to go downtown and attend the symphony. The ASO has been kind enough to provide my students with free downtown and attend the symphony. The ASO has been kind enough to provide my students with free tickets to the symphony. In class, the General Manager of the symphony, who is also the main decision tickets to the symphony. In class, the General Manager of the symphony, who is also the main decision maker in the case study the students prepare, speaks to my class about the role of the ASO in Atlanta maker in the case study the students prepare, speaks to my class about the role of the ASO in Atlanta and the value of the arts.and the value of the arts.

Class: Offshoring and OutsourcingClass: Offshoring and OutsourcingThis class is concerned with offshoring, the movement of U.S. jobs to other countries, and outsourcing, This class is concerned with offshoring, the movement of U.S. jobs to other countries, and outsourcing, the hiring of other firms to do the work formerly done within a company. The following aspects of the the hiring of other firms to do the work formerly done within a company. The following aspects of the class are relevant:class are relevant:

Ethics, Governmental Policy, The Western BacklashEthics, Governmental Policy, The Western Backlash“International Sourcing in Athletic Footwear: Nike and Reebok” case study“International Sourcing in Athletic Footwear: Nike and Reebok” case study

Social justice issues are explored in the comparison of Nike and Reebok. Each footwear manufacturer Social justice issues are explored in the comparison of Nike and Reebok. Each footwear manufacturer has a different policy regarding social justice regarding their offshore suppliers. has a different policy regarding social justice regarding their offshore suppliers.

Class: Management Science in SpreadsheetsClass: Management Science in SpreadsheetsThis is largely a math class. The point is to demonstrate how a special type of mathematics called “linearThis is largely a math class. The point is to demonstrate how a special type of mathematics called “linear programming” (an advanced matrix algebra topic) can be used to solve practical business problems. programming” (an advanced matrix algebra topic) can be used to solve practical business problems.

One particular business problem that was solved by this method is displayed in the course:One particular business problem that was solved by this method is displayed in the course:

Case Study: Case Study: Armco and the “Bubble Policy”Armco and the “Bubble Policy”

Armco was the 8Armco was the 8thth largest steel manufacturer in the U.S. This case discusses a landmark decision by the largest steel manufacturer in the U.S. This case discusses a landmark decision by the Environmental Protection Agency to deal with companies with a “bubble” policy. That is, prior to this Environmental Protection Agency to deal with companies with a “bubble” policy. That is, prior to this policy, each particular smokestack was specifically regulated by the EPA. With this case the EPA policy, each particular smokestack was specifically regulated by the EPA. With this case the EPA decided to regulate Armco as a “bubble.” That is, to regulate the overall level of pollution that Armco decided to regulate Armco as a “bubble.” That is, to regulate the overall level of pollution that Armco emitted. Linear programming is used to create the best joint solutions between the EPA and Armco to emitted. Linear programming is used to create the best joint solutions between the EPA and Armco to find optimal policies that both minimize pollution while maximizing profits.find optimal policies that both minimize pollution while maximizing profits.

BUS 553: Supply Chain Management

Instructor:Instructor: Rich MettersRich MettersTelephone:Telephone: 404.727.7089404.727.7089E-mail:E-mail: Richard_Metters@bus.emory.eduRichard_Metters@bus.emory.eduOffice Hours:Office Hours: M-F 9:30-5 (except T,Th1-2:30)or by appointmentM-F 9:30-5 (except T,Th1-2:30)or by appointment

office 415office 415

Course MaterialCourse Material•• Case studies available electronically on the internet from Case studies available electronically on the internet from www.Study.netwww.Study.net..•• Readings available electronically on e-reserve.Readings available electronically on e-reserve.•• Optional text, Optional text, Supply Chain Management, Strategy, Planning and OperationSupply Chain Management, Strategy, Planning and Operation, 2, 2ndnd ed. ed. Chopra and Meindl, 2004. ISBN 0-13-101028-X (not available at the bookstore).Chopra and Meindl, 2004. ISBN 0-13-101028-X (not available at the bookstore).

Course OverviewCourse OverviewThe The supply chainsupply chain is the system by which organizations deliver their products and services is the system by which organizations deliver their products and services to their customers. Supply chains include to their customers. Supply chains include physicalphysical activities (such as receiving goods, activities (such as receiving goods, production, and transportation) and production, and transportation) and informationalinformational activities (such as product design, activities (such as product design, purchasing, and planning). The term “chain” is used because these activities typically link purchasing, and planning). The term “chain” is used because these activities typically link the efforts of many different companies and functional areas. the efforts of many different companies and functional areas. Supply chain Supply chain managementmanagement represents the represents the consciousconscious effort by firms to develop and run supply chains, effort by firms to develop and run supply chains, rather than individual firms, in the most effective and efficient way possible.rather than individual firms, in the most effective and efficient way possible.

The course is divided into three main sections.The course is divided into three main sections.Part 1: Inventory and Information Within a FirmThis course concerns relationships between firms involving information and inventory. As a precursor to understanding the value and design of inter-firm relationships, this part of the course reviews the major methods by which inventory and information are handled within a firm.

Part 2: The Benefits of Cooperative Supply ChainsThe benefits of cooperation between supply chain partners is quantified and several methods of achieving cooperation are studied.

Part 3: International IssuesSupply chains frequently cross international borders. Specific problems relating to Supply chains frequently cross international borders. Specific problems relating to international sourcing are presented.international sourcing are presented.

Grading/WorkloadGrading/Workload

The course grade will include both individual and group components. Individual The course grade will include both individual and group components. Individual components include class participation and a final exam, while group components include components include class participation and a final exam, while group components include written case evaluations, quantitative assignments, and the mid-term exam.written case evaluations, quantitative assignments, and the mid-term exam.

Group gradesLittlefield Technologies 1&2 (15%)Littlefield Technologies 1&2 (15%)Choose 3 from: (10% each)Choose 3 from: (10% each)

Supply Chain Close-up: The Video VaultSupply Chain Close-up: The Video VaultBayerische Motoren Werke AGBayerische Motoren Werke AGSport ObermeyerSport ObermeyerEmerson ElectricEmerson ElectricHP Deskjet PrinterHP Deskjet Printer

Individual gradesParticipation (20%)Participation (20%)Midterm exam (15%)Midterm exam (15%)Final exam (20%)Final exam (20%)

ParticipationParticipation is required. Due to the interactive and experiential nature of the course, is required. Due to the interactive and experiential nature of the course, preparation and participation are imperative. preparation and participation are imperative. Repeated lack of preparationRepeated lack of preparation will result will result in course failure, regardless of other course grades.in course failure, regardless of other course grades.

The majority of the participation grade will center on case discussion in class, but The majority of the participation grade will center on case discussion in class, but participation in all class sessions is graded. The purpose behind this is to foster stimulatingparticipation in all class sessions is graded. The purpose behind this is to foster stimulating class discussions. As to case studies, specific questions will be handed-out to guide case class discussions. As to case studies, specific questions will be handed-out to guide case analysis, but ideas regarding cases should not focus solely on the questions handed-out. analysis, but ideas regarding cases should not focus solely on the questions handed-out.

Group gradesGroup grades are based on grades for the written cases as well as group class participation in group are based on grades for the written cases as well as group class participation in group oriented activities. "Group Peer Grade" refers to the grade given a student by other students in their oriented activities. "Group Peer Grade" refers to the grade given a student by other students in their group. At the end of the semester, students anonymously grade the performance of other group group. At the end of the semester, students anonymously grade the performance of other group members. The “Group Peer Evaluation” form used for this purpose is included in this syllabus. In members. The “Group Peer Evaluation” form used for this purpose is included in this syllabus. In addition to graded cases, there will also be several assignments that require group work.addition to graded cases, there will also be several assignments that require group work. Group CaseGroup Case requirements: requirements:

For style considerations, a review of the case is unnecessary, but it is important to cite case facts to For style considerations, a review of the case is unnecessary, but it is important to cite case facts to justify conclusions. Also, a balanced approach is recommended for case write-ups. Comment on both justify conclusions. Also, a balanced approach is recommended for case write-ups. Comment on both the strengths and weaknesses of managerial action depicted in the case, rather than focusing in only on the strengths and weaknesses of managerial action depicted in the case, rather than focusing in only on weaknesses. weaknesses.

Questions will be handed-out to guide case write-ups. The case write-up should not focus solely on the Questions will be handed-out to guide case write-ups. The case write-up should not focus solely on the questions handed-out. Arriving at satisfactory answers to the questions asked will receive a "PS." While questions handed-out. Arriving at satisfactory answers to the questions asked will receive a "PS." While content is the preeminent consideration, poor editing (e.g., incorrect spelling, inconsistent spacing, poor content is the preeminent consideration, poor editing (e.g., incorrect spelling, inconsistent spacing, poor grammar) will result in a lower grade.grammar) will result in a lower grade.

The main objective of requiring written cases is to provoke thoughtful, reasoned arguments that enhance The main objective of requiring written cases is to provoke thoughtful, reasoned arguments that enhance the educational process for the entire class. For that reason, the educational process for the entire class. For that reason, arguments must be raised in class arguments must be raised in class discussion to count for grading in a case write-updiscussion to count for grading in a case write-up ..

Participation grading standards will be described in class.Participation grading standards will be described in class.

GROUP PEER EVALUATIONGROUP PEER EVALUATION

Name Name

The group component to the grade for an individual is the combination of the group grade and the group The group component to the grade for an individual is the combination of the group grade and the group peer evaluation. The overall group grade is adjusted for an individual in response to the peer evaluations.peer evaluation. The overall group grade is adjusted for an individual in response to the peer evaluations.

List your group members - other than yourself - in the spaces provided. Included in your assessment of List your group members - other than yourself - in the spaces provided. Included in your assessment of group contribution can be such areas as: meeting attendance, punctuality and preparedness; helpful or group contribution can be such areas as: meeting attendance, punctuality and preparedness; helpful or disruptive attitudes at meetings; contribution to group discussion; etc.disruptive attitudes at meetings; contribution to group discussion; etc.

For each individual in a group, the group grade is adjusted up or down on the basis of the peer For each individual in a group, the group grade is adjusted up or down on the basis of the peer evaluations. For active group members, assign positive or negative grade points based on their group evaluations. For active group members, assign positive or negative grade points based on their group contribution. For example, a +1.0 indicates a helpful group member who deserves a full letter grade contribution. For example, a +1.0 indicates a helpful group member who deserves a full letter grade above the group average and -1.0 indicates a full letter grade below the group average. above the group average and -1.0 indicates a full letter grade below the group average.

Alternatively, you can designate a specific grade for group members. This is usually appropriate when anAlternatively, you can designate a specific grade for group members. This is usually appropriate when an individual has made little or no contribution to the group. In that case, a designated "LP" or "NC" may be individual has made little or no contribution to the group. In that case, a designated "LP" or "NC" may be appropriate. This is taken seriously in overall grading. If, for example, the group peer evaluations give anappropriate. This is taken seriously in overall grading. If, for example, the group peer evaluations give an NC grade to an individual, the individual will fail that portion of the course, regardless of the overall group NC grade to an individual, the individual will fail that portion of the course, regardless of the overall group grade.grade.

If there are circumstances which should be considered in the group peer evaluation, write your commentsIf there are circumstances which should be considered in the group peer evaluation, write your comments on this page. Due to the potential for misrepresentation and lack of confidentiality, this form must be on this page. Due to the potential for misrepresentation and lack of confidentiality, this form must be handed to me in person.handed to me in person.

Group MemberGroup Member Point ScorePoint Score Designated GradeDesignated GradeDo not include yourself in this listDo not include yourself in this listExample:Example:Jane DoeJane Doe +0.5+0.5

Expected Class ScheduleExpected Class Schedule: Actual mileage may vary: Actual mileage may varyCases in bold printCases in bold print

9/69/6 Course IntroductionCourse Introduction

Part 1: Inventory and Information Within a Firm

Capacity and lead timesCapacity and lead timesIntroduction to Introduction to Littlefield TechnologiesLittlefield TechnologiesOptional reading distributed in class.

9/139/13 Inventory – Independent demandInventory – Independent demandInventory gameInventory gameReading: Chapter 10 (Inventory Management) from “Logistics: An Introduction Reading: Chapter 10 (Inventory Management) from “Logistics: An Introduction to Supply Chain Management” by Waters, available on e-reserve and handed to Supply Chain Management” by Waters, available on e-reserve and handed out in class on 9/7.out in class on 9/7.

Start round 1: Start round 1: Littlefield TechnologiesLittlefield Technologies

9/209/20 Inventory – (probably more) Independent demandInventory – (probably more) Independent demand

Inventory – Dependent demand: Material Requirements PlanningInventory – Dependent demand: Material Requirements PlanningReading: pp. 167-177 from “Logistics: An Introduction to Supply Chain Reading: pp. 167-177 from “Logistics: An Introduction to Supply Chain Management” by Waters, available on e-reserve.Management” by Waters, available on e-reserve.

9/269/26 No classNo classRound 1: Round 1: Littlefield TechnologiesLittlefield Technologies write-up due. write-up due.

9/279/27 Master Production Scheduling GameMaster Production Scheduling GameCost of uncoordinated supply chains (preview): learning curvesCost of uncoordinated supply chains (preview): learning curvesStart round 2: Start round 2: Littlefield TechnologiesLittlefield Technologies

10/410/4 Just-In-Time systemsJust-In-Time systemsReading: Reading: Does Manufacturing Need a JIT Revolution?Does Manufacturing Need a JIT Revolution?Just-In-Time case study: Just-In-Time case study: Toyota Motor Manufacturing, USA, Inc. Toyota Motor Manufacturing, USA, Inc. 9-693-0199-693-019

10/1110/11 (No class – Fall break) (No class – Fall break) Group Group Littlefield Technologies Littlefield Technologies assignment dueassignment due

10/18 Mid-term exam10/18 Mid-term exam

Part 2: The Benefits of Cooperative Supply ChainsReading: Reading: What is the Right Supply Chain for Your Product?What is the Right Supply Chain for Your Product?Reading: HBS note Reading: HBS note Aligning Incentives in Supply Chains Aligning Incentives in Supply Chains 9-600-1109-600-110

10/2510/25 Costs of Uncoordinated Supply Chains: Costs of Uncoordinated Supply Chains: Supply Chain Close-up: The Video Vault Supply Chain Close-up: The Video Vault 9-102-0709-102-070Specific topics: double marginalization; revenue sharing; markdown money;Specific topics: double marginalization; revenue sharing; markdown money;joint inventory orderingjoint inventory orderingOptional reading: Chopra and Meindl, pp.258-264, available on e-reserve.Optional reading: Chopra and Meindl, pp.258-264, available on e-reserve.

Syncra Systems Syncra Systems 9-601-0359-601-035

11/1 11/1 Strategic supply chain alliancesStrategic supply chain alliancesLaura Ashley and Federal Express Strategic Alliance Laura Ashley and Federal Express Strategic Alliance 9-693-0509-693-050Guest Speaker: Sean Flaherty, Marketing Manager, UPS Supply Chain ServicesGuest Speaker: Sean Flaherty, Marketing Manager, UPS Supply Chain Services

11/811/8 High variety, quick response supply chainsHigh variety, quick response supply chainsGuest Speaker: Allen Podratsky, SVP Product Development and Supply Chain Guest Speaker: Allen Podratsky, SVP Product Development and Supply Chain Management, Simmons CompanyManagement, Simmons Company

JIT II: JIT II: Bose Corporation: The JIT II Program (A)Bose Corporation: The JIT II Program (A) 9-694-001 9-694-001

11/15 Green supply chains: Guest Speaker Jim Hartzfeld, VP – Sustainable Business Strategy, Interface Research Corp.

Interface’s Evergreen Services Agreement

Part 3: International Issues

11/22 11/22 Forecasting: Forecasting: Sport Obermeyer, Ltd. Sport Obermeyer, Ltd. 9-695-0229-695-022

Cost analysis in international Sourcing: Cost analysis in international Sourcing: Emerson Electric Company Emerson Electric Company APC Division: The Fan Subpack Sourcing Decision APC Division: The Fan Subpack Sourcing Decision (Darden) UVA-OM-0631(Darden) UVA-OM-0631

11/29 Supply Chain Ethics: Levi Strauss & Co.: Global Sourcing 9-395-127

Bayerische Motoren Werke AG (A) (Not available on study.net)Bayerische Motoren Werke AG (A) (Not available on study.net)

Final ExamFinal Exam

Business 658: Service OperationsCourse Syllabus, Fall 2005

Instructor:Instructor: Rich MettersRich MettersTelephone:Telephone: 404.727.7089 404.727.7089 E-mail:E-mail: Richard_Metters@bus.emory.eduRichard_Metters@bus.emory.eduOffice Hours:Office Hours: Monday-Friday 9-5 or by appointment, office 415 Monday-Friday 9-5 or by appointment, office 415

Course MaterialTextbook: “Successful Service Operations Management,” (2003) by Metters, King-Textbook: “Successful Service Operations Management,” (2003) by Metters, King-Metters, and Pullman. ISBN 0-324-13556-4. Metters, and Pullman. ISBN 0-324-13556-4.

Case studies are available on the Web at Study.net (some of which will be handed out Case studies are available on the Web at Study.net (some of which will be handed out in class, but are paid for via Study.net). Some case studies and additional readings in class, but are paid for via Study.net). Some case studies and additional readings may be distributed by e-mail or put on electronic reserve.may be distributed by e-mail or put on electronic reserve.

Course ConceptCourse ConceptThe principal course objective is to explore operations specific to the service sector. In The principal course objective is to explore operations specific to the service sector. In addition to the perspective of a service sector manager, the perspective of a consultant addition to the perspective of a service sector manager, the perspective of a consultant to the service sector is given some emphasis, in both the roles of being a consultant to the service sector is given some emphasis, in both the roles of being a consultant and when to use consultants. The course is divided into four basic sections:and when to use consultants. The course is divided into four basic sections:

Phase 1: “Operations Strategy”Phase 1: “Operations Strategy”Preparation for general management careers often focuses on strategy. Further, the Preparation for general management careers often focuses on strategy. Further, the bulk of many consulting assignments continues to be general strategic consulting. bulk of many consulting assignments continues to be general strategic consulting. Consequently, cases and lectures are used to develop and assess strategies specific toConsequently, cases and lectures are used to develop and assess strategies specific to service operations.service operations.

Phase 2: “Managing Experiences” Phase 2: “Managing Experiences” Economic progression has seen most developed economies move from an agricultural Economic progression has seen most developed economies move from an agricultural economy, to a manufacturing economy, then to a service economy. It has been economy, to a manufacturing economy, then to a service economy. It has been proposed that a further development in this progression is an “experience economy.” proposed that a further development in this progression is an “experience economy.” Here, we consider how to manage customer and employee “experiences.”Here, we consider how to manage customer and employee “experiences.”

Phase 3: “Capacity Management (Revenue Management)”Phase 3: “Capacity Management (Revenue Management)”Tactically, one of the most difficult questions for service operations is managing Tactically, one of the most difficult questions for service operations is managing capacity. Unlike manufacturing operations, capacity in many services cannot be stored capacity. Unlike manufacturing operations, capacity in many services cannot be stored in the form of inventory. We will look at three techniques of capacity management that in the form of inventory. We will look at three techniques of capacity management that are collectively known as “yield management”: overbooking, capacity allocation are collectively known as “yield management”: overbooking, capacity allocation between classes of customers, and differential pricing for identical capacity. between classes of customers, and differential pricing for identical capacity.

Phase 4: “Putting science into ‘gut feel’”Phase 4: “Putting science into ‘gut feel’”Many of the most important managerial decisions in many services are often decided Many of the most important managerial decisions in many services are often decided based on anecdote, rather than data. We explore simple mathematical methods for based on anecdote, rather than data. We explore simple mathematical methods for selecting locations, selecting customers, and other topics.selecting locations, selecting customers, and other topics.

Course MethodsCourse MethodsPrimarily, the pattern of instruction on a specific topic includes a discussion/lecture Primarily, the pattern of instruction on a specific topic includes a discussion/lecture followed by a decision oriented case. The course is structured around group work. followed by a decision oriented case. The course is structured around group work. Both group cases and in-class group work are central activities.Both group cases and in-class group work are central activities.

GradingGradingGrading is intended to make both the group and the individual accountable. There are Grading is intended to make both the group and the individual accountable. There are graded case assignments as well as exams. graded case assignments as well as exams.

Group Grade x Group Peer GradeGroup Grade x Group Peer Grade 35%35%Final Exam Final Exam 35%35%ParticipationParticipation 30%30%

Group grades are based on grades for the written cases as well as group class Group grades are based on grades for the written cases as well as group class participation in group oriented activities. "Group Peer Grade" refers to the grade given participation in group oriented activities. "Group Peer Grade" refers to the grade given a student by other students in their group. At the end of the semester, students a student by other students in their group. At the end of the semester, students anonymously grade the performance of other group members. In addition to graded anonymously grade the performance of other group members. In addition to graded cases, there will also be pass/fail case assignments that require group work, as well as cases, there will also be pass/fail case assignments that require group work, as well as a class length group game. a class length group game.

Case requirements can differ significantly depending on the case. In general, a group Case requirements can differ significantly depending on the case. In general, a group write-up of no more than five double-spaced pages (excluding exhibits) is sufficient. write-up of no more than five double-spaced pages (excluding exhibits) is sufficient. For more numerically oriented cases, less writing is needed. There are, however, no For more numerically oriented cases, less writing is needed. There are, however, no minimum or maximum page lengths and no specific formatting requirements. minimum or maximum page lengths and no specific formatting requirements.

For style considerations, a review of the case is unnecessary, but it is important to cite For style considerations, a review of the case is unnecessary, but it is important to cite case facts to justify conclusions. Also, a balanced approach is recommended for case case facts to justify conclusions. Also, a balanced approach is recommended for case write-ups. Comment on both the strengths and weaknesses of managerial action write-ups. Comment on both the strengths and weaknesses of managerial action depicted in the case, rather than focusing in only on weaknesses. depicted in the case, rather than focusing in only on weaknesses.

Questions will be handed-out to guide case write-ups. The case write-up should not Questions will be handed-out to guide case write-ups. The case write-up should not focus solely on the questions handed-out. Arriving at satisfactory answers to the focus solely on the questions handed-out. Arriving at satisfactory answers to the questions asked will receive a "PS." Although no specific format is required, poor questions asked will receive a "PS." Although no specific format is required, poor editing (e.g., incorrect spelling, inconsistent spacing, poor grammar) will result in a editing (e.g., incorrect spelling, inconsistent spacing, poor grammar) will result in a lower grade.lower grade.

The main objective of requiring written cases is to provoke thoughtful, reasoned The main objective of requiring written cases is to provoke thoughtful, reasoned arguments that enhance the educational process for the entire class. For that reason, arguments that enhance the educational process for the entire class. For that reason, arguments must be raised in class discussion to count for grading in a case arguments must be raised in class discussion to count for grading in a case write-upwrite-up..

Participation grading standards will be described in class.Participation grading standards will be described in class.

GROUP PEER EVALUATIONGROUP PEER EVALUATION

Name Name

The group component to the grade for an individual is the combination of the group The group component to the grade for an individual is the combination of the group grade and the group peer evaluation. The overall group grade is adjusted for an grade and the group peer evaluation. The overall group grade is adjusted for an individual in response to the peer evaluations.individual in response to the peer evaluations.

List your group members - other than yourself - in the spaces provided. Included in List your group members - other than yourself - in the spaces provided. Included in your assessment of group contribution can be such areas as: meeting attendance, your assessment of group contribution can be such areas as: meeting attendance, punctuality and preparedness; helpful or disruptive attitudes at meetings; contribution topunctuality and preparedness; helpful or disruptive attitudes at meetings; contribution to group discussion; etc.group discussion; etc.

For each individual in a group, the group grade is adjusted up or down on the basis of For each individual in a group, the group grade is adjusted up or down on the basis of the peer evaluations. For active group members, assign positive or negative grade the peer evaluations. For active group members, assign positive or negative grade points based on their group contribution. For example, a +1.0 indicates a helpful group points based on their group contribution. For example, a +1.0 indicates a helpful group member who deserves a full letter grade above the group average and -1.0 indicates a member who deserves a full letter grade above the group average and -1.0 indicates a full letter grade below the group average. full letter grade below the group average.

Alternatively, you can designate a specific grade for group members. This is usually Alternatively, you can designate a specific grade for group members. This is usually appropriate when an individual has made little or no contribution to the group. In that appropriate when an individual has made little or no contribution to the group. In that case, a designated "LP" or "NC" may be appropriate. This is taken seriously in overall case, a designated "LP" or "NC" may be appropriate. This is taken seriously in overall grading. If, for example, the group peer evaluations give an NC grade to an individual, grading. If, for example, the group peer evaluations give an NC grade to an individual, the individual will fail that portion of the course, regardless of the overall group grade.the individual will fail that portion of the course, regardless of the overall group grade.

If there are circumstances which should be considered in the group peer evaluation, If there are circumstances which should be considered in the group peer evaluation, write your comments on this page. Due to the potential for misrepresentation and lack write your comments on this page. Due to the potential for misrepresentation and lack of confidentiality, this form must be handed to me in person.of confidentiality, this form must be handed to me in person.

Group MemberGroup Member Point ScorePoint Score Designated GradeDesignated GradeDo not include yourself in this listDo not include yourself in this listExample:Example:Jane DoeJane Doe +0.5+0.5

Class Schedule: Life is uncertain, so is this schedule.Class Schedule: Life is uncertain, so is this schedule.Cases in bold print

Phase 1: “Service Operations Strategy”

9/69/6 Course introduction (optional textbook reading: Chapter 1)Course introduction (optional textbook reading: Chapter 1)

Different views of services (optional readings on e-reserve):Different views of services (optional readings on e-reserve):“Are Services Really Different?” (1992) Lovelock, pp. 1-8 in Lovelock (ed.) “Are Services Really Different?” (1992) Lovelock, pp. 1-8 in Lovelock (ed.) Managing Services.Managing Services.

“The Customer Contact Approach to Services: Theoretical Bases and Practical “The Customer Contact Approach to Services: Theoretical Bases and Practical Extensions” (1981) Chase, Extensions” (1981) Chase, Operations ResearchOperations Research, 29(4)., 29(4).

“The Four Service Marketing Myths” (2004) Vargo and Lusch, Journal of Service Rearch, 324-335.

What should services do? “Production-Line Approach to Service” (1972), Levitt, “Production-Line Approach to Service” (1972), Levitt, Harvard Business ReviewHarvard Business Review, , Sep-Oct.Sep-Oct.

“How Can Service Businesses Survive and Prosper?” Schmenner, pp. 31-43 in “How Can Service Businesses Survive and Prosper?” Schmenner, pp. 31-43 in Lovelock (1992), Lovelock (1992), Managing ServicesManaging Services

9/89/8 Decoupling Services (reading: Chapter 7 of textbook) Decoupling Services (reading: Chapter 7 of textbook)

9/139/13 Outsourcing and Offshoring (Reading handed out 9/7. Caselette at the end of Outsourcing and Offshoring (Reading handed out 9/7. Caselette at the end of the reading.)the reading.)

9/159/15 Quality: The Gurus speak – the views of Deming, Juran, and Crosby Quality: The Gurus speak – the views of Deming, Juran, and Crosby

9/209/20 Offshoring Guest speakers: Offshoring Guest speakers: Jim Stachura, Director of Research and Analytics, Aelera Corp. Jim Stachura, Director of Research and Analytics, Aelera Corp. Dustin Crane, CEO, Aelera Corp.Dustin Crane, CEO, Aelera Corp.

9/229/22 Six-Sigma Quality Tools: Guest speaker, Steve WaltonSix-Sigma Quality Tools: Guest speaker, Steve Walton(reading to be handed out 9/16)(reading to be handed out 9/16)

Phase 4 (the pre-quel): “Putting science into ‘gut feel’”

9/279/27 Waiting LinesWaiting Lines

9/299/29 Waiting Lines part DeauxWaiting Lines part Deaux

10/410/4 Global Financial Corp. Global Financial Corp. (Group case write-up)(Group case write-up)

Phase 2: “Managing Experiences”

(reading: Chapter 6 of textbook)(reading: Chapter 6 of textbook)

10/6 10/6 Shouldice HospitalShouldice Hospital (Minor group case write-up required) (Minor group case write-up required)

10/11 No class – Fall break10/11 No class – Fall break

10/13 10/13 PY and the DomePY and the Dome (case will be e-mailed) (case will be e-mailed)

10/1810/18 Guest speakers: Vega String Quartet and Will Ransom, Music DepartmentGuest speakers: Vega String Quartet and Will Ransom, Music DepartmentClass will be held at the Schwartz Performing Arts Center.Class will be held at the Schwartz Performing Arts Center.

10/2010/20 Atlanta Symphony Orchestra (minor group case write-up required) Atlanta Symphony Orchestra (minor group case write-up required) Guest: John Sparrow, Vice President and General Manager, Guest: John Sparrow, Vice President and General Manager, Atlanta Symphony OrchestraAtlanta Symphony OrchestraVisit to ASO: Date TBDVisit to ASO: Date TBD

Phase 3: “Capacity Management (Revenue Management)”Phase 3: “Capacity Management (Revenue Management)”

10/2510/25 Capacity management lecture Capacity management lecture required reading: Chapter 2 “capacity strategies”, pages 17-19, and Chapter 9.required reading: Chapter 2 “capacity strategies”, pages 17-19, and Chapter 9.Optional reading on e-reserve:Optional reading on e-reserve:“Yield Management at American Airlines” (1992), Smith, Leimkuller, and Darrow,“Yield Management at American Airlines” (1992), Smith, Leimkuller, and Darrow, Interfaces,Interfaces, 22(1), pp.8-31. 22(1), pp.8-31.“Hold My Place, Please” (1995), Harris and Peacock, “Hold My Place, Please” (1995), Harris and Peacock, Marketing ManagementMarketing Management, , 4(2), pp. 34-46.4(2), pp. 34-46.

10/27 10/27 Capacity management lectureCapacity management lecture

11/111/1 Yield Management at MotherLand AirYield Management at MotherLand Air (in-class group game, no write-up (in-class group game, no write-up required. Prize for winning team. Game is on pages 175-178 of the textbook. required. Prize for winning team. Game is on pages 175-178 of the textbook. Data is on student CD.)Data is on student CD.)

11/311/3 The Parker House: Sales and Reservations PlanningThe Parker House: Sales and Reservations Planning (Group case write-up (Group case write-uprequired)required)

Phase 4: “Putting science into ‘gut feel’”

11/811/8 Site selection (reading: Chapter 14. Skip pages 304, 306-307)Site selection (reading: Chapter 14. Skip pages 304, 306-307)

11/1011/10 Site selection – againSite selection – again

11/1511/15 La Quinta HotelsLa Quinta Hotels (Pages 311-317 of textbook. Group case write-up required) (Pages 311-317 of textbook. Group case write-up required)

11/1711/17 Multiple Site Performance Evaluation (reading: Chapter 15)Multiple Site Performance Evaluation (reading: Chapter 15)

11/2211/22 Branch Performance at Nashville National Bank Branch Performance at Nashville National Bank (Pages 332-337 of textbook. PASS/FAIL group case write-up) (Pages 332-337 of textbook. PASS/FAIL group case write-up)

11/24 Thanksgiving holiday11/24 Thanksgiving holiday

11/2911/29 Scoring systems (reading: Chapter 16 of textbook)Scoring systems (reading: Chapter 16 of textbook)Optional reading on e-reserve:Optional reading on e-reserve:“Managing Consumer Credit Delinquency in the US Economy: A Multi-Billion “Managing Consumer Credit Delinquency in the US Economy: A Multi-Billion Dollar Management Science Application,” (1992) Makuch, Dodge, Ecker, Dollar Management Science Application,” (1992) Makuch, Dodge, Ecker, Granfors, and Hahn, Granfors, and Hahn, InterfacesInterfaces, 22(1), pp. 90-109., 22(1), pp. 90-109.“Database Marketing Increases Prospecting Effectiveness at Merrill Lynch,” “Database Marketing Increases Prospecting Effectiveness at Merrill Lynch,” (1994) Labe, (1994) Labe, InterfacesInterfaces, 24(5), pp. 1-12., 24(5), pp. 1-12.

12/112/1 MBA Savings & Loan MBA Savings & Loan (Pages 351-355 of textbook. (Pages 351-355 of textbook. PASS/FAIL group case write-up)PASS/FAIL group case write-up)

Final examFinal exam

Lead Week: Offshoring and Outsourcing

Instructor: Rich MettersOffice 415Telephone: 404.727.7089

Course ObjectivesThis course concerns two related, but distinct business practices: Offshoring and outsourcing. There is a considerable amount of misinformation, confusion, and apprehension regarding offshoring and outsourcing. In the most recent presidential campaign these terms were used, and misused, frequently. They remain emotional hot-buttons for many.

The learning objectives of this course are - to separate the facts from the hype,- to identify current practice,- to determine best practice, - to develop appropriate models of strategic fit, and- to explore ethical and public policy issues.

Class Schedule: Monday, January 23: Underpinning Theory of Outsourcing/OffshoringManufacturing:

Strategic Contingency viewpointProduct-Process Matrix

Services:Customer Contact modelServices De-coupling model

Tuesday, January 24: Choice Complexities, Models of Offshoring/OutsourcingManufacturing:

Required reading: “Emerson Electric” case studyQuestions to consider: 1. What are the sources of risk to ACP in each of the alternatives?2. An Excel file (sent to the course conference) calculates the landed total costs

of each alternative (rather than typing in the excruciatingly complex exhibits). There are some costs that “total landed cost” does not count, such as tooling and expenses related to auditing foreign operations that should also be considered. Determine the best choice from a cost basis.

3. Where should the fan subpack be sourced?

Services: Which services are offshored/outsourced,Extent of the market,History of offshoring,

Risks of offshoring.

Wednesday, January 25: Ethics, Governmental Policy, The Western BacklashManufacturing:

Required reading: “International Sourcing in Athletic Footwear: Nike and Reebok” case study

Questions to consider:1. Evaluate Nike’s “Memo of Understanding” (ex. 6) and

Reebok’s “Human Rights Production Standards” (ex. 7). Which do you favor?

2. Phil Knight replies that Nike is not “gouging” by pointing to operating profits that are in line with the industry. Assess his argument.

3. Does shifting production between countries, such as from S. Korea to Indonesia, raise any ethical concerns?

4. What responsibilities does a multinational corporation have regarding labor, environmental, and other standards in foreign countries? How does outsourcing change that responsibility?

Services: Introduction to cultural issues,Governmental response to offshoring,“Homeshoring” movement.

Thursday, January 26: (Outsourced) Cultural Issues

Required reading: “Femininity and Flexible Labor” by Carla Freeman Guest speaker: Carla Freeman, Professor, Women’s Studies and Anthropology, Emory University.

It is often noted that a process cannot simply be moved from the U.S. to another country as is. Professor Freeman will identify why. Professor Freeman is the author of High Tech and High Heels in the Global Economy, a book about the offshoring of back-office service work. As part of her research program, she spent three years on site in an offshored back-office service firm in Barbados.

Friday, January 27: (Outsourced) Implementing an Offshoring Agreement

Guest speaker: Nitin Kapila, President, GRM Group (Global Resource Management)

GRM Group (www.grmgroup.netwww.grmgroup.net) facilitates relationships between U.S. firms and, largely, Indian firms. They specialize in Business Process Outsourcing of services and service components of manufacturing firms, such as Human Resources, Finance, etc.

Management 557P: Management Science in Spreadsheets

Instructor: Rich MettersTelephone: 404.727.7089

Course TextbookPractical Management Science, 2nd ed., by Winston and Albright, 2001.

Course ObjectivesThis course demonstrates two quantitative tools that have wide applicability in business practice: linear programming and simulation. The focus is on linear programming. These tools are used in every functional area in a significant majority of large firms.

The objective is not to create expert mathematicians. The theoretical underpinnings of these techniques will be discussed only as needed. Rather, the emphasis is on assessing the applicability of these techniques in practical situations.

WARNING: the course objective is NOT to make you “handier” at Excel. Although you will become more familiar with the capabilities of spreadsheet software packages and we will be performing virtually all classwork in Excel, the course is not designed to assist in becoming an Excel expert.

Course MethodsThe work in this course will largely consist of structuring managerial problems mathematically in spreadsheets. Consequently, class time is expected to focus on utilizing spreadsheets.

GradingProposed: 60% exam, 40% class leadership. Exact grading scheme to be decided in class.

Class Schedule: This schedule is subject to change

Understanding the Basics of Linear Programming8/9 Course Introduction (ch 1 - optional)

The Basics of Modelling Business Decisions as Linear Programs (ch 3-3.3, 3.5, 3.7, pp. 67-77, 82-85, 90-95)

Accounting/Finance/Operations: cost accounting and production planning

Operations: the diet problem (p.67-68)

Linear Programming in Pictures: Graphical/Sensitivity Analysis(ch 3.4, 3.6, pp. 78-83, 86,87)

Economics/Finance/Cost Accounting: calculating marginal costs/revenues and transfer prices

Operations: Blending problems (ch 4.5. pp. 137-142)

Multiple objective functionsFinance: Asset allocation (p.145 question 28)

SolverTable (p. 78)

Modelling Business Decisions with Linear Programming8/11 Operations/HR: Workforce Scheduling (ch 4.2 pp. 113-118)

Finance: “Blending” a portfolio: Bond selection (p.143, question 25)

Sequential Decision Making (ch 4.3)Operations: Aggregate planning (pp. 120-129)Finance: Short-term cash flow planning (ch 4.7, pp.154-159)

Non-linear objective functions (non-constant returns to scale): Piece-wise approximation

Marketing: Media selection

8/13 LP with no objective function Finance: Arbitrage (case 4.2, p.189)Non-profit pricingOperations: Finding feasible schedules

LP Under UncertaintyFinance: Cash flows with inaccurate forecastsOperations: Production planning with inaccurate forecasts

8/16 Data Envelopment Analysis (ch 4.8, pp. 162-168)Case study: DEA At Nashville National Bank (to be e-mailed)

Environmental LP: Armco

8/18 Guest Speaker: Gene Ramsay, Profit Point, Inc. (expected class ending time: 8:30

8/20 Integer ProgrammingFinance: Capital budgeting (ch 6.3, pp. 278-284)Operations: Facility location (ch 5.2, 6.6, 6.7, pp. 193, 306-316)

8/23 Simulation Inventory and Financial problems (ch 12.2-12.3)Queueing (ch 14)

8/25 Environmental LP: Armco

8/27 Exam