Operations Management Textbooks Research Articles

Teaching Spreadsheet‐Based Analysis of Multisource Continuous Facility Location Problems

AbstractThe center‐of‐gravity, Weber, and rectilinear minisum problems are common exemplars in single‐facility (single‐source) continuous location theory and the first of these is covered in many operations management (OM) textbooks. Extensions to multiple‐facility (or multisource) continuous location problems are seldom covered in OM textbooks. I have developed an Excel workbook for analyzing multisource extensions of each of the three single‐source location problems. The workbook can be used in OM courses for several purposes, which include: (i) illustrating the basic principles of single‐source continuous location theory, (ii) highlighting solution differences that might result from different assumptions concerning distance measurement, and, most importantly, (iii) demonstrating the more complex multisource continuous location problems that require positioning of multiple‐source facilities and the assignment of demand sites to those facilities.

Determining Process Capacity: Intractability and Efficient Special Cases

Most operations management textbooks use the following simple approximation to illustrate the computation of the capacity of a process: the capacity of each resource is first calculated by examining that resource in isolation; process capacity is then defined as the smallest among the capacities of the resources, that is, bottleneck capacity. In a recent paper, Gurvich and Van Mieghem [Gurvich I, Van Mieghem JA (2015) Collaboration and multitasking in networks: Architectures, bottlenecks, and capacity. Manufacturing Service Oper. Management 17(1):16–33.] show that, in the presence of collaboration and multitasking, this “bottleneck formula” can be significantly inaccurate, and they obtain a necessary and sufficient condition under which it correctly determines process capacity. We provide further clarity on determining process capacity by showing that it is hard to compute process capacity exactly and also to approximate it to within a reasonable factor. These results are based on a novel characterization, which we establish, of process capacity that relates it to the fractional chromatic number of the associated “collaboration graph.” An important implication is that it is unlikely that we can replace the bottleneck formula with a simple but close approximation of process capacity. On the positive side, we show that capacity can be efficiently computed for processes for which the collaboration graph is a perfect graph. From a practical viewpoint, our analysis for general processes results in a natural hierarchy of subclasses of policies that require an increasing amount of sophistication in implementation and management: while process capacity is the maximum long-term process rate achievable over all feasible policies, we provide a precise expression for the maximum process rate over policies in each subclass of this hierarchy, thus highlighting the trade-off between operational difficulty and the achievable process rate. The online appendix is available at https://doi.org/10.1287/msom.2017.0689 .

The Treatment Of Six Sigma In Leading Operations Management Textbooks

This paper critically examines the treatment of the statistical basis for Six Sigma and process capability in popular operations management textbooks. It discuss areas of confusion and suggest ways of treating the topic that make sense to instructors as well as students. Even though Six Sigma was introduced almost 30 years ago, misconceptions persist. In the textbooks we have found no consistency of approach or understanding of the statistical underpinnings (3.4 defects per million opportunities) of Six Sigma. Sometimes statements are made that are factually incorrect and cause frustration for students and instructors. Similar difficulties are encountered in discussions of the related concept of process capability. The paper suggests changes that will help resolve these issues and bring much-needed clarity to discussions of these important ideas. Students will find the material much more accessible and instructors will find it much easier to convey the concepts underlying this important topic.

Determining The Optimal Values Of Exponential Smoothing Constants – Does Solver Really Work?

A key issue in exponential smoothing is the choice of the values of the smoothing constants used. One approach that is becoming increasingly popular in introductory management science and operations management textbooks is the use of Solver, an Excel-based non-linear optimizer, to identify values of the smoothing constants that minimize a measure of forecast error like Mean Absolute Deviation (MAD) or Mean Squared Error (MSE). We point out some difficulties with this approach and suggest an easy fix. We examine the impact of initial forecasts on the smoothing constants and the idea of optimizing the initial forecast along with the smoothing constants. We make recommendations on the use of Solver in the context of the teaching of forecasting and suggest that there is a better method than Solver to identify the appropriate smoothing constants.

Introducing B2B Service Level Measures via a Poker‐Card Activity

ABSTRACTTo determine the appropriate level of product availability, most operations management textbooks introduce and define service level measures in a Business‐to‐Customer context. In other words, a retailer that wants to measure product availability in their store calculates the fill rate (FR) or cycle service level over an infinite review horizon. However, in a Business‐to‐Business (B2B) context, a retailer almost always calculates the FR or compliance level over a finite review horizon. The goal of this article is to highlight calculations of service level measures in a B2B context. Pedagogically, it presents in‐class activities that use standard playing cards and/or a spreadsheet simulation that allow students to experientially learn about service level measures in a B2B context.

Determining The Optimal Values Of Exponential Smoothing Constants Does Solver Really Work?

A key issue in exponential smoothing is the choice of the values of the smoothing constants used.One approach that is becoming increasingly popular in introductory management science and operations management textbooks is the use of Solver, an Excel-based non-linear optimizer, to identify values of the smoothing constants that minimize a measure of forecast error like Mean Absolute Deviation (MAD) or Mean Squared Error (MSE).We point out some difficulties with this approach and suggest an easy fix. We examine the impact of initial forecasts on the smoothing constants and the idea of optimizing the initial forecast along with the smoothing constants.We make recommendations on the use of Solver in the context of the teaching of forecasting and suggest that there is a better method than Solver to identify the appropriate smoothing constants.

Teaching Note—Implementing Line Balancing Heuristics in Spreadsheets

Two previous papers in INFORMS Transactions on Education demonstrated an innovative Excel array formula approach that can be used for the handling of precedences in project management and assembly line balancing models. In this paper I combine the array formula approach with a clever but simple precedence coding system to present an efficient spreadsheet for performing assembly line balancing using the heuristic method that is common in operations management textbooks. In addition, I demonstrate to students a perturbation method to handle ties in algorithms in Excel and also demonstrate the application of Excel's Scenario Manager to line balancing.

Integrating sustainable development into operations management courses

PurposeIt is widely acknowledged that aspects of sustainable development (SD) should be integrated into higher level operations management (OM) education. The aim of the paper is to outline the experiences gained at Chalmers University of Technology in Sweden from integrating aspects of SD into OM courses.Design/methodology/approachThe paper is based on the authors' experiences from teaching at Chalmers University of Technology, and the integration of SD into OM courses. The paper thus relies on an action research approach, similar in many ways to other papers in the field.FindingsThe paper outlines several similarities between the fields of SD and OM. Although the results show that several challenges must be overcome when integrating the fields in courses. The challenges – that are scrutinized through the use of existing literature – relate to the scope differences between the fields, lack of SD aspects in OM text books, and misfit between needs and teacher competence, support, and course structures.Originality/valueThe paper adds understanding by specifically addressing the integration of SD into OM courses. Universities and teachers within the field can consider the challenges outlined when integrating the two fields in courses.

Case Study: Eco-Jet Airlines

Typical student learning objectives in an Operations Management course are to demonstrate comprehensive knowledge of the concepts and to use technology for solving frequently occurring problems. Eco-Jet Airlines case has been designed to be used as an assessment tool by the instructor, teaching a senior level undergraduate or a first level graduate course. It starts with an interesting story line and presents the tasks to the student in an interview format. Several small projects typically appearing in a business environment are assigned to the student during the discussion. To complete the case study successfully, the students must use analytical techniques and the software included with popular Operations Management textbooks. Finally, students are asked to prepare an internal memo with specific deliverables.

Applying the Collective Causal Mapping Methodology to Operations Management Curriculum Development*

ABSTRACTAlthough the field of operations management has come a long way since its beginnings in scientific management, the field still appears somewhat amorphous and unstructured to many. Introductory operations management textbooks usually include a number of largely disjointed topics, which leave many students (and their instructors) without a coherent framework for understanding the field. As a result, the importance and sequencing of topics varies widely between courses and instructors, even within the same university. This article applies the newly developed Collective Causal Mapping Methodology to create a causal map for the entire field of operations management. The causal map is built on expert opinions collected from over 250 academics and practitioners representing many areas of expertise, schools, organizations, and countries. This collective causal map is then used to create a new framework for understanding and teaching operations management. This framework can aid instructors in determining which topics should be taught in an operations management course, how these topics might be grouped and sequenced, and the important interrelationships among the topics that should be stressed to students.

Inventory control systems: theory and practice

The paper reviews the general methodology for the design of inventory control systems as advocated in typical operations management textbooks. Surprisingly, some of the broad directives are quite confusing and the underlying logic of these directives is inconsistent. Several published cases are analysed to try and clarify the current situation. The exercise reveals the source of the problem. By and large, stock control theory focuses on the activities of the purchasing company. Therefore, it glosses over the potential impact of different ordering policies upon the warehouse and transport operations taking place at the suppliers' end. These twin activities benefit from stable resource(s) planning, which are linked to regular delivery schedules along predetermined vehicle routes. However, much depends on the strength of the relevant customer-supplier relationship.

A Note on the Treatment of the Center‐of‐Gravity Method in Operations Management Textbooks

A Note on the Treatment of the Center‐of‐Gravity Method in Operations Management Textbooks

The treatment of quality in US production and operations management textbooks

In the decade since Tillery, Rutledge and Inman reviewed the treatment of quality management in leading US production and operations management (P/OM) textbooks, attention to quality, once the watchword and driving force in world business, has faded in both the practitioner and popular press. The ultimate purpose of the present research was to establish the progress, current status, and relevancy of the treatment of quality in current US P/OM textbooks, which remain the principal source of quality information in the undergraduate P/OM core course, preparing most future US managers as well as many international managers of tomorrow. Results of the present study indicate that over the last decade US P/OM textbooks have begun to reflect a more proactive and less reactive approach to quality management. However, results also indicate that current US P/OM textbooks lack relevancy of their quality content to practitioner needs, treat TQM and other holistic approaches to quality management superficially, and have little consistency concerning quality emphases.

A NEW PARADIGM FOR TEACHING INTRODUCTORY PRODUCTION/OPERATIONS MANAGEMENT

This paper postulates that the perception among students that operations management is a tedious, irrelevant subject is a symptom of the lack of a conceptual framework that effectively communicates the importance and relevance of the operations function in a firm. The first half of this paper discusses traditional frameworks, those most frequently found in introductory production and operations management (pom) textbooks, and several alternative approaches to teaching an introductory POM course. The discussion questions whether any of these existing frameworks is sufficient to meet the challenges faced while teaching POM in today's environment and identifies what characteristics an effective framework should possess. These characteristics include defining the scope and bounds of the field, capturing its integrative and system aspects, providing a visible depiction of the framework to aid comprehension, and promoting higher‐level thinking (i.e., analysis, synthesis, and criticism) to deepen understanding. This discussion concludes that no current framework meets all of these criteria, therefore there remains a need for a more effective approach for introducing POM. The remainder of the paper describes one approach to conceptualizing the field that satisfies these criteria.

Expressions for item fill rates in periodic inventory systems

We examine the problem of estimating the item fill rate in a periodic inventory system. We show that the traditional expressions for line item fill rate, found in many operations management textbooks, perform well for high fill rates (above 90%), but they consistently underestimate the true fill rate. The problem of underestimation becomes significant as the fill rate falls below 90% and is greatly amplified in cases with very low fill rates (below 50%). We review other more accurate expressions for fill rate, discussing their relative merits. We then develop an exact fill rate expression that is robust for both high and low fill rates. We compare the new expression to others found in the literature via an extensive set of simulation experiments using data that reflect actual inventory systems found at Hewlett-Packard. We also examine the robustness of the expressions to violations in the underlying assumptions. Finally, we develop an alternative fill rate expression that is robust for cases of high demand variability where product returns are allowed. © 1995 John Wiley & Sons, Inc.

Assessing Textbook Coverage of Quality Topics in Business Education

Abstract Textbooks in introductory statistics and production operations management during three time periods (1982, 1985–1988, and 1989–1992) were examined for their coverage of topics relevant to total quality management (TQM). Business statistics textbooks during the first two periods provided little coverage of quality, but there was a sharp improvement in the most recent period. Production and operations management textbooks contain much stronger coverage than statistics textbooks. Textbook publishers are addressing the growing importance of TQM, but textbooks tell only part of the story. This article identifies factors that may influence classroom coverage of TQM, suggests ways to strengthen teaching of TQM, and proposes future directions for research.

The Readability of Operations Research and Operations Management Textbooks

An important concern to any educator in the Decision Sciences field is the improvement of the teaching of his courses. One factor influencing the effectiveness of the learning process is the textbook chosen and its ability to convey to the student the principles of the subject. The purpose of this paper is to present a survey of the readability of Operations Research and Operations Management books currently widely used at universities throughout the country. The Flesch Reading Ease Score is employed to rank tests based on their authors' writing style. It is suggested that the readability index be considered as one factor in the textbook selection process.