MATS30122 Production Management

Lecture 1
Introduction and Unit Overview
31 January 2012

Preliminary Remarks
Unit Handbook
Available on Blackboard
Read it: you risk losing marks if you do not!

Unit is Interactive!
Expect to participate in sessions!

Learning Outcomes
Identify the unit tutors and their roles
Describe the forms of formative and summative
assessment for this unit
Outline the unit aims and structure
Distinguish production and operations
Define production management
Outline the Textiles-Apparel Pipeline
Motivate production management from a
financial perspective

Personnel
Iain Duncan Stalker
Unit Coordinator
Lectures and Seminars
Room C51a (Sackville Street)
Iain.Stalker@manchester.ac.uk

Rink Desai
Unit Tutor
Lectures and Seminars
Room C51b (Sackville Street)
Rinkal.Desai@manchester.ac.uk

Unit Aims
Promote an in-depth, critical understanding of the role of
production and operations management (POM) in creating
products and services of value, particularly in textiles and
related industries
Examine the strategic impact of POM and assess how the
POM contribution can systematically drive competitive
advantage
Provide an opportunity to explore and interrelate a range
of strategic, tactical and operational issues associated with
contemporary POM, including inter alia facilities location,
environmental issues, corporate social responsibility,
quality, output planning, inventory control, and scheduling

Learning Outcomes

Formative Assessment
Homework
Seminar preparation

Blackboard
Short quizzes

Summative ICA will play a formative role

Summative Assessment
In-course Component (50%)
Management Case Book
Three assessed parts
Some group work (30%)

End Examination (2 hours) (50%)

Two parts
Part A: Case Study
Part B: two questions from a choice of four

Assessment Regime

Unit Structure
Lectures Tuesday 10am (Reno/C02)
Slides will be made available on Blackboard before each
lecture

Seminars According to Programme

Seminar A: FTR (Tuesdays 11am; Reno/C02)

Seminar B: DMFR/TDDM (Tuesdays 12noon; Reno C02)
Seminar C: MMT (Tuesdays 2pm; Reno/G1)
Seminar D: TST/TT(BM) (Mondays 11am; Reno/F06)

Blackboard
Learning materials
Discussion boards

(Initial) Delivery Schedule

Participation
Formal sessions
Engage with the learning materials
Join in discussions
Ask questions
Blackboard
Discussion boards

Feedback
Question
What constitutes feedback?

Feedback
To You
On every piece of work that
you submit
Some automatic, through Bb,
e.g. multiple choice
Some generic: comments on
the group as a whole
Some specific: individual

During sessions and on Bb:

On questions, answers, etc.
Informal comments

You can always seek further

details, clarification, etc.

From You
On everything (almost)
End of unit evaluation
During the unit
You are invited to give
(constructive) feedback as
you feel appropriate
We will ask at various stages

In person, in group sessions,

by email, etc.

Recommend Reading
Unit Textbook
Slack et al (2010) Operations Management (6th
Edition) [available online through library website]
Additional Reading
Jones (2006), The Apparel Industry (2nd Edition)
Daft et al (2010) Management
A good quality broadsheet; Financial Times
Trade Publications and Journals
Consult Reading Lists

What is Production?
Working Definition
The coordination and application of resources to
create artefacts or services (or both*) of value

*Known

as a product-service bundle

Product vs. Service

Artefact/Product
Tangible
Storable (often)
Owned by consumer
Examples
Steel
Hand tool
...

Service
Intangible
Transient
Consumer participation
Examples
Haircut
Personal Training
...

NB There are very few pure

products or services

Process Perspective
More like a
manufacturing
process

Physical, durable output

Output can be inventoried
Low customer contact
Long response time
Capital intensive
Quality easily measured

More like a
service
process

Intangible, perishable output

Output cannot be inventoried
High customer contact
Short response time
Labour intensive
Quality not easily measured

Product or Service?
Car Service
Higher
Education

Dental Care

Laptop
Off-the-peg
Clothing

A pint of
beer

Jet Engine

Bespoke
Suit

Of Value?

Production vs. Operations

Production
The coordination and application of resources to
create artefacts or services of value
Operations
The fulfilment of customer requests through the
production and delivery of artefacts or services
- paraphrasing Slack et al (2010)

Production Management
Production Management
The activity of managing the resources that
create products or services of value
Operations Management
The activity of managing the resources which
produce and deliver products and services.
Slack et al (2010, p.4)

Production Management Process

Design

Improve

Plan and
Control

Production Management Activities

Production planning and control

Inventory management
Plant layout and flow
Process design
Product design
Quality control
Maintenance management
Location of facilities
Operational Strategy

Why Manage Production?

Meet Demands
Improve Productivity
More efficient use of resources

Improve Quality
...
Maximise ROI
Return on Working Capital
The name of the game in business is
Return on Investment

Cash Conversion Cycle

Debtors

Cash

Stock

Materials

WIP
We will look at the
Working Capital Cycle

Making Links: Marketing

What is the production concept?
Availability and affordability

What is the selling concept?

Advertising push

What is the marketing concept?

Satisfy customer needs
How might subscribing to each of these
concepts impact on production?
How relevant/important are these to current
textile production?

Traditional Textile-Apparel Pipeline

Four Groups Approach

Current Trends

SAMITE Framework
Stalker, Desai and Studd (2011)

Physiology
Process (T)

Construction

Market

Context
Intention

Composition
Technique

Product

Value
Proposition
Service

Process (B)

Organisation
Infrastructure

Brand Value

Company ID
Designer

Material

Shape

Psychology

Values

Customer ID
Locus
Expression

Revenue

Finance
Cost Structure

Product/Service ID
Character

In Conclusion
Identify the unit tutors and their roles
Describe the forms of formative and summative
assessment for this unit
Outline the unit aims and structure
Distinguish production and operations
Define production management
Outline the Textiles-Apparel Pipeline
Motivate production management from a
financial perspective