CABM Module 200 – Operations Management
200.1 Operations Strategies
200.1.1 Discuss the primary objectives of operations management and supply chain strategy
200.1.2 Discuss the major types of decision variables in operations and supply chain, such as customer value, performance dimensions, strategic alignment, and core competencies
200.2 Just-in-Time and Lean Operations
200.2.1 Define the lean philosophy of just-in-time (JIT) production, the kanban production techniques, waste, and inventory, including lean six-sigma
200.2.2 Describe the kanban systems to control production and inventory levels
200.3 Demand Forecasting
200.3.1 Define a forecast with its types and laws of forecasting
200.3.2 Discuss both quantitative and qualitative forecasting methods
200.4 Product, Service, and Process Design
200.4.1 Distinguish between product design and product development process and explain the major reasons for developing new products and services. Describe the major dimensions of product design, such as repeatability, testability, serviceability, product volumes, product costs, and match between the design and existing capabilities
200.4.2 Describe the major phases of product and service development, such as concept development, planning, design and development, commercial preparation, and launch. Define the organizational roles in the product and service development process.
200.4.3 Describe some of the more common approaches to improving product and service design, such as DMADV, QFD, CAD/CAM, DFM, DFMt, DFSS, DFE, target costing, and value analysis
200.5 Supply Chain Management
200.5.1 Define supply chain management with its physical, information, and monetary flows. Describe supply chain operations reference (SCOR) model with standard processes, relationships, and metrics.
200.5.2 Describe the major decisions and activities in operations and supply chain functions
200.6 Sales and Operations Planning
200.6.1 Describe the role of sales and operations planning (S&OP) in a manufacturing firm’s planning cycle, including its approaches such as top-down and bottom-up planning; level, chase, and mixed production plans; and cash flow analysis
200.6.2 Lean how to organize and implement the S&OP in a manufacturing and service firm. Describe yield management and link the S&OP throughout the service supply chain.
200.7 Capacity Management
200.7.1 Define capacity and learn how to measure the theoretical and rated capacity after considering the factors that affect capacity. Understand the common strategies for timing of capacity expansions, such as lead, lag, and match strategy
200.7.2 Learn how to evaluate capacity alternatives by considering the cost and demand factors and by applying the decision trees and breakeven analysis techniques
200.7.3 Learn the advanced perspectives on capacity by applying the Theory of Constraints, waiting line theory, and learning curves
200.8 Inventory Management
200.8.1 Describe the various roles of inventory, including the different types of inventory and inventory drivers. Distinguish between independent demand inventory and dependent demand inventory.
200.8.2 Describe the periodic review system, continuous review system, and single-period inventory system
200.8.3 Describe the bullwhip effect, inventory positioning issues, and the impact of transportation, packaging, and material handling considerations on inventory decisions
200.9 Materials Management
200.9.1 Explain the linkage between sales and operations planning (S&OP) and master scheduling
200.9.2 Explain the linkage between master scheduling and material requirements planning (MRP)
200.9.3 Explain the linkage between MRP and production activity control (PAC) and vendor order management systems and understand job sequencing rules and critical ratio
200.9.4 Explain how distribution requirements planning (DRP) helps synchronize supply chain partners at the master scheduling level
200.10 Purchasing and Procurement Management
200.10.1 Understand why purchasing is critical, including its financial and performance impacts
200.10.2 Describe the various steps of the purchasing process, including needs identification, item description, supplier selection and contracting, ordering, receiving, and payment. Explain the concepts such as spend analysis and purchase consolidation
200.11 Logistics Management
200.11.1 Define logistics management and discuss its impact on cost, flexibility, and delivery performance factors. Discuss the logistics decision areas such as identifying and selecting transportation modes, warehousing, material handling and packaging, and inventory management.
200.11.2 Discuss the purpose of a logistics strategy with different transportation and warehousing options. Learn how to measure logistics performance including landed costs. Define reverse logistics systems with their unique challenges.
200.12 Insourcing and Outsourcing
200.12.1 Understand the sourcing decisions regarding products and services and discuss the advantages and disadvantages of insourcing and outsourcing options. Learn how to perform a total cost analysis by identifying all costs associated with various sourcing options.
200.12.2 Discuss various sourcing strategies using sourcing portfolio analysis and explain single or multiple sourcing, cross sourcing, and dual sourcing. Learn how to evaluate suppliers using the weighted-point evaluation system.
200.12.3 Identify the trends in supply management including supply base reduction, global sourcing, and supply chain disruptions.
200.13 Service and Retail Operations
200.13.1 Define value and discuss a model of service value. Formulate a competitive service strategy. Discuss the primary characteristics of services, such as intangibility, inseparability, perishability, and variability.
200.13.2 Define retailing, consider it from various perspectives, demonstrate its impact, and note its special characteristics. Explain the concept of retail strategic planning. Discuss the retailing concept, total retail experience, customer service, and relationship retailing.
200.13.3 Define customer value and retail value chain. Discuss the retailer relationships with customers and channel partners. Examine the differences in relationship building between goods and service retailers.
200.13.4 Discuss the impact of technology on relationships in retailing. Understand the interplay between retailers’ ethical performance and relationships in retailing.