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Advanced Diploma in

Procurement and Supply


Module (L5M9)
Operations Management

Leading global excellence in procurement and supply


Learning outcomes

Further reading

Session introduction

Activities

Case study, questions, etc

Session summary

CIPS Global Standard for Procurement and


Supply
Segments: 4.2, 4.3, 4.4

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Leading global excellence in procurement and supply


Module Content Overview
This is an elective module in the Advanced Diploma.

Module purpose: On completion of this module, learners will be able to understand the concepts of
operations management that link to the efficiency and effectiveness of the supply chain and explain plans,
designs, processes and systems for the improved control or improvement of supply chain operations.

Module aim: In order to ensure success an organisation must create and adopt processes that ensure the
consistent production of products and/or services that meet customer demand, both in terms of quantity and
quality. This is the responsibility of those who manage the supply chain operations function. This module is
designed to enable those involved in procurement and supply to assess techniques that are aimed at
improving supply chain operations to the overall benefit of the organisation.

Final overall knowledge and skills: the holder of the Advanced Diploma will demonstrate:

Knowledge Descriptor (the holder….) Skills Descriptor (the holder will….)


Has practical, theoretical or technological Determine, adapt and use appropriate methods,
knowledge and understanding of a subject or cognitive and practical skills to address broadly
field of work to find ways forward in broadly defined, complex problems.
defined, complex contexts Use relevant research or development to inform
actions
Can analyse, interpret and evaluate relevant
information, concepts and ideas Evaluate actions, methods and results

Is aware of the nature and scope of the area of


study or work

Understands different perspectives, approaches


or schools of thought and the reasoning behind
them

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Leading global excellence in procurement and supply


Module Learning Time
In arriving at a final number of learning hours, CIPS applies the TQT Criteria1 (equal to 10 x credit value
rounded to nearest whole number) and split learning hours for each module into:

 Guided Learning Hours (GLH): which CIPS define as a measure of the amount of input time required
to achieve the qualification. This includes lectures, tutorials and practicals, as well as supervised study
in, for example, learning centres and workshops. GLH also includes the time required for learners to
complete external assessment under examination or supervised conditions.

 Self-Study Requirement (SSR): which CIPS define as other required learning as directed by tutors will
include private study, preparation for assessment and undertaking assessment when not under
supervision, such as preparatory reading, revision and independent research and wider reading of the
subject areas.

For this module:

 6 Credits
 Module Learning Time = 60 hours
 GLH = 25 hours
 SSR = 35 hours
 Assessment = 1.5 hours

Assessment
 Objective Response Exam – 1.5 hours
 Pass mark – 70 %

1
Ofqual: Total Qualification Time criteria Condition E7 available at: https://www.gov.uk/government/publications/total-
qualification-time-criteria
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Leading global excellence in procurement and supply


Learning outcomes, assessment criteria and
indicative content
Learning outcomes help to define the scope, style and depth of learning within a module. Delivery
organisations, tutors and learners can see where development should be taking place and the areas and
disciplines that should be actively researched and/or reviewed during the associated study. The student will
be assessed against each learning outcome during the final assessment.

Assessment criteria are the key areas that will be assessed on the module. Learners and delivery
organisations and tutors should have these in mind during study and CIPS assessors will utilise them during
the final writing and marking of assessments.

Indicative content is an indication of the key areas that should be covered during the modular learning. This
should not be regarded as an exhaustive list and delivery organisations and tutors are encouraged to include
more content by way of regional cases and/or examples. Similarly, learners should not see this as a final
listing and should be encouraged to develop their knowledge through further reading around the indicative
areas of content.

Module Content Overview


Learning outcomes, assessment criteria and indicative content
1.0 Understand the concept and scope of operations management Session Chapter
1.1 Analyse the role and activities of operations management in organisations
 Definitions of operations and operations management 1 1
• The extent of operations management in organisations 2 1
• Operations management in different types of organisations 2 1
1.2 Critically assess the objectives and strategies of operations management
 From implementing to supporting to driving strategy 3 1
 The stages of development of operations strategy 3 1
 The performance objectives of operations management (quality, speed,
3 1
dependability, flexibility and cost)
 Top down and bottom up perspectives of operations strategy 3 1
 Order qualifying and order winning objectives of operations management 3 1
1.3 Evaluate operations management processes
 The ‘input-transformation-output' model of operations management 4 1
 The dimensions of operations processes (volume, variety, variation and
4 1
visibility)
 The activities of operations processes 4 1
1.4 Analyse the application of operations management across supply chains
 Operations management in manufacturing, services, retail, construction,
5 1
and public sector supply chains
 The impact of operations management on global sourcing 5 1
 Examples of operations management in different supply chains 5 1

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Leading global excellence in procurement and supply


Understand improvement methodologies that can be applied in operations
2.0 Session Chapter
management
2.1 Analyse tools for improving performance in operations management
 The use of performance measurement in operations management 6 2
 Setting performance targets 6 2
 Benchmarking in improving operations management 6 2
 Building continuous improvement 6 2
 The use of business process re-engineering 6 2
Explain techniques in failure prevention and recovery that can be applied in
2.2
operations management
 Measuring failure and the impact of failure 7 2
 Mechanisms to detect failure 7 2
 Failure mode and effect analysis 7 2
 Improving process reliability 7 2
 Maintenance and approaches to maintenance 7 2
 Failure distributions 7 2
 Business continuity 7 2
2.3 Evaluate the role of total quality management in operations management
 Approaches to total quality management 8 2
 The differences between total quality and quality assurance 8 2
 The work of pioneers of total quality management (such as Deming, Juran) 8 2
Analyse techniques for quality improvement that can be applied in
2.4
operations management
 Diagnosing quality problems 9 2
 The use of statistical process control 9 2
 Variation in process quality 9 2
 The Taguchi loss function 9 2
 Poka yoke 9 2
 The Six Sigma approach to quality improvement 9 2
Final module recap and discussion Session Chapter
10 1, 2

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Leading global excellence in procurement and supply


Advanced Diploma in Procurement and Supply
Module L5M9 – Operations Management

Session 1
Understand the concept and scope of operations Assessment Criteria
management 1.1

Understand the concept and scope of operations management


 Analyse the role and activities of operations management in organisations

CIPS Global Standard for Procurement and Supply

Segments: 4.2, 4.3, 4.4

Analyse the role and activities of operations management in organisations


 Operations management is the process of managing the resources that create and
deliver products and services including
o Procuring and transforming inputs into outputs for consumers
 Operations need to be effectively managed through
o Planning
o Organising
o Controlling
o Co-ordination

Analyse the role and activities of operations management in organisations:

Definitions of operations and operations management (cover each of the following using
examples to illustrate advantages and disadvantages and their typical uses – use locally
based examples wherever possible and where each would be typically used or appropriate
and their characteristics):
 The concept of operations
o Companies undertake a variety of activities to ensure that their
products/services are produced and distributed effectively and efficiently
o To provide the required products/services, several processes have to be
undertaken within an organisation
 The concept of operations management
o The process of managing the resources and processes involved in the
acquisition and transformation of inputs and the distribution of outputs
o Operations management involves
 Planning
 Organising
 Controlling
 Co-ordinating

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Leading global excellence in procurement and supply


oThe process of obtaining inputs, transforming inputs and distributing
outputs needs to be well managed to ensure
 Effectiveness
 Efficacy
 Efficiency
o Performance objectives of operations management (Slack and Brandon-
Jones, 2018)
 Quality
 Speed
 Dependability
 Flexibility
 Cost
o The operations manager
 Oversees the operations management function
 Their role is to guarantee that available resources are efficiently
used in order to create competitive advantages for the organisation
and keep customers satisfied
 Duties of the operations manager
 Strategic decisions
 Operations decisions
 Control decisions
 Other indirect activities
 Decisions
 10 key operational decision aspects
 Skills
 Leadership
 Conflict and negotiation
 Decision-making
 People management
 Data-handling
 Co-ordination and organising
 Dependability and adaptability
 Problem-solving
 Communication
 Planning
 Collaboration and team work
 Delegation
 Stress management
 Budgeting
 The relationship between the operations function and other functional areas
o Marketing/sales
 Key decision area
 Interaction with operations management
o Finance
 Key decision area
 Interaction with operations management

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Leading global excellence in procurement and supply


o Production
 Key decision area
 Interaction with operations management
o Human resource management
 Key decision area
 Interaction with operations management
o Information systems
 Key decision area
 Interaction with operations management
o Procurement
 Key decision area
 Interaction with operations management

See final case study for the module


 Use this to pull together all of the key elements discussed within sessions 1 to 9 of
this module, highlighting associated assessment criteria

Offer contextual case studies relevant to the region and industrial focus of the area
 Give students the opportunity to apply knowledge to areas of practical interest
relevant to their international region
 Help students to cement ideas and concepts through practical application of ideas,
theories and models

See short case studies within the associated Chapter of the CIPS Study Guide
 Use these to highlight key learning against assessment criteria

Student Exercises
 Use these to highlight key learning against associated learning outcomes for the
module

Students should leave this session with an overall understanding of the different roles and
activities involved in the operations management of organisations. The key concepts and
definitions should be understood and how operations management differs within
different types of organisations and sectors. Examples of different operations
management approaches should be explored so that the students can understand the
processes and approaches within their own and other organisations

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or transmitted in any form or by any means, in whole or in part, without the prior written permission of 8
CIPS.

Leading global excellence in procurement and supply


Advanced Diploma in Procurement and Supply
Module L5M9 – Operations Management

Session 2
Understand the concept and scope of operations Assessment Criteria
management 1.1

Understand the concept and scope of operations management


 Analyse the role and activities of operations management in organisations

CIPS Global Standard for Procurement and Supply

Segments: 4.2, 4.3, 4.4

Analyse the role and activities of operations management in organisations


 Operations management is the process of managing the resources that create and
deliver products and services including
o Procuring and transforming inputs into outputs for consumers
 Operations need to be effectively managed through
o Planning
o Organising
o Controlling
o Co-ordination

Analyse the role and activities of operations management in organisations:

The extent of operations management in organisations (cover each of the following using
examples to illustrate advantages and disadvantages and their typical uses – use locally
based examples wherever possible and where each would be typically used or appropriate
and their characteristics):
 10 key activities of operations management
o Product or service selection and design
o Process selection and planning
 Intermittent operations which may involve
 Labour intensive processes
 Manual processes
 Multi-skilled and flexible employees
 Use of general purpose equipment
 Production of products/services only in response to
customer orders
 Categories of intermittent operations
 Project processes
 Batch processes

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Leading global excellence in procurement and supply


 Continuous operations
 Categories of continuous processes
 Line processes
 Continuous processes
 The differences between intermittent and continuous operations
o Facility location
 Categories that may influence location decisions
 General location factors
o Controllable factors
o Uncontrollable factors
 Specific location factors
o Factors for manufacturing organisations
o Factors for service organisations
o Plant layout
 Examples of good layout
 4 basic types of layout
 Fixed-position layout
o Examples
o Limitations
 Functional (process or job-shop) layout
o Examples
o Advantages
o Disadvantages
 Cell layout
o Examples
o Advantages
 Product (line or flow) layout
o Examples
o Advantages
o Disadvantages
o Production planning and control
 Key activities
 Planning
 Routing
 Scheduling
 Dispatching
 Follow-up
o Quality control
 Example methods
 Total quality management (TQM)
 Six Sigma
 Just in time (JIT)
 Aims of quality control
o Materials management
 Aims of materials management

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Leading global excellence in procurement and supply


o Capacity planning and management
 Objectives
 3 stages
 Measuring and forecasting aggregate demand for a given
period
 Identifying different capacity plans required to meet
forecasted demand
 Identifying the most suitable capacity plan
o Inventory management
 Different types of inventory
 Raw materials
 Work-in-progress
 Finished products
 Transit inventory
 Buffer inventory
 Anticipation inventory
 Maintenance
 Aims of inventory management
o Maintenance and replacement
 Objectives
 Preventive maintenance
 Corrective maintenance
 Emergency maintenance

Operations management in different types of organisations (cover each of the following


using examples to illustrate advantages and disadvantages and their typical uses – use
locally based examples wherever possible and where each would be typically used or
appropriate and their characteristics):
 The operations function is more visible in some organisations than in others
o Manufacturing vs service sector
o Tangible vs intangible outputs
o Variation in goals
o Variation in size
 Public sector
o Production selection and design
o Process selection and planning
o Facility location
o Plant layout
o Quality control
o Materials management
o Capacity management
o Inventory management
o Maintenance and replacement
 Car factory
 Medical practice
 Consultancy company
 Relief or charity programmes
 Advertising agency
 Education providers
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Leading global excellence in procurement and supply


See final case study for the module
 Use this to pull together all of the key elements discussed within sessions 1 to 9 of
this module, highlighting associated assessment criteria

Offer contextual case studies relevant to the region and industrial focus of the area
 Give students the opportunity to apply knowledge to areas of practical interest
relevant to their international region
 Help students to cement ideas and concepts through practical application of ideas,
theories and models

See short case studies within the associated Chapter of the CIPS Study Guide
 Use these to highlight key learning against assessment criteria

Student Exercises
 Use these to highlight key learning against associated learning outcomes for the
module

Students should leave this session with an overall understanding of the different roles and
activities involved in the operations management of organisations. The key concepts and
definitions should be understood and how operations management differs within
different types of organisations and sectors. Examples of different operations
management approaches should be explored so that the students can understand the
processes and approaches within their own and other organisations

All rights reserved. Copyright© 2018 CIPS. Content may not be copied, reproduced, published, altered
or transmitted in any form or by any means, in whole or in part, without the prior written permission of 12
CIPS.

Leading global excellence in procurement and supply


Advanced Diploma in Procurement and Supply
Module L5M9 – Operations Management

Session 3
Understand the concept and scope of operations Assessment Criteria
management 1.2

Understand the concept and scope of operations management


 Critically assess the objectives and strategies of operations management

CIPS Global Standard for Procurement and Supply

Segments: 4.2, 4.3, 4.4

Critically assess the objectives and strategies of operations management


 The contribution of the operations function to overall company strategy can range
from providing support to actually driving the strategy at a higher level

Critically assess the objectives and strategies of operations management:

From implementing to supporting to driving strategy (cover each of the following using
examples to illustrate advantages and disadvantages and their typical uses – use locally
based examples wherever possible and where each would be typically used or appropriate
and their characteristics):
 The Hayes and Wheelwright four-stage model (1984) is commonly applied to
summarise the contribution of the operations function
o 4 stages
 Stage 1 - internally neutral
 Stage 2 - externally neutral
 Stage 3 - internally supportive
 Stage 4 - externally supportive

The stages of development of operations strategy (cover each of the following using
examples to illustrate advantages and disadvantages and their typical uses – use locally
based examples wherever possible and where each would be typically used or appropriate
and their characteristics):
 Corporate level strategies
o Key issues
 Business level strategies
o Key issues
 Functional level strategies
o Key issues
 Steps to developing an operations strategy (Hill, 2005)
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Leading global excellence in procurement and supply


o Define corporate objectives
o Define operations management objectives to meet corporate objectives
 5 operations management objectives (Slack and Brandon-Jones,
2018)
 Quality
 Speed
 Dependability
 Flexibility
 Cost
o Identify strategies to achieve operations management objectives
 Structure-related strategies that can be applied to achieve
performance objectives
 Facilities
 Capacity
 Process technology
 Supply network
 Infrastructure strategies that can be applied to achieve
performance objectives
 Planning and control
 Quality
 Human resources
 New product development
 Performance measurement
o Strategy evaluation to select the most appropriate strategy
 Evaluation criteria
 Consistency of the strategy
 Contribution of the strategy to competitive advantage
o Strategy implementation, evaluation and improvement

The performance objectives of operations management (quality, speed, dependability,


flexibility and cost) (cover each of the following using examples to illustrate advantages and
disadvantages and their typical uses – use locally based examples wherever possible and
where each would be typically used or appropriate and their characteristics):
 5 operations management objectives (Slack and Brandon-Jones, 2018)
o Cost
 Customer friendly prices (lower prices)
o Quality
 High quality
o Speed
 Quick delivery
o Dependability
 Dependable delivery schedules
o Flexibility
 Regular introduction of new/improved products/services
 Diverse range of products/services
 Ability to vary volume of products/services produced
 Ability to vary timing of product/service deliveries when the need
arises

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Leading global excellence in procurement and supply


 Definition of performance objectives across different operations
 Importance of performance objectives between different organisations
 Importance of performance objectives between operations processes within the
same organisation
 Influence of the product/service life cycle on performance objectives
o The dominant performance objective in each of the four stages
 Introduction stage
 Growth stage
 Maturity stage
 Decline stage
 Performance objective trade-offs

Top down and bottom up perspectives of operations strategy (cover each of the following
using examples to illustrate advantages and disadvantages and their typical uses – use
locally based examples wherever possible and where each would be typically used or
appropriate and their characteristics):
 Top-down perspective
o Corporate strategy is passed down to business units who design their own
strategies that will contribute to overall success of the company strategy
 Bottom-up perspective
o Strategy development begins at the functional level

Order qualifying and order winning objectives of operations management (cover each of
the following using examples to illustrate advantages and disadvantages and their typical
uses – use locally based examples wherever possible and where each would be typically
used or appropriate and their characteristics):
 Order qualifiers and order winners contribute to the success of an organisation
 Order-qualifying objectives play a role in determining whether a customer will
‘consider’ buying from an organisation or not
 Order-winning objectives concern aspects that have a direct and significant
contribution to the success of a business
o The customers’ ‘justification’ for their purchase

See final case study for the module


 Use this to pull together all of the key elements discussed within sessions 1 to 9 of
this module, highlighting associated assessment criteria

Offer contextual case studies relevant to the region and industrial focus of the area
 Give students the opportunity to apply knowledge to areas of practical interest
relevant to their international region
 Help students to cement ideas and concepts through practical application of ideas,
theories and models

See short case studies within the associated Chapter of the CIPS Study Guide
 Use these to highlight key learning against assessment criteria

Student Exercises
 Use these to highlight key learning against associated learning outcomes for the
module
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or transmitted in any form or by any means, in whole or in part, without the prior written permission of 15
CIPS.

Leading global excellence in procurement and supply


Students should leave this session with an overall understanding of the objectives and
strategies within operations management. They should know the different stages of how
an operations strategy is developed and how the 5 performance objectives of operations
management are applied across different organisations. They should have an awareness of
both top-down and bottom-up perspectives of operations strategy and the limitations and
advantages of each. Finally, order qualifying and order winning objectives should be
explored, so that the students can understand how and why customers will consider and
justify their purchases

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or transmitted in any form or by any means, in whole or in part, without the prior written permission of 16
CIPS.

Leading global excellence in procurement and supply


Advanced Diploma in Procurement and Supply
Module L5M9 – Operations Management

Session 4
Understand the concept and scope of operations Assessment Criteria
management 1.3

Understand the concept and scope of operations management


 Evaluate operations management processes

CIPS Global Standard for Procurement and Supply

Segments: 4.2, 4.3, 4.4

Evaluate operations management processes


 The production of goods and services (outputs) is only possible because a variety of
inputs (raw materials, components, resources) undergo (or are used in) the
transformation process
 Operations management covers the acquisition of inputs and transforms them
through a range of processes, such as repair, storage or conversion, to produce
outputs

Evaluate operations management processes:

The ‘input-transformation-output' model of operations management (cover each of the


following using examples to illustrate advantages and disadvantages and their typical uses –
use locally based examples wherever possible and where each would be typically used or
appropriate and their characteristics):
 3 key aspects of organisations in relation to operations processes
o Inputs
o Transformation processes
o Outputs
 The operations function (Slack et al)
o Input resources
 Transformed resources, including
 Materials
 Information
 Customers
o Co-production
o Co-creation

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Leading global excellence in procurement and supply


Transforming resources
 Facilities, including
o Buildings
o Plant
o Machinery
o Equipment
o Process technology
 Staff, including
o Individuals who operate, sustain and oversee
operations
o Transformation process
 Changing the organisation’s inputs into outputs
 Examples
o Outputs for customers
 Implications for the management of operations due to the
differences between goods and services
 Tangibility
 Ownership
 Storage
 Measurement of quality
 Return
 Variability
 Production and consumption
 Internal customers
 External customers
 Example inputs, transformation processes and outputs of different
organisations
 Food processing
 Hospital
 Airline
 Police department
 Department store

The dimensions of operations processes (volume, variety, variation and visibility) (cover
each of the following using examples to illustrate advantages and disadvantages and their
typical uses – use locally based examples wherever possible and where each would be
typically used or appropriate and their characteristics):
 Dimensions
o The volume dimension
 Focuses on the quantity of products and services
o The variety dimension
 Focuses on the range, assortment and diversity of the products and
services produced
o The visibility dimension
 Focuses on how much the process is exposed to customers

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Leading global excellence in procurement and supply


 The implications of the four dimensions of operations processes
o All four dimensions of operations processes can be either low or high
depending on the process and organisation’s performance objectives
o Typology of operations – the implications of the 4 dimensions (Slack and
Brandon-Jones)

The activities of operations processes (cover each of the following using examples to
illustrate advantages and disadvantages and their typical uses – use locally based examples
wherever possible and where each would be typically used or appropriate and their
characteristics):
o Decisions relating to operations processes
o Directing
o Designing
o Delivery of products and services
o Developing

See final case study for the module


 Use this to pull together all of the key elements discussed within sessions 1 to 9 of
this module, highlighting associated assessment criteria

Offer contextual case studies relevant to the region and industrial focus of the area
 Give students the opportunity to apply knowledge to areas of practical interest
relevant to their international region
 Help students to cement ideas and concepts through practical application of ideas,
theories and models

See short case studies within the associated Chapter of the CIPS Study Guide
 Use these to highlight key learning against assessment criteria

Student Exercises
 Use these to highlight key learning against associated learning outcomes for the
module

Students should leave this session with an overall understanding of the operations
management process, including the use and application of the ‘input-transformation-
output’ model of operations management. They should know what the different
dimensions of operations processes are and their implications across different
organisations. Finally, they should be able to explain what the 4 decisions are that relate
to operations processes to help ensure that efficient and effective performance of the
operations function is maintained

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or transmitted in any form or by any means, in whole or in part, without the prior written permission of 19
CIPS.

Leading global excellence in procurement and supply


Advanced Diploma in Procurement and Supply
Module L5M9 – Operations Management

Session 5
Understand the concept and scope of operations Assessment Criteria
management 1.4

Understand the concept and scope of operations management


 Analyse the application of operations management across supply chains

CIPS Global Standard for Procurement and Supply

Segments: 4.2, 4.3, 4.4

Analyse the application of operations management across supply chains


 Operations management is used in all types of organisations
 A representative sample of different types of organisations can be used to explain how
operations management is applied across a variety of organisations

Analyse the application of operations management across supply chains:

Operations management in manufacturing, services, retail, construction, and public sector


supply chains (cover each of the following using examples to illustrate advantages and
disadvantages and their typical uses – use locally based examples wherever possible and where
each would be typically used or appropriate and their characteristics):
 Manufacturing
o All activities undertaken to obtain inputs and transform them into a quality
finished product that is demanded by the customer
o The goal is to produce quality products in the right quantity, on time and at
optimal cost
o Focuses on
 Production planning and control
 Production methods
o Make-to-order
o Mass production
o Mass customisation
 Facilities decisions
o Site selection
o Facility layout

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Leading global excellence in procurement and supply


Components/materials management
o Purchasing and supplier selection
o Inventory control
 Just in time (JIT)
 Materials requirement planning (MRP)
o Work scheduling
 Quality control
 Services
o Differing from products through
 Intangibility
 Customisation
 Customer contact
o Operations management ensures that services provided meet customer
expectations in order to satisfy them
o Frameworks to assess service quality
 SERQUAL Model
 5 gaps that service providers need to identify, measure and
manage to minimise their occurrence
o Gap 1 – knowledge gap
o Gap 2 – standards gap
o Gap 3 – delivery gap
o Gap 4 – communications gap
o Gap 5 – satisfaction gap
 RATER Model
 Builds upon SERQUAL Model
 5 key dimensions for customers in regard to quality assessment
o Reliability
o Assurance
o Tangibles
o Empathy
o Responsiveness
o Operations planning
o Operations processes
o Facilities
o Site location
o Facilities layout
o Capacity planning
o Scheduling
o Inventory control
 Retail
o The key aspects of operations management in a retail environment
 Facility management
 Duration of business hours
 Security
 Cleanliness and maintenance of store premises
 Staff
 Relevant paperwork
 Temperature

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Leading global excellence in procurement and supply


 Inventory management
 Management of receipts
 Customer service
 Managing events and relationships
 Construction
o Construction projects take place in a versatile environment and are influenced
by a variety of factors relating to
 Physical environment
 Applicable legislation
 Availability of resources
o Operations processes focus on
 Cost minimisation
 Quality control
 Safety
 Staff recruitment and training
 Process selection
 Materials management
 Capacity management
 Scheduling
 Inventory management
 Maintenance and replacement
 The public sector

The impact of operations management on global sourcing (cover each of the following using
examples to illustrate advantages and disadvantages and their typical uses – use locally based
examples wherever possible and where each would be typically used or appropriate and their
characteristics):
 Key aspects of operations management to consider when sourcing globally
o Cultural aspects
o Quality standards
o Pricing
o Technology
o Product or service selection and design
o Facility location
o Production planning and control
o Quality control
o Capacity management
o Inventory management

Examples of operations management in different supply chains (cover each of the following
using examples to illustrate advantages and disadvantages and their typical uses – use locally
based examples wherever possible and where each would be typically used or appropriate and
their characteristics):
 Examples including
o Operations management in a higher education institution
o Operations management in a restaurant

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Leading global excellence in procurement and supply


See final case study for the module
 Use this to pull together all of the key elements discussed within sessions 1 to 9 of this
module, highlighting associated assessment criteria

Offer contextual case studies relevant to the region and industrial focus of the area
 Give students the opportunity to apply knowledge to areas of practical interest relevant
to their international region
 Help students to cement ideas and concepts through practical application of ideas,
theories and models

See short case studies within the associated Chapter of the CIPS Study Guide
 Use these to highlight key learning against assessment criteria

Student Exercises
 Use these to highlight key learning against associated learning outcomes for the module

Students should leave this session with an overall understanding of the differences between
operations management in the various sectors, including: manufacturing, services, retail,
construction and the public sector. They should also be familiar with the impact of operations
management upon global sourcing and discuss specific examples of different supply chains
and the operations management processes and approaches that are used

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or transmitted in any form or by any means, in whole or in part, without the prior written permission of 23
CIPS.

Leading global excellence in procurement and supply


Advanced Diploma in Procurement and Supply
Module L5M9 – Operations Management

Session 6
Understand improvement methodologies that can be Assessment Criteria
applied in operations management 2.1

Understand improvement methodologies that can be applied in operations management


 Analyse tools for improving performance in operations management

CIPS Global Standard for Procurement and Supply

Segments: 4.2, 4.3, 4.4

Analyse tools for improving performance in operations management


 Customers demand high quality products and services
 Every functional area in an organisation is expected to play its part in ensuring the
organisation delivers the appropriate level of quality
 The operations management function contributes by applying a variety of
methodologies

Analyse tools for improving performance in operations management:


The use of performance measurement in operations management (cover each of the
following using examples to illustrate advantages and disadvantages and their typical uses –
use locally based examples wherever possible and where each would be typically used or
appropriate and their characteristics):
 Performance is the extent to which a process or service meets its objectives of
quality, cost, flexibility, speed and dependability to increase customer satisfaction
 Performance measurement quantifies these actions so that operations performance
can be assessed
 The factors to be included as performance measures
o Basic performance objectives
o More strategic performance management categories
 The most important performance measures
o KPIs
o SLAs
 The detailed measures to be used
o Quality – through the following dimensions (Garvin, 1987)
 Performance
 Features
 Reliability
 Conformance
 Durability
 Aesthetics
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Leading global excellence in procurement and supply


o Speed
 Aspects
o Dependability
 Aspects
o Flexibility
 Aspects
o Cost
 Formulae
 Gross profit margin
 Net profit
 Net profit margin
 Direct materials cost per unit
 Direct labour cost
 Fixed overhead cost per unit
 The balanced scorecard approach
o A four dimensional framework for measuring performance within
organisations
 Financial
 Customer
 Business process
 Learning and growth
o Benefits of balanced scorecards
o Application of balanced scorecards

Setting performance targets (cover each of the following using examples to illustrate
advantages and disadvantages and their typical uses – use locally based examples wherever
possible and where each would be typically used or appropriate and their characteristics):
 To be meaningful, performance measures must be assessed against a set target
 Methods for setting performance goals
o Historic performance-based targets
o Strategic goals
o External performance-based goals
o Absolute performance goals

Benchmarking in improving operations management (cover each of the following using


examples to illustrate advantages and disadvantages and their typical uses – use locally
based examples wherever possible and where each would be typically used or appropriate
and their characteristics):
 Comparison of an organisation’s performance metrics and business processes
against best practice
 Underlying principles
o Issues encountered by one organisation are likely to have been experienced
by another
o Likely that another organisation which has similar processes has developed
an improved way to run the operation
 Types of benchmarking
o Performance benchmarking
o External benchmarking
o Non-competitive benchmarking
o Competitive benchmarking
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Leading global excellence in procurement and supply


 Benchmarking as an improvement tool
o Issues to note
 Benchmarking is not a one-off activity
 Benchmarking does not provide solutions
 Benchmarking should not be a copy and paste exercise
 Benchmarking requires certain resources

Building continuous improvement (cover each of the following using examples to illustrate
advantages and disadvantages and their typical uses – use locally based examples wherever
possible and where each would be typically used or appropriate and their characteristics):
 Issues that play a role in determining the priorities for improvement of an
organisation’s operations
o Customer preferences and needs
o How competitors are performing in their operations
 The sandcone theory (Ferdows and de Meyer, 1990)
 The impact of organisational culture on improvement
o Building improvement capabilities
o Improvement as learning
 Implementation issues
o Issues to consider when implementing improvement
 Top management support
 Finance
 Avoid the excessive ‘hype’
 Improvement or quality awards

The use of business process re-engineering (BPR) (cover each of the following using
examples to illustrate advantages and disadvantages and their typical uses – use locally
based examples wherever possible and where each would be typically used or appropriate
and their characteristics):
 Assists in reducing an organisation’s operation costs and ensuring that processes are
fully utilised without being redundant
 ‘Don’t automate, obliterate’ (Hammer, 1990s)
 Reorganisation or removal of ineffective or redundant management practices or
operations/systems and redesigning the process in a different way that works better
 Benefits of BPR
 Main principles of BPR (Slack et al, 2013)
 7 principles of BPR (Hammer and Champy, 1993)
 Requirements for successful BPR
 General steps to implement BPR
o Define business processes within an organisation
o Analyse business processes
o Identify and analyse improvement opportunities
o Design the future state of the processes
o Implement changes to solve the identified problems
 Kaizen continuous improvement approach
o Action play
o Philosophy
o Steps to implement Kaizen

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Leading global excellence in procurement and supply


 Differences between BPR and Kaizen
o Lead person
o Duration
o Process types
o Extent of change
o Speed of change
o Cost

See final case study for the module


 Use this to pull together all of the key elements discussed within sessions 1 to 9 of
this module, highlighting associated assessment criteria

Offer contextual case studies relevant to the region and industrial focus of the area
 Give students the opportunity to apply knowledge to areas of practical interest
relevant to their international region
 Help students to cement ideas and concepts through practical application of ideas,
theories and models

See short case studies within the associated Chapter of the CIPS Study Guide
 Use these to highlight key learning against assessment criteria

Student Exercises
 Use these to highlight key learning against associated learning outcomes for the
module

Students should leave this session with an overall understanding of the various tools and
approaches for improving performance in operations management. They should be
familiar with how performance is measured in operations management and how an
organisation sets their targets. They should understand the concept of benchmarking and
how this can be undertaken to improve performance. Finally, the students should explore
the similarities and differences between BPR and Kaizen and how the techniques can be
used to promote improvements

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or transmitted in any form or by any means, in whole or in part, without the prior written permission of 27
CIPS.

Leading global excellence in procurement and supply


Advanced Diploma in Procurement and Supply
Module L5M9 – Operations Management

Session 7
Understand improvement methodologies that can be Assessment Criteria
applied in operations management 2.2
Understand improvement methodologies that can be applied in operations management
 Explain techniques in failure prevention and recovery that can be applied in
operations management

CIPS Global Standard for Procurement and Supply

Segments: 4.2, 4.3, 4.4

Explain techniques in failure prevention and recovery that can be applied in operations
management
 It is important to understand why failure happens and the impact that this can have
on organisation’s operations
 Different mechanisms can be used to detect failure, including mode and effect
analysis
 Failure occurs when something does not happen or work out as planned
 In many organisations, failure in operations should not be tolerated because the
costs associated with the failure are too high (i.e. fatalities)
 When there is a risk of failure causing injury or fatality, it is critical that operations,
products and services do not fail
 It is the role of the operations manager to ensure that strategies are put in place to
minimise failure

Explain techniques in failure prevention and recovery that can be applied in operations
management

Measuring failure and the impact of failure (cover each of the following using examples to
illustrate advantages and disadvantages and their typical uses – use locally based examples
wherever possible and where each would be typically used or appropriate and their
characteristics):
 Why operations fail
o Examples include
 Faults inherent in the design of a product
 Errors made during manufacturing
 Defective raw materials are used

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Leading global excellence in procurement and supply


 Failures inside the operation
o Design failures due to
 Issues concerning demand
 Unexpected circumstances
o Appropriate designs should envisage different failure scenarios so that
contingencies can be put in place
 Facilities failures
 Staff failures
 Supplier failures
 Customer failures
o Other categories of failure
 Organisational failures
 Environmental disruption
 Failure rates
o Tracks the number of times a failure occurs in a defined amount of time
o Bathtub curve for single process (Slack et al, 2013)
 Failure rate across the product lifecycle
 Infant-mortality stage
 Normal-life stage
 Wear out stage
 Reliability
o Measures the ability of a product/service to function as required over a
given period of time
o Mean time between failures (MTBF)
 Availability
o The degree to which the organisational process is ready to work

Mechanisms to detect failure (cover each of the following using examples to illustrate
advantages and disadvantages and their typical uses – use locally based examples wherever
possible and where each would be typically used or appropriate and their characteristics):
 Failure often offers an opportunity for organisations to improve their products and
services, ultimately improving customer satisfaction and sales
 A feedback system by itself is not an effective mechanism for detecting failures as
products have already been dispatched to customers
 Techniques to uncover failures (Pycraft, 2000)
o In-process checks
o Machine diagnostic checks
o Point-of-departure interviews
o Phone surveys
o Focus groups
o Complaint or feedback forms
o Questionnaires

Failure mode and effect analysis (FMEA) (cover each of the following using examples to
illustrate advantages and disadvantages and their typical uses – use locally based examples
wherever possible and where each would be typically used or appropriate and their
characteristics):
 A systematic approach for identifying likely failures in products and services as well
as business processes
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Leading global excellence in procurement and supply


 May help to point out why there is a failure and identify ways to detect failures
before they happen
 Categories of FMEA
o Design FMEA
o Process FMEA
 Why FMEA is important
o Benefits of FMEA
o Early detection
 When FMEA is performed
o Will depend upon the organisation’s needs
 How FMEA is performed
o FMEA steps
 Identify potential failures
 Establish the degree of severity
 Evaluate the probability of occurrence
 Failure detection
 Rating scales for FMEA
 Risk priority number (RPN)

Improving process reliability (cover each of the following using examples to illustrate
advantages and disadvantages and their typical uses – use locally based examples wherever
possible and where each would be typically used or appropriate and their characteristics):
 Process reliability encompasses all the activities undertaken to ensure that an
operations process performs as it was intended to perform
 Ways to improve process reliability
o Design out the fail points in the operation
o Build redundancy into the process
o Fail-safeing some of the activities of the operation
 Examples
o Maintenance

Maintenance and approaches to maintenance (cover each of the following using examples
to illustrate advantages and disadvantages and their typical uses – use locally based
examples wherever possible and where each would be typically used or appropriate and
their characteristics):
 Three approaches to maintenance
o Run to breakdown (RTB)
o Preventative maintenance (PM)
o Condition-based maintenance (CBM)
 Mixed maintenance strategies
o Integrating maintenance strategies is known as total productive
maintenance (TPM)

Failure distributions (cover each of the following using examples to illustrate advantages
and disadvantages and their typical uses – use locally based examples wherever possible
and where each would be typically used or appropriate and their characteristics):
 Covered under ‘Mechanisms to detect failure’ and ‘Failure mode and effect analysis’
sections

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Leading global excellence in procurement and supply


Business continuity (cover each of the following using examples to illustrate advantages and
disadvantages and their typical uses – use locally based examples wherever possible and
where each would be typically used or appropriate and their characteristics):
 Many organisations integrate failures, their causes and failure prevention into their
business continuity plans
 Business continuity plans help a business to remain in operation and recover
following catastrophic failure
 Strategies to ensure business continuity include
o Identification and assessment of risks
o Core business processes
o Calculate recovery time
o Resources
o Communication

See final case study for the module


 Use this to pull together all of the key elements discussed within sessions 1 to 9 of
this module, highlighting associated assessment criteria

Offer contextual case studies relevant to the region and industrial focus of the area
 Give students the opportunity to apply knowledge to areas of practical interest
relevant to their international region
 Help students to cement ideas and concepts through practical application of ideas,
theories and models

See short case studies within the associated Chapter of the CIPS Study Guide
 Use these to highlight key learning against assessment criteria

Student Exercises
 Use these to highlight key learning against associated learning outcomes for the
module

Students should leave this session with an overall understanding of the ways in which an
organisation can detect, prevent and recover from failure. It is important that the students
understand the impact of failure and what mechanisms are available to detect failure, as
well as improve reliability. They should know the different approaches to maintenance
and finally, why business continuity planning is important and how it can be used to
recover from a catastrophic event

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or transmitted in any form or by any means, in whole or in part, without the prior written permission of 31
CIPS.

Leading global excellence in procurement and supply


Advanced Diploma in Procurement and Supply
Module L5M9 – Operations Management

Session 8
Understand improvement methodologies that can be Assessment Criteria
applied in operations management 2.3

Understand improvement methodologies that can be applied in operations management


 Evaluate the role of total quality management in operations management

CIPS Global Standard for Procurement and Supply

Segments: 4.2, 4.3, 4.4

Evaluate the role of total quality management in operations management


 Total quality management (TQM) is applied to improve operations management
processes to ensure customer satisfaction in the long run
 TQM is a management methodology that seeks to deliver customer satisfaction by
ensuring that all employees within an organisation work to deliver value to
customers while at the same time minimising costs associated with correcting poor
work or product failure
 Under TQM, all employees, departments and levels of organisational hierarchy
participate in delivering and improving process, product or service quality

Evaluate the role of total quality management in operations management:

Approaches to total quality management (cover each of the following using examples to
illustrate advantages and disadvantages and their typical uses – use locally based examples
wherever possible and where each would be typically used or appropriate and their
characteristics):
 The concept of TQM
 The 8 principles of TQM
o Customer focus
o Employee involvement
o Process improvement
o Systems integration
o A strategic and systematic approach
o Fact-based decision-making
o Communication
o Continuous improvement
 Benefits of TQM

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or transmitted in any form or by any means, in whole or in part, without the prior written permission of 32
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Leading global excellence in procurement and supply


 Operations improvement
o Just in time (JIT)
 Minimise waste and increase efficiency
 Developed and implemented by Toyota
 Further developed by Ohno
 Applies a ‘pull’ system
 Eliminates waste arising from holding excess inventory,
overproduction and waiting time
 Disadvantages of JIT
 Requires integrated systems between buyers and suppliers
 Application of JIT
 Statistical process control (SPC)
o Assessing and controlling quality by monitoring the manufacturing process
 Total productive maintenance (TPM)
o Seeks to maintain equipment in perfect production condition by minimising
defects, breakdowns, accidents, disruptions etc
o TPM objectives
o Benefits of TPM
o The foundational aspects of TPM
 The 5Ss
 Sorting
 Setting in order
 Shining
 Standardising
 Sustaining
o 8 TPM supporting activities
 Autonomous maintenance
 Planned maintenance
 Quality maintenance
 Focused improvement
 Early equipment management
 Training and education
 Safety, health and environment
 TPM in administration
 Quality circles (QCs)
o Small groups of 5-8 employees who do similar work within an organisation,
who meet regularly to categorise, investigate and resolve problems in the
workplace
o Characteristics of an effective QC
o Objectives of QCs
 Quality function deployment (QFD)
o Applied to define customer needs and then translate them into engineering
specifications and design processes to produce the products or services that
meet those needs
o 4 implementation stages of QFD
 Product definition
 Product development
 Process development
 Process quality control
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or transmitted in any form or by any means, in whole or in part, without the prior written permission of 33
CIPS.

Leading global excellence in procurement and supply


o House of quality (HOQ) diagrams
 Kansei engineering
o Designed to deliver products and services which meet customers’ aesthetic
and performance expectations
 Implementing TQM systems
o 12 stages

The differences between total quality and quality assurance (cover each of the following
using examples to illustrate advantages and disadvantages and their typical uses – use
locally based examples wherever possible and where each would be typically used or
appropriate and their characteristics):
 The concept of quality assurance (QA)
 Advantages of QA
 Differences between TQM and QA

The work of pioneers of total quality management (such as Deming, Juran) (cover each of
the following using examples to illustrate advantages and disadvantages and their typical
uses – use locally based examples wherever possible and where each would be typically
used or appropriate and their characteristics):
 Philip B Crosby’s quality philosophy
o The absolutes of quality management
o The basic elements of quality improvement
 Determination
 Education
 Implementation
o Crosby’s 14-point programme
 Commitment of management
 Formulating the quality improvement team
 Quality measurement
 Assessing the cost of quality
 Quality awareness
 Corrective action
 Planning for zero defects
 Training supervisors
 Zero-defects day
 Participative goal setting
 Elimination of error causes
 Recognition of participants
 Creation of quality councils
 Do it again and again
o Crosby’s medicine for quality
 Integrity
 Systems
 Communication
 Operations improvement
 Policies
 W Edwards Deming’s quality philosophy
o Deming’s 14 points for quality management
o Deming’s 7 fatal diseases for management
o The PDCA (Plan-Do-Check-Act) model
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CIPS.

Leading global excellence in procurement and supply


 Joseph M Juran’s quality philosophy
o The Juran quality trilogy
 Quality planning
 Quality control
 Quality improvement
o Juran’s three steps to progress
o Juran’s ten steps to quality

See final case study for the module


 Use this to pull together all of the key elements discussed within sessions 1 to 9 of
this module, highlighting associated assessment criteria

Offer contextual case studies relevant to the region and industrial focus of the area
 Give students the opportunity to apply knowledge to areas of practical interest
relevant to their international region
 Help students to cement ideas and concepts through practical application of ideas,
theories and models

See short case studies within the associated Chapter of the CIPS Study Guide
 Use these to highlight key learning against assessment criteria

Student Exercises
 Use these to highlight key learning against associated learning outcomes for the
module

Students should leave this session with an overall understanding of the role of TQM in
operations management. They should be familiar with the different approaches to TQM
that have evolved over time and who the pioneers of the quality movement were and how
their ideas and assumptions impacted the views on TQM. The students should also know
the differences between QA and QC, their benefits and challenges, and how these are
applied within the workplace

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or transmitted in any form or by any means, in whole or in part, without the prior written permission of 35
CIPS.

Leading global excellence in procurement and supply


Advanced Diploma in Procurement and Supply
Module L5M9 – Operations Management

Session 9
Understand improvement methodologies that can be Assessment Criteria
applied in operations management 2.4
Understand improvement methodologies that can be applied in operations management
 Analyse techniques for quality improvement that can be applied in operations
management

CIPS Global Standard for Procurement and Supply

Segments: 4.2, 4.3, 4.4

Analyse techniques for quality improvement that can be applied in operations


management
 There are various approaches to diagnosing quality problems in organisations
 There are 7 predominant tools (known as the 7 QC tools or the ‘magnificent seven’)
that are applied within organisations to identify quality problems
o Flowcharts
o Pareto analysis
o Histograms
o Process control charts
o Cause-and-effect diagrams
o Check sheets
o Scatter diagrams

Analyse techniques for quality improvement that can be applied in operations


management

Diagnosing quality problems (cover each of the following using examples to illustrate
advantages and disadvantages and their typical uses – use locally based examples wherever
possible and where each would be typically used or appropriate and their characteristics):
 Flowcharts
o An illustration of the various steps in an operations process or job
o Basic procedure for drawing a flowchart
o Typical uses
o Example customer flow map
 Review goals
 Gather research
 Empathy map
 Touchpoint and channel brainstorms
 Brainstorm with lenses
 Affinity diagram
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or transmitted in any form or by any means, in whole or in part, without the prior written permission of 36
CIPS.

Leading global excellence in procurement and supply


 Sketch the journey
 Refine and digitise
 Share and use
 Pareto analysis
o A statistical methodology applied to identify a small number of activities
that have a substantial effect on the success of a process
o 80/20 rule
 Application of the 80/20 rule
o Used to count the defects for each of the different causes of poor quality to
develop a frequency distribution (Pareto chart/diagram)
 Histograms
o An illustration of the frequency of quality problems in the form of a graph
 Process control charts
o A graph that is applied to analyse the changes in a process over time
o Uses of process control charts
o 6 steps to drawing a process control chart
 Cause-and-effect diagrams
o Also known as a ‘fishbone’ diagram
o Represents the elements of a quality problem and inter-relationships
between the elements
o 3 steps to compiling a cause-and-effect diagram
 Check sheets
o Used to obtain data on quality problems within an organisation
 Scatter diagrams
o A graph showing the relationship between 2 variables

The use of statistical process control (SPC) (cover each of the following using examples to
illustrate advantages and disadvantages and their typical uses – use locally based examples
wherever possible and where each would be typically used or appropriate and their
characteristics):
 SPC is the application of statistics in the management of quality problems
 Common SPC tools applied in quality management
o Pareto analysis
o Histograms
o Process control charts
o Check sheets
o Scatter diagrams

Variation in process quality (cover each of the following using examples to illustrate
advantages and disadvantages and their typical uses – use locally based examples wherever
possible and where each would be typically used or appropriate and their characteristics):
 Covered under ‘The use of statistical process control’ section

The Taguchi loss function (cover each of the following using examples to illustrate
advantages and disadvantages and their typical uses – use locally based examples wherever
possible and where each would be typically used or appropriate and their characteristics):
 A graphical representation of how an increase in variation within specification limits
leads to an exponential increase in customer dissatisfaction
(leansixsigmadefinition.com, 2019)
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Leading global excellence in procurement and supply


 Taguchi loss function features
o Nominal approach is better
o The smaller the better in some instances
o The larger the better in other instances
 Taguchi loss function formula
o Constant
o Quality characteristic
o Target value

Poka yoke (cover each of the following using examples to illustrate advantages and
disadvantages and their typical uses – use locally based examples wherever possible and
where each would be typically used or appropriate and their characteristics):
 Also known as ‘mistake proofing’
 The goal is to get rid of product/service defects through the identification,
prevention and correction of human errors as and when they occur
 Types of poka yoke
o The contact method
o The constant number method
o The sequence method

The Six Sigma approach to quality improvement (cover each of the following using
examples to illustrate advantages and disadvantages and their typical uses – use locally
based examples wherever possible and where each would be typically used or appropriate
and their characteristics):
 A quality management approach applied in businesses to achieve improvements in
products, services or processes by identifying and eliminating defects
 The goal is to eliminate variation and deliver near perfection to keep customers
satisfied
 Key concepts of Six Sigma
o Critical to quality
o Defect
o Process capability
o Variation
o Stable operations
o Design for Six Sigma
 Key stakeholders in the Six Sigma methodology
o Customers
o Processes
o Employees
 Six Sigma principles
o Smaller is better – aim for zero defects
o Larger is better – get all products/services to pass quality tests
o Nominal is best
 Six Sigma methodologies
o DMAIC – create improvements in processes that are already in place
 Define
 Measure
 Analyse
 Improve
 Control
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Leading global excellence in procurement and supply


o
DMADV – applied in the process of creating a new product/service/process
 Define
 Measure
 Analyse
 Design
 Verify
 Implementing Six Sigma in the organisation
o The leadership team
o Sponsor
o Implementation leader
o Coach
o Team leader
o Team member
o Process owner
o Black belt
o Master black belt
o Green belt

See final case study for the module


 Use this to pull together all of the key elements discussed within sessions 1 to 9 of
this module, highlighting associated assessment criteria

Offer contextual case studies relevant to the region and industrial focus of the area
 Give students the opportunity to apply knowledge to areas of practical interest
relevant to their international region
 Help students to cement ideas and concepts through practical application of ideas,
theories and models

See short case studies within the associated Chapter of the CIPS Study Guide
 Use these to highlight key learning against assessment criteria

Student Exercises
 Use these to highlight key learning against associated learning outcomes for the
module

Students should leave this session with an overall understanding of the techniques that
are used for quality improvement within operations management. They should be familiar
with how quality problems are diagnosed and also the use of SPC processes. The students
should discuss the use of tools such as the Taguchi loss function, Poka yoke and Six Sigma,
when these would be applied and any challenges that they present in managing
operations within an organisation. Finally, they should be confident in using and applying
the different tools to their own and other working environments

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or transmitted in any form or by any means, in whole or in part, without the prior written permission of 39
CIPS.

Leading global excellence in procurement and supply


Advanced Diploma in Procurement and Supply
Module L5M9 – Operations Management

Session 10
Assessment Criteria
Final module recap and discussion All assessment criteria
for module

All learning outcomes for the module as discussed in sessions 1 to 9

CIPS Module Study Guide for Module L5M9 – Chapters 1 and 2


CIPS Global Standard for Procurement and Supply
Segments: 4.2, 4.3, 4.4

In order to ensure success an organisation must create and adopt processes that ensure
the consistent production of products and/or services that meet customer demand, both
in terms of quantity and quality. This is the responsibility of those who manage the supply
chain operations function. This module is designed to enable those involved in
procurement and supply to assess techniques that are aimed at improving supply chain
operations to the overall benefit of the organisation

Discuss the final assessment

Format

 Objective Response Exam – 1.5 hours


 Pass mark – 70 %

Content and question types


Use the sample questions provided for types and formats of questions

See final case study for the module


 Use this to pull together all of the key elements discussed within sessions 1 to 9 of
this module, highlighting associated assessment criteria

Offer contextual case studies relevant to the region and industrial focus of the area
 Give students the opportunity to apply knowledge to areas of practical interest
relevant to their international region
 Help students to cement ideas and concepts through practical application of ideas,
theories and models

All rights reserved. Copyright© 2018 CIPS. Content may not be copied, reproduced, published, altered
or transmitted in any form or by any means, in whole or in part, without the prior written permission of 40
CIPS.

Leading global excellence in procurement and supply


See short case studies within the associated Chapter of the CIPS Study Guide
 Use these to highlight key learning against assessment criteria

Student Exercises
 Use these to highlight key learning against associated learning outcomes for the
module

On completion of this module, learners will be able to understand the concepts of


operations management that link to the efficiency and effectiveness of the supply chain
and explain plans, designs, processes and systems for the improved control or
improvement of supply chain operations

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or transmitted in any form or by any means, in whole or in part, without the prior written permission of 41
CIPS.

Leading global excellence in procurement and supply

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