Public University of Navarre

Academic year: 2017/2018 | Previous academic years:  2016/2017 
Master’s degree in Business Economics, Organisation and Management
Course code: 71833 Subject title: Economics of Operation Management
Credits: 3 Type of subject: Mandatory Year: 1 Period: 2º S
Department: Business Administration

Partes de este texto:


Module/Subject matter

Quantitative Methods/ Economics of Operations Management



Strategic Decisions in Operations; Quality Management; Supply chain Management; Project Management.


General proficiencies

GP1 Develop a critical and a constructive attitude to one's work and that of others.

GP2 Develop an ethical, social and environmental commitment.

GP3 Explain and motivate the analyses, interpret the results and present all these clearly and concisely in English.

GP4 Present research results to various audiences using the different media available.

GP5 Work in multidisciplinary international teams.


Specific proficiencies

SP1 Master the technical and IT tools needed to carry out applied studies.

SP2 Make use of quantitative documentary sources that are significant for the economic analysis of

organisations from a critical perspective.

SP3 Understand qualitative models of the firm and interpret their results.


Learning outcomes

1 Develop a critical and a constructive attitude to one's work and that of others.

2 Further investigate the differences between different organisational situations.

3 Master the technical and IT tools needed to carry out applied studies.

4 Know different statistical, econometric and mathematical programming techniques.

5 Explain and motivate the analyses, interpret the results and present all these clearly and concisely in English



Activity Hours ECTS
1- Lectures, discussions and case presentations 35 1,4
2- Training and monitoring of world in progress and cases 10 0,4
3- Reading related cases and articles and practical preparation and study 45 1,8


Relationship between formative activities and proficiencies

Profiencies Formative activities
GP1, GP2, GP3, G4, GP5, SP1, SP2, SP3 1
GP2, GP3, G4, GP5, SP1 2
GP1, GP2, GP3, G4, GP5, SP1, SP2, SP3 3






Learning outcome Evaluation Method Weight (%)
5, 2 Presentations and debates 40%
1,2,3,4,5 Exam 50%
1, 3, 4, 5 Attendance and participation 10%



1.- Introduction and Objectives

The objective of this course is to introduce students to concepts and techniques related to the design, planning, control, and improvement of manufacturing and service operations. The course provides a theoretical and empirical overview of the economics of operations management with a holistic view of operations where we stress the coordination of product development, process management, and supply chain management.

As the course progresses, we will investigate various aspects of each of these three tiers of operations in detail. We will cover topics in the areas of process analysis, production scheduling, quality improvement and supply chain management.

2.- Methods of teaching and course activities

To pursue the course objective most effectively, students will have to:

  1. Study the assigned reading materials.
  2. Prepare and discuss cases, readings, and exercises in class.
  3. Prepare for presentation and discussion 5 topics in OM.

3.- Course outline

- 1. Review of Operations Management

What Is Operations Management? . Organizing to Produce Goods and Services. The Supply Chain. What Operations Managers Do?. A Global View of Operations. Achieving Competitive Advantage Through Operations.

CurrentTopics: Production Systems: Strategic manufacturing effectiveness based on Hayes and Wheelwright´s model under review.

- 2. Quality Management

Quality and Strategy. Defining Quality. Total Quality Management. Tools of TQM, Statistical Process Control. Process Capability.

Current Topics: Internalization of quality.

- 3. Long and Medium Run Planning in Operations

Localization Strategies; Capacity Administration; Agregated Planification and SOP.

Current Topics: Clustering of Companies. ERP - SAP.

- 4. Project Management

The Importance of Project Management. Project Planning. Project Scheduling. Project Controlling

- 5. Lean Production

Just - in - Time (JIT). Toyota Production System (TPS). Lean Operations

Current Topics: Advanced Manufacturing Technologies. Green Purchasing. Flexibility.

- 6. Supply Chain Management

The Supply Chain- s Strategic Importance. Sourcing Issues: Make - or - Buy vs. Outsourcing. Six Sourcing Strategies. Supply Chain Risk. Managing the Integrated Supply Chain. Building the Supply Base

Current Topics: Suply Chain Integration. Supply Chain Integration and Open Innovation.



Topic 1.Review of Operations Management

Topic 2. Quality Management

Topic 3. Project Management

Topic 4. Lean Production

Topic 5. Supply Chain Management



Acceda a la bibliografía que su profesor ha solicitado a la Biblioteca.

Book: Heizer and Render (2014). Operations Management, 11/E. Prentice Hall.

ISBN-10: 0132921146 " ISBN-13: 9780132921145


Ahmad, S. and Schoreder, R. (2002): Refining the product-process matrix. International Jounal of Operations & Productions Management, 22, 1, 103-124.

Bayo-Moriones, A., Bello-Pintado, A.F. & Merino-Díaz-de-Cerio, J. (2010): "5S use in manufacturing plants: contextual factors and impact on operating performance". International Journal of Quality& Reliability Management, 27, 217-230.

Bayo-Moriones, A., Bello-Pintado, A.F. & Merino-Díaz-de-Cerio, J. (2011): «Quality assurance practices in the global supply chain: The effect of supplier localisation», International Journal of production Researh, 49, 255-268.

Bayo-Moriones, A., Bello-Pintado, A.F. & Merino-Díaz-de-Cerio, J. (2008): «The role of organizational context and infrastructure practices in JIT implementation» International Journal of Operations & Production Management 28, 142-166.

Helkio, P. and Tenhiala, (2011): "A contingency theoretical prerspective to product-proces matrix", International Journal of Operations & Productions Management, 33,12,216-244.

Heras-Saizarbitoria, I. & Boiral, O. 2013. ISO 9001 and ISO 14001: Towards a Research Agenda on Management System Standards. International Journal of Management Reviews, 1 (1): 47"65.

Merino-Díaz de Cerio, J., 2003. Quality management practices and operational performance: Empirical evidence for spanish industry. International Journal of Production Research, 41 (12), 2763-2786.

Narasimhan, R., Swink, M. and Viswanathan, S. (2010), "On Decisions for Integration Implementation: An Examination of Complementarities Between Product-Process Technology Integration and Supply Chain Integration", Decision Sciences, 41, 2, 355-372.

Swink, M., Narasimhan, R., and Kim, S. ( 2005), "Manufacturing practices and strategy integration: effects on cost efficiency, flexibility, and market-based performance", Decision Sciences, 36, 3, 427"457.

Swink, M., Narasimhan, R. and Wang, C., (2007), "Managing beyond the factory walls: Effects of four types of strategic integration on manufacturing plant performance", Journal of Operations Management, 25, 148"164.

Tari, J.J., Heras-Saizarbitoria, I. & Pereira, J. 2013. Internalization of quality management in service organizations. Managing Service Quality, 23 (6): 456-473.

Zhao, X. , Huo, B., Selen, W. and Yeung, J. H. Y. ,2011, "The impact of internal integration and relationship commitment on external integration," Journal of Operations Management, 29, 1/2, 17"32