MANAGEMENT SCIENCE FOR COMPETITIVE ADVANTAGE
2005
Professor Peter Bell
 

OBJECTIVES
The objective of these sessions is to introduce you to the use of Management Science/Operational Research (MS/OR) as a competitive weapon: we shall examine the ways that globally competitive corporations are using MS/OR to achieve a sustainable competitive advantage.
 

TEXTS
On-line Revenue management course at : www.strategicmanagementscience.com

Management Science/Operations Research: A Strategic Perspective, Peter C. Bell, published by South Western College Publishing, Cincinnati, Ohio, 1999.

Assignments are in MS/OR: A Strategic Perspective unless otherwise indicated
 

SESSION OUTLINE and ASSIGNMENTS
1. Introduction
 

MODULE 1: OPTIMIZATION AND REVENUE MANAGEMENT
2. Optimization Review
  Read:

Case:

 Text: Introduction, and Chapters 1, 2, and 4, particularly the part on using Solver. Examples in Chapter 4 -- Canada Packers, Scott, Routing, Military Airlift Command, SADIA
TransTech Venture Partners (Ivey)
3. Case: AgrEvo International, Inc. (p. 136)
4. Company:
Case:		 Aspen Technologies (AZPN)
Berbarian Ball Bearings, Inc. (p. 146)
5. Company:
Case:		 Oracle (ORCL)
Vytec: Warehouse Layout (Ivey)
6. RM Intro and Demand Modelling
  Company:
Case:		 Matrikon (To - MTK)
Craggier National Park (Ivey)
  Read: Chapter 7: MS/OR as a Strategic Weapon
Chapters 1, 2 and 3 of Revenue Management course.
This course is on the www. Login details will be given in class.
  Assignment: Try the demand modelling exercises at the end of Chapter 3.
The data for problem 3 is in an Excel file.
7. Pricing
  Company:
Case:		 Descartes Systems (To - DSG)
On-Line Low Price Guarantees -- Dollar.com (A) (Ivey)
  Read: Computing Rev. Maximizing prices (Chapter 4 in the on-line course)
  Assignment: Try the pricing exercises at the end of Chapter 4
8. Discount Allocation
  Company:
Read:		 Sabre (TSG)
Discounting (Chapter 6 of the on-line Revenue Management course)
  Assignment: Try the discount allocation exercises.
9. Overbooking and Replaning
  Company:
Read:		 RETEK (RETK)
Overbooking (Chapter 7 of the on-line Revenue Management course)
  Case: TBA
10. Company:
Case:		 Kronos (KRON)
The Hooker Group (Ivey)
  Assignment: How might the financial affairs of the Hooker Group be untangled?
EVALUATION WEEK/BREAK WEEK
     

MODULE 2: SIMULATION
11. Company:
Case:		 Manhattan Associates (MANH)
South African National Defense Force (INFORMS)
  Assignment:
  1. As a member of the project team, how would you define the “size and shape problem”?
  2. What is an appropriate objective for the SANDF? How can this objective be quantified?
  3. Develop a mathematical programming formulation for the “size and shape problem”.
12. Read: Chapter 3: Analysing Sequential Decisions
  Company:
Case:		 Brooks Automation (BRKS)
Research and Development at ICI: Anthraquinone (page 66)
13. Read: Chapter 5: Simulating the Future (pp. 163-188)
  Company:
Case:		 i2 (ITWH-PK)
Charles River Jazz Festival (Harvard)
14 Company:
Case:		 ProModel (www.promodel.com)
Dofasco Limited: Lance Desulphurizing Plant (p. 203)
  Assignment: Should the engineering modifications be made?
     

MODULE 3: STRATEGIC MS/OR
15. Company:
Case:		 Logility (LGTY)
Columbus America Discovery Group and the SS Central America (p. 212)
  Assignment:
  1. How might you develop a probability map of the area where the SS Central America went down?
  2. If you had such a map, how would you develop a search plan for this area that takes into account the characteristics of the Columbus-America's side scan sonar, and maximizes the probability of finding the wreck?
16. Read: Chapter 7, MS/OR as a Strategic Weapon (pp. 297-315)
  Company:
Case:		 ILOG (ILOG)
Vilpac Truck Company (Ivey)
  Assignment:
  1. What are Vilpac's objectives? Are these reasonable in the light of Vilpac's location and organizational strengths?
  2. The IDEF0 functional models appear to have brought Vilpac a long way towards achieving its objectives. How might Vilpac take the next step forward?
    (Note: A search of the World Wide Web will find a great number of www sites that describe IDEF0 modeling in great detail.)
17. Company:
Case:		 Manugistics (MANU)
The Stephen B. Roman (p. 287)
18. Read: Chapter 7: MS/OR as a Strategic Weapon, including the review of MS/OR at American Airlines (pp. 315-323)
  Companies:
Case:		 JDA Software (JDAS) and WorkBrain (To - WB)
Airline Flight Crew Scheduling
  Assignment: Try to understand the flight crew scheduling problem and the fleet assignment problem and the way the airlines solve these. How can they improve on their solutions?
Are there lessons to be learned here for other organizations?
19. Company:
Case:		 CACI International (CAI)
Procter and Gamble: North American Supply Chain Restructuring (INFORMS)
  Assignment:
  1. What was Procter and Gamble's objective for its North American supply chain restructuring?
  2. What major problems must be addressed during the supply chain restructuring?
  3. As a member of the primary analytical strategy team what concepts and models would you use to reengineer P&G's product-sourcing and distribution system for its North American operations?
20. Company: Visitor
21. Companies:
Case:		 Fair Isaac (FIC) and PROS Revenue Management (www.prosrm.com)
Texas Children's Hospital (Ivey)
22. Read: Review: Chapter 7: MS/OR as a Strategic Weapon (pp. 323-334)
  Company:
Case:		 Algorythmics (www.algorithmics.com)
Merit Brass (INFORMS)
  Assignment:
  1. What major issues are facing Merit Brass Company?
  2. How can Merit address these issues?
    Wrap-up