ÇANKAYA UNIVERSITY
Faculty of Engineering and Architecture
Industrial Engineering Department
IE 471 – Inventory Planning and Control (3 0 3)
Spring 2012
Benhür SATIR
Office: L310, Tel.: 233 13 68
E-Mail: [email protected]
URL: ie471.cankaya.edu.tr
IE 471 – Inventory Planning and Control (3 0 3)
Spring 2012
Justification
Inventory planning and control is widely used in industrial engineering discipline. In fact, the
success of inventory management is well known in the real life. Therefore, understanding and
building such models has utmost attention. Industrial engineering students will have an
introductory level of theoretical side of inventory planning and control models and solution
algorithms by the department’s specific courses. This course will extend their knowledge and
technique in inventory planning and control to the state of art.
Course Description
The aim of this course is to develop better skills in understanding, formulating and building
inventory planning and control models. Inventory policies for known demand and time
varying demand, for uncertain demand and for special items are analyzed. Real life cases are
studied. Software packages are used for solving the models.
Course Objectives
1. Developing better understanding of inventory systems, and planning and control
purposes.
2. Learning various models for different situations, and their solution methods.
Learning Outcomes
1. Better understanding of inventory planning and control
2. Developing better skills in model building and analysis of the inventory systems.
3. Solving models and interpretation of the results for implementation.
Office hours
There will be no office hours but students are welcome to visit the instructor based upon
appointment. Appointment may be requested by any means of communication including email, SMS, phone call, facebook message, etc.
Texts
Silver, E.A., Pyke, D.F., Peterson, R., (1998), Inventory Management and Production
Planning and Scheduling, 3rd ed., John Wiley & Sons Inc. (3 copies exist at reserve)
Nahmias, S., (1999), Production and Operations Analysis, 3rd ed., McGraw Hill Inc.
Lectures
Lectures will be conducted between 13:40 and 16:30 on Wednesdays at classroom LB07.
Prerequisites
There is no prerequisites but it is highly recommended that students should have taken and be
successful from IE 362 course.
Web page: Every student is responsible to check the web site of the course,
ie471.cankaya.edu.tr, regularly (at least twice a week); and responsible for the material of the
week, and the course in general. All the related announcements, lecture notes, grades,
attendance and other information will be uploaded.
Tentative Course Schedule
Week
1
(Feb 13-17)
2
(Feb 20-24)
3
(Feb 27-Mar 2)
4
(Mar 5-9)
5
(Mar 12-16)
6
(Mar 19-23)
7
(Mar 26-30)
8
(Apr 2-6)
9
(Apr 9-13)
10
(Apr 16-20)
11
(Apr 24-271)
12
(April 30-May 4)
13
(May 7-11)
14
(May 14-18)
Topic
No lecture due to registration to IE electives
Inventory Management Issues – An overview
Inventory Policies for Known Demand and Time Varying Demand: EOQ Model
Inventory Policies for Known Demand and Time Varying Demand: Discount
Models, Capacitated Case
Inventory Policies for Known Demand and Time Varying Demand: Multi-item
Case, Exchange Curves
Inventory Policies for Uncertain Demand: Overview of continuous ((s,Q), (s,S))
and periodic ((R,S), (R,s,S)) systems
Inventory Policies for Uncertain Demand: Optimal policies for continuous
systems under cost criterion
Inventory Policies for Uncertain Demand: Optimal policies for continuous
systems under service level criterion
Inventory Policies for Uncertain Demand: Analogy between cost and service level
criteria
Inventory Policies for Uncertain Demand: Optimal policies for periodic systems
Inventory Policies for Special Items: Class A items
Inventory Policies for Special Items: Class C items
Inventory Policies for Special Items: Style goods and perishable items
Complexities of multiple items and multiple locations
Computer Usage
Software packages may be used often for solving related models built by students. Several IE
packages will be used, including optimization packages and MS Excel.
Tentative Grading
Assessment Tool
Homework
Midterm Exam
Project
Final Exam
Quantity
3
1
1
1
Percentage
10
30
25
35
Project
Projects will be performed by groups of 3 students. The main idea of the project is
“controlling the inventory of your refrigerator”. Students are expected to start making a
1
Plausibly no lectures will be held on April 25, but there will be an announced backup.
list of inventory items, their movements and other information for each day starting from the
first week. Details will be announced on course web page.
Make-Ups
If a student misses the midterm exam and/or final exam with a valid excuse, then she/he will
get a make-up exam. There will be a single make-up exam (for midterm or for final)! This
single make-up exam will probably be made 10 days after the final exam.
Assignments
Unless the assignment specifies otherwise, you must work individually. Otherwise, based on
the past experience (which does not apply yet for you), there will be disciplinary
consequences. Solution sets will be accepted up to one week after the due date. Late
assignments (any that come in after the beginning of the period on the due date) will receive a
maximum grade of 70 %. However, once an individual keeps on handing in several late
assignments, they will no longer be accepted. Use engineering paper (A4), one side of each
page; begin each problem on a new page. Each completed assignment should be in
handwriting except the software outputs. Staple the pages and do not forget to write your
name(s). You are encouraged to use one side used papers by crossing the unused side. You
will be given one week for each homework.
Attendance
The attendance will be recorded at all times in lecture hours (3 hours/week). According to
rules and regulations, anyone who attends less than a certain limit will get NA as a final
grade.
Lecture notes
Lecture notes will be published on the course web site one day after the lecture.
Group Work
Students will conduct some tasks in groups. For each group work, each student will evaluate
the performance of other group members to grade the individual performances.
Academic Integrity:
The students, who are expected to be a graduate of Çankaya University
Department of Industrial Engineering, are expected to act honestly and follow an ethical conduct.
Therefore, any form of dishonesty will not be tolerated. This means throughout this course, you
only get credit for your (in exams, quizzes) or your group’s (in homeworks, case study) individual
work.
Honor Code: Every Industrial Engineering Department student should declare her/his
understanding and belief in the Honor Code stated by the department for the examinations and
assignments:
Exam:
Please read the following Honor Code carefully. Then write I agree. [Kabul ediyorum.] and sign
underneath to show your understanding and belief in the Honor Code.
I hereby declare that I have neither given nor received any aid during the exam. [Sınav sırasında hiç
kimseden hiçbir şekilde yardım almadığıımı ve hiçbir kimseye hiçbir şekilde yardım etmediğimi beyan
ederim.]
Assignment:
For individual assignments, each student (for team work assignments, only one member of the study
team) should write the following Honor Code with her/his own handwriting on the cover page of your
assignment report, and each student should sign underneath.
I(We) hereby declare that, except where I (we) have indicated, the work I (we) am (are) submitting in
this assignment (project, report, ...)is my (our) own work. [Sunmakta olduğum (olduğumuz) bu ödevin
(projenin, raporun,...), belirttiğim (belirttiğimiz) kısımların haricinde, tamamen kendi eserim
(eserimiz) olduğunu beyan ederim (ederiz).]