INE4207 Inventory Planning and ControlBahçeşehir UniversityDegree Programs MANAGEMENT ENGINEERINGGeneral Information For StudentsDiploma SupplementErasmus Policy StatementNational QualificationsBologna Commission
MANAGEMENT ENGINEERING
Bachelor TR-NQF-HE: Level 6 QF-EHEA: First Cycle EQF-LLL: Level 6

Course Introduction and Application Information

Course Code Course Name Semester Theoretical Practical Credit ECTS
INE4207 Inventory Planning and Control Fall
Spring
3 0 3 6
This catalog is for information purposes. Course status is determined by the relevant department at the beginning of semester.

Basic information

Language of instruction: English
Type of course: Departmental Elective
Course Level: Bachelor’s Degree (First Cycle)
Mode of Delivery: Face to face
Course Coordinator :
Course Lecturer(s): Instructor ÖZLEM KANGA
Recommended Optional Program Components: INE4997, INE4998, INE4202
Course Objectives: In this course students will find insightful discussions about the role of inventory in organizations and core concepts of inventory management. This course gives detailed
explanations about fundamental inventory control procedures and their usage. The objective of this course are to provide students with
• a through understanding of basic inventory models
• mathematical models used to analyze and optimize inventory systems
• various application areas of inventory models through case studies and relevant examples.

Learning Outcomes

The students who have succeeded in this course;
I. State the reasons for keeping inventory in an organization
II. Describe the key performance indicators used to evaluate the performance of inventory managers. Calculate inventory turnover rate, return-on-assets
III. Illustrate inventory – time graph
IV. Calculate average inventory and backorder from the inventory-time graph
V. Calculate economic order quantity
VI. Calculate economic order quantity with discounts or backorders or inflation
VII. Describe a reorder-point order quantity policy
VIII. Measure the performance of an inventory policy with given reorder point and order quantity
IX. Find optimal reorder point
X. Describe order-up-to-level policy. Measure its performance and find the optimal order-up-to level
XI. Describe the differences between periodic and continuous review systems
XII. Find the optimal order quantity for a newsvendor model

Course Content

Inventory control concepts, Economic order quantity (EOQ), EOQ with backorders, EOQ with inflation, EOQ with delayed payment, EOQ with discounts, Safety stock, rorder point order quantity policies, backorders costs, service levels, base stock models, periodic review inventory control systems, newvendor model.

Weekly Detailed Course Contents

Week Subject Related Preparation
1) State the reasons for keeping inventory in an organization.
2) Describe the key performance indicators used to evaluate the performance of inventory managers. Calculate inventory turnover rate, return-on-assets.
3) Illustrate inventory – time graph.
4) Calculate average inventory and backorder from the inventory-time graph.
5) Calculate economic order quantity.
6) Calculate economic order quantity with discounts or backorders or inflation.
7) Economic order quantity applications
8) Describe a reorder-point order quantity policy.
9) Measure the performance of an inventory policy with given reorder point and order quantity.
10) Find optimal reorder point.
11) Describe order-up-to-level policy. Measure its performance and find the optimal order-up-tolevel.
12) Describe the differences between periodic and continuous review systems II.
13) Describe the differences between periodic and continuous review systems.
14) Find the optimal order quantity for a newsvendor model.

Sources

Course Notes / Textbooks: Edward A. Silver, David F. Pyke and Rein Peterson, ”Inventory Management and Production Planning and Scheduling”, 3rd ed.
John Wiley and Sons.
References: Donald Waters, ”Inventory Control and Management”, 2nd ed. John Wiley and Sons

Evaluation System

Semester Requirements Number of Activities Level of Contribution
Application 1 % 10
Homework Assignments 7 % 15
Midterms 2 % 40
Final 1 % 35
Total % 100
PERCENTAGE OF SEMESTER WORK % 65
PERCENTAGE OF FINAL WORK % 35
Total % 100

ECTS / Workload Table

Activities Number of Activities Duration (Hours) Workload
Course Hours 14 3 42
Study Hours Out of Class 12 8 96
Midterms 1 2 2
Final 1 2 2
Total Workload 142

Contribution of Learning Outcomes to Programme Outcomes

No Effect 1 Lowest 2 Low 3 Average 4 High 5 Highest
           
Program Outcomes Level of Contribution
1) Build up a body of knowledge in mathematics, science and engineering subjects; use theoretical and applied information in these areas to model and solve engineering problems.
2) identify, formulate, and solve complex engineering problems; select and apply proper analysis and modeling methods for this purpose.
3) Design a complex system, process, device or product under realistic constraints and conditions, in such a way as to meet the desired result; apply modern design methods for this purpose. (Realistic constraints and conditions may include factors such as economic and environmental issues, sustainability, manufacturability, ethics, health, safety issues, and social and political issues, according to the nature of the design.)
4) Devise, select, and use modern techniques and tools needed for engineering management practice; employ information technologies effectively.
5) Design and conduct experiments, collect data, analyze and interpret results for investigating engineering management problems.
6) Cooperate efficiently in intra-disciplinary and multi-disciplinary teams; and show self-reliance when working independently.
7) Demonstrate effective communication skills in both oral and written English and Turkish.
8) Recognize the need for lifelong learning; show ability to access information, to follow developments in science and technology, and to continuously educate him/herself.
9) Develop an awareness of professional and ethical responsibility.
10) Know business life practices such as project management, risk management, and change management; develop an awareness of entrepreneurship, innovation, and sustainable development.
11) Know contemporary issues and the global and societal effects of engineering practices on health, environment, and safety; recognize the legal consequences of engineering solutions.
12) Develop effective and efficient managerial skills.