Supply Materials Management

Commerce & Business Administration
Course Code
BUSN 3386
Semester Length
15 weeks
Max Class Size
Method Of Instruction
Typically Offered
To be determined


Course Description
This course provides students with analytical tools for translating production plans into material requirements in the manufacturing and service environments. Factors and constraints in planning and scheduling are analyzed and a number of techniques to achieve production goals efficiently are introduced. Topics to be covered include inventory mangement, planning material requirements to support the master schedule, capacity and priority planning, product and process design, and supply and purchasing.
Course Content

1. The Master Scheduling concept and its relationship to Production Plans
a. Master Production Schedule process
b. Rough-cut capacity planning
2. Material Requirements Planning
a. MRP objectives, roles and process
b. Basic MRP techniques
c. Bills of Material, their formats and use
d. MRP management
3. Capacity definitions and concept
a. Capacity Requirement Plan (CRP) and its inputs
b. Loading
c. Production Activity Control
d. Theory of Constraints and Drum-Buffer-Rope scheduling
4. Factors influencing product and process development
a. Make-or-buy decision
b. Purchasing
c. Supply Risk and Profit Impact Model
d. Suppliers selection and management
5. Inventory classification
a. Aggregate and item inventory management methodologies
b. Independent and dependent demand
c. Inventory valuation methods
d. Inventory audits
6. Inventory costs
a. ABC classification
b. Order quantities and methodologies
c. Lot-size decision rules
d. Order Point System
e. Safety stock
f. Periodic Review System
g. Lean production impact on inventory

Methods Of Instruction

Interactive lectures and case analysis

Means of Assessment

Group case project 20 - 30%

Assignments          15 - 20%

Participation            0 - 10%

Midterm                 20 - 25%

Final                      25 - 35%

Note:  Students must achieve a grade of at least 50% on the combined examination components to pass the course.

Learning Outcomes

After completing this course, successful students will be able to:

  • Demonstrate understanding and use the supply chain and materials management terminology and concepts;
  • Apply Master Scheduling and the Master Production Schedule (MPS);
  • Determine requirements and keep priorities current using Material Requirement Planning (MRP) and Bills of Material;
  • Apply Theory of Constraints (TOC), capacity planning and Production Activity Control (PAC);
  • Use the technique of Backward scheduling;
  • Analyze and apply measures of efficiency and utilization;
  • Apply inventory management techniques including inventory valuation using financial statements, performance measures and inventory audits, lot-size and safety stock decision rules, ABC classification, and aggregate and item inventory methodologies;
  • Evaluate make-or-buy decisions and purchasing and supplier relations, and
  • Analyze factors affecting product and process development.  
Textbook Materials

Textbooks and Materials to be Purchased by Students:

Arnold, J.R. Tony, S.N. Chapman, and L.M. Clive, Introduction to Materials Management. Latest Edition (Pearson Prentice Hall)

and Stevenson W. J., M. Hojati, Operations Management. Latest Edition  (McGraw-Hill)

or any alternative textbook/s approved by the Business Department



Minimum grade of C in [(BUSN 2429 OR MATH 1160) and BUSN 3380], permission of the instructor, OR currently active in the:
PDD Supply Chain Management AND a minimum grade of C in BUSN 3380, or
PBD Computer and Information Systems AND a minimum of C grade in BUSN 3380.






Requisite for


Course Guidelines

Course Guidelines for previous years are viewable by selecting the version desired. If you took this course and do not see a listing for the starting semester / year of the course, consider the previous version as the applicable version.

Course Transfers

Institution Transfer Details Effective Dates
Athabasca University (AU) AU MGSC 3XX (3) 2016/09/01 to -
Capilano University (CAPU) CAPU IBUS 3XX (3) 2016/09/01 to -
Coast Mountain College (CMTN) CMTN MGMT 254 (3) 2016/09/01 to 2018/08/31
College of the Rockies (COTR) COTR MGMT 3XX (3) 2016/09/01 to -
Kwantlen Polytechnic University (KPU) No credit 2016/09/01 to -
Northern Lights College (NLC) No credit 2016/09/01 to -
Simon Fraser University (SFU) No credit 2016/09/01 to -
University Canada West (UCW) UCW BUSI 2XX (3) 2016/09/01 to -
University of Northern BC (UNBC) UNBC COMM 3XX (3) 2016/09/01 to -
University of the Fraser Valley (UFV) UFV BUS 3XX (3) 2016/09/01 to -
University of Victoria (UVIC) UVIC COM 3XX (1.5) 2016/09/01 to -

Course Offerings

Winter 2021

There aren't any scheduled upcoming offerings for this course.