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Chapter 1 Questions
3.      Using Exhibit 1.3 as a model, describe the source-make-deliver-return relationships in the following systems:
a.       An airline
Source: Aircraft manufacturer, In flight food,
Make: Major service provided at airports
Deliver: Arriving at the destinations city
Return: Resolve any issues such as lost or damaged luggage
b.      An automobile manufacturer
Source: Suppliers of components and raw materials
Make: Physical facilities
Deliver: Car Dealers
Return: Warranty claims

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Chapter 2 Questions
1.      Can a factory be fast, dependable, flexible, produce high-quality products, and still provide poor service from a customer’s perspective?
Yes, if a customer’s needs are not considered and does not influence strategy development, an organization could be delivering the wrong service or product. Even though the product or service is delivered fast, dependable, and flexible in design and features and is of high technical quality, overall service could be rated “poor” by a customer who demands a different mix of features and attributes. It is often best not to be fastest to the market, but to be the best firm in the market as judged by the ultimate customer.
3.      What are the major priorities associated with operations strategy? How has their relationship to each other changed over the years?
The four major imperatives are cost, quality, delivery, and flexibility. In the sixties, these four imperatives were viewed from a tradeoff’s perspective. For example, this meant that improving quality would result in higher cost. However, more recent thought posits that these four imperatives can improve simultaneously, and in many industries may be necessary for success. The problem then becomes one of prioritizing and managing towards orderly improvement.
9.      What is meant by the expressions order winners and order qualifiers? What was the order winner(s) for your last purchase of a product or service?
Order winners are dimensions that differentiate the product or service or services of one firm from another. Order qualifiers are dimensions that are used to screen a product or service as a candidate for purchase. Obviously, answers will vary for the order winners from your last purchase.
10. What do we mean when we say productivity is a “relative” measure?
For productivity to be meaningful, it must be compared with something else. The comparisons can be either intra-company or intercompany as in the case of benchmarking. Intercompany comparisons of single factor productivity measures can be somewhat tenuous due to differences in accounting practices (especially when comparing with foreign competitors). Total factor productivity measures are somewhat more robust for comparison purposes.

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3 5 4 4

units sold

units sold

hours

hours

4,000 20,000

6,000 30,000 0.2

Model Output Input Productivity

in Dollars (Output/Input)

Deluxe Car

Limited Car

1. As operations manager, you are concerned about being able to meet sales requirements in the coming months. You
have just been given the following production report:
Jan Feb Mar Apr
Units produced 2300 1800 2800 3000
Hours per machine 32

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5 200 400 320
Number of machines
Find the average monthly productivity (units per hour).
Average productivity (2.36+1.80+1.75+2.34)/4= 2.06
4. Two types of cars (Deluxe and Limited) were produced by a car manufacturer in 2008. Quantities sold, price per
unit, and labor hours follow. What is the labor productivity for each car? Explain the problem(s) associated with
the labor productivity.
Quantity $/Unit
Deluxe car 4,000 $8,000/car
Limited car 6,000 $9,500/car
Labor, Deluxe 20,000 $12/hour
Labor, Limited 30,000 $14/hour
Model Output Input Productivity
in Units in Labor Hours (Output/Input)
Deluxe Car 0.2
Limited Car
in Dollars
4,000($8,000)= 20,000($12.00)= 133.33
$32,000,000 $240,000
6,000($9,500)= 30,000($14.00)= 135.71
$57,000,000 $420,000

&LBUSN 6110
Operations & Project Management&CSummer, 2008
Week 1&RBurnett Isenberg

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Chapter 3 Questions
1.      Describe the generic product development process described in this chapter. How does this process change for “technology push” products?
Products that are developed using the “technology push” would be more narrowly focused in phase 0 and phase 1 of Marketing. There focus would be narrower because you would only look at market segments that could benefit from the application of your technology. The rest of the generic process may be somewhat less complex as well since the technology of the product current exist in your manufacturing facilities.

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Physical Aspects
Service Facilities
Perception Issues
4. The chart below is a partial house of quality for a golf country club. Provide an importance weighting from your perspective (or that of a golfing friend) in the blue shaded areas.
If you can, using the QFD approach, compare it to a club where you or your friends play.
Answers may vary:
WHAT’s vs. HOW’s
Strong Relationship:
Medium Relationship:
Weak Relationship:
Physical Aspects Course location Grounds maintenance Landscaping Pin placement Course tuning Tee placement Service Facilities Customer trained attendants Top quality food Highly rated chefs Attractive restaurant Tournament Activities Calloway handicapping Exciting door prizes Perception Issues Invitation only Types of guest Income level Celebrity
Manicured grounds
Easy access
Challenging
Restaurant facilities
Good food
Good service
Good layout
Plush locker room
Helpful service attendants
Tournament Facilities
Good tournament prize
Types of players
Fair handicapping system
Prestigious

&LBUSN 6110
Operations & Project Management&CSummer, 2008
Week 1&RBurnett Isenberg

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