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

lowing systems:

Chapter 2 Questions

1. Can a factory be fast, dependable, flexible, produce high-quality products, and still provide poor service from a customers perspective? Yes, if a customers 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 tradeoffs 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.

BUSN 6110 Operations Project Management

Summer, 2008 Week 1

Burnett Isenberg

Page 34 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 2300 325 3 Feb 1800 200 5 Mar 2800 400 4 Apr 3000 320 4

Units produced Hours per machine 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 4,000 units sold 6,000 units sold 20,000 hours 30,000 hours $/Unit $8,000/car $9,500/car $12/hour $14/hour

Deluxe car Limited car Labor, Deluxe Labor, Limited

Model

Output in Units 4,000 6,000

Input in Labor Hours 20,000 30,000

Productivity (Output/Input) 0.2 0.2

Deluxe Car Limited Car

Model

Output in Dollars 4,000($8,000)= $32,000,000

Input in Dollars 20,000($12.00)= $240,000 30,000($14.00)= $57,000,000 $420,000

Productivity (Output/Input) 133.33

Deluxe Car

Limited Car

6,000($9,500)=

135.71

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.

BUSN 6110 Operations Project Management

Summer, 2008 Week 1

Burnett Isenberg

Page 64 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:
trained Calloway handicapping

Grounds maintenance

Attractive restaurant

Tournament Activities

Exciting door prizes

Highly rated chefs

Top quality food

Course location

Perception Issues

Customer attendants

Physical Aspects

Service Facilities

Types of guest

Tee placement

Course tuning

Invitation only

Pin placement

Landscaping

Income level

Physical Aspects Manicured grounds Easy access Challenging Service Facilities 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 Perception Issues Prestigious

Celebrity