Christ the King

College Calbayog City

Management 101
Prelim Exam

1. Many organizations offer a combination of goods and services to their customers. As

you learned in this chapter, there are some key differences between production of goods
and delivery of services. What are the implications of these differences relative to
managing operations?

- According to my research, there are many implications due to the differences

between service and manufacturing operations. For example, in a service firm,
because the degree of customer contact is high, we have to make sure that employees
are better trained in customer service than employees in a manufacturing industry
are. In a pure-service industry firm, we will build a lot of slack in scheduling because
of the uncertainty of input.

2. Why is it important to match supply and demand? If a manager believes that supply and
demand will not be equal, what actions could the manager take to increase the
probability of achieving a match?
- Complicated demand streams, separate product life cycles, different departmental
business processes, so many forecasts throughout business, sales & operations plans
which do not sync ups. All of those have been the key challenges which may
severely impact balance in between the supply as well as demand for customer
driven enterprise of these days. It’s important to match supply and demand because it
effects cost and how efficient which has a direct effect on the company’s profit.
When we have too much supply on hand we are paying for storage only. If we are
not stock to the customers demand we would lose sales and profit. This can be
corrected by the manager by taking a few steps to match supply and demand for
example demand forecasting, Sales and operation planning, supply demanding and
demand management.
3. One way that organizations compete is through technological innovation. However,
there can be downsides for both the organization and the consumer. Explain.
- Innovations might be product or service related, or process related. These
typically involve added cost and time for training and possibly new equipment or
equipment changes, and potential changes for the supply chain (e.g., new suppliers,
new delivery requirements, etc.). Process innovations can be disruptive to the
workforce due to lower labor or machine time requirements, which may result in job
loss, retraining, and/or lower worker morale. New products or services also probably
will involve new advertising campaigns or other promotions, and the need for
consumer education. Consumers will have to adjust to new products or services, and
may have some difficulty if innovations entail increased complexity.

4. a. What are some possible reasons a business person would make an unethical decision?

- Pressure to Succeed, employees may choose to act unethically based on unrealistic

expectations to succeed. Employees are afraid to speak up, another reason employees
don’t report unethical behaviour is that they are fearful of the consequences. Lack of
training, many organizations make the mistake of assuming their employees
understand which behaviours are unethical. There’s no policy for reporting
employees, also need to know how to report potential ethics violations. Managers
setting bad examples, many instances of unethical behaviour stem from the examples
set by the employee’s manager.

b. What are the risks of doing so?

- The most significant risk of doing unethical decision are decreased productivity,
increased misconduct and conflict internally, decreased performance levels of
employees and Decreased success of retention and recruitment of employees.

Prince Charles F. Calesa

BSA 1B