Chapter 1 Flashcards
How theme parks and resorts like Disneyland creates value for people of all ages? They focus on:
- training employees
- Use of technology (e.g., facility layout, lighting,
signage, music) - Process design issues like efficient waiting lines
- Continuous improvement of everything they do
- Provide excellent service encounters (interactions between customer & service provider)
Operations management (OM)
is the science and art of ensuring that goods and services are created and delivered successfully to customers.
________ is the science and art of ensuring that goods and services are created and delivered successfully to customers.
Operations management (OM)
The principles of OM help one to view a business enterprise as a _____ ____, in which all activities are coordinated, not only vertically throughout the organization, but also horizontally across multiple functions.
total system
Total system
total system looks at the corporation as one unit
How many units does the total system look at?
one unit
What are examples of standardized goods
Dunkin Donuts
What are examples of Customized goods
- Nike shoes
- Wedding planning
Production management
based on product
Whats’s a synonym Operations management
Supply chain Management
What do operations managers do? (12)
- Forecasting
- Planning
- Purchasing
- supply chain management
- facility layout and design 6. technology selection
- quality management
- resource and capacity management
- process design
- job design
- service encounter design 12. scheduling
What are examples of operations managers?
- Chief Operating Officer
- Hotel or Restaurant Manager
- Vice President of
- Manufacturing
- Customer Service Manager
- Plant Manager
- Field Services Manager
- Supply Chain Manager
A ____ is a physical product that you can see, touch, or possibly consume. Examples: oranges, flowers, soap, televisions, airplanes, fish, furniture, coal, lumber, personal computers, paper, and industrial machines
good
A ______ _____ is a product that typically lasts at least three years. Examples: vehicles, dishwashers, and furniture.
durable good
A _____ is any primary or complementary activity that does not directly produce a physical product. Examples: legal service, accounting service, travel by air or bus, and warranty.
service
How much percentage of the jobs in the U.S. economy are in the service sector?
~ 80-90% of the jobs in the U.S. economy are in the service sector
Does the total system look at the corporation vertically or horizontally?
Horizontal
True or false: Can services be considered as standardized or customized good
True
(3) Examples of High Goods Content
Toothpaste
Bicycle
Medicine Prescription
What are Low Goods Content
Intangible, Pure Service
What are High Goods Content
(Tangible, Pure Goods)
3 Examples of Low Goods Content
Psychiatric Session
Symphony, Play, and Movie
College
[He said this will be on the test]
(3) Similarities Between Goods and Services
- Goods and services provide value and satisfaction to customers.
- They both can be standardized or customized to individual wants and needs.
- A process creates and delivers each good or service, thus, OM is a critical skill.
Differences Between Goods and Services
- Goods are tangible while services are intangible.
- Customers participate in many service processes, activities, &
transactions. - The demand for services is more difficult to predict than demand for
goods. - Goods can be stored as physical inventory while services can’t be
stored. - Service management skills are paramount to a successful service
encounter. - Service facilities typically need to be in close proximity to the
customer. - Manufacturing facilities can be located anywhere in the world.
- Patents do not protect services.
