Goods and or services in different industries

Question 1

Goods in different industries?

Answer 1

Operations decisions will vary for goods depending on whether they are standardised goods (mass produced, uniform in quality, predetermined level of quality, e.g. cheeseburger at McDonalds) or customised goods (vary according to needs of consumers e.g. a personalised Daily Edited wallet).

The layout of operational processes will vary depending on whether goods produced are undifferentiated or not.

Can be classified by the following:

Perishable goods - High standards of quality, safety and the cleanliness in all operating processes
Very short lead and distribution that is as quick and effective as possible
appropriate and robust packaging and cold storage processes both through production and distribution e.g. meat and milk

Non-perishable goods - Manage all aspects of quality in the process, from sourcing through to production and distribution
Implement effective inventory management strategies to market demand in order not to over produce e.g. Electrical, footwear,
Motor vehicles,

Intermediate goods - A feature of production process is that sometimes good may be processed more than once. Goods having gone through one set of operations may then become inputs into further processing e.g. A manufacturer converts steel into tiny screws these are then used in electronic goods, wood, coffee beans, bumper plates

Question 2

Services in different industries?

Answer 2

Services

Services can be both standardised and customised. For example, most people visiting a general practitioner (GP) may receive a standard service e.g. medicine for a flu or a sore muscle, whereas a person visiting a medical specialist is highly likely to receive a customised service e.g. brain surgery.

Self-service means encouraging the customers to take the initiative to help themself. Some industries seek to encourage self-service. However, this can have both positive and negative consequences for a consumer.