SOLUTION MANUAL
Operations and Supply Chain Management, 17th Edition
by F. Robert Jacobs and Richard Chase
Chapters 1 - 22 | Complete
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TABLE OF CONTENTS
Chapter 1: Introduction
Chapter 2: Strategy
Chapter 3: Design of Products and Services
Chapter 4: Projects
Chapter 5: Strategic Capacity Management
Chapter 6: Learning Curves
Chapter 7: Manufacturing Processes
Chapter 8: Facility Layout
Chapter 9: Service Processes
Chapter 10: Waiting Line Analysis and Simulation
Chapter 11: Process Design and Analysis
Chapter 12: Quality Management
Chapter 13: Statistical Quality Control
Chapter 14: Lean Supply Chains
Chapter 15: Logistics and Distribution Management
Chapter 16: Global Sourcing and Procurement
Chapter 17: The Internet of Things and ERP
Chapter 18: Forecasting
Chapter 19: Sales and Operations Planning
Chapter 20: Inventory Management
Chapter 21: Material Requirements Planning
Chapter 22: Workcenter Scheduling
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CHAPTER 1
OPERATIONS AND SUPPLY CHAIN MANAGEMENT
Discussion Questions
1. UsingEExhibitE1.3 as a model, describe the source-make-deliver-
return relationships in the following systems:
a. An airline
Source: AircraftEmanufacturer, in-flight food, repair parts, computer systems
Make: Aircraft and flight crew scheduling, ground services provided at airports, ai
rcraftEmaintenance and repair
Deliver: Outbound and arriving passengerEservice, baggageEhandling
Return: Resolve any post-
service issues such as lostEor damaged luggage
b. An automobile manufacturer
Source: Suppliers of components and raw materials
Make: Manufacturing of vehiclesEand components orEsubassemblies to be sold as sp
are parts
Deliver: Delivery to and sales from dealerships, deliveryEof spare parts to the whol
esalesystem
Return: Warranty and recall repairs, trade-ins
c. A hospital
Source: Medical supplies, cleaning services, disposal services, food services, qualifie
dpersonnel
Make: Inpatient rooms, outpatient clinics, emergency room, operating rooms
Deliver: Scheduling patients, providing treatment, ambulance service, family counse
ling Return: Billing errors, follow up visits
d. An insurance company
Source: Supplies needed for the office, underwriters, legal authority to operate
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Make: Establish policyEguidelines and pricing, field agent/representative and facili
ty network, develop InternetEservice capabilities, establish preferred vehicle repair
service network
Deliver: MeetEwith and advise clients, write policies, process and payEcl
aimsEReturn: refund ofEoverpayments
2. Define the service package of your college or university. What is its strongest element? W
hat is its weakest one?
The categories with examples are:
Supporting facility -
location, buildings, labs, parking Facilitating goods –
class schedules, computers, books, chalk
ExplicitEservices –
classes with qualified instructors, placementEofficesEImplicitEservic
es – status and reputation (e.g., Ivy League schools)
At Indiana University and the University of Southern California, among their strongest
elements are their business schools and theirEOperations Management programs (of cou
rse).Both also have very dedicated alumni networks. A weak elementEofEIndiana Univers
ity is its weakEfootball program; for USC, weak elements are on-
campus parking and housing.
3. What service industry has impressed you the most with its innovativeness?
Our vote goes to cruise lines which have introduced such onboard innovationsEas wave
machines for belly boarding and rock climbing walls, as well as all sorts of other ameni
ties tokeep cruisers involved. The industry is doing record business as well.
SomeEof the standout companies in less innovative industries are Bank of America (has a
formalized research program to try out new customer services/amenities such as video sc
reensin nextEto teller lines), Intuit (e.g., putting Quicken money managementEsoftware onl
ine), Ikea, JetBlue Airlines, and ProgressiveEInsurance (discussed later in the book).
4. What is product-service bundlingEand whatEare the benefits to customers?
Product-service bundling is adding Value-
added services to a firm’s product offerings to createmore value forEtheEcustomer. This pr
ovidesEbenefits in two areas. First, this differentiates theorganization from the competitio
n. Secondly, these services tie customers to the organizationin a positive way. Alternativel
y, bundling can also involve adding products to a service, for example, adding the sale of
convenience items and snacks atEa hotel.
5. What is the difference between a service and a good?
A service is an intangible process (you can’t hold itEin your hands), while a good is the p
hysicaloutputEofEa process.
6. Look at the job postings at http://www.indeed.com and evaluate the opportunities
for an OSM major with several years of experience.
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