Operations and Supply Chain Management
SOLUTION MANUAL
Operations and Supply Chain Management, 17th Edition
by F. Robert Jacobs and Richard Chase
Chapters 1 - 22 | Complete
1-1
, Operations and Supply Chain Management
• 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
1-2
, Operations and Supply Chain Management
CHAPTER 1
OPERATIONS AND SUPPLY CHAIN MANAGEMENT
Discussion Questions
1. 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, repair parts, computer systems
Make: Aircraft and flight crew scheduling, ground services provided at airports, aircraft
maintenance and repair
Deliver: Outbound and arriving passenger service, baggage handling
Return: Resolve any post-service issues such as lost or damaged luggage
b. An automobile manufacturer
Source: Suppliers of components and raw materials
Make: Manufacturing of vehicles and components or subassemblies to be sold as spare
parts
Deliver: Delivery to and sales from dealerships, delivery of spare parts to the wholesale
system
Return: Warranty and recall repairs, trade-ins
c. A hospital
Source: Medical supplies, cleaning services, disposal services, food services, qualified
personnel
Make: Inpatient rooms, outpatient clinics, emergency room, operating rooms
Deliver: Scheduling patients, providing treatment, ambulance service, family counseling
Return: Billing errors, follow up visits
d. An insurance company
Source: Supplies needed for the office, underwriters, legal authority to operate
1-3
, Operations and Supply Chain Management
Make:jEstablishjpolicyjguidelinesjandjpricing,jfieldjagent/representativejandjfacilityjnetw
ork,jdevelopjInternetjservicejcapabilities,jestablishjpreferredjvehiclejrepairjservicejnetwor
k
Deliver:jMeetjwithjandjadvisejclients,jwritejpolicies,jprocessjandjpayjclaimsjRet
urn:j refundjofjoverpayments
2. Definejthejservicejpackagejofjyourjcollegejorjuniversity.jWhatjisjitsjstrongestjelement?jWhatjisjitsjwe
akestjone?
Thejcategoriesjwithjexamplesjare:
Supportingjfacilityj-
jlocation,jbuildings,jlabs,jparkingjFacilitatingjgoodsj–
jclassjschedules,jcomputers,jbooks,jchalk
Explicitjservicesj–
jclassesjwithjqualifiedjinstructors,jplacementjofficesjImplicitjservicesj–
jstatusjandjreputationj(e.g.,jIvyjLeaguejschools)
AtjIndianajUniversityjandjthejUniversityjofjSouthernjCalifornia,jamongjtheirjstrongestjelementsj
arejtheirjbusinessjschoolsjandjtheirjOperationsjManagementjprogramsj(ofjcourse).jBothjalsojha
vejveryjdedicatedjalumnijnetworks.jAjweakjelementjofjIndianajUniversityjisjitsjweakjfootballjpro
gram;jforjUSC,jweakjelementsjarejon-campusjparkingjandjhousing.
3. Whatjservicejindustryjhasjimpressedjyoujthejmostjwithjitsjinnovativeness?
Ourjvotejgoesjtojcruisejlinesjwhichjhavejintroducedjsuchjonboardjinnovationsjasjwavejmachinesj
forjbellyjboardingjandjrockjclimbingjwalls,jasjwelljasjalljsortsjofjotherjamenitiesjtojkeepjcruisersji
nvolved.j Thejindustryjisjdoingjrecordjbusinessjasjwell.
SomejofjthejstandoutjcompaniesjinjlessjinnovativejindustriesjarejBankjofjAmericaj(hasjajformalize
djresearchjprogramjtojtryjoutjnewjcustomerjservices/amenitiesjsuchjasjvideojscreensjinjnextjtojtell
erjlines),jIntuitj(e.g.,jputtingjQuickenjmoneyjmanagementjsoftwarejonline),jIkea,jJetBluejAirlines,ja
ndjProgressivejInsurancej(discussedjlaterjinjthejbook).
4. Whatjisjproduct-servicejbundlingjandjwhatjarejthejbenefitsjtojcustomers?
Product-servicejbundlingjisjaddingjValue-
addedjservicesjtojajfirm’sjproductjofferingsjtojcreatejmorejvaluejforjthejcustomer.jThisjprovidesjbe
nefitsjinjtwojareas.jFirst,jthisjdifferentiatesjthejorganizationjfromjthejcompetition.jSecondly,jthes
ejservicesjtiejcustomersjtojthejorganizationjinjajpositivejway.jAlternatively,jbundlingjcanjalsojinvol
vejaddingjproductsjtojajservice,jforjexample,jaddingjthejsalejofjconveniencejitemsjandjsnacksjatjaj
hotel.
5. Whatjisjthejdifferencejbetweenjajservicejandjajgood?
Ajservicejisjanjintangiblejprocessj(youjcan’tjholdjitjinjyourjhands),jwhilejajgoodjisjthejphysicaljoutp
utjofjajprocess.
6. Lookjatjthejjobjpostingsjatjhttp://www.indeed.comjandjevaluatejthejopportunitiesjforjanjOS
Mjmajorjwithjseveraljyearsjofjexperience.
1-4
SOLUTION MANUAL
Operations and Supply Chain Management, 17th Edition
by F. Robert Jacobs and Richard Chase
Chapters 1 - 22 | Complete
1-1
, Operations and Supply Chain Management
• 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
1-2
, Operations and Supply Chain Management
CHAPTER 1
OPERATIONS AND SUPPLY CHAIN MANAGEMENT
Discussion Questions
1. 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, repair parts, computer systems
Make: Aircraft and flight crew scheduling, ground services provided at airports, aircraft
maintenance and repair
Deliver: Outbound and arriving passenger service, baggage handling
Return: Resolve any post-service issues such as lost or damaged luggage
b. An automobile manufacturer
Source: Suppliers of components and raw materials
Make: Manufacturing of vehicles and components or subassemblies to be sold as spare
parts
Deliver: Delivery to and sales from dealerships, delivery of spare parts to the wholesale
system
Return: Warranty and recall repairs, trade-ins
c. A hospital
Source: Medical supplies, cleaning services, disposal services, food services, qualified
personnel
Make: Inpatient rooms, outpatient clinics, emergency room, operating rooms
Deliver: Scheduling patients, providing treatment, ambulance service, family counseling
Return: Billing errors, follow up visits
d. An insurance company
Source: Supplies needed for the office, underwriters, legal authority to operate
1-3
, Operations and Supply Chain Management
Make:jEstablishjpolicyjguidelinesjandjpricing,jfieldjagent/representativejandjfacilityjnetw
ork,jdevelopjInternetjservicejcapabilities,jestablishjpreferredjvehiclejrepairjservicejnetwor
k
Deliver:jMeetjwithjandjadvisejclients,jwritejpolicies,jprocessjandjpayjclaimsjRet
urn:j refundjofjoverpayments
2. Definejthejservicejpackagejofjyourjcollegejorjuniversity.jWhatjisjitsjstrongestjelement?jWhatjisjitsjwe
akestjone?
Thejcategoriesjwithjexamplesjare:
Supportingjfacilityj-
jlocation,jbuildings,jlabs,jparkingjFacilitatingjgoodsj–
jclassjschedules,jcomputers,jbooks,jchalk
Explicitjservicesj–
jclassesjwithjqualifiedjinstructors,jplacementjofficesjImplicitjservicesj–
jstatusjandjreputationj(e.g.,jIvyjLeaguejschools)
AtjIndianajUniversityjandjthejUniversityjofjSouthernjCalifornia,jamongjtheirjstrongestjelementsj
arejtheirjbusinessjschoolsjandjtheirjOperationsjManagementjprogramsj(ofjcourse).jBothjalsojha
vejveryjdedicatedjalumnijnetworks.jAjweakjelementjofjIndianajUniversityjisjitsjweakjfootballjpro
gram;jforjUSC,jweakjelementsjarejon-campusjparkingjandjhousing.
3. Whatjservicejindustryjhasjimpressedjyoujthejmostjwithjitsjinnovativeness?
Ourjvotejgoesjtojcruisejlinesjwhichjhavejintroducedjsuchjonboardjinnovationsjasjwavejmachinesj
forjbellyjboardingjandjrockjclimbingjwalls,jasjwelljasjalljsortsjofjotherjamenitiesjtojkeepjcruisersji
nvolved.j Thejindustryjisjdoingjrecordjbusinessjasjwell.
SomejofjthejstandoutjcompaniesjinjlessjinnovativejindustriesjarejBankjofjAmericaj(hasjajformalize
djresearchjprogramjtojtryjoutjnewjcustomerjservices/amenitiesjsuchjasjvideojscreensjinjnextjtojtell
erjlines),jIntuitj(e.g.,jputtingjQuickenjmoneyjmanagementjsoftwarejonline),jIkea,jJetBluejAirlines,ja
ndjProgressivejInsurancej(discussedjlaterjinjthejbook).
4. Whatjisjproduct-servicejbundlingjandjwhatjarejthejbenefitsjtojcustomers?
Product-servicejbundlingjisjaddingjValue-
addedjservicesjtojajfirm’sjproductjofferingsjtojcreatejmorejvaluejforjthejcustomer.jThisjprovidesjbe
nefitsjinjtwojareas.jFirst,jthisjdifferentiatesjthejorganizationjfromjthejcompetition.jSecondly,jthes
ejservicesjtiejcustomersjtojthejorganizationjinjajpositivejway.jAlternatively,jbundlingjcanjalsojinvol
vejaddingjproductsjtojajservice,jforjexample,jaddingjthejsalejofjconveniencejitemsjandjsnacksjatjaj
hotel.
5. Whatjisjthejdifferencejbetweenjajservicejandjajgood?
Ajservicejisjanjintangiblejprocessj(youjcan’tjholdjitjinjyourjhands),jwhilejajgoodjisjthejphysicaljoutp
utjofjajprocess.
6. Lookjatjthejjobjpostingsjatjhttp://www.indeed.comjandjevaluatejthejopportunitiesjforjanjOS
Mjmajorjwithjseveraljyearsjofjexperience.
1-4
