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SOLUTION MANUAL
Operations and Supply Chain Management, 16th Edition
by F. Robert Jacobs and Richard Chase
Chapters 1 - 22 | Complete
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• TABLE OF CONTENTS TW TW
Chapter 1: Introduction
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Chapter 2: Strategy
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Chapter 3: Design of Products and Services
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Chapter 4: Projects
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Chapter 5: Strategic Capacity Management
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Chapter 6: Learning Curves
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Chapter 7: Manufacturing Processes
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Chapter 8: Facility Layout
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Chapter 9: Service Processes
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Chapter 10: Waiting Line Analysis and Simulation
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Chapter 11: Process Design and Analysis
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Chapter 12: Quality Management
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Chapter 13: Statistical Quality Control
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Chapter 14: Lean Supply Chains
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Chapter 15: Logistics and Distribution Management
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Chapter 16: Global Sourcing and Procurement
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Chapter 17: The Internet of Things and ERP
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Chapter 18: Forecasting
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Chapter 19: Sales and Operations Planning
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Chapter 20: Inventory Management
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Chapter 21: Material Requirements Planning
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Chapter 22: Workcenter Scheduling
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CHAPTER 1 TW
OPERATIONS AND SUPPLY CHAIN MANAGEMENT TW TW TW TW
Discussion Questions TW
1. Using Exhibit 1.3 as a model, describe the source-make-deliver-
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return relationships in thefollowing systems:
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a. An airline
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Source: Aircraft manufacturer, in-flight food, repair parts, computer systems
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Make: Aircraft and flight crew scheduling, ground services provided at airport
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s, aircraft maintenance and repair
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Deliver: Outbound and arriving passenger service, baggage han
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dling Return: Resolve any post-
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service issues such as lost or damaged luggage
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b. An automobile manufacturer
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Source: Suppliers of components and raw materials
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Make: Manufacturing of vehicles and components or subassemblies to be sol
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d as spare parts
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Deliver: Delivery to and sales from dealerships, delivery of spare parts to the
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wholesalesystem
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Return: Warranty and recall repairs, trade-ins
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c. A hospital
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Source: Medical supplies, cleaning services, disposal services, food services, q
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ualifiedpersonnel TW
Make: Inpatient rooms, outpatient clinics, emergency room, operating rooms
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Deliver: Scheduling patients, providing treatment, ambulance service, family c
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ounselingReturn: Billing errors, follow up visits
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d. An insurance company
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Source: Supplies needed for the office, underwriters, legal authority to operate
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Make: Establish policy guidelines and pricing, field agent/representative and
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facility network, develop Internet service capabilities, establish preferred vehi
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cle repair servicenetwork
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Deliver: Meet with and advise clients, write policies, process and p
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ay claimsReturn: refund of overpayments
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2. Define the service package of your college or university. What is its strongest elemen
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t? What is its weakest one?
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The categories with examples are:
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Supporting facility - TW TW
location, buildings, labs, parking Facilitating goods –
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class schedules, computers, books, chalk
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Explicit services – TW TW
classes with qualified instructors, placement officesImplicit se
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rvices – status and reputation (e.g., Ivy League schools)
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At Indiana University and the University of Southern California, among their stron
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gest elements are their business schools and their Operations Management progr
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ams (of course).Both also have very dedicated alumni networks. A weak element
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of Indiana University is its weak football program; for USC, weak elements are on-
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campus parking and housing. TW TW TW
3. What service industry has impressed you the most with its innovativeness?
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Our vote goes to cruise lines which have introduced such onboard innovations as
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Wwave machines for belly boarding and rock climbing walls, as well as all sorts of
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other amenities to keep cruisers involved. The industry is doing record business a
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s well.
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Some of the standout companies in less innovative industries are Bank of America (
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has a formalized research program to try out new customer services/amenities such
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as video screensin next to teller lines), Intuit (e.g., putting Quicken money manage
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ment software online), Ikea,JetBlue Airlines, and Progressive Insurance (discussed lat
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er in the book).
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4. What is product-service bundling and what are the benefits to customers?
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Product-service bundling is adding Value- TW TW TW TW
added services to a firm’s product offerings to createmore value for the customer.
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This provides benefits in two areas. First, this differentiates theorganization from th
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e competition. Secondly, these services tie customers to the organization in a positi
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ve way. Alternatively, bundling can also involve adding products to a service, for ex
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ample, adding the sale of convenience items and snacks at a hotel.
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