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