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SOLUTION MANUAL v
Operations and Supply Chain Management, 17th Edition
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by F. Robert Jacobs and Richard Chase
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Chapters 1 - 22 | Complete
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1-1
, Operations and Supply Chain Management
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• TABLE OF CONTENTS v v
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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1-2
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CHAPTER 1 v
OPERATIONS AND SUPPLY CHAIN MANAGEMENT v v v v
Discussion Questions v
1. Using Exhibit 1.3 as a model, describe the source-make-deliver-return relationships in the
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following 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 airports, aircraft
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maintenance and repair v v v
Deliver: Outbound and arriving passenger service, baggage handling
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Return: Resolve any post-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 v v v v v v
Make: Manufacturing of vehicles and components or subassemblies to be sold as spare
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parts v
Deliver: Delivery to and sales from dealerships, delivery of spare parts to the wholesale
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system v
Return: Warranty and recall repairs, trade-ins v v v v v
c. A hospital
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Source: Medical supplies, cleaning services, disposal services, food services, qualified
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personnel v
Make: Inpatient rooms, outpatient clinics, emergency room, operating rooms
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Deliver: Scheduling patients, providing treatment, ambulance service, family counseling
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Return: 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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1-3
, Operations and Supply Chain Management v v v v
Make: Establish policy guidelines and pricing, field agent/representative and facility
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network, develop Internet service capabilities, establish preferred vehicle repair service
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network
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Deliver: Meet with and advise clients, write policies, process and pay claims
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Return: refund of overpayments
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2. Define the service package of your college or university. What is its strongest element? What isits
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weakest one?
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The categories with examples are:
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Supporting facility - location, buildings, labs, parking Facilitating v v v v v v v
goods – class schedules, computers, books, chalk
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Explicit services – classes with qualified instructors, placement offices v v v v v v v v
Implicit services – status and reputation (e.g., Ivy League schools)
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At Indiana University and the University of Southern California, among their strongest elements
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are their business schools and their Operations Management programs (of course).Both also
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have very dedicated alumni networks. A weak element of Indiana University is its weak football
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program; for USC, weak elements are on-campus parking and housing.
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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 wave
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machines for belly boarding and rock climbing walls, as well as all sorts of other amenities to
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keep cruisers involved. The industry is doing record business as well.
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Some of the standout companies in less innovative industries are Bank of America (has a
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formalized research program to try out new customer services/amenities such as video screensin
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next to teller lines), Intuit (e.g., putting Quicken money management software online), Ikea,
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JetBlue Airlines, and Progressive Insurance (discussed later 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-added services to a firm’s product offerings to create v v v v v v v v v v v v
more value for the customer. This provides benefits in two areas. First, this differentiates the
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organization from the competition. Secondly, these services tie customers to the organizationin a
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positive way. Alternatively, bundling can also involve adding products to a service, for example,
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adding the sale of convenience items and snacks at a hotel.
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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
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output of a process.
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6. Look at the job postings at http://www.indeed.com and evaluate the opportunities for an
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OSM major with several years of experience.
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