SOLUTION MANUAL FOR #z #z
OPERATIONS AND SUPPLY CHAIN MANAGEMENT 16TH EDITION BY F.
#z #z #z #z #z #z #z #z
ROBERT JACOBS
#z #z
Chapter #z1-22
CHAPTER 1 #z
OPERATIONS AND SUPPLY CHAIN MANAGEMENT
#z #z #z #z
Discussion #zQuestions
1. Using #zExhibit #z1.3 #zas #za #zmodel, #zdescribe #zthe #zsource-make-deliver-return #zrelationships
#zin #zthe #zfollowing #zsystems:
a. An #zairline
Source: # z Aircraft #zmanufacturer, #zin-flight #zfood, #zrepair #zparts, #zcomputer #zsystems
Make: #zAircraft #zand #zflight #zcrew #zscheduling, #zground #zservices #zprovided #zat #zairports, #zaircraft
#zmaintenance #zand #zrepair
Deliver: #zOutbound #zand #zarriving #zpassenger #zservice, #zbaggage #zhandling
#zReturn: #zResolve #zany #zpost-service #zissues #zsuch #zas #zlost #zor #zdamaged
#zluggage
b. An #zautomobile #zmanufacturer
Source: # z Suppliers #zof #zcomponents #zand #zraw #zmaterials
Make: # z Manufacturing #zof #zvehicles #zand #zcomponents #zor #zsubassemblies #zto #zbe #zsold #zas
#zspare #zparts
Deliver: #zDelivery #zto #zand #zsales #zfrom #zdealerships, #zdelivery #zof #zspare #zparts #zto #zthe
#zwholesale #zsystem
Return: # z Warranty #zand #zrecall #zrepairs, #ztrade-ins
c. A #zhospital
Source: # z Medical #zsupplies, #zcleaning #zservices, #zdisposal #zservices, #zfood #zservices,
#zqualified #zpersonnel
Make: # z Inpatient #zrooms, #zoutpatient #zclinics, #zemergency #zroom, #zoperating #zrooms
Deliver: #zScheduling #zpatients, #zproviding #ztreatment, #zambulance #zservice, #zfamily
#zcounseling #zReturn: #zBilling #zerrors, #zfollow #zup #zvisits
d. An #zinsurance #zcompany
Source: # z Supplies #zneeded #zfor #zthe #zoffice, #zunderwriters, #zlegal #zauthority #zto #zoperate
Make: Establish policy guidelines and pricing, field agent/representative and facility
1-1
, network, develop Internet service capabilities, establish preferred vehicle repair service
network
Deliver: Meet with and advise clients, write policies, process and pay claims
Return: refund of overpayments
2. Define the service package of your college or university. What is its strongest element? What is
its weakest one?
The categories with examples are:
Supporting facility - location, buildings, labs, parking
Facilitating goods – class schedules, computers, books, chalk
Explicit services – classes with qualified instructors, placement offices
Implicit services – 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 their Operations Management programs (of course).
Both also have very dedicated alumni networks. A weak element of Indiana University is its
weak football 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 innovations as wave
machines for belly boarding and rock climbing walls, as well as all sorts of other amenities to
keep cruisers involved. The industry is doing record business as well.
Some of 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 screens
in next to teller lines), Intuit (e.g., putting Quicken money management software online), Ikea,
JetBlue Airlines, and Progressive Insurance (discussed later in the book).
4. What is product-service bundling and what are the benefits to customers?
Product-service bundling is adding Value-added services to a firm’s product offerings to create
more value for the customer. This provides benefits in two areas. First, this differentiates the
organization from the competition. Secondly, these services tie customers to the organization
in a positive way. Alternatively, bundling can also involve adding products to a service, for
example, adding the sale of convenience items and snacks at a hotel.
5. What is the difference between a service and a good?
A service is an intangible process (you can’t hold it in your hands), while a good is the physical
output of a 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.
There #zare #zpages #zand #zpages #zof #zthese #zwhen #zyou #zdo #za #zsearch #zon #zoperations #zsupply #zchain
#zmanagement. # z Here #zare #zsome #zexamples:
Global #zActive #zIngredient #zSupply #zPlanner
1-2
, #zFMC #zCorporation
US #z- #zPA #z- #zPhiladelphia
This #zis #zyour #zopportunity #zto #zjoin #zthe #zAgricultural #zProducts #zGroup #z(APG) #zand #zwork #zon #zthe
#zteam #zresponsible #zfor #zglobal #zactive #zingredient #zplanning. #zYou'll #zserve #zas #za #zcentral
#zSupply #zPlanner #zworking #zin #ztandem #z...
Purchasing #zManager #z(Buyer)
Texas #zDow #zEmployees #zCredit #zUnion #z(TDECU)
US #z- #zTX #z- #zLake #zJackson #z- #zNearest #zMetro #zarea #z- #zSouth #zHouston
Education #zAccredited #zuniversity #zdegree #zin #zBusiness #zor #zMarketing #zwith #zcertification #zin
#zPurchasing, #zInventory #zManagement, #zor #zLogistics. #zAccredited #zPurchasing #zPractitioner
#z(APP) #zor #zCertified #zPurchasing #z...
Product #zLine #zManager
#zCintas #zCorporation
US #z- #zOH #z- #zMason
High #zSchool #zdiploma #zor #zGED #zrequired, #z4 #zyear #zdegree #zpreferred #zKnowledge #zof #zand
#zexperience #zusing #zInternet #zand #zMicrosoft #zOffice #z(Word, #zExcel, #zPowerPoint, #zand #zEmail) #z3
#zyears #zmanagement #zexperience #zpreferred #z...
Director
#zPurchasing
#zLegendary #zBaking
#zUS #z- #zCO #z-
#zDenver
CERTIFICATIONS #z& #zLICENSES #z• #zValid #zDriver’s #zLicense #zand #zcar #zinsurance. #z• #zCertified
#zPurchasing #zManager #zcertification #z(C.P.M.) #zpreferred. #z• #zCertified #zFood #zPurchasing
#zManager #z...
Process #zImprovement #zManager
#zARAMARK #zCorporation
US #z- #zTX #z- #zHouston
Bachelor's #zDegree #zrequired. #zTechnical #zEngineering #zdiscipline #zwithin #zIndustrial,
#zMechanical, #zChemical, #zor #zFood #zOperations #zstrongly #zpreferred. #z• #zMinimum #z5 #zyears
#zLean #zmanufacturing #zexperience #zcoupled #z...
7. Recent #zoutsourcing #zof #zparts #zand #zservices #zthat #zhad #zpreviously #zbeen #zproduced
#zinternally #zis #zaddressed #zby #zwhich #zcurrent #zissue #zfacing #zoperations #zand #zsupply
#zmanagement #ztoday?
The #zcoordination #zof #zrelationships #zbetween #zmutually #zsupportive #zbut #zseparate #zorganizations.
8. What #zfactors #zaccount #zfor #zthe #zresurgence #zof #zinterest #zin #zOSCM #ztoday?
With #zcompanies #zfacing #zcompetition #zon #za #zglobal #zscale, #zand #zever-advancing#zmanufacturing
#zand #zinformation #ztechnologies, #zfirms #zrealize #zthe #zcompetitive #zadvantage #ztheir #zOSCM
#zfunctions #zcan
provide #zif #zproperly #zmanaged. # z Many #zhave #zfound #zthat #zthe #zsame #zold #zway #zof #zdoing
#zbusiness #zleaves #zthem #zunable #zto #zcompete #zsuccessfully.
1-3
, 9. As #zthe #zfield #zof #zOSCM #zhas #zadvanced, #znew #zconcepts #zhave #zbeen #zapplied #zto #zhelp
#zcompanies #zcompete #zin #za #znumber #zof #zways, #zincluding #zthe #zadvertisement #zof #zthe #zfirm’s
#zproducts #zor #zservices. #zOne #zrecent #zconcept #zto #zgain #zthe #zattention #zof #zcompanies #zis
#zpromoting #zsustainability. # z Discuss #zhow #zyou #zhave #zseen #zthe #zidea #zof #zsustainability #zused #zby
#zcompanies #zto #zadvertise #ztheir #zgoods #zor #zservices.
There #zof #zcourse #zwill #zbe #za #znumber #zof #zexamples #zthat #zstudents #zwill #zbring #zup, #zthough
#zthey #zmay #zneed #zsome #zprodding #zto #zjog #ztheir #zmemories. # z Some #zexamples #zto #zstart #zwith
#zmight #zbe #zIBM’s #z“I’m #zan #zIBMer” #zcampaign #zwhere #zthey #zadvertise #zhow #zthey #zare
#z“building #za #zsmarter #zplanet.” # z Bottled #zwater #zmanufacturers #zhave #zreduced #zthe #zamount
#zof #zplastic #zused #zin #zmany #zof #ztheir #zproducts, #zthus #zsaving #zproduction #zand #zdistribution
#zcosts, #zbut #zalso #zallowing #zthem #zto #zadvertise #zhow #zthe #znew #zbottles #zare #zbetter #zfor #zthe
#zenvironment #zbecause #zthey #zresult #zin #zless #zwaste.
10. Some #zpeople #ztend #zto #zuse #zthe #zterms #zeffectiveness #zand #zefficiency #zinterchangeably,
#zthough #zwe’ve #zseen #zthey #zare #zdifferent #zconcepts. # z But #zis #zthere #zany #zrelationship #zat
#zall #zbetween #zthem? #zCan #za #zfirm #zbe #zeffective #zbut #zinefficient? # z Very #zefficient #zbut
#zessentially #zineffective? # z Both? #zNeither?
Firms #zcan #zbe #zanywhere #zon #zthese #ztwo #zdimensions. # z It #zis #zpossible #zfor #za #zfirm #zto #zbe #zthe
#zbest #zat #zwhat #zthey #zdo #zin #zserving #ztheir #zmarket, #zbut #zbe #zvery #zwasteful #zin #zdoing #zso.
# z Alternatively, #za #zfirm #zcould #zsqueeze #zevery #zlast #zdollar #zout #zof #ztheir #zprocesses #zbut #zfail #zto
#zdeliver #zwhat #zthe #zmarket #zexpects #zand #zdesires. # z Of #zcourse, #zthe #zbest #zfirms #zwill #zprovide
#zthe #zgoods #zand #zservices #zthat #zthe #zmarket #zdesires, #zexactly #zas #zthe #zmarket #zdesires, #zand #zdo
#zso #zat #za #zminimum #zcost. # z Firms #zthat #zare #zboth #zinefficient #zand #zineffective #zdo #znot #zsurvive
#zfor #zlong #zin #zany #zmarket.
1-4
OPERATIONS AND SUPPLY CHAIN MANAGEMENT 16TH EDITION BY F.
#z #z #z #z #z #z #z #z
ROBERT JACOBS
#z #z
Chapter #z1-22
CHAPTER 1 #z
OPERATIONS AND SUPPLY CHAIN MANAGEMENT
#z #z #z #z
Discussion #zQuestions
1. Using #zExhibit #z1.3 #zas #za #zmodel, #zdescribe #zthe #zsource-make-deliver-return #zrelationships
#zin #zthe #zfollowing #zsystems:
a. An #zairline
Source: # z Aircraft #zmanufacturer, #zin-flight #zfood, #zrepair #zparts, #zcomputer #zsystems
Make: #zAircraft #zand #zflight #zcrew #zscheduling, #zground #zservices #zprovided #zat #zairports, #zaircraft
#zmaintenance #zand #zrepair
Deliver: #zOutbound #zand #zarriving #zpassenger #zservice, #zbaggage #zhandling
#zReturn: #zResolve #zany #zpost-service #zissues #zsuch #zas #zlost #zor #zdamaged
#zluggage
b. An #zautomobile #zmanufacturer
Source: # z Suppliers #zof #zcomponents #zand #zraw #zmaterials
Make: # z Manufacturing #zof #zvehicles #zand #zcomponents #zor #zsubassemblies #zto #zbe #zsold #zas
#zspare #zparts
Deliver: #zDelivery #zto #zand #zsales #zfrom #zdealerships, #zdelivery #zof #zspare #zparts #zto #zthe
#zwholesale #zsystem
Return: # z Warranty #zand #zrecall #zrepairs, #ztrade-ins
c. A #zhospital
Source: # z Medical #zsupplies, #zcleaning #zservices, #zdisposal #zservices, #zfood #zservices,
#zqualified #zpersonnel
Make: # z Inpatient #zrooms, #zoutpatient #zclinics, #zemergency #zroom, #zoperating #zrooms
Deliver: #zScheduling #zpatients, #zproviding #ztreatment, #zambulance #zservice, #zfamily
#zcounseling #zReturn: #zBilling #zerrors, #zfollow #zup #zvisits
d. An #zinsurance #zcompany
Source: # z Supplies #zneeded #zfor #zthe #zoffice, #zunderwriters, #zlegal #zauthority #zto #zoperate
Make: Establish policy guidelines and pricing, field agent/representative and facility
1-1
, network, develop Internet service capabilities, establish preferred vehicle repair service
network
Deliver: Meet with and advise clients, write policies, process and pay claims
Return: refund of overpayments
2. Define the service package of your college or university. What is its strongest element? What is
its weakest one?
The categories with examples are:
Supporting facility - location, buildings, labs, parking
Facilitating goods – class schedules, computers, books, chalk
Explicit services – classes with qualified instructors, placement offices
Implicit services – 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 their Operations Management programs (of course).
Both also have very dedicated alumni networks. A weak element of Indiana University is its
weak football 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 innovations as wave
machines for belly boarding and rock climbing walls, as well as all sorts of other amenities to
keep cruisers involved. The industry is doing record business as well.
Some of 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 screens
in next to teller lines), Intuit (e.g., putting Quicken money management software online), Ikea,
JetBlue Airlines, and Progressive Insurance (discussed later in the book).
4. What is product-service bundling and what are the benefits to customers?
Product-service bundling is adding Value-added services to a firm’s product offerings to create
more value for the customer. This provides benefits in two areas. First, this differentiates the
organization from the competition. Secondly, these services tie customers to the organization
in a positive way. Alternatively, bundling can also involve adding products to a service, for
example, adding the sale of convenience items and snacks at a hotel.
5. What is the difference between a service and a good?
A service is an intangible process (you can’t hold it in your hands), while a good is the physical
output of a 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.
There #zare #zpages #zand #zpages #zof #zthese #zwhen #zyou #zdo #za #zsearch #zon #zoperations #zsupply #zchain
#zmanagement. # z Here #zare #zsome #zexamples:
Global #zActive #zIngredient #zSupply #zPlanner
1-2
, #zFMC #zCorporation
US #z- #zPA #z- #zPhiladelphia
This #zis #zyour #zopportunity #zto #zjoin #zthe #zAgricultural #zProducts #zGroup #z(APG) #zand #zwork #zon #zthe
#zteam #zresponsible #zfor #zglobal #zactive #zingredient #zplanning. #zYou'll #zserve #zas #za #zcentral
#zSupply #zPlanner #zworking #zin #ztandem #z...
Purchasing #zManager #z(Buyer)
Texas #zDow #zEmployees #zCredit #zUnion #z(TDECU)
US #z- #zTX #z- #zLake #zJackson #z- #zNearest #zMetro #zarea #z- #zSouth #zHouston
Education #zAccredited #zuniversity #zdegree #zin #zBusiness #zor #zMarketing #zwith #zcertification #zin
#zPurchasing, #zInventory #zManagement, #zor #zLogistics. #zAccredited #zPurchasing #zPractitioner
#z(APP) #zor #zCertified #zPurchasing #z...
Product #zLine #zManager
#zCintas #zCorporation
US #z- #zOH #z- #zMason
High #zSchool #zdiploma #zor #zGED #zrequired, #z4 #zyear #zdegree #zpreferred #zKnowledge #zof #zand
#zexperience #zusing #zInternet #zand #zMicrosoft #zOffice #z(Word, #zExcel, #zPowerPoint, #zand #zEmail) #z3
#zyears #zmanagement #zexperience #zpreferred #z...
Director
#zPurchasing
#zLegendary #zBaking
#zUS #z- #zCO #z-
#zDenver
CERTIFICATIONS #z& #zLICENSES #z• #zValid #zDriver’s #zLicense #zand #zcar #zinsurance. #z• #zCertified
#zPurchasing #zManager #zcertification #z(C.P.M.) #zpreferred. #z• #zCertified #zFood #zPurchasing
#zManager #z...
Process #zImprovement #zManager
#zARAMARK #zCorporation
US #z- #zTX #z- #zHouston
Bachelor's #zDegree #zrequired. #zTechnical #zEngineering #zdiscipline #zwithin #zIndustrial,
#zMechanical, #zChemical, #zor #zFood #zOperations #zstrongly #zpreferred. #z• #zMinimum #z5 #zyears
#zLean #zmanufacturing #zexperience #zcoupled #z...
7. Recent #zoutsourcing #zof #zparts #zand #zservices #zthat #zhad #zpreviously #zbeen #zproduced
#zinternally #zis #zaddressed #zby #zwhich #zcurrent #zissue #zfacing #zoperations #zand #zsupply
#zmanagement #ztoday?
The #zcoordination #zof #zrelationships #zbetween #zmutually #zsupportive #zbut #zseparate #zorganizations.
8. What #zfactors #zaccount #zfor #zthe #zresurgence #zof #zinterest #zin #zOSCM #ztoday?
With #zcompanies #zfacing #zcompetition #zon #za #zglobal #zscale, #zand #zever-advancing#zmanufacturing
#zand #zinformation #ztechnologies, #zfirms #zrealize #zthe #zcompetitive #zadvantage #ztheir #zOSCM
#zfunctions #zcan
provide #zif #zproperly #zmanaged. # z Many #zhave #zfound #zthat #zthe #zsame #zold #zway #zof #zdoing
#zbusiness #zleaves #zthem #zunable #zto #zcompete #zsuccessfully.
1-3
, 9. As #zthe #zfield #zof #zOSCM #zhas #zadvanced, #znew #zconcepts #zhave #zbeen #zapplied #zto #zhelp
#zcompanies #zcompete #zin #za #znumber #zof #zways, #zincluding #zthe #zadvertisement #zof #zthe #zfirm’s
#zproducts #zor #zservices. #zOne #zrecent #zconcept #zto #zgain #zthe #zattention #zof #zcompanies #zis
#zpromoting #zsustainability. # z Discuss #zhow #zyou #zhave #zseen #zthe #zidea #zof #zsustainability #zused #zby
#zcompanies #zto #zadvertise #ztheir #zgoods #zor #zservices.
There #zof #zcourse #zwill #zbe #za #znumber #zof #zexamples #zthat #zstudents #zwill #zbring #zup, #zthough
#zthey #zmay #zneed #zsome #zprodding #zto #zjog #ztheir #zmemories. # z Some #zexamples #zto #zstart #zwith
#zmight #zbe #zIBM’s #z“I’m #zan #zIBMer” #zcampaign #zwhere #zthey #zadvertise #zhow #zthey #zare
#z“building #za #zsmarter #zplanet.” # z Bottled #zwater #zmanufacturers #zhave #zreduced #zthe #zamount
#zof #zplastic #zused #zin #zmany #zof #ztheir #zproducts, #zthus #zsaving #zproduction #zand #zdistribution
#zcosts, #zbut #zalso #zallowing #zthem #zto #zadvertise #zhow #zthe #znew #zbottles #zare #zbetter #zfor #zthe
#zenvironment #zbecause #zthey #zresult #zin #zless #zwaste.
10. Some #zpeople #ztend #zto #zuse #zthe #zterms #zeffectiveness #zand #zefficiency #zinterchangeably,
#zthough #zwe’ve #zseen #zthey #zare #zdifferent #zconcepts. # z But #zis #zthere #zany #zrelationship #zat
#zall #zbetween #zthem? #zCan #za #zfirm #zbe #zeffective #zbut #zinefficient? # z Very #zefficient #zbut
#zessentially #zineffective? # z Both? #zNeither?
Firms #zcan #zbe #zanywhere #zon #zthese #ztwo #zdimensions. # z It #zis #zpossible #zfor #za #zfirm #zto #zbe #zthe
#zbest #zat #zwhat #zthey #zdo #zin #zserving #ztheir #zmarket, #zbut #zbe #zvery #zwasteful #zin #zdoing #zso.
# z Alternatively, #za #zfirm #zcould #zsqueeze #zevery #zlast #zdollar #zout #zof #ztheir #zprocesses #zbut #zfail #zto
#zdeliver #zwhat #zthe #zmarket #zexpects #zand #zdesires. # z Of #zcourse, #zthe #zbest #zfirms #zwill #zprovide
#zthe #zgoods #zand #zservices #zthat #zthe #zmarket #zdesires, #zexactly #zas #zthe #zmarket #zdesires, #zand #zdo
#zso #zat #za #zminimum #zcost. # z Firms #zthat #zare #zboth #zinefficient #zand #zineffective #zdo #znot #zsurvive
#zfor #zlong #zin #zany #zmarket.
1-4
