service quality - Answers consistently meeting or exceeding customer expectations and service-
delivery system performance for all service encounters.
operations management - Answers the science and art of ensuring that goods and services are
created and delivered successfully to customers.
Operation management activities includes.... - Answers -planning and budgeting
-inventory management
-scheduling and capacity
-quality management
-forecasting
-sustainability
-supply chain management
-service encounter design
-process design
-technology section
goods - Answers a physical product that you can see, touch, or possibly consume.
durable good - Answers good that does not quickly wear out and typically lasts at least 3 years.
nondurable good - Answers good that is no longer useful once its used, or lasts for less than 3
years.
service - Answers any primary or complementary activity that does not directly produce a
physical product.
goods/services differences (7) - Answers -goods are tangible, services are not.
-customers participate in many service processes, activities, and transactions.
-the demand for services is more difficult to predict than for goods.
-services cannot be stored as physical inventory
-service management skills are paramount to a successful service encounter.
-service facilities typically need to be in close proximity to the customer.
, -patents do not protect services.
service encounter - Answers -an interaction between the customer and the service provider.
(making hotel reservation, purchasing on website, asking employee for help.
-service encounters consist of 1 or more moments of truth.
moments of truth - Answers any episodes, transactions, or experiences in which a customer
comes into contact with any aspect of the delivery system, however remote, and thereby has an
opportunity to form an impression.
service management - Answers integrates marketing, human resources, and operations
functions to plan, create, and deliver goods and services, and their associated service
encounters.
value - Answers the perception of benefits associated with a good, services in relation to what
buyers are willing to pay for them.
=percieved benefits/cost
high = good
inventory - Answers refers to raw material, work in process, or finished foods that are
maintained to support production or satisfy customer demand.
sustainability - Answers an organizations ability to strategically address current business needs
and successfully develop a long-term strategy that embraces opportunities and manages risk
for all products, systems, supply chains, and processes to preserve resources for future
generations.
environmental sustainability - Answers an organizations commitment to the long term quality of
our environment
social sustainability - Answers an organizations commitment to maintain healthy communities
and a society that improves the quality of life.
economic sustainability - Answers an organizations commitment to address current business
needs and economic vitality, and to have the agility and strategic management to prepare
successfully for future business, markets, and operating environments.
customer benefit packages - Answers a clearly defined set of tangible (goods-content) and
intangible (service-content) features that the customer recognizes, pays for, uses, or