Operations and Supply Chain Management
SOLUTION MANUAL
Operations and Supply Chain Management, 17th Edition
by F. Robert Jacobs and Richard Chase
Chapters 1 - 22 | Complete
1-1
, Operations and Supply Chain Management
• TABLE OF CONTENTS
Chapter 1: Introduction
Chapter 2: Strategy
Chapter 3: Design of Products and Services
Chapter 4: Projects
Chapter 5: Strategic Capacity Management
Chapter 6: Learning Curves
Chapter 7: Manufacturing Processes
Chapter 8: Facility Layout
Chapter 9: Service Processes
Chapter 10: Waiting Line Analysis and Simulation
Chapter 11: Process Design and Analysis
Chapter 12: Quality Management
Chapter 13: Statistical Quality Control
Chapter 14: Lean Supply Chains
Chapter 15: Logistics and Distribution Management
Chapter 16: Global Sourcing and Procurement
Chapter 17: The Internet of Things and ERP
Chapter 18: Forecasting
Chapter 19: Sales and Operations Planning
Chapter 20: Inventory Management
Chapter 21: Material Requirements Planning
Chapter 22: Workcenter Scheduling
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, Operations and Supply Chain Management
CHAPTER 1
OPERATIONS AND SUPPLY CHAIN MANAGEMENT
Discussion Questions
1. Using Exhibit 1.3 as a model, describe the source-make-deliver-return relationships in the
following systems:
a. An airline
Source: Aircraft manufacturer, in-flight food, repair parts, computer systems
Make: Aircraft and flight crew scheduling, ground services provided at airports, aircraft
maintenance and repair
Deliver: Outbound and arriving passenger service, baggage handling
Return: Resolve any post-service issues such as lost or damaged luggage
b. An automobile manufacturer
Source: Suppliers of components and raw materials
Make: Manufacturing of vehicles and components or subassemblies to be sold as spare
parts
Deliver: Delivery to and sales from dealerships, delivery of spare parts to the wholesale
system
Return: Warranty and recall repairs, trade-ins
c. A hospital
Source: Medical supplies, cleaning services, disposal services, food services, qualified
personnel
Make: Inpatient rooms, outpatient clinics, emergency room, operating rooms
Deliver: Scheduling patients, providing treatment, ambulance service, family counseling
Return: Billing errors, follow up visits
d. An insurance company
Source: Supplies needed for the office, underwriters, legal authority to operate
1-3
, Operations and Supply Chain Management
Make: dEstablish dpolicy dguidelines dand dpricing, dfield dagent/representative dand
dfacility dnetwork, ddevelop dInternet dservice dcapabilities, destablish dpreferred
dvehicle drepair dservicednetwork
Deliver: dMeet dwith dand dadvise dclients, dwrite dpolicies, dprocess dand
dpay dclaimsdReturn: d refund dof doverpayments
2. Define dthe dservice dpackage dof dyour dcollege dor duniversity. dWhat dis dits dstrongest
delement? dWhat disdits dweakest done?
The dcategories dwith dexamples dare:
Supporting dfacility d- dlocation, dbuildings, dlabs, dparking
dFacilitating dgoods d– dclass dschedules, dcomputers, dbooks,
dchalk
Explicit dservices d– dclasses dwith dqualified dinstructors, dplacement
dofficesdImplicit dservices d– dstatus dand dreputation d(e.g., dIvy
dLeague dschools)
At dIndiana dUniversity dand dthe dUniversity dof dSouthern dCalifornia, damong dtheir
dstrongest delements dare dtheir dbusiness dschools dand dtheir dOperations dManagement
dprograms d(of dcourse).dBoth dalso dhave dvery ddedicated dalumni dnetworks. dA dweak
delement dof dIndiana dUniversity dis dits dweak dfootball dprogram; dfor dUSC, dweak delements
dare don-campus dparking dand dhousing.
3. What dservice dindustry dhas dimpressed dyou dthe dmost dwith dits dinnovativeness?
Our dvote dgoes dto dcruise dlines dwhich dhave dintroduced dsuch donboard dinnovations das
dwave dmachines dfor dbelly dboarding dand drock dclimbing dwalls, das dwell das dall dsorts dof
dother damenities dtodkeep dcruisers dinvolved. d The dindustry dis ddoing drecord dbusiness das
dwell.
Some dof dthe dstandout dcompanies din dless dinnovative dindustries dare dBank dof dAmerica
d(has da dformalized dresearch dprogram dto dtry dout dnew dcustomer dservices/amenities dsuch
das dvideo dscreensdin dnext dto dteller dlines), dIntuit d(e.g., dputting dQuicken dmoney
dmanagement dsoftware donline), dIkea,dJetBlue dAirlines, dand dProgressive dInsurance
d(discussed dlater din dthe dbook).
4. What dis dproduct-service dbundling dand dwhat dare dthe dbenefits dto dcustomers?
Product-service dbundling dis dadding dValue-added dservices dto da dfirm’s dproduct dofferings
dto dcreatedmore dvalue dfor dthe dcustomer. dThis dprovides dbenefits din dtwo dareas. dFirst,
dthis ddifferentiates dthedorganization dfrom dthe dcompetition. dSecondly, dthese dservices dtie
dcustomers dto dthe dorganizationdin da dpositive dway. dAlternatively, dbundling dcan dalso
dinvolve dadding dproducts dto da dservice, dfor dexample, dadding dthe dsale dof dconvenience
ditems dand dsnacks dat da dhotel.
5. What dis dthe ddifference dbetween da dservice dand da dgood?
A dservice dis dan dintangible dprocess d(you dcan’t dhold dit din dyour dhands), dwhile da dgood dis
dthe dphysicaldoutput dof da dprocess.
1-4
SOLUTION MANUAL
Operations and Supply Chain Management, 17th Edition
by F. Robert Jacobs and Richard Chase
Chapters 1 - 22 | Complete
1-1
, Operations and Supply Chain Management
• TABLE OF CONTENTS
Chapter 1: Introduction
Chapter 2: Strategy
Chapter 3: Design of Products and Services
Chapter 4: Projects
Chapter 5: Strategic Capacity Management
Chapter 6: Learning Curves
Chapter 7: Manufacturing Processes
Chapter 8: Facility Layout
Chapter 9: Service Processes
Chapter 10: Waiting Line Analysis and Simulation
Chapter 11: Process Design and Analysis
Chapter 12: Quality Management
Chapter 13: Statistical Quality Control
Chapter 14: Lean Supply Chains
Chapter 15: Logistics and Distribution Management
Chapter 16: Global Sourcing and Procurement
Chapter 17: The Internet of Things and ERP
Chapter 18: Forecasting
Chapter 19: Sales and Operations Planning
Chapter 20: Inventory Management
Chapter 21: Material Requirements Planning
Chapter 22: Workcenter Scheduling
1-2
, Operations and Supply Chain Management
CHAPTER 1
OPERATIONS AND SUPPLY CHAIN MANAGEMENT
Discussion Questions
1. Using Exhibit 1.3 as a model, describe the source-make-deliver-return relationships in the
following systems:
a. An airline
Source: Aircraft manufacturer, in-flight food, repair parts, computer systems
Make: Aircraft and flight crew scheduling, ground services provided at airports, aircraft
maintenance and repair
Deliver: Outbound and arriving passenger service, baggage handling
Return: Resolve any post-service issues such as lost or damaged luggage
b. An automobile manufacturer
Source: Suppliers of components and raw materials
Make: Manufacturing of vehicles and components or subassemblies to be sold as spare
parts
Deliver: Delivery to and sales from dealerships, delivery of spare parts to the wholesale
system
Return: Warranty and recall repairs, trade-ins
c. A hospital
Source: Medical supplies, cleaning services, disposal services, food services, qualified
personnel
Make: Inpatient rooms, outpatient clinics, emergency room, operating rooms
Deliver: Scheduling patients, providing treatment, ambulance service, family counseling
Return: Billing errors, follow up visits
d. An insurance company
Source: Supplies needed for the office, underwriters, legal authority to operate
1-3
, Operations and Supply Chain Management
Make: dEstablish dpolicy dguidelines dand dpricing, dfield dagent/representative dand
dfacility dnetwork, ddevelop dInternet dservice dcapabilities, destablish dpreferred
dvehicle drepair dservicednetwork
Deliver: dMeet dwith dand dadvise dclients, dwrite dpolicies, dprocess dand
dpay dclaimsdReturn: d refund dof doverpayments
2. Define dthe dservice dpackage dof dyour dcollege dor duniversity. dWhat dis dits dstrongest
delement? dWhat disdits dweakest done?
The dcategories dwith dexamples dare:
Supporting dfacility d- dlocation, dbuildings, dlabs, dparking
dFacilitating dgoods d– dclass dschedules, dcomputers, dbooks,
dchalk
Explicit dservices d– dclasses dwith dqualified dinstructors, dplacement
dofficesdImplicit dservices d– dstatus dand dreputation d(e.g., dIvy
dLeague dschools)
At dIndiana dUniversity dand dthe dUniversity dof dSouthern dCalifornia, damong dtheir
dstrongest delements dare dtheir dbusiness dschools dand dtheir dOperations dManagement
dprograms d(of dcourse).dBoth dalso dhave dvery ddedicated dalumni dnetworks. dA dweak
delement dof dIndiana dUniversity dis dits dweak dfootball dprogram; dfor dUSC, dweak delements
dare don-campus dparking dand dhousing.
3. What dservice dindustry dhas dimpressed dyou dthe dmost dwith dits dinnovativeness?
Our dvote dgoes dto dcruise dlines dwhich dhave dintroduced dsuch donboard dinnovations das
dwave dmachines dfor dbelly dboarding dand drock dclimbing dwalls, das dwell das dall dsorts dof
dother damenities dtodkeep dcruisers dinvolved. d The dindustry dis ddoing drecord dbusiness das
dwell.
Some dof dthe dstandout dcompanies din dless dinnovative dindustries dare dBank dof dAmerica
d(has da dformalized dresearch dprogram dto dtry dout dnew dcustomer dservices/amenities dsuch
das dvideo dscreensdin dnext dto dteller dlines), dIntuit d(e.g., dputting dQuicken dmoney
dmanagement dsoftware donline), dIkea,dJetBlue dAirlines, dand dProgressive dInsurance
d(discussed dlater din dthe dbook).
4. What dis dproduct-service dbundling dand dwhat dare dthe dbenefits dto dcustomers?
Product-service dbundling dis dadding dValue-added dservices dto da dfirm’s dproduct dofferings
dto dcreatedmore dvalue dfor dthe dcustomer. dThis dprovides dbenefits din dtwo dareas. dFirst,
dthis ddifferentiates dthedorganization dfrom dthe dcompetition. dSecondly, dthese dservices dtie
dcustomers dto dthe dorganizationdin da dpositive dway. dAlternatively, dbundling dcan dalso
dinvolve dadding dproducts dto da dservice, dfor dexample, dadding dthe dsale dof dconvenience
ditems dand dsnacks dat da dhotel.
5. What dis dthe ddifference dbetween da dservice dand da dgood?
A dservice dis dan dintangible dprocess d(you dcan’t dhold dit din dyour dhands), dwhile da dgood dis
dthe dphysicaldoutput dof da dprocess.
1-4
