Strategic Operations Management The New Competitive Advantage 1st Edition Robert Lowson - Solutions

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1.1 How will the lease change the relationship between the area manager/NSSM and the licensee? The National Brewery has over 5,000 pubs in the UK, many of which used to be ‘tenanted’ houses, i.e. a tenant was appointed to run the pub and was overseen by an area manager. The area managers would
1.6 How important is customer retention to your business? How can the customer defection rate be reduced?
1.5 Can you identify different customer behaviours? Can you provide training and/or procedures to deal with these differences?
1.4 Do you understand the value of a customer? Is it possible to calculate the lifetime revenue that each customer represents?
1.3 To what extent do your processes take into account the differing needs of your target customer segments?
1.2 Have you considered the resources required for developing customer relationships?
1.1 Is your organisation pursuing a relationship approach? Is this what customers desire?
1.3 Assess the personal relationship you have with a professional service provider.How well is the relationship managed?
1.2 Calculate your lifetime value for a supermarket, electrical retailer and bank.What are the problems in assessing lifetime values?
1.1 How would you classify yourself and your colleagues/friends in terms of your customer attitude to a particular service? Could everyone be converted into Allies and if so, how?
1.2 What are the advantages and problems associated with this approach? The GP Group is a global trading and shipping company based in Bangkok. It is a family firm, which was established 125 years ago in Burma.It now has a turnover in excess of US$2 billion and comprises over 20 companies
1.1 How does Kirit Shah go about strengthening his company’s relationships with clients? The GP Group is a global trading and shipping company based in Bangkok. It is a family firm, which was established 125 years ago in Burma.It now has a turnover in excess of US$2 billion and comprises over 20
1.3 Why is measuring relationships difficult? Peter Roberts was the head of assets for National Transmissions and Trading within Transco, which is part of the National Grid Transco Group.Transco is a major player in the regulated industry and manages multi-million pound projects that create the
1.2 Why is measuring relationships important? Peter Roberts was the head of assets for National Transmissions and Trading within Transco, which is part of the National Grid Transco Group.Transco is a major player in the regulated industry and manages multi-million pound projects that create the
1.1 What are the difficulties in developing strategic relationships? Peter Roberts was the head of assets for National Transmissions and Trading within Transco, which is part of the National Grid Transco Group.Transco is a major player in the regulated industry and manages multi-million pound
1.2 Why was its approach successful? Travelco is a large UK package holiday company that has experienced difficult times since September 11th, SARS and the Iraq War.Travelco’s customer retention rate was around 20 per cent annually and its market was declining by 10 per cent annually. As a result
1.1 What risks did Travelco face in adopting CRM? Travelco is a large UK package holiday company that has experienced difficult times since September 11th, SARS and the Iraq War.Travelco’s customer retention rate was around 20 per cent annually and its market was declining by 10 per cent
1.2 How does HOG help develop a relationship between the company and the rider? Harley-Davidson does not just make worldfamous motorbikes – it sells a dream. From its start more than 100 years ago, Harley-Davidson has had a profound impact on the sport of motorcycling and the people who ride
1.1 What are the benefits of membership for the members and the company? Harley-Davidson does not just make worldfamous motorbikes – it sells a dream. From its start more than 100 years ago, Harley-Davidson has had a profound impact on the sport of motorcycling and the people who ride
1.2 What operational problems arise from having to manage this diversity? The prison service provides an excellent example of the complexity of stakeholder requirements, to some extent reflecting the mixed task it faces.Society requires the service to carry out potentially conflicting
1.1 If you were a prison governor, what strategies would you adopt to find out about the needs of the various stakeholder groups? The prison service provides an excellent example of the complexity of stakeholder requirements, to some extent reflecting the mixed task it faces.Society requires the
1.4 How can GSV influence customer satisfaction with its software, and therefore its reputation as a global software provider (recognising that the important role of technical support is being provided by a third party)? As a global software vendor with a wellestablished range of desktop software
1.3 What does GSV need to provide to the IT service provider to ensure that the ultimate customer is satisfied with the service being provided? As a global software vendor with a wellestablished range of desktop software products, GSV Software had developed a largely channelcentric model to meet
1.2 What needs to be considered by the third-party IT service provider to ensure it can take accountability for the front-line service to the customer? As a global software vendor with a wellestablished range of desktop software products, GSV Software had developed a largely channelcentric model to
1.1 What are the implications for GSV in scaling this model to fit its large customer base? As a global software vendor with a wellestablished range of desktop software products, GSV Software had developed a largely channelcentric model to meet its broad range of customer technical services
1.discuss the nature of business relationships and some ways to manage them.
1.discuss the nature of customer relationships and some ways to manage them
1.identify and explain different types of customer and discuss the operation’s view of segmentation
1.2 How would clarifying these service concepts assist Reg in deciding how to focus this service operation? Reg Turner set up Lilliput as an offshoot of his carpentry business in 2000. Some years before he had been asked by a friend to provide his children with a playhouse for the garden. He made
1.1 What are the service concepts currently delivered by Lilliput? Reg Turner set up Lilliput as an offshoot of his carpentry business in 2000. Some years before he had been asked by a friend to provide his children with a playhouse for the garden. He made them a Swiss-style chalet covering an area
1.3 Assess the ways in which your organisation achieves the benefits of focus.
1.2 Profile your process and assess areas of weakness (non-alignment) and any opportunities to use it to drive strategic advantage.
1.1 What is your organisation’s service concept? How does this compare with your colleagues’ view of its concept?
1.3 Bernard Harrison, the chief executive of Singapore Zoo, is keen to continue developing the zoo: can you develop a new service concept for him?
1.2 Select two service organisations offering similar but different services (a fast-food and a high-class restaurant, for example). Identify the key elements of the service concept and compare their profiles using the mapping tool illustrated in Figure 2.4.
1.1 Select four service organisations and define their concepts and levels of focus.Evaluate the options facing them.
1.1 Summarise what you consider to be the concepts of Holiday Inn’s different businesses.Assess the type of focus of each of them. Holiday Inn claims to be ‘The World’s Most Global Hotel Company’ and has created several different business brands for a number of identified market segments.
1.2 Why do you think that other zoos will find it difficult to copy this concept? Singapore Zoo is no stranger to innovation. Some years ago the zoo started offering customers the chance to have breakfast or tea with an orangutan called Ah Meng. Since then she and her companions have played host to
1.1 Compare and contrast the service concepts of the Night Safari and a traditional zoo by identifying their key characteristics and drawing their profiles using the profiling tool (Figure 2.4). Singapore Zoo is no stranger to innovation. Some years ago the zoo started offering customers the chance
1.2 How does this compare to where it is trying to go and what do you think will be the operational problems in making this change? TECLAN provided a one-stop shop for language translation. The company used 35 in-house translators for most European languages, Japanese and Chinese. Translation to
1.1 Summarise TECLAN’s current service concept. TECLAN provided a one-stop shop for language translation. The company used 35 in-house translators for most European languages, Japanese and Chinese. Translation to and from other languages was subcontracted to a network of some 3,000 translators.
1.2 What do you think were the key problems faced by the designers in creating the new concept? In 1985 the Geological Museum merged with its neighbour, the Natural History Museum, in Cromwell Road, London. The merger was cemented in 1988 by the construction of new gallery space linking the two
1.1 How would you describe the concept of the Geological Museum and of the new Earth Galleries? In 1985 the Geological Museum merged with its neighbour, the Natural History Museum, in Cromwell Road, London. The merger was cemented in 1988 by the construction of new gallery space linking the two
1.2 How does this differ from its vision, service/brand personality and brand values? Founded as the Royal Automobile Club in 1897, RAC Motoring Services is now part of Lex Service plc and provides a range of motoring services to individual members, businesses and car manufacturers. With over 6
1.1 Construct the RAC’s service concept encapsulating the experience, outcome, operation and value. Founded as the Royal Automobile Club in 1897, RAC Motoring Services is now part of Lex Service plc and provides a range of motoring services to individual members, businesses and car manufacturers.
1.2 What guidance can you give to the new manager of Trafficmaster’s national control centre as a result of clarifying the service concepts? Trafficmaster utilises sophisticated technology to provide vehicle tracking and route-planning services to vehicle fleet operators and to individual
1.1 Desribe the service concept for each of the Trafficmaster products outlined above. What are the significant differences between them? Trafficmaster utilises sophisticated technology to provide vehicle tracking and route-planning services to vehicle fleet operators and to individual drivers. For
1.2 What is the Icehotel’s service concept? Jukkas AB is a company offering a wide range of activities, such as white-water rafting, fishing, reindeer and dog-sledding tours, cross-country skiing, snowmobile safaris and guided tours. It is based in Jukkasjärvi, a small village in Swedish
1.1 What are the similarities and differences between an ‘ordinary hotel’ and the Icehotel? Jukkas AB is a company offering a wide range of activities, such as white-water rafting, fishing, reindeer and dog-sledding tours, cross-country skiing, snowmobile safaris and guided tours. It is based
2 If you were Peter Greenwood, what would you say to the board? Sky Airways is a major European airline with routes predominantly in Europe but offering daily flights to New York, Johannesburg, Mumbai and St Petersburg. At the last meeting of the board of directors the airline’s owner and chief
1 What problems does Peter Greenwood face? Sky Airways is a major European airline with routes predominantly in Europe but offering daily flights to New York, Johannesburg, Mumbai and St Petersburg. At the last meeting of the board of directors the airline’s owner and chief executive, Bernie
4 How is the success of your operation assessed? Is this approach appropriate?
3 What are the key challenges your service operation faces? Are these views shared by your colleagues?
2 With internet access the customer may have greater access through a website to people who previously might have worked in back office functions. On the other hand, customers no longer see the people with whom they are dealing. What are the implications of this for your organisation?
1 Describe your service in terms of experience and outcomes from both a customer and organisation perspective. Assess the mismatches between these perspectives.
3 Select a service organisation and identify the key back office and front office tasks. What activities have most impact on outcome and experience? Could any task move from one area to the other and what would be the implications?
2 What are the similarities and differences in terms of the challenges faced by a large house-and-contents insurance firm compared to a small commercial insurance broker providing insurance for stately homes?
1 Describe the service experience and outcomes for a fast-food restaurant, a doctor’s surgery and an internet-based fashion clothing retailer. Compare and contrast the services of these three organisations.
2 How does the Customer Journey support those brand values? Lexus is a division of Toyota Motor Sales, USA, and provides a range of distinctive luxury cars.The company’s vision is to deliver the finest automotive experience. Lexus is proud of, and rigorously protects, its brand. It also works
1 What are the brand values of Lexus? Lexus is a division of Toyota Motor Sales, USA, and provides a range of distinctive luxury cars.The company’s vision is to deliver the finest automotive experience. Lexus is proud of, and rigorously protects, its brand. It also works hard to reflect the brand
3 What do you think are the key challenges that the organisation faces today? IBM is widely regarded as a successful service company providing its business customers with solutions to their problems. In 2003 IBM had a turnover of over $89 billion and a gross profit of$33 billion. While sales of
2 What do you think were the main problems in transforming a product-based organisation into a service-based organisation? IBM is widely regarded as a successful service company providing its business customers with solutions to their problems. In 2003 IBM had a turnover of over $89 billion and a
1 What does service mean to IBM? IBM is widely regarded as a successful service company providing its business customers with solutions to their problems. In 2003 IBM had a turnover of over $89 billion and a gross profit of$33 billion. While sales of hardware and software accounted for just over 50
2 How do you think the nursery’s service has changed as a result of the web cam? In 1991 a group of Cambridge University students from the School of Computer Science set up the first website camera (web cam). They focused it on the faculty coffee machine so that members of staff could see on
1 What are the advantages and disadvantages of having web cams in nurseries? In 1991 a group of Cambridge University students from the School of Computer Science set up the first website camera (web cam). They focused it on the faculty coffee machine so that members of staff could see on their desk
2 What is the likelihood of John Smith repurchasing a magazine subscription through FinanceCo? John Smith put down the phone. He had spent the last 45 minutes speaking to various people in the customer service department of FinanceCo Ltd. The problem had started several months earlier when John had
1 What emotions do you think John Smith experienced during these transactions? John Smith put down the phone. He had spent the last 45 minutes speaking to various people in the customer service department of FinanceCo Ltd. The problem had started several months earlier when John had taken out a
2 From whom do you think he encountered most resistance, and why? The Singapore General Hospital (SGH) is the country’s largest acute tertiary care hospital. It has a total of 1,612 beds and 22 clinical departments providing a comprehensive range of medical services. The hospital employs around
1 How has Lawrence Lim focused his staff on providing ‘best outcome, best experience’? The Singapore General Hospital (SGH) is the country’s largest acute tertiary care hospital. It has a total of 1,612 beds and 22 clinical departments providing a comprehensive range of medical services. The
discuss how to judge the success of a service operation
identify different types of services and service processes
describe some of the key challenges faced by service operations managers
explain what we mean by service operations management
2 Are the advantages of an e-operations strategy and using e-business always clear-cut?Many leading grocery retailers offer Internet shopping facilities. However, the retailer is required to select goods and deliver to the buyer’s home (activities the consumer would traditionally perform). It
1 Discuss how an e-operations strategy could be applied to other non-fashion sectors. In particular, what would be the implications for the financial services sector or for the Swedish Medical Centre (see chapter 12)?
5 How can an operations strategy provide a method by which to deploy policies throughout the organization?
4 What are the main impacts of e-business on an operations strategy?
3 Discuss the various types of e-business model outlined earlier terms of their particular focus and advantages or disadvantages.
2 What are the benefits and limitations of e-business?
1 Distinguish between e-business and e-commerce.
3 What are the advantages and disadvantages of commerce on a global scale?
2 Are such trends also visible in the service sector?
1 What are the main reasons for this internationalization of trade? Can the forces be classified in any way?
6 Describe the nature of supply network processes. Why are they important?
5 What do we mean by the term ‘transaction cost’?
4 Discuss the main differences between a supply network and supply chain operations strategy.
3 Give examples of the hidden and inflexibility costs involved with foreign sources of supply.
2 What are the advantages and disadvantages of (a) offshore sourcing and (b) domestic sourcing from responsive suppliers?
1 Describe the four classifications of a global strategy. What are the key differences between them?
■ Understand the nature of both supply network and supply chain operations strategies?
■ Consider the history and evolution of the supply network?
■ Consider the advantages and disadvantages of offshore and domestic sourcing?
■ Appreciate the importance of sourcing and procurement as an operations strategy?
■ Analyse the types of international strategy?
■ Discuss the driving forces for global and international trade?
5 Intriguingly, the Swedish CEO suggests that increasing both quality and the variety of service can cut costs. Can this be done? If so, how?
4 Can these strategies be customized? If so, how?
3 Does the Swedish require more than one operations strategy? If so, for what products and/or services?
2 We can see from the case study that the Swedish provides a vast range of services, many of which have to be customized to an individual level. Bearing this in mind, what are the main operations strategy decisions necessary for the Swedish? It may be helpful to classify these as:■ Core
1 At the beginning of this chapter we described a model of service value as having six essential parts:■ Perceived quality;■ Intrinsic attributes;■ Extrinsic attributes;■ Monetary price;■ Non-monetary price; and■ Time.A service was also described as being a ‘bundle’ consisting of

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