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operations management
Questions and Answers of
Operations Management
What is a mystery shopper and what do they do? Do you think this is a useful concept?
When would outsourcing customer service be a good idea? When would it be a bad idea?
What advantages and disadvantages does the customer participation approach to customer service have? What are some examples of this approach?
How does a firm achieve high quality customer service?
How do firms conduct an internal customer service audit? Why do they do it?
Why do firms conduct external customer service audits, and how do they do it?
What is the happy-productive worker hypothesis and what does it have to do with customer service?
How should performance metrics be used in customer relationship program implementations?
Compare telemarketing to the use of field sales personnel for relationship management purposes.
How does false-positive blocking affect relationship management efforts?
Can firing customers be a good practice? Can it be bad for business?
Why do CRM technology investments have relatively high failure rates?
What is bottom-up branding and how can this be a helpful concept for a firm?
Describe versioning and describe how it might be used in a customer relationship program.
Discuss the meaning of neighborhood marketing, and provide some examples of firms in your area.
What is customer lifetime value, and how can it be used in the design of marketing initiatives?
Discuss the term, "profitable customer" and why it is so important when segmenting customers, or designing marketing campaigns.
Define niche segmentation.
What is the objective of the customer relationship process?
What is customer segmentation, and why is it important?
How is customer relationship management different from CRM software applications?
What causes a customer service failure?
What are the three elements of customer service? Which one do you think is the most important?
What is the customer service process?
A specialty fabrication shop has the following assembly processes for one of the products it makes: Process 1 feeds a completed component to Process 2; Process 2 feeds a completed assembly to Process
If the process needed to make 18 units per day, what should you do?
How many finished units per day can the current assembly process produce? Where are the bottlenecks?
A local bakery had a design capacity of 1000 loaves per day, and an effective capacity of 700 loaves per day. During a three-day period, the bakery made 850 loaves per day. Calculate the capacity
How can McDonald’s cook 16 hamburgers in 45 seconds?
What are some of the things people have said about Dr. Michael Hammer and his book?
When watching the three managers talking about capacity, what are some of the plant characteristics they tied to capacity?
What are some of the sustainable work practices discussed in the video clip?
What is a sustainable process?
How can a break-even analysis be used when evaluating a potential new product? How can it be used in a make-or-buy decision?
Describe how the Theory of Constraints works. Use an example.
What is meant by economies and diseconomies of scale?
You wish to hire three part-time workers. What sort of capacity planning is this?
What is design capacity? Effective capacity? Best operating level?
How can flowcharts be used in process reengineering?
What is process reengineering? Do you think it is dead?
What is a process flowchart and why would you want to construct one?
List and describe the three types of processes based on the way that outputs are produced. In which of these categories would you put the process types discussed earlier in this chapter?
Define postponement and describe how it is related to mass customization.
What is mass customization and why is it considered a hybrid process?
List and describe the four basic types of processes.
What is the relationship between production output and automation and standardization?
Management can instead contract out to a soft drink bottler which can make the soft drink for a purchase price of $0.35. They expect to sell 250,000 units per year. How many years will it take Maggie
Which product project would be the best using a discount rate of 8 percent? a. Estimated investment cost of $185,000; annual cash inflows of $26,000 for 10 years, with a salvage value of
To what does the triple bottom line refer?
For the two projects below and using a discount rate of 12 percent, decide which one should receive the investment funds. Projected Projected Cash Flows, Year Cash Flows, ($) ($) - $325,000 -
What are some of the innovative office designs at Zappos ’ headquarters?
How successful has dumpster day been at Burt’s Bees?
What does John Edson say about use of materials and sustainable product design?
How comprehensive are Mercedes’ product tests? What tests do they employ?
What is the gist of what Rob Beachy says about product screening?
Explain the concept of neuroscience and which companies use it.
What does Steve Jobs say about generating innovative ideas at Apple?
Do you think Jetboards are well-designed? What sort of customer would they appeal to?
What does Dr. Warren say about core competency and mission creep?
Why should firms worry about disposal issues when designing new products?
How do product designers gauge the environmental impacts of their product designs?
What are some considerations when including environmental aspects in product design? Use an example in your discussion.
How might design for manufacture and assembly (DFMA) be used at a fast food restaurant?
Describe how three-dimensional concurrent engineering might be used if your local sandwich restaurant decided they needed to start making pizza.
How does the net present value of a project differ from its internal rate of return? When would you prefer one over the other?
How could benchmarking help to generate new product ideas?
Why would a firm want to use a contract manufacturer or service instead of making a good or service in-house?
What is design for manufacture and assembly (DFMA)? What activity is closely associated with DFMA?
Define three-dimensional concurrent engineering.
What is value engineering, when is it used, and how is it used in new product design efforts?
What is concurrent engineering and how is it different from the sashimi system? How do these reduce product development leadtimes ?
What is pilot manufacturing and during which phase of the new product development process is it used?
What is the House of Quality matrix and how is it used?
Define basic research and open innovation and then explain what they have to do with the new product development process.
What is strategic fit? Explain the differences between internal fit and external fit.
Why is variability an important issue in new service design?
What are some of the different considerations when designing services instead of goods?
What is core competency and what does it have to do with product design?
What is product design, and what things should be considered for a good product design?
Mary Jane’s Beauty Shop has recently invested money to add more equipment to enable more services to be offered at the shop. Given the following information evaluate their investment.
Given the information below, calculate the financial performance.Net sales = $10,187,125 Cost of goods sold (purchases) = $4,325,219Current
Calculate the single-factor and multiple-factor productivities.
Calculate the profit margin, current ratio, inventory turnover, and purchasing efficiency (given an annual purchasing cost goal of $600,000).
Use the following information to analyze the financial and inputs/outputs of the organization from 2015 to 2016: Financial Information 2015 2016 Results Results $1,372,000 $1,416,400 Netsales Cost of
The Ultra Ski Shop rents snow skis during the ski season and employs five people. The owner wants to track productivity performance measures using the data shown below. Determine the single-factor
For the previous month, the C.J. Lounge served 1,500 customers with very few complaints. Their labor cost was $3,000; material cost was $800; energy cost was $200; and building lease cost was $1,500.
Given the information below, calculate the single-factor and total factor productivities. Output Inputs 325,000 units 6400 labor hours @ $15.00 per hour Sales price = $1249.00 Material cost =
During the past four months, the units produced and the labor hours are as shown below. Compute the monthly labor productivities and productivity growth for periods. March June June April May Units
Calculate the productivity growth for each productivity measure in Problem 1, from the first to the second month.
Calculate the single-factor productivities and the overall multiple-factor productivities for each of the two months.
What are some things that Walmart is doing to measure sustainability?
Why would a farmer in Argentina want to sell cotton to a fair trade buyer?
What does Dr. Kaplan say about the objective of performance measures?
Why do you think Jack Dziak feels so strongly about the importance of performance measures? What was one of the things he said companies did wrong with regards to performance measurement?
How could an individual determine their own core competency?
What is the minimum requirement for satisfying customers?
How has the Internet impacted strategic planning?
Are there any fair trade producers in the U.S. today?
Could a small business use big data analytics? Explain.
Why is big data analytics becoming so important now?
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