Instructions

You work in a service$-$based organization. A few employees have approached your management team with inventory concerns. The inventory program seems mismanaged and could use a facelift. The previous manager was utilizing a revenue management approach in hopes that optimization was a possible outcome. Using the textbook or outside sources, answer the following discussion questions.

Q$1$ Think back to your problem statements. What inventory model does your organization use now?$$ Is there a more effective model that should be considered? If so$,$ why?

Q$2$ What is the difference between yield management and revenue management for service$-$based organizations? Is a revenue management approach appropriate in a service$-$based organization? Explain your answer.

Q$3$ How can service companies carry labor inventory? Provide one example.