Question 1 [20 MARKS]

a) Explain production process, manufacturing operation and service operations. (6 marks)

b) Difference between manufacturing and service operations. (6 marks)

c) Define quality, Quality Gurus, Quality Tools, and Quality Management. (8 marks)

Question 2 [20 MARKS]

Sales of hair dryers at the Walgreens stores in Youngstown, Ohio, over the past 4 months have been 100, 110, 120, and 130 units (with 130 being the most recent sales).

Develop a moving-average forecast for next month, using these three techniques:

a) 3-month moving average. (3 marks)

b) 4-month moving average. (3 marks)

c) Weighted 4-month moving average with the most recent month weighted 4, the preceding month 3, then 2, and the oldest month weighted 1. (3 marks)

d) If next months sales turn out to be 140 units, forecast the following months sales (months) using a 4-month moving average. (3 marks)

e) Explain what the Dynamics are for strategies to change within the Operation: