a)
To classify: The type of process.
a)
Explanation of Solution
Given information:
The process is “Doctor’s office”.
Classification:
The process is classified as a job shop or project. The patients will require different services for each of them. The services offered will be customized in nature. Hence, it is a job shop or project.
b)
To classify: The type of process.
b)
Explanation of Solution
Given information:
The process is “Automatic car wash”.
classification:
The process is classified into an assembly line flow. The car wash is a linear sequence of operations that are performed in a sequential manner.
c)
To classify: The type of process.
c)
Explanation of Solution
Given information:
The process is “College curriculum”.
classification:
The process can be classified into any of the processes of continuous, batch, job shop, project or an assembly line. It can be termed as an assembly line, if the similar course is needed by all learners. It can be termed as a batch process, if the curriculum is suited for a particular degree. It can be termed as a project, if the course is custom-made to single learner.
d)
To classify: The type of process.
d)
Explanation of Solution
Given information:
The process is “Studying for an exam”.
classification:
The process is classified as a project. It is distinctive for each learner for different exams.
e)
To classify: The type of process.
e)
Explanation of Solution
Given information:
The process is “Registration for classes”.
classification:
The process is classified as an assembly line. The students will be required to perform the same sequence of steps with only a minimum amount of variation.
f)
To classify: The type of process.
f)
Explanation of Solution
Given information:
The process is “Electric utility”.
classification:
The process is classified as a nonstop method as it is specifically standardized one. It can be programmed to a big degree to attain a low unit cost.
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Chapter 4 Solutions
OPERATIONS MANAGEMENT IN THE SUPPLY CHAIN: DECISIONS & CASES (Mcgraw-hill Series Operations and Decision Sciences)
- Scenario 3 Ben Gibson, the purchasing manager at Coastal Products, was reviewing purchasing expenditures for packaging materials with Jeff Joyner. Ben was particularly disturbed about the amount spent on corrugated boxes purchased from Southeastern Corrugated. Ben said, I dont like the salesman from that company. He comes around here acting like he owns the place. He loves to tell us about his fancy car, house, and vacations. It seems to me he must be making too much money off of us! Jeff responded that he heard Southeastern Corrugated was going to ask for a price increase to cover the rising costs of raw material paper stock. Jeff further stated that Southeastern would probably ask for more than what was justified simply from rising paper stock costs. After the meeting, Ben decided he had heard enough. After all, he prided himself on being a results-oriented manager. There was no way he was going to allow that salesman to keep taking advantage of Coastal Products. Ben called Jeff and told him it was time to rebid the corrugated contract before Southeastern came in with a price increase request. Who did Jeff know that might be interested in the business? Jeff replied he had several companies in mind to include in the bidding process. These companies would surely come in at a lower price, partly because they used lower-grade boxes that would probably work well enough in Coastal Products process. Jeff also explained that these suppliers were not serious contenders for the business. Their purpose was to create competition with the bids. Ben told Jeff to make sure that Southeastern was well aware that these new suppliers were bidding on the contract. He also said to make sure the suppliers knew that price was going to be the determining factor in this quote, because he considered corrugated boxes to be a standard industry item. Is Ben Gibson acting legally? Is he acting ethically? Why or why not?arrow_forwardScenario 3 Ben Gibson, the purchasing manager at Coastal Products, was reviewing purchasing expenditures for packaging materials with Jeff Joyner. Ben was particularly disturbed about the amount spent on corrugated boxes purchased from Southeastern Corrugated. Ben said, I dont like the salesman from that company. He comes around here acting like he owns the place. He loves to tell us about his fancy car, house, and vacations. It seems to me he must be making too much money off of us! Jeff responded that he heard Southeastern Corrugated was going to ask for a price increase to cover the rising costs of raw material paper stock. Jeff further stated that Southeastern would probably ask for more than what was justified simply from rising paper stock costs. After the meeting, Ben decided he had heard enough. After all, he prided himself on being a results-oriented manager. There was no way he was going to allow that salesman to keep taking advantage of Coastal Products. Ben called Jeff and told him it was time to rebid the corrugated contract before Southeastern came in with a price increase request. Who did Jeff know that might be interested in the business? Jeff replied he had several companies in mind to include in the bidding process. These companies would surely come in at a lower price, partly because they used lower-grade boxes that would probably work well enough in Coastal Products process. Jeff also explained that these suppliers were not serious contenders for the business. Their purpose was to create competition with the bids. Ben told Jeff to make sure that Southeastern was well aware that these new suppliers were bidding on the contract. He also said to make sure the suppliers knew that price was going to be the determining factor in this quote, because he considered corrugated boxes to be a standard industry item. As the Marketing Manager for Southeastern Corrugated, what would you do upon receiving the request for quotation from Coastal Products?arrow_forwardDerby Phones is considering the introduction of a new model of headphones with the following price and cost characteristics. Sales price $ 22 per unit Variable costs 5 per unit Fixed costs 25,000 per month Assume that the projected number of units sold for the month is 7,000. Consider requirements (b), (c), and (d) independently of each other. Required: a. What will the operating profit be? d. Suppose that fixed costs for the year are 10 percent lower than projected, and variable costs per unit are 10 percent higher than projected. What impact will these cost changes have on operating profit for the year? Will profit go up? Down? By how much?arrow_forward
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- Purchasing and Supply Chain ManagementOperations ManagementISBN:9781285869681Author:Robert M. Monczka, Robert B. Handfield, Larry C. Giunipero, James L. PattersonPublisher:Cengage Learning