Chapter 01 - Operations and Supply Chain Management
Define the service package of your college or university. What is its strongest element? Its weakest one?
The categories with examples are:
Supporting facility - location, buildings, labs, parking. Facilitating goods – class schedules, computers, books Explicit services – classes with qualified instructors, placement offices Implicit services – status and reputation (e.g., Ivy League schools)
At Indiana University and the University of Southern California, among their strongest elements are their business schools and their Operations Management programs (of course). Both also have very dedicated alumni networks. A weak element of Indiana University is its weak football program; for USC, weak elements are on-campus parking and housing.
What service industry has impressed you the most with its innovativeness?
Our vote goes to cruise lines which have introduced such onboard innovations as wave machines for belly boarding and rock climbing walls, as well as all sorts of other amenities to keep cruisers involved. The industry is doing record business as well.
Some of the standout companies in less innovative industries are Bank of America (has a formalized research program to try out new customer services/amenities such as video screens in next to teller lines), Intuit (e.g., putting Quicken money management software online), Ikea, JetBlue Airlines, and Progressive Insurance (discussed later in the book).
What are Value-added services and what are the benefits to external customers?
Value-added services make the external customer’s life easier and help carry out their particular function. They provide benefits in two areas. First, they differentiate the organization from the competition. Secondly, these services build relationships that build customers to the organization in a positive way.
What is the difference between a service...
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