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Process Strategy

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9.

DISCUSSION QUESTIONS
1. Process strategy is the organization’s approach to transforming resources into goods and services. 2.
Product Beer Wedding invitations Automobiles Paper “Big Mac” Custom Homes Likely Process Product Focused/Continuous Process Focused/Job Shop Modular/Repetitive Product Focused/Continuous Modular/Repetitive Job Shop with components made in Product Focused and Modular facilities Modular/Repetitive

Manufacturing firms in each of the process models:
I I I I

Process focus, your local print shop and Kinko’s Repetitive focus, Harley-Davidson Product focus, International paper Mass customization, Dell Computer

10. Competitive advantage of manufacturing firms in each of the process models:
I

Process focus, differentiation, and expertise in each process area. (Kinko’s) Repetitive focus, rapid response, and efficiency (HarleyDavidson) Product focus, very low variable cost (International Paper) Mass customization, low cost, rapid response to unique customer demands. (Dell Computer)

I

Motorcycles

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3. Service blueprinting is a process analysis technique that focuses on the provider’s interaction with the customer. 4. Process reengineering is the rethinking and radical design of business processes to bring about dramatic improvements in performance. 5. Techniques for improving service productivity include: separation, self-service, postponement, focus, modules, automation, scheduling, and training. 6. The 4 quadrants are: (1) mass service (low interaction/customization; high labor intensity) (2) professional service (high interaction/customization; high labor intensity) (3) service factory (low interaction/customization; low labor intensity) (4) service shop (high interaction/customization; low labor intensity). 7. CIM (computer integrated manufacturing), in its ideal, but seldom realized form, ties together computer-aided design (CAD), computer – aided manufacturing, flexible

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