Methods used in manufacturing - operation strategy, Operation Management

Assignment Help:

Methods Used in Manufacturing - Operation Strategy

Many of the methods used in manufacturing are just as applicable; however a greater degree of customisation will be required. The manufacturing sector may be viewed as relatively homogeneous in terms of operating characteristics; the same cannot be said about the service sector. Indeed the 'service sector' is made up of many sub-sectors such as education, health, local and national government, emergency services and in the private service sector, financial services, retailing, distribution and entertainment. One difference that cannot be avoided is the interface between the service provider and the customer. This link does not exist in manufacturing but is crucial to service organisations.

2272_Methods Used in Manufacturing – Operation Strategy.png

In this figure (Heskett and Schlessinger, 1991), you can see that if there is a pool of low cost labour available and management adopts a low salary-no training approach to the recruitment of front line service staff, the resultant 'cycle of failure' will result. Heskett et al argue that this cycle can be reversed if a reversal in human resource management policy is adopted. Heskett (1994, 1997) went on to develop the service-profit chain illustrated in the figure opposite. They consider customer satisfaction to be defined as 'the customer's perception of the performance of the company and the difference between the service received and paid for and the service expected.' They suggest that there are direct linkages between profit and growth, customer satisfaction, customer loyalty, employee loyalty and the value of services and goods delivered. The figure outlines the linkages in a service-profit chain. They suggest that the strength of these links may vary from one organisation to another yet they are always significant. You will note that customer loyalty is therefore a significant metric in determining if customer satisfaction has been achieved. Jones and Sasser (1995) suggest that the linkage between customer satisfaction, loyalty and future business though extremely significant does not take into account other factors such as the competitive environment. They describe four categories of customer which the operations system must contend: hostages, mercenaries, terrorists and apostles. The figure below categories customers from being terrorists to devotees.

2199_Methods Used in Manufacturing – Operation Strategy 2.png


Related Discussions:- Methods used in manufacturing - operation strategy

Explain how would you measure customer profitability, How would you measure...

How would you measure customer profitability? What approach would you use in maximizing customer lifetime value? Explain

Define mass customization, Lands End will custom fit the Marinac jacket and...

Lands End will custom fit the Marinac jacket and make it with additional features, such as thumb loops, underarm ventilation slits, and a key clip, when you order from LandsEnd.com

The abc system, The ABC system is a method of  Managing inventory.

The ABC system is a method of  Managing inventory.

Explain briefly how a leader can recognize regressive cycle, Describe brief...

Describe briefly how a leader can recognize a regressive cycle and what should the leader's response be?

Explain the annual interest payment, A bond has a coupon rate of 15%, a yie...

A bond has a coupon rate of 15%, a yield to maturity of 10.55%, and a market price of $850. Therefore, the annual interest payment is: a.) $850 b.) $150 c.) $105.50. d.) $120.0

I want a broke down step by step solution, I have looked at your solution a...

I have looked at your solution and I still do not understand how you get the numbers put in for flow time from the information given. I understand how to calculate everything after

Explain objectives of job evaluation, Explain objectives of job evaluatio. ...

Explain objectives of job evaluatio. Objectives of job evaluation: a) Decides the relative values of various jobs in an organization.  b) Helps to formulate a suitable a

Evaluate the servicescape dimensions, Question: (a) Services are usuall...

Question: (a) Services are usually produced and consumed simultaneously, and in many cases the customer has to enter the service facilities and be within the servicescape befo

Explain identifying and developing global leaders, Identifying and developi...

Identifying and developing global leaders is a key concern for international companies. Compare and contrast the skills and context of the traditional / national manager with that

Explain for bill what an enterprise resource planning, Describe for Bill wh...

Describe for Bill what an Enterprise Resource Planning (ERP) solution would look like for his UMUC Pizza business and how his business could benefit from implementing an ERP soluti

Write Your Message!

Captcha
Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd