Assignment_7 - Page 1 of 3 MGT2320 Online Assignment 7 Q1...

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Page 1 of 3 MGT2320 Online – Assignment 7 Q1 Goods: Service Company offers intangible goods of consultancy, training, insurance. Product company’s goods are tangible; they can be physically seen and felt. Inventory: Service companies only offer service when the customer wants it. Product companies produce goods, store them, forecast market trends in order to follow just in time procedures. Customers: Manufacturers do produce without customers’ orders to keep stock and because they can. However the service sector only designs their product then services it when the customer wants. Labour: Service industry’s labour is knowledge based and it is specific. Manufacturers can work around to allocate their employees depending on where they are needed. Location: Product Company needs a physical location to produce and store goods. Service sector can be located anywhere to service their customers. Q2 i) Dell is one of the companies that use JIT systems in its operations. Dell is a computer and computer related products manufacturer based in Round Rock, Texas, United States of America.
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