Product_vs_Service - Operations Management: The management...

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Unformatted text preview: Operations Management: The management of systems or processes that create goods and/or provide services create People, plant , equipment, money, raw Input material, components Add Value Operations Output Goods Services Examples Dinning chair Inputs Wood, cushions, nails, varnish, sand paper, cutting / drilling tools Labor …. Doctors, nurses Hospital Staff Medical supplies Equipment Labs Processing Cutting, joining, sanding, polishing, packing, labeling, etc. Output Finished chair Hospital Inventory / quality / monitoring Control Examination Surgery Monitoring Medication Therapy Treated patients Process Schematic Includes customer feedback Product_vs_Service 1 Product_vs_Service 2 MGMT 36100 MGMT 36100 GoodsGoods-service Continuum Goods Service Surgery, teaching Song writing, software development Computer repair, restaurant meal Automobile Repair, fast food Home remodeling, retail sales Automobile assembly, steel making Key differences: manufacturing vs. service No. 1 2 3 4 5 6 7 8 9 10 Characteristic Customer contact Uniformity of input Labor content of jobs Uniformity of output Measurement of productivity Production and delivery Quality assurance Amount of inventory Evaluation of work Ability to patent design Goods Low High Low High Tangible Easy High Much Easier Usually Service High Low High Low Intangible Difficult Low Little Difficult Not usual Production of goods – tangible output Delivery of services – an act Product_vs_Service 3 Product_vs_Service 4 MGMT 36100 MGMT 36100 Product_vs_Service 1 ...
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This note was uploaded on 12/14/2010 for the course MGMT 361 taught by Professor Panwalker during the Spring '10 term at Purdue University-West Lafayette.

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