MGT 302 Exam 2

MGT 302 Exam 2 - Exam 2 Study Guide MGT 302 Chapter...

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Exam 2 Study Guide MGT 302 Chapter 5—Serivce * Attributes to a service - Intangibility —no product - Simultaneity -simultaneous production and consumption -customer participates in the service process (front vs. back office) - Heterogeneity -a variation of service from customers to customers -example: education of a student - Perishability -a service is lost when not used -example: and empty airline seat * Differences between manufacturing and services Facility: -special attention to the physical surroundings is needed for the service facility, but not necessarily for the manufacturing facility Quantify control: -performance of a service is difficult to test before purchasing (easy for product) Quality control: -a service cannot be tested/inspected before a delivery (product can) Buffer: -manufacturing plant closed system (nonperishable—can be stored to fluctuate with demand) -service open systems—with the full impact of demand variations being transmitted into the system (perishable—service cannot be stored to prepare for changes in demand) Utilization: -the full utilization of service capacity is even more challenging than manufacturing capacity * Service-product bundle—a service package - Facilitating goods : the physical goods that are used or consumed by the customer - Explicit service : the essential or intrinsic features readily observable by the sense -example: what the seller does for you (transportation) - Implicit service : intangible or psychological benefits of the service -how you feel about it Look at examples in notes * Customer Contact Matrix -Front (high contact services) vs. Back (low contact services Customer-introduced variability: Arrival-when they arrive to consume a service Request-what they ask for in the bundle Capability-ability of customer to participate Effort-willingness of customers to participate Subjective preference- preferences of customers in how service is carried out
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-Customer contact -High contact services -control of process: customer -skills: personable, flexible -customization: more -Low contact services -control of process: service provider -skills: technical skill/efficiency -customization: low (standardization) *Service process matrix-Dimensions -Degree of interaction and customization -Degree of labor intensity (ratio of labor cost to capital cost) understand the service process matrix in notes (graph) - Service Factory: provides a standardized service with high capital investment -airlines, trucking, hotels, resorts and recreation - difficulties : capital decisions, managing rigid hierarchy with need for standard operating system - Mass service: provides an undifferentiated service in a labor-intensive environment -traditional retailers, wholesaling, schools - difficulties: managing rigid hierarchy with need for standard operating system, scheduling workforce - Service shop : permits more service customization, but does so in a high-capital environment -hospitals, repair services - difficulties : capital decisions, hiring/training, gaining employee loyalty, reacting to
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MGT 302 Exam 2 - Exam 2 Study Guide MGT 302 Chapter...

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