BUS 201 Chapter Notes - Chapter 10: Rio Tinto Alcan, Manufacturing Resource Planning, Bauxite
Document Summary
Service operations: production activities that yield tangible and intangible service products. Tangible and intangible service products include: transportation, education, entertainment. Examples of people who work in service operations are: Operation: includes all of activities involved unmaking goods and providing services for customers. Creating value through operations: products (both goods and services) provide customers with utility. Utility: the power of a product to satisfy a human want; something of value. Form utility: by turning raw materials into finished goods. Operations (production) management: a set of methods and technologies used in the production of a good or service. Both services and manufacturing operations transform raw materials into finished products. Raw materials: are people who have their unsatisfied needs or possessions needing care or altercation. Service operations are more complicated than goods production in four ways: the interaction with customers, the intangivle and unstorable nature of some services, the customers presence in the process.