Describe the relationship between capacity utilization and quality in a service operation.
What will be an ideal response?
The relationship between capacity utilization and service quality is discussed in the text beginning on page 109. A good response will note that higher levels of capacity utilization may result in waiting lines and hurried or overwhelmed service personnel causing perceptions of service quality to decline. An excellent response will include the observation that the optimal utilization rates are context specific, with the optimal rates depending on the degrees of uncertainty (or variability in arrivals and service times). For example, a low rate of capacity utilization is appropriate where the stakes are very high, as in hospital emergency rooms or fire departments.
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A) More than 50 percent B) 100 percent C) More than 75 percent D) 75 percent
Salamon’s anatomy classifies nonprofit organizations by ______.
A. the nature of their programs and activities B. their eligibility to receive tax-exempt gifts C. the amount of revenue received in a fiscal year D. who receives the principal benefit of their activities
A firm compares its actual performance against its potential performance in _____
a. benchmarking b. scenario analysis c. gap analysis d. opportunity cost analysis
According to studies mentioned in Chapter 3, linear programming algorithms are considered to be one of the top 10 most important tools of the last century
a. True b. False