Operations and Supply Chain Management 9th edition
Operations and Supply Chain Management 9th edition
9th Edition
ISBN: 9781119320975
Author: Roberta S. Russell, Bernard W. Taylor III
Publisher: WILEY
Question
Book Icon
Chapter 11, Problem 1.1ASC
Summary Introduction

Case summary:

BG is the largest aerospace organization creating commercial aircrafts and defense systems with 13,000 suppliers around various countries. BG Company uses supplier rating and evaluation system to maintain quality and customer expectation. The rating system consists of five color coded standards; gold indicates best performance, silver, yellow and bronze indicates worst performance. Within color rating, the suppliers are rated based on the delivery, performance assessment, quality and value. Aerospace industries association has considered BG Company’s rating system as the industry best supplier rating system.

To determine: How the BG Company supplier rating system is applicable in service industries like restaurant or hospitals.

Expert Solution & Answer
Check Mark

Explanation of Solution

Rating system followed in service industries like restaurant or hospitals:

Restaurants can implement similar rating systems that BG Company is following to improve their quality and customer expectations. Every department head should be given with the rating. For example, Kitchen department should be rated with gold (indicating best performance), silver (need improvement), yellow and red (poor performance). Similar rating can be followed for other department such as cleaning and serving. The aggregate scores will decides the overall performance of the employees. For example, if management rates 3 gold for kitchen, 2 gold for serving, and 1silver for cleaning, then the aggregate is 2 and there is a need for improvement.

Similar rating system can be followed in hospital considering important departments such as nursing, laboratory, housekeeping, pharmacy, etc. In hospital industry it is very critical to follow this kind of rating system because, it will help to improve the people’s health and reputation of the organization. With aggregate rating of more than 3 will always help the hospitals to maintain the quality service being provided to the patients.

Conclusion

BG Company rating system can be followed various industries to provide quality products or services and meet the customers expectations.

Want to see more full solutions like this?

Subscribe now to access step-by-step solutions to millions of textbook problems written by subject matter experts!
Students have asked these similar questions
What is a bottleneck? Would you try to reduce a bottleneck? Why or why not? Please provide a reference
Your firm has been the auditor of Caribild Products, a listed company, for a number of years. The  engagement partner has asked you to describe the matters you would consider when planning the audit for  the year ended 31January 2022. During  recent visit to the company you obtained the following information: (a) The management accounts for the 10 months to 30 November 2021 show a revenue of $260 million and profit before tax of $8 million. Assume sales and profits accrue evenly throughout the year. In the year ended 31 January 2021 Caribild Products had sales of $220 million and profit before tax of $16 million. (b) The company installed a new computerised inventory control system which has operated from 1 June  2021. As the inventory control system records inventory movements and current inventory quantities, the company is proposing: (i) To use the inventory quantities on the computer to value the inventory at the year-end (ii) Not to carry out an inventory count at the year-end (c)…
Develop and implement a complex and scientific project for an organisation of your choice. please include report include the following: Introduction Background research to the project The 5 basic phases in the project management process Project Initiation Project Planning Project Execution Project Monitoring and Controlling Project Closing Conclusion
Knowledge Booster
Background pattern image
Similar questions
SEE MORE QUESTIONS
Recommended textbooks for you
Text book image
Purchasing and Supply Chain Management
Operations Management
ISBN:9781285869681
Author:Robert M. Monczka, Robert B. Handfield, Larry C. Giunipero, James L. Patterson
Publisher:Cengage Learning
Text book image
MKTG 12:STUDENT ED.-TEXT
Marketing
ISBN:9781337407595
Author:Lamb
Publisher:Cengage
Text book image
Contemporary Marketing
Marketing
ISBN:9780357033777
Author:Louis E. Boone, David L. Kurtz
Publisher:Cengage Learning