
Case summary:
Company D is a plumbing, heating and air-conditioning company. The company has a simple but powerful strategy. The main goal of the company is their customer satisfaction. The firm offers 24 hours service for 7 days a week with no extra charges.
Company D guarantees price for their work and offers guarantee for all parts for one year. The company does not charge travel charges. The company highly concentrates on customer satisfaction rather than wealth creation.
The company does selective hiring, training and education, performance and compensation to concentrate on customer satisfaction. The company charges premium price but has high customer response due to the value they promise. The revenue has increased from $200,000 to $3.3 million.
To determine: How the 10 operations management decisions will be managed to make the strategy successful.

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Chapter 5 Solutions
Principles Of Operations Management
- Assess what led to such logistical inefficiencies / collapse of a previously world class freight networkarrow_forwardWhich of the following statements concerning the evaluation of training programs is true? Most companies thoroughly evaluate the return on investment of their training programs It is relatively easy to establish a control group and a treatment group for evaluation Results level of evaluation measures how well participants liked the program Behavior level criteria measure whether skills learned in training result in behavior changes back on the jobarrow_forwardEligibility testing is an disparate impact validation method none of the above a method to validate promotions and progressive discipline activity a test an employee administers to ensure that the potential employee is capable and qualified to perform the requirements of the positionarrow_forward
- A no-strike pledge by a union in a collective bargaining agreement is given in return for management’s agreement to: a grievance procedure a union shop a wage increase a fringe benefit increase binding arbitration of grievancesarrow_forwardWhich is the major OD technique that is used for increasing the communication, cooperation, and cohesiveness of work units? Leadership analysis Developing objectives Groupthink Strategic Planning team Buildingarrow_forwardAn American multinational firm usually is less than fully successful in adapting itself to local practices in each country because: American managers are often ignorant of local conditions None of the above management direction may be centralized in the home office All of the above Foreign subsidiaries often have American managersarrow_forward
- When salary increases are based on inputs, or performance, companies are following: agency theory equality theory equity theory compliance theory need theoryarrow_forwardThe most frequently used techniques for measuring job satisfaction involves Direct observation Questionnaires Interviews Psychological testsarrow_forwardWhich of the following is not an advantage of on-the-job training? Transfer is less difficult Transfer is less difficult The training is inexpensive Any organizational member can be the trainer without preparation It is relatively easy to use this methodarrow_forward
- Diversimilarity is characterized by A systematic and dual emphasis and appreciation of both the differences and the similarities that members of an organization have Everyone is either the same or different Attempting to change the values of minority groups to make them conform with the views of the dominant group Emotional intelligence of everyone involvedarrow_forwardCultural environment includes all of the following components except: religious beliefs values/ideologies corporate structure education/human capitalarrow_forwardSearch firms _____________. All of the above place consultants onsite for their clients are outsourced to search and place full-time employees for their clients place contract employees for the clientsarrow_forward
- Practical Management ScienceOperations ManagementISBN:9781337406659Author:WINSTON, Wayne L.Publisher:Cengage,MarketingMarketingISBN:9780357033791Author:Pride, William MPublisher:South Western Educational Publishing
- Purchasing and Supply Chain ManagementOperations ManagementISBN:9781285869681Author:Robert M. Monczka, Robert B. Handfield, Larry C. Giunipero, James L. PattersonPublisher:Cengage Learning

