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
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Chapter 5, Problem 4.1CP
Summary Introduction

Case summary:

A husband-wife duo run a successful outdoor gear store called NB and they stock hiking and backpacking clothes, gear and accessories. They developed good reputation and realized that most of their orders came via phone, from customers who did not live close by. Hence, they decided to distribute catalogs and set up a phone order service.

The service consisted of 5 phone operators working 8 hours a day, Monday to Friday. NB found that sales soared during the holiday season, but they were worried about the lost sales due to the heavy telephone traffic. An analysis showed that NB lost almost $100,000 in sales because of the poor service of their catalog department.

ND hired a consultant who analyzed their system, calculated order arrival and service times. She also offered NB several strategic options given their limitation of floor space which can accommodate a maximum of 10 operators.

To determine: Which service configuration should NB adopt to achieve their goals and why.

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Cariveh Co sells automotive supplies from 25 different locations in one country. Each branch has up to 30 staff working there, although most of the accounting systems are designed and implemented from the company's head office. All accounting systems, apart from petty cash, are computerised, with the internal audit department frequently advising and implementing controls within those systems. Cariveh has an internal audit department of six staff, all of whom have been employed at Cariveh for a minimum of five years and some for as long as 15 years. In the past, the chief internal auditor appoints staff within the internal audit department, although the chief executive officer (CEO) is responsible for appointing the chief internal auditor. The chief internal auditor reports directly to the finance director. The finance director also assists the chief internal auditor in deciding on the scope of work of the internal audit department. You are an audit manager in the internal audit…

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Operations and Supply Chain Management 9th edition

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