Operations processes & Life Cycles (3)

High variety

Low volume

Low variety

High volume

Project Process

MPO high variety/low volume - output is low and one-off, resources brought to site and take a long time. e.g. bridge

Job Shop Process

MPO - Re-purposed shared resources, unique one-off, precision skills, bespoke (tailored) E.g. fashion clothes

Batch Process

MPO - more than 1 needed, standardised, high volume demand, range of novel products e.g. bakeries

Mass process

MPO High volume/narrow variety - varients dont affect sequential process e.g. vehicle assembly

Continuous process

MPO High volume/Low variety - operate for long periods, endless flow of production, highly predictable and standardised e.g. bottled water

Mass customization

mass produces the same product but with customized choices e.g. Brompton bikes

Servitization

Both product and service go to the customer e.g. printers and the printing

Professional service

CPO High variety/Low volume - high labour intensity, high contact/customization, people-based. e.g. Doctors

Service shop

CPO - mix pf people and equipment (front/back office), medium contact/customization. E.g. Banks

Mass service

CPO high variety/low volume - equipment-based, defined division of labour (divided jobs) e.g. Supermarket cashier

Challenges of professional service

Hiring skilled consistent people

Training

REacting to customer intervening process

Gaining employee loyalty

Flexibility of process design

Maintaining quality

Challenges of Mass service

Attention to servicescape

Capital decisions

Technlogical advances - high cost

Introduction (birth stage)

Product/service life cycle - Design and prototype

Growth

Product/service life cycle - Capacity management, keep up with demand

Mature

Product/service life cycle - increasing efficiency/quality with competition, lower costs

Saturation

Product/service life cycle - market is 'full', perfect competition, good for customer but bad for businesses

Decline

Product/service life cycle - Cost is minimized and resources relocated. some products are designed for obsolescence e.g. perishable food

Entrepreneurship

Service firm life cycle - few formal system, limited tech, top down communication

Multi-site rationalization

Service firm life cycle - how to standardise process to upscale it (tech is used) e.g. good peloton trainers shared through app

Growth (SFLC)

unchanged but refined

Maturity

market penetration

Decline (SFLC)

saturation