Ch. 9-12 Services MGMT

A __________ project is not a project category for a professional firm. a. routine b. brains c. grey hair d. procedure

a.

A health club offering a reduced rate membership for students to workout before 4:00 p.m. on weekdays is: A promoting off-peak demand. B partitioning demand. C using yield management. D offering price incentives.

a.

Which one of the following is not true of multiple queue configurations? a. Jockeying is eliminated. b. Division of labor is possible. c. Service provided can be differentiated. d. The FCFS rule is not always followed.

a.

Which queue configuration permits opportunities for division of labor and service differentiation? a. multiple queue b. single queue c. take a number d. self serve

a.

All but one of the following is an example of a yield management application: A RyerFirst B SABRE C HIRO D Restaurant Catering Software

b.

Which of the following is not one of the major considerations in planning multinational operations? a. Cultural transferability b. Technological compatibility c. Network development d. Host government policy

b.

Which of the following service providers likely would be involved in a single-level bidirectional service supply relationship? a. pharmacy b. professor c. garage d. mortgage company

b.

________________ is a characteristic of social media that is not useful to service firms. a. easy access b. requiring specialized c. immediacy d. flexibility

b.

___________ is not part of the service chain concept. a. conversion b. distribution c. inventory management d. knowledge management

c.

All but one of the following depicts the impact of service chain management: ____________. a. proactive demand management b. variable pricing c. real-time tracking d. pull system for flow of information

d.

One advantage of the multiple queue compared to a single queue is that multiple queues a. minimize wait times. b. reduce the average service time. c. lead to a perceived shorter service time. d. lead to a perceived shorter wait time.

d.

_________ variability is not one of the five sources of customer-induced variability. a. Arrival b. Capability c. Effort d. Demand

d.

____________ is not a reason for outsourcing services. a. Leveraging benefits from a supplier b. allowing the firm to focus on core competence c. providing access to latest technology d. none of the above

d.

"Develop foreign customers" is a consideration for the global service strategy of "following your customers". The relevant globalization factor is: a. cultural adoption. b. customer contact. c. complexity. d. Customization.

b.

____________ is the highest level of professional body of knowledge. a. advanced skills b. system understanding c. self-motivated creativity d. cognitive knowledge

c.

A restaurant that features special lunchtime combo meals is providing all but one of the following benefits? A Promotes off-peak demand B Increases customer satisfaction C Decreases service times D Segment demand

a.

After selecting a line in a multiple queue system, a customer is ________ when she or he switches to a different line perceive it to be moving faster. a. jockeying b. balking c. reneging d. weaving

a.

All but one of the following is a managerial implication of bidirectional relationships: a. vendor selection based on reputation b. service supply relationships are hubs c. service capacity analogous to inventory d. quality variation of customer inputs

a.

All but one of the following is a reason for outsourcing services: a. avoids coordination expenses and delays b. allows the firm to focus on its core competence c. provides access to latest technology d. leverages benefits from supplier economies of scale

a.

For the exponential distribution we have: a. the mean equal to its standard deviation. b. the variance equal to the standard deviation. c. no specific relationship between mean and variance. d. the mean equal to the reciprocal of the variance.

a.

Global service strategies include all but one of the following: a. Exporting services b. Following your customers c. Beating-the-clock d. Service offshoring

a.

McDonald's includes beer on its menu for German franchises. This is an example of _______ a. cultural transferability. b. network development. c. host government policy. d. labor norms.

a.

Multinational expansion by a service firm is: a. often driven by customer demand. b. vital for growth. c. not recommended for labor intensive operations. d. primarily a defense strategy.

a.

Supermarkets can be described by which of the following facility arrangement? a. Self-serve followed by service in parallel b. Many service centers in parallel and series c. Servers in parallel d. Self-service

a.

The FCFS rule is most often used because: a. analytical models depend upon its use. b. it represents social justice. c. it is viewed as fair. d. most other rules are not as easily applied.

a.

The cell category titled "employee development" in the taxonomy for outsourcing business services includes all but one of the following services: a. food service b. training c. education d. medical care

a.

The physical goods supply chain contains all but one of the following elements: a. competitor b. distributor c. retailer d. customer

a.

The strategy of segmenting demand is feasible only when: A demand is not from a homogeneous source. B demand is cyclic and predictable. C arrivals for service are random. D making appointments is impossible.

a.

When franchising which one of the following is not a benefit to the franchiser? a. Proven business b. Rapid expansion c. Right to dictate conditions d. Fees from the franchisee

a.

When franchising, which of the following is not an issue for the franchisee? a. Establishing a brand b. Franchise contract c. Degree of discretion d. Conflict resolution

a.

When yield management is implemented which one of the following does not result: a. consumer surplus increases b. multiple prices are offered c. capacity is more fully utilized d. market for the service is segmented

a.

Which of the following is not a strategy for managing capacity? A Developing complementary services B Using part-time employees C Forecasting demand D Scheduling shifts

a.

Which of the following is not an advantage of a multiple-queue configuration? a. FCFS rule is guaranteed. b. Differentiation of service can be provided. c. Division of labor is possible. d. Customers have choice of server.

a.

Which of the following is not an effective way to manage the psychology of waiting? a. Prominently display time with a large analog clock. b. Inform customers when long waits are anticipated. c. Use diversions to occupy customer waiting times. d. Employ a take-a-number system to ensure fairness.

a.

Which one of the following depicts the impact of goods supply chain management? a. EDLP b. functional silos c. reactive forecasting d. push system

a.

Which one of the following is not a strategy to manage demand? A cross-training employees B offering price incentives C developing reservation systems D partitioning demand

a.

________ is not a strategy for reduction of customer-induced variability. a. Adapt to customer skill levels b. Require reservations c. Limit service breadth d. Target customers based on capability

a.

"Hiring local personnel" addresses the labor intensity factor in the ________ global service strategy. a. multicountry expansion b. following your customers c. service offshoring d. beating the clock

b.

A good overbooking strategy should: A minimize the expected opportunity cost of idle service capacity. B balance the expected opportunity cost of idle service capacity and expected cost of turning away customers who have reservations. C minimize the expected cost of turning away reservations. D none of the above; services should try to avoid overbooking.

b.

A relatively recent concept that refers to the movement of new products through existing distribution channels is called: a. economies of scale. b. economies of scope. c. diversification. d. micromarketing.

b.

According to Maister's Second Law of Service: a. perceptions minus expectations equal the level of customer satisfaction. b. first impressions can influence the remainder of the service experience. c. quality in the service industry is essentially free. d. a waiting customer cannot be satisfied.

b.

Empirical studies have suggested that the distribution of inter-arrival times is: a. Poisson b. Exponential c. Uniform d. FCFS

b.

For a chase demand strategy which of the following does not have a high trade-off? A Employee utilization B Labor-skill level C Labor turnover D Supervision required

b.

Making knowledge available to customers at low cost is called _____________________. a. embellishment b. transfer c. replacement d. co-production

b.

Mayo Clinic is a service firm that would fall under which of the following categories: a. single location, single service. b. single location, multiservice. c. multisite, single service d. mulitsite, multiservice

b.

The calling population is termed finite when: a. there is restriction on the maximum number in the queue. b. only a limited number of people may use the facility in any given period. c. the interarrival time is not very large. d. there is no queue discipline specified.

b.

The impact of the production element on physical goods supply chain management was ___________ before and ____________ after. a. push; pull b. inflexible; flexible c. vertical; virtual d. multinational; global

b.

The purpose of differential pricing is to: A make peak period usage unattractive. B make off-peak usage attractive. C charge customers according to their ability to pay. D adjust capacity to demand.

b.

What is the principal reason that service trade receives low priority at WTO meetings? a. Controlling service trade is difficult. b. Governments are more concerned with trade in manufactured products. c. Service trade is an insignificant factor in international trade. d. Tariffs cannot be applied to services.

b.

What one of the following is not a characteristic of yield management? A Capacity is relatively fixed. B There is one homogeneous customer class. C The service is considered a perishable inventory. D Demand fluctuates yet is somewhat predictable.

b.

When the number of arrivals per unit time follows a Poisson distribution, the most important implication is that: a. the arrivals are dependent and non-random. b. the time between arrivals is exponentially distributed. c. eventually the queue length will stabilize. d. the rate of completion of service is also Poisson distributed.

b.

Which of the following is not one of Kenichi Ohmae's five "Cs" of strategic planning in a borderless world economy? a. Competitors b. Creativity c. Company d. Country

b.

Which one of the following is not an example of the differential pricing policy? A weekend and night rates for long-distance telephone calls B difference in hospital fees for walk-in and scheduled services C peak-load pricing by utility companies D none of the above

b.

A cruise ship has available a certain number of rooms in each of 10 categories of appointments ranging from a two-bunk inside cabin to a suite with an outside patio and indoor sitting area. If a passenger requests a sailing date in which the desired cabin is sold out, which of the following actions would be considered the least viable alternative for the cruise line? A Offer an upgraded cabin at a reduced price. B Attempt to steer the passenger to an available date. C Overbook the cabin. D Offer a downgraded cabin with special privileges such as a $100 certificate for use in the casino.

c.

According to Maister, one of the following statements is not true of waits. a. Unoccupied time feels longer than occupied time. b. Anxiety makes waits feel longer. c. In-process waits feel longer than preprocess waits. d. Unfair waits feel longer than fair waits.

c.

All but one of the following is a caution when considering outsourcing services: ___________ a. loss of direct control over quality b. jepordize employee loyalty because of job-loss fears c. costs might increase d. in-house capability to perform service will atrophy

c.

Sources of value in service chain management include all but one of the following: a. bidirectional optimization b. management of productive capacity c. management of mobile workers d. management of perishability

c.

Spatial distribution of demand is important to consider in which of the following services? a. Restaurants b. Banking c. Emergency ambulance services d. Motels

c.

The "cookie-cutter" concept best describes which expansion strategy? a. Focused service b. Clustered service c. Focused network d. Diversified network

c.

The two-way classification for the taxonomy for outsourcing business services contains six cells. Which of the following is not a descriptive title for one of the cells? a. facility support b. professional c. employee d. facilitator

c.

Travel booking is a service that falls in the ____________ category of outsourcing business service. a. facility support b. employee development c. facilitator d. professional

c.

USAA, which provides financial services to military officers by mail, telephone, and Internet is an example of a: a. focused service. b. focused network. c. clustered service. d. diversified network.

c.

When outsourcing facilitator services, which one of the following is not a consideration? a. knowledge of alternate vendors is important b. involvement of end user in vendor identification c. experience with particular industry is important d. detailed specification written by user

c.

Which of the following strategies is inappropriate for managing capacity and demand? A Smooth customer demand by offering price incentives. B Scheduling staff to meet variations in forecasted customer demand. C Decrease customer participation in the service process. D Promoting off-peak use of facilities.

c.

Which one of the following four steps in "daily workshift scheduling" is out of order? A Forecast demand. B Convert to operator requirements. C Assign operators to shifts. D Schedule shifts.

c.

Which one of the following is not a characteristic of firms using yield management? A ability to segment their market B perishable inventory C variable capacity D product sold in advance

c.

_______ is not a strategy for accommodating of customer-induced variability. a. Provide generous staffing b. Cross-train employees c. Reward increased effort d. Do work for customers

c.

social media "netiquettes" includes all but one of the following: a. disclosure b. discrimination c. honesty d. reciprocation

c.

A 5:00 p.m. pickup for FedEx was not workable in Spain owing to extended business hours. This is an example of cultural adoption under which of the following global service strategies: a. beating the clock. b. service offshoring. c. following your customers. d. multicountry expansion.

d.

A community hospital is an example of a: a. diversified network. b. focused network. c. focused service. d. clustered service.

d.

A single-server food cart competes with several nearby food carts and experiences arrival of customers during an 8-hour period as shown: Customers would probably exhibit a high incidence of ________ during the 11 a.m.-1 p.m. and 4 p.m.-5 p.m. periods; to avoid this opportunity cost, the cart owner should __________ a. balking; offer "2 for 1" specials during slow periods. b. reneging; expand the menu. c. jockeying; offer price discounts between 2 p.m. and 4 p.m. d. balking; add another server during peak periods.

d.

All but one of the following are techniques to lessen the boredom of waiting customers: a. placement of mirrors in elevators. b. telling customers how long the wait is at different points in the queue. c. installing a television tuned to CNN. d. displaying time with a large analog clock.

d.

All of the following are benefits of a multisite type of expansion except: a. ability to reach a mass market quickly. b. reduced financial risk from local economic downturn. c. preemption of competitors by capturing premium locations. d. retention of control.

d.

American Express, which offers financial and travel services on a global basis, is an example of a: a. focused service. b. focused network. c. clustered service. d. diversified network.

d.

Bars that offer happy hours in the afternoon are using the strategy of: A creating adjustable capacity. B developing complementary services. C increasing customer participation. D promoting off-peak demand.

d.

Faced with variable demand and a perishable capacity, a service manager can smooth demand by: A using part-time help during peak hours. B scheduling workshifts to vary workforce needs according to demand. C increasing the customer self-service content of the service. D using reservations and appointments.

d.

Removing the kitchen from taco bell outlets to a central location resulted in all of the following benefits except ___________. a. reduction in waste b. consolidation of demand c. shorter customer wait times d. make-to-order customization

d.

Several approaches to demand management exist, but only _______ seeks to maximize revenue. A promoting off-peak demand B reservation systems C offering price incentives D yield management

d.

Strategies to improve productive capacity include all but one of the following: a. embellishment b. transfer c. replacement d. bidirectional optimization

d.

The "employment support" category in the taxonomy for outsourcing business services falls under ____________ importance of service and ____________focus of service. a. high; people b. low; process c. high; process d. low; people

d.

The following are all advantages of the single queue system, except: a. the arrangement guarantees fairness by ensuring that the FCFS rule applies. b. the anxiety of "Am I in the fastest line?" is eliminated. c. the problem of line cutting is reduced. d. the customer has the option of selecting a particular server of preference.

d.

The impact of pricing on service chain management was __________ before and ______________ after. a. high; low b. passive; active c. static; dynamic d. fixed; variable

d.

Which of the following is not a benefit to the franchisee of a franchise? a. Brand name b. National advertising c. Economics of scale d. Autonomy

d.

Which of the following is not a source of uncertainty in managing a supply chain? a. supplier delivery performance b. manufacturing reliability c. customer demand d. quality control

d.

Which of the following is not an essential feature of a queuing system? a. Calling population b. Queue configuration c. Service process d. Customer

d.

_________ costs are considered a transaction cost associated with outsourcing a service. a. search b. bargaining c. enforcement d. training

d.