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64 CHAPTER 2 • OPERATiOns PERfORmAnCE
Figure 2.5 Different product groups require different performance objectives
First/Business Class Economy Class
Services First/Business Class cabin, Economy cabin
airport lounges, pick-up service
Customers Wealthy people, business Travellers (friends and family),
people, VIPs holiday makers, cost-sensitive
business travellers
Service range Wide range, may need to Standardised
be customised
Rate of service Relatively high Relatively low
innovation
Volume of activity Relatively low volume Relatively high volume
Profit margins Medium to high Low to medium
Main competitive Customisation, extra service, Price, acceptable service
factors comfort features, convenience
Performance Quality (specification and Cost, quality (conformance)
objectives conformance), flexibility, speed
Figure 2.6 Polar diagrams for newspaper collection (nC) and general recycling (gR)
services and a proposed police performance method
(a) (b)
Newspaper Required
collection General recycling performance Actual
service Cost service Reassurance performance
E ciency Crime
Speed Dependability reduction
Crime
Quality Flexibility Working with detection
criminal justice
agencies
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