1. Identify major differences between service and manufacturing operation. Find an example of a service And manufacturing company you are familiar with, and compare them. (Provide two examples)
2. Explain the concept of cycle time, and explain how it affects layout. How does it affect suppliers?
|The output of a service firm is intangible in nature.||Manufacturing operations output is tangible in nature|
|Service operations are ones where inventory is not held||Presence of inventory is must in manufacturing|
|Service firms can be located anywhere||Manufacturing operations must have a physical location to produce goods|
It can be clearly seen that the service firms produce services which cannot be touched per se. While the outputs of the manufacturing firms are physical in nature. Similarly , MRF and Volkswagen will always have inventory on board. While, consultancy and banking services can be accessed and provided from anywhere , without any set location of delivery.
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