Question

The auto service industry consists of a range of firms. For example, quick oil change providers like Jiffy Lube deliver a limited set of services using specialized equipment (e.g., a trench in the floor so oil can be drained without raising the car). Alternatively, the service department of a car dealer can provide a broad range of services from oil changes to complicated engine overhauls. Which would you describe as a focused operation, a quick oil change provider or a dealership service department?

a. a quick oil change provider

b. a dealership service department

c. both can be focused

d. neither is focused

Answer 1

Answer: option a; a quick oil change provider

Explanation:

In order to make the facility focused on its operations and effective, the organizations adopt the concept of focused factory and it is a way to achieve economies of scale for the organizations. The focused operations in a focused factory are dedicated to few key products, a specific technology, a certain process design and capability, a specific competitive priority objective and particular target segments. All these elements are present in the case of a quick oil change provider as it focuses on limited set of services and uses a specific technology using specialized equipment. They are targeted towards only particular segment of customers who require only certain services like oil change and follow a certain process design using the equipment to complete the tax successfully. But dealership service department provide broad range of services using many equipments and process designs and do not target any specific range of customers.

Hence focused operation given is a quick oil change provider