33:799:301 Lecture Notes - Lecture 24: Tax Preparation In The United States, Facility Location Problem, Dry Cleaning

• School: Rutgers University
• Department: Supply Chain Management
• Course: 33:799:301
• Professor: G Spiegle

Document Summary

Chapter 12: supply chain management in the service industry. Supply chain management in the service industry: the tangibility of the end product. Services are generally not tangible [i. e. , you can"t touch or hold them in your hands: the involvement of the customer in the service process. Customers are much more directly involved in the service industry: the assessment of quality. Quality is assessed differently in the service industry: the labor content. There is a much higher ratio of labor to materials in the service industry: the facility location considerations. Services are largely provide and heavily impacted by location decisions. Differences between goods and services: services cannot be inventoried (in most cases). Typically, services are produced and consumed simultaneously: services are often unique to the customer (e. g. , insurance policies, legal services, tax preparation, etc. , services have high customer interactions, services are decentralized. Due to the inability to inventory or transport most services, they must be located near to the customer base.