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Question 20:

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Operations And Supply Chain Management
Found in: Page 369
Operations And Supply Chain Management

Operations And Supply Chain Management

Book edition 14th
Author(s) F. Robert Jacobs
Pages 800 pages
ISBN 9780078024023

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Short Answer

The chapter presents multiple techniques that service firms can use to make their processes leaner. Which technique is demonstrated by a restaurant that offers special discounts midweek to attract more demand during a traditionally slow period?

Answer

The restaurant needs to opt for the technique of leveling the facility load that will help them to attract more demand during a traditionally slow period.

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Step by Step Solution

Step 1: Level the facility load

Level the facility load refers to the process of removing the extra load from the restaurant which will help them to focus on the main customers by removing unnecessary waste in the form of non-profitable customers.

Step 2: Benefits of leveling the facility load

only those customers that are profitable to their businesses will lead them to increase their profitability at the time of a traditionally slow period. The restaurant can focus on those customers by giving them additional discounts who are their regular customers or can offer them free sweet dishes in the form of tokens.

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