A local diner makes milkshakes the old-fashioned way: it hand-dips premium ice cream, adds fresh whole milk and other high-quality ingredients, individually mixes the shake when ordered, and puts whipped cream and a cherry on top. The cost of this approach is higher than the cost of producing shakes at most fast food outlets, but the diner is famous among local patrons for having the best shakes in town. This diner clearly focuses more on effectiveness than on efficiency.
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Q10: A product layout is used by many
Q11: The best process approach depends on considerations
Q12: Goods are considered tangible, while services are
Q13: Effectiveness means producing products and services that
Q14: Operations managers attempt to use effective and
Q16: Durable goods are expected to last three
Q17: Services are activities that yield benefits but
Q18: Operations management is more concerned with efficiency
Q19: Process layout arranges equipment according to the
Q20: Efficiency means producing a product or service
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