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Top-level leaders at a company that manufactures smartphones, tablet computers, and portable music players, among other electronic devices held a one day retreat. The purpose was to think though how well the company was contributing to society. Technology chief, Olivia, commented, “I am very proud of us as a company. Think of what we have done for the world. Because of our products, people are more productive, smarter, and happier. At any time of the day, millions of users can access the information they need, and get in touch with whoever they want. Furthermore, they don’t have to clutter their minds with facts, or even know how to spell correctly, or do basic math. With the tap of a few buttons, or touching a screen, they get all the information they need.” CEO Raphael added, “You are so right Olivia. Also, people don’t even have to pay for landline telephones any longer. And think of how hundreds of companies can hire fewer people because of our devices. I learned recently that many car dealerships have laid off many of their in-store sales reps because a good deal of car purchasing is now done over the Internet. And people don’t have to purchase those ink-laden newspapers because they can get all the information they need on a hand-held device.” Derek, the marketing manager, with a worried look said to the group. “We all make a great living from the electronic devices we make and sell, and so do our competitors. The information technology industry has created millions of jobs. And maybe we have also eliminated millions of jobs. However, I want us as industry leaders to focus on one issue right now. The accidents and deaths our devices are facilitating are getting out of hand. At first it was people sending and receiving calls on their cell phones that was creating driving hazards. Then along came texting which is even a bigger problem. Now we have data that the number of people who surf the Internet while driving is surging. I know that states, provinces, and municipalities forbid texting or handheld phone use while driving, but the laws are largely ignored, and the carnage continues. I am asking us to consider what role we should play as an industry leader in getting consumers to use our products in a way that does not harm or kill other people on the streets and highways.” Raphael replied, “I think that local governments, Internet service providers, and perhaps schools have more responsibility for minimizing accidents with smartphone users.” If we were making kitchen knives instead of electronic devices, would we be responsible for the occasional deaths and injuries caused by these knives? “In our situation, we have to ask whether the drivers or the smartphones are to blame for the accidents of distracted drivers.” Questions 1. What role do you think this industry leader should play in encouraging safer use of their smartphones? 2. With the negative perspective Derek has about the use of smartphones while driving, should he be released from his position as the marketing manager? 3. How ethical and socially responsible are the opinions of Olivia and Raphael about the advantages of smartphones to society?

 

 
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Based on the model description given belove, comment on the assumptions regarding the underlying system. Which assumptions do you think sound unrealistic and why?


A small factory consists of a machine and an inspector, as shown in Figure 1. Unfinished parts arrive to the factory with exponential interarrival times having a mean of 1 minute. Processing times at the machine are uniformly distributed on the interval (0.65. 0.70) minute, and subsequent inspection times at the inspector are uniformly distributed on the interval (0.75, 0.80). (The assumption of uniformity is for ease of exposition, and is not likely to be valid in a real-world application). Ninety percent of inspected parts are “good” and leave the system immediately; 10 percent of the parts are “bad” and are sent back to the machine for rework. (Both queues are assumed to be infinite capacity). The machine is subject to randomly occurring breakdowns. In particular, a new (or freshly repaired) machine will break down after an exponential amount of calendar time with a mean of 6 hours. Repair times are uniform on the interval [8, 12] minutes. If a part is being processed when the machine breaks down, then the machine continues where it left off upon the completion of repair. Assume that the factory is initially empty and idle.
0.9 Good Machine Tapeter . Bad
The factory gets an order to produce 2000 parts and thus, a simulation of this system can be considered to be terminating with E = {2000 parts have been completed). Let T be the time required to complete the required 2000 parts.

 
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Tanya is the team leader of a cross-functional product-development group in a consumer products company. The group meets from time to time to discuss new ideas for products. Another of its key activities is to help develop a product after agreement is reached by higher-level management that a product idea is worth pursuing. Tanya enjoys her role as the leader of a cross-functional team, and she hopes to use the experience as a springboard to a marketing executive position. Tanya prides herself in being candid and direct in her interactions with coworkers in marketing department in which she works as a senior marketing analyst and assistant to the department head. Tanya is also proud of how she is candid in her interactions with members of the product-development team. Two weeks ago, the team was meeting to discuss the merits of introducing a multifruit flavored energy drink to the market. The CEO was attending this particular meeting to get a direct feel for how the product-development team operates. Ten minutes into the meeting Tanya said, “We have to carefully evaluate whether an energy drink has any chances of success. As we all know, our company has had far too many flops. I remember we once introduced an instant-spaghetti product to the market that was a total bomb. I think we lost $10 million on that idea, and we were ridiculed by food critics.” In response to Tanya’s comment, the CEO shook his head from side to side but made no spoken response. One week ago, Tanya posted the following comment on Facebook, Twitter, and Instagram: “Name of company is getting ravaged by house brands. But not to worry, we make a lot of those house brands for large supermarket chains and bog box discounters.” The vice president of marketing, asked a staff member to investigate whether Tanya was really the person responsible for this post, and to report back to her with the answer. At a product-development meeting today, a food-packaging scientist named Obdu Wobegun attended because there would be some key issues about package design likely to surface. Tanya welcomed Obdu to the meeting, and then asked, “Obdu are you sure you are a United States citizen? We can’t afford to have any foreign spies at our meeting.” Later today, Tanya received a text message from her immediate manager Gus that read: “We must talk in person. You are out of control.” Questions 1. In what ways might Tanya be committing political blunders? 2. If Tanya is committing political blunders, to what extent might they hinder her chances of becoming a vice president of marketing? 3. How should Tanya’s boss deal with her with respect to the type of political blunders she has committed?

 

 
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Katerina is the regional manager of an international chain of luxury goods boutiques, Florentine Bravado. Each boutique, or store, is about 4,000 square feet, and features expensive watches, handbags, men’s and women’s suits, and jewelry. Michael Kors would be a direct competitor of Florentine Bravado. All twelve store managers in Katerina’s region report directly to her, along with a small administrative staff at regional headquarters. Florentine Bravado stores are located in upscale malls, and the company also sells merchandise online from the corporate location. Katerina’s goal for the upcoming year is to stabilize or enhance sales at her twelve stores. Store revenues have been declining about 4 percent per year for the last five years, in both her region and the entire company. Katerina wants her region to standout by reversing this trend. Before holding in-person discussions with her store managers, Katerina sent out an e-mail to all the managers. The e-mail read as follows: “What is happening to our cultural icon, Florentine Bravado? Are we falling prey to the same misery encroaching upon the many mundane retailers? Are our formerly loyal customers buying trinkets at discount stores instead of shopping at Bravado? Are our customers now purchasing knock-offs from overseas imitators?” Three days later, Katerina met with Garth, the store manager located in the region’s most upscale mall. She said, “Garth what is wrong with you? We give you all the advertising support you need, and your results for the last quarter are putrid. I want to see a 3 percent improvement in your sales for next quarter. No moaning, no groaning, no excuses.” Garth replied, “I would like to see a 3 percent or more sales increase next quarter also. Yet you are LEADERSHIP Case PROBLEM B expecting too much. The holiday shopping season is behind us, and we can expect a normal sales decrease. Neither I nor my sales associates have found a way to drag people in the mall into our store and force them to buy a $9,000 watch or a $1,200 handbag. We have to deal with the realities of the economy.” Katerina responded, “Garth, I told you at the outset. No moaning, no groaning, no excuses. Your goal is a 3 percent sales increase, and it’s not negotiable.” Five days later, Katerina met with Sonya, the manager of a low-performing store. Katerina said forcibly, “Sonya, I want you to understand clearly that your days of operating a low-performing store are over. Forget your European charm. Persuade the people who visit the store to walk away with a purchase. Get on the backs of those laid-back sales associates, and make them sell, sell, sell. The corporate group and I need you to boost sales. Do you understand my message?” Sonya rebutted, “Katerina, I thought that you understood the luxury goods business. We are not selling kegs of beer to bar owners. Luxury consumers have to be gently coaxed to make a purchase like an $800 pair of cufflinks. He could easily purchase a pair of cufflinks for $15 that would get the job done.” Katerina responded, “Nice try Sonya, but Florentine Bravado looks at the bottom line, not excuses. Show me some good sales results real soon.” Questions 1. Which influence tactics does Katerina appear to be using, and how effective do they appear to be? 2. What other approach might Katerina take to getting her store managers to enhance sales? 3. To what extent do you think that Katerina is too abrasive in her role as regional manager?

 

 
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