1. Why is the operations function important in implementing the strategy of an organization? Explain why the...

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1. Why is the operations function important in implementing the strategy of an organization? Explain why the changes put in place by Victoria Chen and her team could either hurt or help the bank.
2. Develop a list of changes for the operations function that should be considered by the bank. Begin by identifying operations management decisions that would be involved in operating a bank, for example, layout of facility, staff, drive-through service. Then identify ways that they can be improved at Prime Bank in order to support the strategy focused on customer service.
3. Think of the improvements identified in answering question 2. How different would these improvements be if the bank had a strategy of cutting cost rather than supporting customer service?

Prime Bank of Massachusetts was started in 1964 with James Rogers as CEO, who is now chairman of the board. Prime Bank had been growing steadily since its beginning and has developed a loyal customer following. Today there are 45 bank locations throughout Massachusetts, with corporate headquarters in Newbury, Massachusetts. The bank offers a wide array of banking services to commercial and noncommercial customers.
Prime Bank has considered itself to be a conservative, yet innovative, organization. Its locations are open Monday–Friday 9–4 and Saturday 9–12. Most of the facilities are located adjacent to well-established shopping centers, with multiple ATM machines and at least three drive-through windows. However, Prime Bank’s growth has brought on certain problems. Having the right amount of tellers available in the bank as well as in the drive-through window has been a challenge. Some commercial customers had recently expressed frustration due to long waiting time. Also, the parking lot has often become crowded during peak periods.

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Operations Management

ISBN: 978-0470325049

4th edition

Authors: R. Dan Reid, Nada R. Sanders

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