Process Analysis Quiz

What is the formula for calculating Yield (Y)?

• Actual Revenue / Total Capacity

• Total Capacity * Max. Price / Capacity used * Average Price paid

• Actual Revenue / Potential Revenue

• Total Capacity * Max. Price / Actual Revenue

What is the main goal of Yield Management?

• To sell the right capacity to the right customer at the right price

• To offer discounts to all customers

• To maximize the total revenue without considering capacity

• To reduce the capacity to increase demand

What is the strategy for shifting demand to match capacity by offering incentives to customers for usage during non-peak times?

• Use signage to communicate busy days and times

• Offer incentives to customers for usage during non-peak times

• Charge full price for the service--no discounts

• Take no action

What is the nature of demand relative to supply when peak demand regularly exceeds capacity?

• Demand > Capacity

• Demand exceeds optimum capacity

• Demand Too High

• Excess demand

What is the constraint on capacity for a legal service?

• Facilities

• Labor

• Time

• Equipment

What is the term used to describe the strategy of shifting demand to match capacity by offering discounts during off-peak hours?

• Peak Pricing

• Dynamic Pricing

• Yield Management

• Off-Peak Incentives

What is the main goal of implementing Dynamic Pricing in the hospitality sector?

• To offer fixed prices throughout the year

• To maximize revenue by adjusting prices based on demand

• To provide discounts to all customers

• To reduce the number of available rooms

Which approach is commonly used to manage demand fluctuations in service industries?

• Implementing just-in-time inventory systems

• Offering discounts during off-peak hours

• Reducing service quality standards

• Increasing advertising expenditure

What role does technology play in enhancing capacity management in service industries?

• Automating service delivery processes to increase efficiency

• Decreasing the need for customer interactions

• Minimizing the importance of workforce scheduling

• Eliminating the need for capacity adjustments

Which factor is crucial in determining the effectiveness of capacity utilization in service industries?

• Increasing customer wait times

• Eliminating the need for queue management systems

• Enhancing service efficiency and reducing wait times

• Minimizing the importance of customer feedback