2025-07-03 using [gemini](https://gemini.google.com/app/c6f4c32a2829483c), | Lecture # | Case Study | Key Message / Takeaway | | :-------- | :---------------------------------------- | :------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------ | | Lec. 1 | **McDonald's & Burger King** | A standardized, make-to-stock process (line flow) delivers low cost and speed, but struggles to accommodate customization, creating a core strategic trade-off. | | Lec. 1 | **Production/Types of Processes** | Introduces the spectrum of process types (project, job shop, batch, line flow, continuous; PJBLC) and the need for strategic alignment between process choice and market demands. | | Lec. 2 | **JetBlue (Deicing & Valentine's Day)** | In a tightly coupled operational network, localized capacity constraints and disruptions can cascade into system-wide failure; proactive risk management and robust recovery plans are critical. | | Lec. 3 | **Uber (Surge Pricing)** | Dynamic pricing can be a powerful tool to balance supply and demand in a two-sided market, improving overall system efficiency (e.g., higher completion rates, lower wait times). | | Lec. 4 | **PATA (MGH)** | Process analysis, particularly managing variability in arrivals and service times, is critical for identifying and alleviating bottlenecks in service operations to reduce customer wait times. | | Lec. 6 | **Zara** | Speed and responsiveness, enabled by a vertically integrated supply chain and tight information loops, can be a primary competitive advantage in volatile industries by reducing forecast risk. | | Lec. 8 | **Yedioth Group** | Demonstrates the classic "newsvendor" problem; highlights the significant inventory and cost benefits of risk pooling to better match uncertain demand with supply. | | Lec. 9/10 | **Amazon (European Distribution)** | Explores the strategic choice between a decentralized (country-specific) and a centralized distribution network, balancing inventory costs, transportation costs, and customer service levels. | | Lec. 11 | **Nokia's Supply Chain** | Supply chain visibility and proactive risk management are key competitive advantages; a firm's ability to quickly detect a disruption and mobilize alternative resources is crucial. | | Lec. 13 | **Blue Apron & Which Products to Stock?** | For subscription models, Customer Lifetime Value (CLV) analysis is crucial for understanding unit economics. For retail, an attribute-based approach to assortment planning is superior to simple sales data. | ### Summary of Each Case 1. **McDonald's & Burger King** These cases explore the fundamental operational trade-off between efficiency and flexibility. McDonald's perfected a highly efficient line-flow process for a standardized product, while Burger King's attempt to offer customization ("Have it your way") created a conflict with the need for speed as volume grew. 2. **Production/Types of Processes** These readings provide the theoretical foundation for the course, introducing the "process view" of operations and outlining a spectrum of process types. The core idea is that a company must strategically align its production process with its product and market characteristics to be successful. 3. **JetBlue (Deicing & Valentine's Day)** These cases demonstrate how operational challenges cascade through a network. A lack of deicing capacity (a resource constraint) and a weather event (a disruption) revealed weaknesses in communication and recovery planning, leading to a system-wide meltdown. 4. **Uber (Surge Pricing)** This case examines how to manage a market with large, unpredictable fluctuations in both supply (drivers) and demand (riders). It shows how dynamic pricing can serve as a mechanism to balance the two sides, improving availability and reliability. 5. **PATA (MGH)** The clinic faced crippling inefficiency and long patient wait times. The case highlights the use of process analysis and queuing theory to diagnose bottlenecks in a service environment where variability is high. 6. **Zara** This case study investigates how to compete in the highly volatile fashion industry. Zara's success stems from its fast, responsive supply chain, which allows it to make products based on real-time demand signals rather than long-term forecasts. 7. **Yedioth Group** The newspaper publisher faced high costs from overproduction and returns of unsold magazines. This case is a classic application of the newsvendor model and illustrates how pooling inventory can dramatically reduce the costs of demand uncertainty. 8. **Amazon (European Distribution)** Amazon had to design a distribution network to support rapid growth across diverse European markets. The case centers on the strategic decision of whether to use a decentralized, country-by-country network or a more centralized, pan-European one. 9. **Nokia's Supply Chain** A fire at a single-source supplier created a critical component shortage. The case contrasts Nokia's proactive, visible, and resilient supply chain management with Ericsson's slower, less-informed response, demonstrating that operational risk management is a source of competitive advantage. 10. **Blue Apron & Which Products to Stock?** Blue Apron's high customer acquisition costs and low retention threatened its business model, highlighting the need for CLV analysis. The reading introduces a more sophisticated, attribute-based method for optimizing product assortments beyond just dropping low-sellers.