Q 1.The volume requirements for the product are one determinant of the choice of which process structure to select. 2. Two dimensions (of the product/process matrix, Exhibit 7.2) are shown. The first dimension relates to the volume of a particular product or group of standardized products. Standardization is shown on the vertical axis and refers to variations in the product that is produced. These variations are measured in terms of geometric differences, material differences, and so on. Standardized products are highly similar from a manufacturing processing point of view, whereas low standardized products require different processes. The objective of a mixed-model line layout is to meet the demand for a variety of products and avoid building high inventories. 3.A characteristic of a well-designed service system is that it manages the evidence of service quality in such a way that customers are aware of the value of the service provided.

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