Chapter 9: Production and Operations Management - McGraw-Hill Introduction to Business

GM Workers End Strike after Approving New Contract

October 29, 2019

In mid-September, nearly 50,000 General Motors employees represented by the United Auto Workers union went on strike after failing to reach an agreement with the company. Staffers walked picket lines for more than a month as they fought for improved wages, benefits, and job security. Then last week the standoff finally ended as the union struck a deal with management that partially gave in to some of the workers’ demands.

For instance, employees are now guaranteed a 3 percent pay Continue reading →

Management, Operations Management, Unions, Labor Relations, Cars, Transportation, General Motors, Strikes, UAW

Chapter 1: Taking Risks and Making Profits, Chapter 4: Ethics and Social Responsibility, Chapter 7: Management & Leadership, Chapter 9: Production and Operations Management, Chapter 12: Labor Management and Unions

[VIDEO] How American CEOs Got So Rich

October 24, 2019

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This in-depth video explains how stock buybacks work and why they have possibly contributed to rising income inequality over the years. Along with providing a detailed history of this controversial practice, the video also takes a close look at the closing of GM’s factory in Lordstown, Ohio.

Questions:

Do you think lawmakers should pass regulations against corporate stock buybacks? Why or why not?
How did the closing of GM’s Lordstown factory affect the community as a whole?

Ethics, Manufacturing, Labor Relations, Compensation, Executive Compensation, Regulation, Stock Buybacks

Chapter 1: Taking Risks and Making Profits, Chapter 4: Ethics and Social Responsibility, Chapter 9: Production and Operations Management, Chapter 11: Human Resource Management, Chapter 12: Labor Management and Unions, Chapter 19: Securities Markets, Bonus Chapter A: Business Law, Videos

PG&E’s Rolling Blackouts Anger and Endanger Californians

October 18, 2019

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At the end of summer, weather-tracking services in California began issuing reports that many in the state have come to dread: extreme winds and dry conditions had increased the risk of wildfires. The previous year had been one of California’s worst due to disasters like the Camp Fire, an enormous blaze that killed more than 80 people and destroyed the town of Paradise. In the aftermath of this tragedy, many blamed the Pacific Gas and Electric Company (PG&E) for failing Continue reading →

Operations Management, Ethics, Regulation, California, Crisis management, Utilities, Reputation

Chapter 1: Taking Risks and Making Profits, Chapter 4: Ethics and Social Responsibility, Chapter 7: Management & Leadership, Chapter 9: Production and Operations Management, Chapter 13: Marketing, Bonus Chapter A: Business Law

McDonald’s Now Accepts Job Applications through Amazon’s Alexa

October 17, 2019

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With nearly 2 million employees on the payroll, McDonald’s is constantly hiring new people to work at its thousands of locations across the globe. So in recent years the fast food giant has streamlined its hiring process to accommodate online applicants, who tend to be younger and applying for their first jobs. Then last month, McDonald’s took this concept to the next level by announcing that people can now apply for jobs using voice commands through Amazon’s Alexa or Google Continue reading →

Marketing, Global, Ethics, Human Resources, Product Development, McDonald’s, Hiring, Automation, Internet of Things, Food & Drink, Alexa

Chapter 1: Taking Risks and Making Profits, Chapter 3: Globalization, Chapter 4: Ethics and Social Responsibility, Chapter 9: Production and Operations Management, Chapter 11: Human Resource Management, Chapter 13: Marketing, Chapter 14: Product and Price, Bonus Chapter B: Technology and New Media

Average American Commute Climbs to Record Levels

October 10, 2019

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In 2018 Americans spent an average of 27 minutes commuting one-way to work, an increase of about two minutes since 2009. While that may not sound too significant, it causes commuters to spend 20 more minutes per week on the road. That adds up to 17 additional hours a year compared to just a decade ago. In total, the average American worker spent 225 hours commuting in 2018, amounting to more than nine calendar days.

Analysts attribute this recent Continue reading →

Human Resources, Transportation, Sustainability, Commuting, Facility Location, Office Culture, Telecommuting

Chapter 1: Taking Risks and Making Profits, Chapter 4: Ethics and Social Responsibility, Chapter 9: Production and Operations Management, Chapter 11: Human Resource Management, Bonus Chapter B: Technology and New Media

Food Delivery Startups Expand into Groceries

October 4, 2019

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In recent years food delivery startups like Postmates and Doordash have grown into multi-billion dollar operations by bringing takeout from all sorts of places directly to customers’ doors. But these companies don’t just service restaurants: people can also order everyday items from Walgreens or 7-Eleven and receive them hours later. Of course, consumers are more familiar with Postmates and Doordash as takeout services, not grocery delivery companies.

As a result, both startups are brokering deals with retailers and supermarkets Continue reading →

Entrepreneurship, Product Development, Retail, Transportation, Product Distribution, Delivery, E-commerce, Food & Drink

Chapter 1: Taking Risks and Making Profits, Chapter 6: Entrepreneurship, Chapter 9: Production and Operations Management, Chapter 13: Marketing, Chapter 14: Product and Price, Chapter 15: Distribution, Bonus Chapter B: Technology and New Media

[VIDEO] The Future of Factory-Made Bread

September 27, 2019

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Baking bread is a difficult enterprise under the best circumstances, but baking on an industrial scale is so complicated that only a few long-standing companies have truly mastered it. At the same time, the products made by brands like Wonder Bread are often packed with chemicals that many health-conscious consumers want to avoid. That’s where La Boulange comes in, a San Francisco bakery that runs 24 hours a day and operates like a factory. The video below shows how La Continue reading →

Operations Management, Manufacturing, Product Development, Food & Drink, Factories

Chapter 1: Taking Risks and Making Profits, Chapter 9: Production and Operations Management, Chapter 14: Product and Price

Nearly 50,000 General Motors Workers Go on Strike

September 17, 2019

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On Monday around 48,000 General Motors employees walked off their jobs and onto picket lines after the United Auto Workers failed to reach a new agreement with the company. Along with improved pay and health benefits, the striking workers also want to keep plants open to ensure job security. “Our members have been very clear about what they will and will not accept from this contract,” said UAW Vice President Terry Dittes. “We are standing up for fair wages, we Continue reading →

Management, Operations Management, Unions, Labor Relations, Cars, Transportation, General Motors, Strikes, UAW

Chapter 1: Taking Risks and Making Profits, Chapter 4: Ethics and Social Responsibility, Chapter 7: Management & Leadership, Chapter 9: Production and Operations Management, Chapter 12: Labor Management and Unions

[VIDEO] Why Making Apple iPhones in America Is So Hard

September 13, 2019

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As the trade war with China heats up, Apple is starting to move some of its production to other nations throughout its global supplier network. But don’t expect the tech giant to return home to the U.S. anytime soon. This video shows how difficult it would be for Apple to manufacture its most popular products domestically and explores how the company could approach this problem in the future.

Questions:

Why did Apple move production of the 2013 Mac Pro to Continue reading →

Global, Silicon Valley, China, Product Distribution, Production, Apple, Trade War

Chapter 1: Taking Risks and Making Profits, Chapter 4: Ethics and Social Responsibility, Chapter 9: Production and Operations Management, Chapter 15: Distribution

Companies Boycott Leather from Brazil Due to Amazon Fires

September 6, 2019

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So far this year nearly 50,000 fires have been detected in the Brazilian Amazon rainforest, the most recorded in almost a decade. According to international experts, the majority of these fires are not simply natural occurrences. In fact, a 2016 report from the United Nations’ Food and Agriculture Organization found that cattle farmers were responsible for 80 percent of deforestation in Brazil. These enormous agricultural operations often burn rainforest in order to clear land for cattle grazing. Experts believe that Continue reading →

Operations Management, Global, Ethics, Regulation, Brazil, Supply chains, Sustainability, Product Distribution, Boycotts

Chapter 1: Taking Risks and Making Profits, Chapter 3: Globalization, Chapter 4: Ethics and Social Responsibility, Chapter 9: Production and Operations Management, Chapter 15: Distribution, Bonus Chapter A: Business Law