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Operations Management
Group membersNoman Saleem L12-4808
Atif Mukhtar L124746Huda Khan L124752Umair Tariq L12-4740
Fatima Nasir L12-4728
DriveBy Car wash
Introduction
• Five type of car washes
• Our focus is on exterior (only) and full service of car wash
• Following processes are included in the car wash
• Drive in, soap up, scrub, blast, rinse, wax, dry, touch up
Idea Development
Two main things that should be ensure for success of every
project:
Time
Quality
Hence we provide services in less time but of best quality.
Essential Resources Required
Well as our business is based on cleaning system. It mainly
requires:
Clean and soft water
Shampoos and detergents
Waxes and polishes
Towels and air fresheners
Continued…
For further administration of business we need:
One person at Point of sale
One engineer for maintenance
One administrator
Three attendants
Preliminary design There are two type of services:
Field based services
Facility based services
Our business is of facility based services
In preliminary design we set up equipment according to the
requirement.
It will be further explain in detail in facility layout and space
requirement for each station.
Competitive Dimensions Every customer has different set of priorities
Companies are always making tradeoffs between these
dimensions:
Cost
Quality
Time/Speed
Flexibility
What are we focusing on? • Main focus on quality
• Not pricing very high
• Exterior wash= 5 min; Full wash 15-17 min
• Service available from 7am to 9pm whole week.
Service System Design Matrix
Supply Chain Strategy Service based business- no as such raw material
The whole service itself is the supply chain
Vendors for the supply of resources- detergents, shampoos,
polishes, shiners etc.
Outsourcing “Marketing and Promotion”
Marketing firm to design whole marketing campaign of our
business.
Inventory Strategy
Focus on JIT Not having a stock of products
Lean manufacturing Usage of time in services
Underutilizing employees
Flow Chart
Yes Yes
Touch screen panel
Select wash cycle
Full service Exterior service
Further Steps Further steps
Satisfied customer
Satisfied customer
No No
Delay for 5 min
Drive out
Continuous Improvement
Maintenance of machinery Maintenance schedule
Store inspection
Best services Upselling customers
Maintaining cleanliness
Inventory analysis Helps in forecasting and demand of equipment
Capital costs and expenditures
• Initial investment is high i.e. land, building and plant
Revenue
Break-even Analysis
Productivity
Full Capacity Production
In 14 hours, full capacity estimation is 104 cars per day and
37,960 cars per year
32 full service and 72 exterior only service
Revenue at full capacity is Rs. 75,200 daily and Rs. 27,448,000
yearly
Break-even reached in 3rd year
Forecasting • Forecasting can vary above and below the per year average output
of 31,025 cars but cannot exceed our full capacity output of 37,960
cars per year
• Assembly like layout
• Stationary equipments work on the
moving car
• Product layouto Facility organized so that equipment or work
processes are arranged according to the established
sequence by which the product is made.
Facility layout
Facility layoutPoint of sale Interior air
blowerPre soaker
Mitter curtain
Rinser Foam applicator
Scrubbers High pressure washer
Undercarriage wash applicator
Wax applicator
Mitter curtain
Scrubbers
Rinser Dryer Manual detail services
Enter
Exit
Space Requirements
Scale: 1 cm = 10 foot Scale: 1cm = 5 foot
Quality Control
Output at each station
Blocking time
Measuring quality quantitatively