Differentiate between a production department and a service department and provide an example for the counterpart of a manufacturer’s “production” department in a bank.
Explanation of Solution
Service department: A service department is a division in an organization which is not involved directly in producing the goods or services of an organization. But, the service department also offers a service that aids the organization to take place the goods or services that are produced. Example for a service department in a bank is the computer department or the human resources department.
Production department: On the other hand, the production departments are the divisions that are directly involved in the process of producing the goods and services of an organization. Example of a production department in a bank is the consumer loan department.
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Chapter 17 Solutions
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