Production & Operations

Management
MBA Program

Final Exam
08-16-2010

Herguan University (HU)

Instructor: Dr. Fred Dalili

E-Mail: fd2005@aol.com
 Production & Operations Management
Final Exam

First Name: Sundharapandiayan Last Name:

Kandhaswamy

Course Number: BUS 558 Student ID#: 101102

Your E-mail: sundarcoffier@gmail.com

Telephone: (469 ) 685_2421

1. Share the major points of Production & Operations

Management course from chapter 9 to 17th. Use various
examples to demonstrate your understanding of the
subject areas.

Chapter 9 – Layout Strategy

Layouts make a big difference in operating efficiency. The six

classic layout situations are fixed position, process-oriented, office,
retail, warehouse and product-oriented. A lot of techniques
developed in attempts to solve this layout problem.

Example: McDonald’s looks for competitive advantage with its

New High-Tech Kitchen Layout

Under the new design, no food id prepared in advance except

the meat patty which is kept hot in a cabinet. For instance, the
company developed a toaster that browns buns in 11 seconds
instead of a half a minute. Bread suppliers had to change the
texture of the buns so they could withstand the additional heat.
Chapter 10 – Human resource and Job design

Human Resource Strategy

The objective of a human resource strategy is to manage
labor and design jobs so people are effectively and efficiently
utilized.

Constraints on Human Resource Strategy

1) The product mix may determine seasonality and stability
of employment.
2) The technology equipment and processes may have
implications for safety and job content.
3) The location decision such as assembly line versus work
cell, influence job content.
A large percentage of employees and a large part of labor costs are
under the direction of operation management. The Operation
managers has large role to play to achieve human resources
objectives.
Example: Southwest airlines Human resources are treating their
employees like their customers and does what is right for the
customer indeed before “empowerment” become a management
fad. Southwest gives to the employee’s freedom from centralized
policies and teaches them to care. They believe is that they will do
the right thing to the customer.

Chapter 11- Supply-chain Management

Definition
Management of activities that procure materials and services,
transforming them into intermediate goods and final products and
delivering the products through a distribution system.
The strategic importance of the supply chain:

Supply-chain management is the integration of the activities that

procure materials and services, transform them into intermediate
goods and final products, and deliver them to customers. These
activities include purchasing and outsourcing activities, plus many
other functions that are important to the relationship with suppliers
and distributors.

Supply chain management includes determining

1) Transportation vendors
2) Credit and cash transfers
3) Suppliers
4) Distributors and banks
5) Accounts payable and receivable
6) Warehousing and inventory levels
7) Order fulfillment
8) Sharing customer, forecasting, and production
information.
Objective:
The objective is to build a chain of suppliers that focuses on
maximizing, marketing, and the operations discipline.

Example:

Volkswagen’s major suppliers are assigned space in the VW plant,

but supply their own components, suppliers and workers. Workers
from various suppliers build the truck as it moves down the
assembly line. VM spends over 50% of their sales dollars on
purchases such a high percentage of organization costs are
determined by purchasing, relationships with suppliers or
increasingly integrated long term. This changing focus added
emphasis on procurement and supplier relationships which must be
managed. The discipline that manages these relationships is known
as supply-chain management.

Chapter 12- Inventory Management

Inventory represents a major investment for many firms. This

investment is often larger than it should be because firm fined it
easier to have ‘just-in-case’ inventory rather than ‘just-in-time’
inventory. Inventories are four types.
1) Raw material and purchased components.
2) Work-in-progress
3) Maintenance, repair and operating (MRO)
4) Finished goods
ABC analysis, record accuracy, cycle counting and inventory
models used to control independence demands.

Example: Inventory management provides competitive

advantage at amazon.com

Chapter 13- Aggregate Planning

Aggregate planning provides companies with a necessary weapon
to help capture marker shares in the global economy. The
aggregate plan provides both manufacturing and service firms the
ability to respond to changing customer demands while still
producing at low-cost and high quality levels.
The aggregate schedule sets level of inventory, production,
subcontracting and employment over an intermediate time range.
Aggregate plans for manufacturing firms and service systems are
similar
Example-

Hospitals face aggregate planning problems in allocating money,

staff,and supplies to meet the demands of patients. Michigan
Henry ford hospital, for examples, plans for bed capacity and
personnel needs in life of a patients load forecast developed by
moving averages. The Necessary labor focus of its aggregate plan
has led the creation of a new floating staff pool serving each
nursing pod.

Chapter 14- Material Requirements Planning (MRP)

Material requirement planning is the preferred way to

schedule production and inventory when demand is dependent. For
MRP to work, management must have a master schedule, precise
requirements for all components, accurate inventory and
purchasing records and accurate leading times. Distribution
resources planning is the time –phased stock replacement
technique for supply chains based on MRP procedure and logic.
Both MRP and DRP when properly implemented can contribute in
a major way to reduction in inventory while improving customer-
service levels. These techniques allow the operations manager to
schedule and replenish stock on a ‘need-to-order’ basis rather than
simply a ‘time-to-order’ basis.

Example: MRP provides a competitive advantage for Collins

industries

Chapter 15 – Short term Scheduling

Scheduling involves the timing of operations to achieve the

efficient movement of units through a system. Scheduling
addressed the issues of short term scheduling in process-focused,
repetitive, and service environments. Service systems generally
differ from manufacturing systems. This leads to the use of
appointment systems, first-come, first-served systems, and
reservation systems, as well as to heuristics and linear
programming approaches for servicing customers

Example: Scheduling is helping in Airlines when the weather is

very bad.

Chapter 16- Just-in-Time and Lean Production Systems.

JIT and lean production are philosophies of continues

improvement. Lean production began with the focus on customer
desires. The both concepts focus on driving all waste out of
production process. JIT and lean production attack wasted space
because of a less than optimal layout, the attack wasted time
because of poor scheduling, they attack waste in idle inventory and
poorly maintained machinery and equipment.
Example: Green Grear has carefully integrated Jut-in-time
manufacturing and continuous improvements into its culture and
processes. Inventory resides in individual container and their
points of use.

Chapter 17- Maintenance and reliability

Operation Managers are focus on design improvements and back

up components to improve reliability. Reliability improvements
also can be obtained through the use of preventive maintenance
and excellent repair facilities. Finally many firms give employees a
sense of ownership and their equipment.

Example: Maintenance and reliability are the critical success

factors for NASA’s space shuttle

2. Please share the main points of a new article

that you have read for the second part of this
 course and write down your own conclusion about
the article.

Achieving Competitive Advantage through Collaboration with

Key Customers and Suppliers

The article explains the competitive advantage that companies can

achieve by collaborating with their key customers and suppliers. In
supply chain management it is important to find the advantages
and save resources in every way possible.

The article is giving historical examples. For example during the

1960s, Japanese manufactures started to find competitive
advantage by optimizing operational efficiency and with that they
achieved lower prices, flexible production capabilities and a
reduction in lead times. In the 1990s Dell Computers developed
those advantages further. They began managing operations by
synchronizing functional activities which lead to reduce lead times,
inventory requirements, and operating costs along with flexibility.
That brought Dell a big market gain.

The management in production companies has changed in the last

years and especially in SCM. The article is pointing out that in
order for companies to raise their profitability and have an
advantage to their competitors they need to collaborate. The
recommendation for companies to work successful in the future is
to collaborate more with their suppliers and competitors because it
could lower costs in production and inventory. It could also lead to
better forecasting of demand as well as more lucrative capital
investment. It can save money along the supply chain, from order
to delivery, storage, and also research and development. It can save
money as well as time.
But the article also mentions that mangers have to set their mind on
it and work hard on that collaboration in order to make it work as it
is not easy to work together smoothly.

One example in the article is Dell Computers:

During the 1990s Dell began managing operations by

synchronizing functional activity into a single corporate heartbeat.

An order instantly drove procurement, which drove production and

then distribution. The result was a further drop in lead times,

inventory requirements, and operating costs along with flexibility.

Operational efficiency was Dell's sole source of competitive

advantage and it reaped enormous market share gains.

Conclusion:
As with preceding operational evolutions, collaboration will

doubtless be pioneered by some companies and shunned by others.

Far from the micro/technical operational thinking of the past,

collaboration offers a strategic perspective, divergent options and

colossal profit, and capital efficiency benefits. Until it becomes

universally adopted, collaboration is the most promising source of

competitive advantage from operations available today.

3. Describe the value of Layout Strategy in

complex corporations and explain types of layouts
with real examples.

Layout strategy is one of the key decisions that determine the long-
run efficiency of operations. An effective layout can help an
organization achieve a strategy that supports differentiation, low
cost, or response. Example Wal-Mart store layouts support a
strategy of low cost as do its warehouse techniques and layouts.
Hallmark’s office layouts, where many professionals operate in
wok cells, support rapid development of greeting cards.

Objective
The objective of layout strategy is to develop an economic layout
that will meet firm’s competitive requirements.
Layout design must consider how to achieve the followings:

1) Higher utilization of space, equipment and people.

2) Improved flow of information, materials or people.
 3) Improved employee morale and safer working conditions.
4) Improved customer/Client interaction.
5) Flexibility.

Types of Layout
1) Fixed-position layout
2) Process-Oriented layout
3) Office Layout
4) Retail Layout
5) Warehouse Layout
6) Product-Oriented Layout

Fixed-position Layout
The project remains In one place and workers and equipment
come to that location. Examples are a ship ,a bridge, a house and
oil well.
Example: A house

A house built via traditional fixed position layout would be

constructed on-site, with equipment, materials and workers
brought to the site. However imaginative OM solutions allow
building a house at a lower cost.
Process-Oriented Layout
A layout that deals with low-volume, high-variety production, like
machines and equipments are grouped together. The big advantage
of process-oriented layout is its flexibility in equipment and labor
assignments.

Example:

Walters company management wants to arrange the six

departments of its factory in a way that will minimize
interdepartmental material handling costs. They make an initial
assumption that each department is 20*20 feet and that the
building is 60 feet long and 40 feet wide. The process layout
procedure that they follow involves 6 steps:

Step 1: Construct a “from to matrix” showing the flow of parts or

materials from department to department.
Step 2: Determine the space requirements for each department.
Step 3: Develop and initial schematic diagram showing the
sequence of departments through which parts must move.
Step 4: Determine the cost of the layout by using the material
handling cost equation.
Step 5: By trial and error, try to improve the layout to establish a
reasonable good arrangements of departments.
Step 6: Prepare a detailed plan arranging the departments to fit the
shape of the building and its non movable areas.

Office Layout
The grouping of workers, their equipment, and spaces/ or offices to
provide for comfort, safety and movement of information.
Example:
Hallmark suggests that maintaining layout flexibility extends to
offices as well as factories and remains and important principle of
layout design. The technological change sweeping manufacturing
is also altering a way offices function, making office flexibility a
necessity. Consequently, many varieties of modular office
equipment that support changing layouts are now available

Retail Layout
Retail layout is an approach that address flow,allocates space and
response to customer behavior. Example the shopping mall layout
meets the internet studies to show that the greater the rate of
exposure, the greater the sales and higher the return on
investments. The operation Manager can alter both with overall
arrangements of the store and allocation of the space to various
products within the arrangements. The main objective the retail
layout is to maximize the profitability per square foot of floor
space.
And retail layout is called slotting; Slotting fees are paid by
manufactures to get shelf space for their products.

Example:
A critical element contributing to the bottom line and hard rock
café is the layout of the café and its accompanying retail shop
space. Hard rock treats retail layout like a science and the payoff is
huge.

Warehousing and storage Layouts

The warehouse layout is a design that attempts to minimize total
cost by addressing trade-offs between space and material handling.
Automated storage and retrieval systems are reported to improve
productivity by an estimated 500% over manual methods.

An important component of warehouse layout is the relationship

between the receiving/unloading area and the shipping/loading
area.
Cross-Docking
Cross-docking means to avoid placing materials or supplies in
storage by processing them as they are received. Cross-docking
reduces product hanlding, inventory and facility costs, it requires
both 1) tight scheduling and 2) that shipments received include
accurate product identification.
Example
The Gap strives for both high quality and low cost. It does
designing its own clothes and ensuring a quality control and
maintaining downward pressure on distribution cost.

Product-Oriented Layout

Product-oriented layouts are organized around products or families

of similar high volumne, low varity products.
The two types of product-oriented layouts are.
1) fabrication line- A machine paced, product oriented facility
for building components.
2) Assembly line- An approach that puts fabricated parts
together at a series of workstations, used in repetitive
processes.
Advantages

1) The low variable cost per unit usually associated with high-
volume.
2) Low material handling costs.
3) Reduced work-in-process inventories.
Disadvantages
1) High volume is required because of the large
investment needed to establish the process.
2) Work stoppage at any one point ties up the whole
operation.
3) There is a lack of flexibility of hanlding a variety of
products or products rates.
Example

Walter Chrysler and Louis Chevrolet could not have imagined that
rusting cars and trucks that bear testimony to the automotive
culture they helped invent that the old car can be reused in the next
generation. Example In 1990 BMW have announced in US to offer
500 to towards the purchase of new model BMW to anyone to
bringing a junked BMW to its salvage centers in NY.

Conclusion
The Layouts make a big difference in operating efficiency. A
variety of techniques have been developed to solve the company
layout issues. Industrial firm focus on reducing material movement
in assembly line. Retail firms are focusing on product exposure.
Storage layout focus on the optimum trade of between storage cost
and material handling cost.

4. Explain in details what you know about the role of

Supply-Chain Management in profitability and cost
reduction of an organization. Share some examples in
order to support your arguments.

Chapter-11 Supply Chain Management

Definition
Management of activities that procure materials and services,
transforming them into intermediate goods and final products and
delivering the products through a distribution system.

The strategic importance of the supply chain:

Supply-chain management is the integration of the activities that

procure materials and services, transform them into intermediate
goods and final products, and deliver them to customers. These
activities include purchasing and outsourcing activities, plus many
other functions that are important to the relationship with suppliers
and distributors.

Supply chain management includes determining

1) Transportation vendors
2) Credit and cash transfers
3) Suppliers
4) Distributors and banks
5) Accounts payable and receivable
6) Warehousing and inventory levels
7) Order fulfillment
8) Sharing customer, forecasting, and production
information.

Objective:
The objective is to build a chain of suppliers that focuses
on maximizing, marketing, and the operations discipline.

Global supply-chain issues

The development of a successful strategic plan for
supply-chain management requires innovative planning
and careful research.

1) Flexible enough to react to sudden changes in parts

availability, distribution or shipping channels, import
duties, and currency rates.
2) Able to use the latest computer and transmission
technologies to schedule and manage the shipment of
parts in and finished products out.
3) Staffed with local specialists to handle duties, trade,
freight, customs and political issues.
Supply-chain economics
 The supply chain is the integral part of the firm’s
strategy and most expensive activity in most companies.
The supply-chain provides major opportunities to reduce
cost and increase contribution margins.

Make-or-buy decisions
Choosing between producing the component or a
service in house or purchasing it from an outside source.

Outsourcing
Transferring a firm’s activities that have traditionally
been internal to external suppliers.

Reasons for Making

1) Maintain core competence.
2) Lower production cost
3) Unsuitable suppliers
4) Assure adequate supply
5) Obtain desired quality
6) Remove supplier collusion.
7) Increase or maintain the size of the company
Reasons for buying
1) Frees management to deal with its primary business.
2) Lower acquisition cost
3) Preserve supplier commitment
4) Obtain technical or management ability
 5) Inadequate capacity
6) Reduce inventory costs.

Supply-chain strategies

For goods and services to be obtained from outside sources,

the firm must decide on a supply-chain strategy. There are nearly
five strategies.

Many Suppliers
First strategy is the approach of negotiating with many
suppliers.
Integrating suppliers, production and distribution requires that
operations be as agile as possible

Few Suppliers
A second strategy is to develop long-term,” partnering”
relationships with a few suppliers to satisfy the end customer.
Few suppliers each with the large commitment to the buyer may
also be more willing to participate in JIT Systems, as well as
provide design innovations and technological expertise.

Vertical Integration
A third strategy is vertical integration, where firms may
decide to use vertical backward integration by actual buying the
supplier.
And it is developing the ability to create goods or services
previously purchased or actually buying a supplier or distributor.

Keiretsu Networks
The fourth variation is a combination of few suppliers and
vertical integration.
 Keiretsu is the Japanese term which is to describe suppliers
who become a part of a company coalition.

Virtual Companies
Finally fifth is to develop virtual companies that use suppliers
on an as-needed basis.
Virtual companies are to rely on a variety of supplier
relationships to provide services on demand. Also known as
hollow corporations or network companies.

Logistics Management
Logistics management is an approach that seeks efficiency of
operations through the integrations of all material acquisition,
movement and storage activities.

Distribution Systems of logistics management

1) Trucking
2) Railroads
3) Air flight
4) Waterways
5) Pipelines
Cost of shipping alternatives

The longer a product is in transit, the longer the firm has its
money invested.
Daily cost of holding the product= (annual holding cost x
product value)/365

Benchmarking supply-chain management

For most companies the percent of revenue spent on labor is
going down, but the percent spent in the supply chain is going up.
Benchmark firm has driven down costs, lead times, late deliveries
and shortages, all while improving quality. It provides a
competitive advantage by aiding firms in their response to a
demanding global marketplace.

Conclusion:
A substantial portion of the cost and quality of the products
of many firms, including most manufacturing, restaurant,
wholesale and retail firms, is determined by how efficiently they
manage the supply chain. Supply-chain management provides a
great opportunity for firms to develop a competitive advantage.
The five supply-chain strategies are 1) Many suppliers, 2) Few
suppliers, 3) Vertical Integration, 4) Keiretsu networks, 5) Virtual
companies.

5. Explain in details the major points of two chapters of

your choice from chapters 9 to chapter 17th.

Chapter -10 Human Resources and Job design

Human Resource Strategy

The objective of a human resource strategy is to manage
labor and design jobs so people are effectively and efficiently
utilized.

Constraints on Human Resource Strategy

4) The product mix may determine seasonality and stability
of employment.
5) The technology equipment and processes may have
implications for safety and job content.
 6) The location decision such as assembly line versus work
cell, influence job content.
Labor planning
Labor planning is determining staffing policies that deal with
employment stability and work schedule.

Employment stability Policies

Employment stability deals with the number of employees
maintained by an organization at any given time. There are
two very basic policies for dealing with stability:
1) Follow demand exactly
2) Hold employment constant
The above policies are efficient and provide a reasonable
quality of work life. Firms must determine policies about
employment stability. Employment policies are partly determined
by management’s view of labor costs- as a variable cost or a fixed
cost.

Work Schedule
The standard work schedule in the US is Five 8- hours’ days.
Flextime allows employees within limits, to determine their own
work schedule.

Flexible workweek
A work schedule that deviates from the normal or standard
five 8-hour days (such as four 10-hour days)

Part-time status
When an employee works less than a normal week; less than
32 hours per week often classifies an employee as part time.
Job Design
Job Design specifies the tasks that constitute a job for an
individual or a group. The components of job designs are:
1) Job Specialization
2) Job Expansion
3) Psychological components
4) Self-directed teams
5) Motivation and incentive systems.
6) Ergonomics and work methods
7) The visual workplace

Job Specialization
The division of labor into unique (“special”) tasks is knows
as job Specialization.

Job expansion
Job expansion is to improve the quality of work life by
moving from labor specialization toward more varied job
design. The jobs are being modified into two ways; The first
approach is job enlargement and second is job rotation.
Psychological components

The five desirable characteristics are:

1) Skill variety, requiring the worker to use a variety of
skills and talents
2) Job identity, allowing the worker to perceive the job
as a whole and recognize a start and a finish.
 3) Job significance, providing a sense that the job has
impact on the organization and society.
4) Autonomy, offering freedom, independence and
discretion
5) Feedback, providing clear, timely information about
the performance.
Self-directed Team
Self-directed team is a group of empowered individual
working together to reach a common goal.

Motivation and Incentive Systems

Money often serves as a psychological as well as financial
motivator. Monetary rewards take the form of bonuses, profit and
gain sharing and incentive systems.

Ergonomics
The operations manager is interested in building a good
interface between human and machine. A study of this interface is
known as ergonomics. Ergonomics means ‘The study of work’.

The Visual Workplace

The Visual workplace uses low-cost visual devices to share
information quickly and accurately. It uses the variety of visual
communication techniques to rapidly communicate information to
stakeholders.

Labor Standards
Labor standards are the amount of time required to perform a
job or part of a job.
Conclusion
Outstanding firms know the importance of an effective and
efficient human resource strategy. Often a large percentage of
employees and a large part of labor costs are under the direction of
OM. Consequently, the operations manager usually has a large role
to play in achieving human resource objectives. Regardless of the
strategy chosen, the skill with which a firm manages its human
resources ultimately determines its success.

==============================================
Chapter-11 Supply Chain Management

Definition
Management of activities that procure materials and services,
transforming them into intermediate goods and final products and
delivering the products through a distribution system.

The strategic importance of the supply chain:

Supply-chain management is the integration of the activities that

procure materials and services, transform them into intermediate
goods and final products, and deliver them to customers. These
activities include purchasing and outsourcing activities, plus many
other functions that are important to the relationship with suppliers
and distributors.

Supply chain management includes determining

9) Transportation vendors
10) Credit and cash transfers
11) Suppliers
12) Distributors and banks
13) Accounts payable and receivable
14) Warehousing and inventory levels
15) Order fulfillment
16) Sharing customer, forecasting, and production
information.

Objective:
The objective is to build a chain of suppliers that focuses
on maximizing, marketing, and the operations discipline.

Global supply-chain issues

The development of a successful strategic plan for
supply-chain management requires innovative planning
and careful research.

4) Flexible enough to react to sudden changes in parts

availability, distribution or shipping channels, import
duties, and currency rates.
5) Able to use the latest computer and transmission
technologies to schedule and manage the shipment of
parts in and finished products out.
6) Staffed with local specialists to handle duties, trade,
freight, customs and political issues.
Supply-chain economics
The supply chain is the integral part of the firm’s
strategy and most expensive activity in most companies.
The supply-chain provides major opportunities to reduce
cost and increase contribution margins.

Make-or-buy decisions
Choosing between producing the component or a
service in house or purchasing it from an outside source.

Outsourcing
Transferring a firm’s activities that have traditionally
been internal to external suppliers.

Reasons for Making

8) Maintain core competence.
9) Lower production cost
10) Unsuitable suppliers
11) Assure adequate supply
12) Obtain desired quality
13) Remove supplier collusion.
14) Increase or maintain the size of the company
Reasons for buying
7) Frees management to deal with its primary business.
8) Lower acquisition cost
 9) Preserve supplier commitment
10) Obtain technical or management ability
11) Inadequate capacity
12) Reduce inventory costs.

Supply-chain strategies

For goods and services to be obtained from outside sources,

the firm must decide on a supply-chain strategy. There are nearly
five strategies.

Many Suppliers
First strategy is the approach of negotiating with many
suppliers.
Integrating suppliers, production and distribution requires that
operations be as agile as possible

Few Suppliers
A second strategy is to develop long-term,” partnering”
relationships with a few suppliers to satisfy the end customer.
Few suppliers each with the large commitment to the buyer may
also be more willing to participate in JIT Systems, as well as
provide design innovations and technological expertise.

Vertical Integration
A third strategy is vertical integration, where firms may
decide to use vertical backward integration by actual buying the
supplier.
And it is developing the ability to create goods or services
previously purchased or actually buying a supplier or distributor.

Keiretsu Networks
 The fourth variation is a combination of few suppliers and
vertical integration.
Keiretsu is the Japanese term which is to describe suppliers
who become a part of a company coalition.

Virtual Companies
Finally fifth is to develop virtual companies that use suppliers
on an as-needed basis.
Virtual companies are to rely on a variety of supplier
relationships to provide services on demand. Also known as
hollow corporations or network companies.

Logistics Management
Logistics management is an approach that seeks efficiency of
operations through the integrations of all material acquisition,
movement and storage activities.

Distribution Systems of logistics management

6) Trucking
7) Railroads
8) Air flight
9) Waterways
10) Pipelines
Cost of shipping alternatives

The longer a product is in transit, the longer the firm has its
money invested.
Daily cost of holding the product= (annual holding cost x
product value)/365

Benchmarking supply-chain management

 For most companies the percent of revenue spent on labor is
going down, but the percent spent in the supply chain is going up.
Benchmark firm has driven down costs, lead times, late deliveries
and shortages, all while improving quality. It provides a
competitive advantage by aiding firms in their response to a
demanding global marketplace.

Conclusion:
A substantial portion of the cost and quality of the products
of many firms, including most manufacturing, restaurant,
wholesale and retail firms, is determined by how efficiently they
manage the supply chain. Supply-chain management provides a
great opportunity for firms to develop a competitive advantage.
The five supply-chain strategies are 1) Many suppliers, 2) Few
suppliers, 3) Vertical Integration, 4) Keiretsu networks, 5) Virtual
companies.
==============================================
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