Competitive priorities are the dimensions that a firm's production system must possess to support the demands of the markets the firm wishes to compete in. Goods and Service design Tangible product Intangible product. Capacity must match demand to avoid waiting. May be critical to customer base. Layout design Can enhance production efficiency.
Labor standards can be consistent.
Direct workforce needs to be customer-friendly. Labor standards vary depending on customer requirements. Supply-chain relationships important but may not be critical. Usually cannot store services and must accommodate service demands through other means. Primarily concerned with meeting the customer's immediate schedule.