Question

2. A well designed high-volume system will minimize _________ inventory and reduce _____________for the product or service. a) work-in-process, lead time b) raw material, storage capacity c) finished, throughput time d) work-in-process, storage capacity e) finished, transportation cost

Answer 1

Answer:

A.

Explanation:

A well designed high-volume system will minimize work-in-process (WIP) inventory and reduce lead time for the product.

Work in process (WIP) are partially finished products. WIP inventory could be minimized by designing a suitable high-volume system.

Lead time or throughput time is the time taken for a product to be manufactured or processed. A well designed high-volume system would reduce throughput time.