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Lean Production Systems Are Sometimes Referred to as Pull Systems

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Lean production systems are sometimes referred to as pull systems because demand from customers activates the production actions of the manufacturing facilities.In order for this demand to be communicated to everyone in the supply chain/manufacturing facility a signal must be passed from downstream processing centers to the upstream processing centers.This system of relaying signals is referred to as a:


Definitions:

Passengers

Passengers refer to individuals who travel in a vehicle but are not directly involved in the vehicle's operation, often regarded in contexts such as public transportation, airlines, and automobiles.

Supplies Cost

The cost associated with the items and materials used in the operation of a business.

Spending Variance

The difference between the budgeted or planned amount of expense and the actual amount spent.

Cost Formula

An equation used to predict costs, often incorporating fixed and variable components.

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