Capacity Planning in Closed-Loop MRP

question 16

Multiple Choice

Capacity planning in closed-loop MRP:

• A)utilizes feedback about workload from each work center.
• B)may make use of resource requirements profiles (load reports).
• C)may smooth work center loads with such tactics as overlapping and lot splitting.
• D)does not add capacity,but rather seeks effective use of existing capacity.
• E)All of the above are true.

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Definitions:

Creativity

The ability to produce original and unusual ideas, or to make something new or imaginative.

Sunk-Cost Fallacy

A cognitive error where past investments of time, effort, or money are taken into account when making a decision, even though they cannot be recovered.

Loss Aversion

The tendency to strongly prefer to avoid losses compared to attempting to acquire gains.

Hindsight Bias

The inclination to see events as having been predictable, after they have already occurred.