One Problem with Lean Operations Is That They Can Lead

question 43

True/False

One problem with lean operations is that they can lead to much frustration and disappointment of people on the shop floor due to the need for continuously monitoring and expediting resource availability.

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Definitions:

Current Liabilities

Obligations or debts that a company is expected to pay within one year or within its operating cycle.

Current Assets

Items that are projected to be turned into cash, disposed of, or used up within twelve months or the usual business operational cycle.

Fiscal Year

The one-year period a company or government uses for accounting purposes and preparing financial statements.

Operating Cycle

The process by which a company spends cash, generates revenues, and receives cash either at the time the revenues are generated or later by collecting an accounts receivable.