The Analogy of Rocks in a River Is Often Used

question 9

Short Answer

The analogy of rocks in a river is often used when discussing Lean principles. In the analogy, the rocks represent ________ while the water represents ________.

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Definitions:

Stockouts

Occur when an item is not in stock and unavailable for sale at the moment, potentially causing lost sales and customer dissatisfaction.

New-Product Development

The process of designing, creating, and bringing a new product or service to the market.

Cross-Docking

A logistics procedure where products received at a warehouse or distribution center are not stored but instead directly transferred from one truck to another, minimizing storage time and costs.

In-Process Inventory

Items or materials that are currently being worked on or processed in a manufacturing or production environment.