Examlex
Lean principles are mostly beneficial to manufacturers and provide little value to service organizations.
Indirect Materials
Materials used in the production process but not directly traceable to a finished product.
Work in Process
A stage in the production process that includes goods partially completed; not yet ready for sale.
Factory Overhead
Indirect costs incurred during the manufacturing process, such as utilities, maintenance, and salaries, that are not directly tied to production.
Direct Labor Costs
Wages and benefits paid to employees who are directly involved in the production of goods or services.
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