Because Managers Can't Possibly Analyze All Information on All Alternatives

question 10

Multiple Choice

Because managers can't possibly analyze all information on all alternatives, they accept solutions that __________ rather than __________ payoff.

• A) maximize; satisfice
• B) maximize; minimize
• C) satisfice; minimize
• D) satisfice; maximize
• E) minimize; maximize

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Definitions:

Non-value-added Activities

Processes or tasks that consume resources but do not add value or contribute to the customer's requirements or product enhancement.

Delivery Cycle Time

The total time taken from when a customer places an order to when the product is delivered to the customer.

Quality Cost Report

A document detailing the costs associated with preventing, detecting, and correcting defective work in a company.

Prevention Costs

Costs incurred to avoid or minimize the number of defects in products or services, typically including quality planning and training.