Long Production Runs, Poor Material Flows, and Processes That Are

question 39

True/False

Long production runs, poor material flows, and processes that are not tightly linked to one another can cause over 90% of a product's lead time to be spent waiting.

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Definitions:

Utility Schedule

A table showing the different levels of utility or satisfaction derived from consuming varying amounts of a good or service.

Marginal Utility

The boost in satisfaction or usefulness one gets from consuming an extra unit of any good or service.

Total Utility

The total satisfaction or benefit that a consumer derives from consuming a certain quantity of goods or services.

Marginal Utility

The increase in satisfaction or value derived from the consumption of one more unit of a good or service.