Question

Which one of the following statements is true? Throughput contribution is not increased when non-bottleneck output is increased. a. The elimination of defects always increases productivity. b. Non-bottleneck operations should be refined for high efficiency before starting on bottleneck improvement because non-bottleneck operations are generally easier to correct and improve. С. d. Quality and time are seldom related in service industries. The elimination of defects always decreases revenues. е.

Answer 1

Answer is option A. Throughout contribution is not increased when non bottleneck output is increased. This is because it will result in only increase of inventory. For example suppose one finished good require to be processed from two machine but second machine is bottleneck that is limited hours available. So even if hours of first machine increased untill there is more of hours of second machine it will be shown as only work in process.

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