Podcast
Questions and Answers
What is a primary goal of lean production?
What is a primary goal of lean production?
- To increase the number of resources in production
- To use fewer resources in production (correct)
- To maximize waste in production
- To increase production costs
Which of the following is a characteristic of lean production?
Which of the following is a characteristic of lean production?
- Reduced productivity
- Increased number of defective products
- Improved reliability (correct)
- Increased lead times
What is the main problem with holding too much stock?
What is the main problem with holding too much stock?
- It strengthens links with suppliers
- It reduces administration costs
- It ties up money that could be used elsewhere (correct)
- It improves cash flow
What does 'just-in-time' production aim to eliminate?
What does 'just-in-time' production aim to eliminate?
Which of the following is an advantage of JIT production?
Which of the following is an advantage of JIT production?
What is a potential disadvantage of just-in-time (JIT) production?
What is a potential disadvantage of just-in-time (JIT) production?
Lean production was developed by which company?
Lean production was developed by which company?
Which of the following is NOT typically reduced by lean production?
Which of the following is NOT typically reduced by lean production?
Under JIT, when are goods produced?
Under JIT, when are goods produced?
Which of these is improved when using JIT?
Which of these is improved when using JIT?
Flashcards
Lean Production
Lean Production
An approach to production that aims to use fewer resources, including space, materials, stocks, suppliers, labor, capital, and time.
Just-in-Time (JIT) Production
Just-in-Time (JIT) Production
A production strategy where materials are delivered right when they are needed in the production process.
Advantages of JIT
Advantages of JIT
Improved cash flow, reduced waste, released space, no stock holding costs, stronger supplier links.
Disadvantages of JIT
Disadvantages of JIT
Signup and view all the flashcards
Study Notes
- Lean production, developed by Toyota, aims to minimize resource use in production.
- Lean production reduces space usage, materials, stocks, suppliers, labor, capital, and time.
- Lean production raises productivity.
- Lean production reduces costs and lead times.
- Lean production reduces the number of defective products.
- Lean production improves reliability and speeds up product design.
- Lean production reduces waste and improves productivity and quality through various practices.
- Holding stock ties up money, making it unproductive; for instance, US$1 million in stock means that US$1 million is unusable.
- Just-in-time (JIT) production helps businesses overcome holding stock.
- JIT means that suppliers deliver resources directly to the production line at regular intervals, even multiple times a day.
- JIT means goods are produced only when ordered, avoiding the need to hold finished goods stock.
Advantages of JIT
- Improved cash flow.
- No waste, out-of-date, or damaged stock.
- Released space.
- No stock holding costs.
- Stronger links with suppliers.
- Fewer suppliers.
Disadvantages of JIT
- Higher ordering and administration costs.
- High reliance on suppliers' reliability.
- Loss of bulk-buying advantages.
- Hard to cope with changes in demand.
- Vulnerability to supply breaks.
Studying That Suits You
Use AI to generate personalized quizzes and flashcards to suit your learning preferences.
