In this approach to managing capacity, a firm uses flexible work hours by the workforce to manage capacity to better meet demand, which of the following describes this?

Understand the Problem

The question describes a capacity management approach where a firm utilizes flexible work hours to align workforce capacity with demand. We need to identify the answer choice that best describes this approach.

Answer

Time flexibility.

The approach where a firm uses flexible work hours to manage capacity and better meet demand is called time flexibility.

Answer for screen readers

The approach where a firm uses flexible work hours to manage capacity and better meet demand is called time flexibility.

More Information

Time flexibility allows companies to adjust their workforce schedules to align with fluctuating demand, optimizing capacity utilization.

Tips

A common mistake is confusing time flexibility with using a seasonal workforce. Time flexibility refers to adjusting existing employees' hours, whereas a seasonal workforce involves hiring temporary staff during peak periods.

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