The main purpose of concurrent engineering is to improve product quality.
An example of a positive business climate that might influence a facility location
decision is increasing governmental costs and increasing property taxes.
One of the aims of value stream mapping to eliminate waste in a process.
The unit improvement factor is not as useful as arithmetic tabulation of learning curve
statistics in adjusting time estimates for learning.
The capability index (Cpk) calculates the percentage of items being produced within
specifications.
In facility location decision making, the educational and skill levels of the labor pool
must match the company’s needs.
Returning involves processes for receiving worn-out, defective, and excess products
back from customers but does not involve support for customers who have problems
with the product.
Fishbone diagrams and cause-and-effect diagrams give different information.
If the cost to change from producing one product to producing another were zero, the
lot size would be very small.
The essence of yield management is the ability to manage supply.
At some point, the size of a growing plant can become too large and diseconomies of
scale become a capacity planning problem.
ERP systems can be inefficient at handling the numerous transactions that document the
activities of a company.
Price-break models deal with the fact that the selling price of an item generally
increases as the order size increases.
The conclusion of the product development process is when the product is withdrawn
from the market.
A project layout is characterized by a relatively low number of production units in
comparison with workcenter and assembly-line formats.