When a push system is replaced by a pull system,with smaller lot sizes,many benefits can be realized.Which one of the following statements correctly represents one of these benefits?
A) The inventory level is increased to protect the system from the uncertainty in demand.
B) More space is required to keep the increased amount of WIP inventory.
C) Cycle time will be increased, resulting in higher machine utilization.
D) Only simple planning systems are required.

Question

Quizplus · Accepted Answer

A pull system with smaller lot sizes reduces the need for complex planning systems, as production is driven by actual demand rather than forecasts.

When a Push System Is Replaced by a Pull System,with