Capacity in excess of expected demand that is intended to offset uncertainty is a:
A)margin protect.
B)line balance.
C)capacity cushion.
D)timing bubble.
E)positioning hedge.

Question

Quizplus · Accepted Answer

Capacity cushion refers to the additional capacity a company maintains beyond its expected demand to handle sudden increases in demand or temporary losses in production. It's a strategy to mitigate the risks associated with demand fluctuations and production uncertainties.

Capacity in Excess of Expected Demand That Is Intended to Offset