Q5PE This is any resource whose capac... [FREE SOLUTION]

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Operations And Supply Chain Management

F. Robert Jacobs

Business Studies

14th Edition 路 800 pages

ISBN: 9780078024023

Chapter 4: Q5PE (page 650)

This is any resource whose capacity is less than the demand placed on it.

Short Answer

Expert verified

Any resource whose capacity is less than the demand placed on it is termed a bottleneck.

Step by step solution

Introduction

An organization's production system is the component that produces the organization's goods. It is the process of combining and transforming resources moving through a specified system in a regulated way to generate value in compliance with management policies.

A resource with less capacity than the demand

A bottleneckis referred to as a resource that has less capacity when compared with the demand. A bottleneck is also known as a point of congestion in a production system that arises when workloads arrive at a rate that exceeds the capacity of the production process. Inefficiencies caused by the bottleneck usually result in delays and increased production costs.

The word "bottleneck" relates to a bottle's usual form and the fact that its neck is its narrowest point, making it the most probable destination for congestion, delaying the liquid flow from the bottle.