Which of the following statements about the theory of constraints is (are)true? (A)The theory of constraints focuses on determining the optimal product mix when one or more resources restrict the attainment of a goal or objective.
(B)The theory of constraints focuses on maximizing the rate of throughput contribution while minimizing investment and other operating costs.
A)Only A.
B)Only B.
C)Neither A nor B is true.
D)Both A and B are true.

Question

Quizplus · Accepted Answer

Both statements are true regarding the theory of constraints. The theory of constraints is a methodology that focuses on optimizing business processes by analyzing and improving the efficiency of the system's constraints or bottlenecks. Statement A is accurate because the theory of constraints aims to identify and modify the constraints that limit a company's ability to reach its desired goals or objectives. Statement B is accurate because the theory of constraints also aims to maximize the rate of throughput contribution while minimizing investment and other operating costs.

Which of the Following Statements About the Theory of Constraints