What is characteristic of the emphasis on departmental efficiency?
A)It causes bottleneck departments to overproduce and build work-in-process inventories.
B)It causes stock outs related to demand-pull systems.
C)It causes a critical component of a lean accounting system to be minimized.
D)It causes a decrease in overall production.

Question

Quizplus · Accepted Answer

When departments are solely focused on their own efficiency, they may overproduce in order to meet their own targets, which can lead to an accumulation of work-in-process inventories and possible bottlenecks in the production process.

What Is Characteristic of the Emphasis on Departmental Efficiency