What is the possible impact of lean systems,if taken to its extreme,on supply chain risk?
A)No impact - they are not related
B)Positive impact - lean reduces risk
C)Negative impact - lean increases risk
D)Yet to be determined - the data is not yet in

Question

Quizplus · Accepted Answer

Lean systems aim to minimize waste and reduce inventory levels in the supply chain. However, if taken to its extreme, it can result in a lack of flexibility and redundancy in the supply chain, leading to increased risk. For example, just-in-time (JIT) inventory management can create significant supply chain disruptions when unexpected events occur, such as natural disasters or supplier bankruptcies. Thus, the negative impact of lean systems on supply chain risk cannot be ignored.

What Is the Possible Impact of Lean Systems,if Taken to Its