If the maximum capacity of the process is _____ the peak demand,knowing how to assign priorities will influence real capacity levels achieved.

Question

Quizplus · Accepted Answer

If the maximum capacity of the process is less than the peak demand, then there will always be a backlog of orders. In such situations, assigning priorities to orders will help in meeting the most critical demands and reducing the backlog as much as possible. If the maximum capacity was greater than or equal to peak demand, there would not be a need to prioritize as all the orders can be fulfilled without any backlog. Therefore, C is the best choice.

If the Maximum Capacity of the Process Is _____ the Peak