Capacity in excess of expected demand that is intended to offset uncertainty is a:

Question

Quizplus · Accepted Answer

A capacity cushion is an extra amount of capacity that a company maintains in order to address unforeseen events or changes in demand. It is an intentional excess capacity that helps to offset uncertainty and reduces the risk of not having enough capacity to meet demand. The other options (margin protect, line balance, timing bubble) do not accurately describe this concept.

Capacity in Excess of Expected Demand That Is Intended to Offset