A service facility like a hospital cannot use material requirements planning concepts and methods such as bills of labor and the concept of dependent demand.

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Quizplus · Accepted Answer

While a service facility like a hospital may not have bills of materials, it can still use concepts and methods related to material requirements planning to manage its resources and workflow. For example, it may use data analysis and forecasting to estimate demand for medical supplies and equipment, and it may use capacity planning techniques to determine staffing needs and optimize patient flow. However, the concept of dependent demand, which is closely tied to bills of materials and the production of finished goods, may not be relevant to a service facility like a hospital.

A Service Facility Like a Hospital Cannot Use Material Requirements