Question

In the context of the major categories of waste classified by the Toyota Motor Company, which of the following is true of overproduction? a. It is waste associated with the expense of idle stock and extra storage. b. It is a result of inefficient workplace design and location of tools and materials. c. It allows queues to build up between operations, resulting in longer lead times. d. It ties up production facilities, and the resulting excess inventory simply sits idle.

Answer 1

It ties up production facilities, and the resulting excess inventory simply sits idle.

Explanation:

Overproduction is the creation of inventories which cannot be delivered in the hands of companies. Overproduction, referred to as surplus production over consumption, is a quantitative measure. The propensity to overproduce goods is common for the capitalist system and contributes to an economic collapse.

The main reasons of overproduction are:

• Mismanagement of product
• Not actually knowing whatever the customer wants-only in case of output
• Desire to use full performance of workers until the end of the shift or the production of raw materials.
• Weak quality of the products involves more production in order to meet demand.
• Economic changes (underconsumption)
• Alters in the actions of customers (acquisition of capital)