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Which of the following statements is an example of an external motivator for executing a supply chain transformation?
A manufacturing company is implementing new technology in all production lines. To accelerate the change and track the progress, this company should:
A service company is experiencing long wait times for customer service. According to the theory of constraints (TOC), which of the following steps should the company take to address this issue?
See the explanation below.
Identify the system's constraint: find the activity or resource that has the least capacity or the longest cycle time in the customer service process.
Exploit the system's constraint: make the most of the available capacity or time of the bottleneck, such as reducing idle time, errors, or rework.
Subordinate everything else to the system's constraint: align the other activities or resources in the customer service process to the pace and priority of the bottleneck, such as balancing the workload, synchronizing the flow, or eliminating waste.
Elevate the system's constraint: increase the capacity or reduce the cycle time of the bottleneck, such as adding more staff, equipment, or technology, or redesigning the process.
Repeat the process: monitor the performance of the customer service process and identify and address the next constraint.
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