Practice Quiz

Lean Bronze

Category - Continuous Improvement

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What would be the benefit of lot size reduction in a lean production environment?
  1. Smaller lots have lower production costs.
  2. Smaller lots produce greater economies of scale.
  3. Smaller lots reduce the needed span of control.
  4. Smaller lots reduce variability.
Explanation
Answer: D - The benefit of lot size reduction in a lean production environment would be that small lots reduce variability in the system and smooth production. Lot size directly affects inventory and scheduling, so a smaller lot size would improve quality, reduce inventory, and simplify scheduling.
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