A manager is concerned that there isnt enough time spent on production and too much time spent

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A manager is concerned that there isn’t enough time spent on production and too much time spent on setups. The manager decides to double all production batch sizes. This change has no impact on demand. What impact will this likely have on the average inventory in the process? 

a. Average inventory will decrease because the capacity of the resources will increase. 

b. Average inventory will remain the same because demand has not changed. 

c. Average inventory will increase because larger batches require more time to be completed. 

d. Cannot determine from the given information.

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Operations Management

ISBN: 9781260547610

2nd International Edition

Authors: Gerard Cachon, Christian Terwiesch

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