Question: 1 b . What is the ( negative ) impact to the process if the batch size is smaller than this optimal batch size? The
b What is the negative impact to the process if the batch size is smaller than this optimal batch size?
The capacity of the process is reduced and the machines and labor are being underutilized, which leads can increase cost.
c What is the negative impact to the process if the batch size is larger than this optimal batch size?
Larger batches can lead to increased inventory costs and possible over production.
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