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Which of the following capacity planning strategies is the least conservative?
Suggested Answer: A
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Lead strategy is the least conservative as it increases capacity before demand is proven, making it risky but proactive.
Lag strategy (B) waits for demand to exceed capacity before expanding.
Incremental strategy (C) expands gradually over time.
Demand smoothing (D) focuses on managing demand fluctuations, not increasing capacity.
(LO 1.3, See p.54-55)
23 comments · newest first
MA
Martha
11 months ago
Incremental strategy is also pretty safe, but lead is bolder.
LE
Leatha
11 months ago
Lag strategy is more cautious, right?
DE
Delsie
12 months ago
Wait, are we sure about that? Seems a bit off.
JO
Joaquin
12 months ago
I agree, lead strategy takes more risks!
JO
Joesph
1 year ago
Lead strategy is definitely the least conservative.
BL
Blythe
1 year ago
I feel like demand smoothing might be the least conservative option, but I need to double-check how it compares to the lead strategy.
RE
Renea
1 year ago
I’m a bit confused about the incremental strategy; it seems less aggressive than the lead strategy, but I can't recall if it's considered conservative or not.
RE
Rebecka
1 year ago
I remember practicing a question like this, and I think the lag strategy is more conservative because it waits for demand to increase before making changes.
GA
Gabriele
1 year ago
I think the lead strategy is the least conservative since it involves anticipating demand and acting before it's necessary, but I'm not entirely sure.
LI
Lilli
1 year ago
Okay, let me walk through this step-by-step. The lead strategy is the most conservative, the lag strategy is the least conservative, and the incremental and demand smoothing strategies fall somewhere in the middle. I'll go with B, the lag strategy.
SH
Shantell
1 year ago
I'm pretty confident I know the answer to this one. The lag strategy is the least conservative since it waits to add capacity until demand has already increased.
FA
Fannie
1 year ago
Hmm, I'm a bit unsure about this. I'll need to review my notes on capacity planning to make sure I understand the key differences between the strategies.
AD
Adrianna
1 year ago
This is a tricky one. I'll need to think through the differences between the capacity planning strategies to determine which is the least conservative.
EM
Emeline
2 years ago
I see your point, Chun. The lead strategy may be more risky but it can also lead to higher customer satisfaction.
PA
Patria
2 years ago
A) Lead strategy is the way to go. It's like being a superhero, always one step ahead of the game.
CH
Chun
2 years ago
I believe the lead strategy is the least conservative, as it involves increasing capacity before demand actually increases.
JE
Jeff
2 years ago
D) Demand smoothing looks the least conservative to me. It's like trying to predict the weather - never a dull moment!
MO
Moira
2 years ago
I agree with Nohemi, the lag strategy involves waiting until the last minute to make capacity adjustments.
AL
Alfred
2 years ago
B) Lag strategy seems like the least conservative approach. It's like waiting for the fire to start before grabbing the extinguisher.
DI
Diego
2 years ago
C) Incremental strategy allows for gradual adjustments based on demand changes.
MA
Mabel
2 years ago
B) Lag strategy may seem risky, but it can help avoid unnecessary costs.
DO
Dong
2 years ago
A) Lead strategy is more proactive, but can lead to excess inventory.
NO
Nohemi
2 years ago
I think the least conservative strategy is the lag strategy.