Question

Establishing a minimum capacity and managing with alternate sources like overtime, additional shifts, and subcontracting is always a low-risk strategy. Comment!

03 Mar 2025
Answer :
Word Count : 457

Establishing a minimum capacity and managing additional demand through alternate sources such as overtime, additional shifts, and subcontracting is considered a low-risk strategy in the management of machines and materials. This approach allows firms to maintain flexibility, control costs, and efficiently respond to market fluctuations without committing to permanent capacity expansions.  

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