Flexible manufacturing technologies allow a company to produce a wider

QUESTION

Flexible manufacturing technologies allow a company to produce a wider variety of end products at a unit cost that at one time could be achieved only through the mass production of a standardized output.

Indicate whether the statement is true or false.

ANSWER

TRUE
The term flexible manufacturing technology—or lean production, as it is often called—covers a range of manufacturing technologies. Flexible manufacturing technologies allow the company to produce a wider variety of end products at a unit cost that at one time could be achieved only through the mass production of a standardized output. Research suggests the adoption of flexible manufacturing technologies may actually increase efficiency and lower unit costs relative to what can be achieved by the mass production of a standardized output while enabling the company to customize its product offering to a much greater extent than was once thought possible.