Wrong.
The correct answer is E) All of the above.
It represents the amount of money that comes into and moves out of the business within a specific period of time.
The eight common sources of waste are:
- 1. Overproduction:
Producing sooner than expected or in greater quantity than required.
- 2. Waiting:
Employees waiting or equipment idling.
- 3. Transportation:
Excessive movement of materials or products.
- 4. Inefficient operations:
Unnecessary or non-optimal operations that don’t add value.
- 5. Inventory:
More inventory than required.
- 6. Motion:
Unnecessary employee movements or activities.
- 7. Poor design:
Poorly designed product (or service) that takes more time to produce (or deliver) than originally planned.
- 8. Poor quality:
Inefficiencies resulting in rework due to suboptimal product or service.