Question

The model whose goal is to eliminate waste while satisfying the customer and providing a positive return to the company is:

Select one:
a. Just in time manufacturing model.
b. Managerial accounting model.
c. Corporate social responsibility model.
d. Continuous improvement model.
e. Lean business model.

Answer 1

Answer to this question is option e). i.e. Lean business model

Lets look at the definiation of each model to understand it properly.

Just in time manufacturing model is focused on reducing waste. It is driven by demand, only quantity demanded is produced, there is no surplus kept. But this just focus on waste reduction not on satisying the customer.

Managerial Accounting model is used by manager to purduit the organizational goals.

Corporate Social Responsibility model as the name suggest focus on the corporate responsibility side of the organization.

Continuous improvement model strives for making continuous improvement in processes, products, services etc.

Lean business model focuses on reducing waste while satisfying the customers which will increase the returns to busness in future. The difference between this and just in time manufacturing model is that just in time model does not take in consideration the customer satisfaction part where as this model does that. Therefore, answer is option e.