Case Discussion: Learning Curve “B” – Assignment Essay
So what do you calculate the buyer should certainly pay every unit for the next 700 items assuming the supplier displays a 74% learning contour? What if the training rate is definitely 85%? So what do you calculate is the per unit cost of the next seven hundred pieces? installment payments on your Under what conditions can we use learning curves to estimate rates?
In other words, the moment does the learning curve apply? 2 . A: The Learning Curve is applicable when ever used for new products or processes that have a top potential for improvement, such as producing a technically complex item initially, or when an item has high direct-labor content. 3. Why can we use rough estimates when ever applying learning curves?
3. A: Supposing a reduction in period will follow a predictable design, and because it really is predictable, we are able to develop quotes. 4. For what reason do manual processes experience greater learning curves than automated processes? 4. A: The staff member has the ability to learn and increase through repeating effort and increased efficiency. 5. Is there factors besides learning that can help reduce costs while volume increases?
5. A: Modifications to the production method; such as introducing new development methods, substituting increased automation for labor, or upgrading process technology.