Highest fixed cost, lowest variable and labor cost with low flexibility Potential to automate is the elimination of direct labor by substituting capital equipment Examples •Order selection systems •Automated storage and retrieval system (AS/RS)
Highest fixed cost, lowest variable and labor cost with low flexibilityPotential to automate is the elimination of direct labor by substituting capital equipmentExamples•Order selection systems•Automated storage and retrieval system (AS/RS)