108. Describe the four steps that are taken in an activity analysis.
1. Identify the process objectives defined by what the customer wants or expects from the process.
2. Chart, from start to finish, the activities used to complete the product or service.
3. Classify all activities as value-added or nonvalue-added.
4. Continuously improve the efficiency of all value-added activities and develop plans to eliminate or reduce nonvalue-added ones.
109. Explain the differences between resources used, resources supplied, and unused resource capacity.
110. Explain the difference between actual activity, theoretical capacity, practical capacity, and normal activity.
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