Final answer:
Operations with high labor intensity present great opportunities for innovations in process technology and scheduling.
Step-by-step explanation:
True
Operations with high labor intensity present great opportunities for innovations in process technology and scheduling. When a production process requires a significant amount of labor, it becomes beneficial for businesses to seek ways to optimize and improve efficiency. By implementing innovative process technology and scheduling techniques, companies can reduce labor costs and increase productivity. For example, introducing automated machinery or using advanced planning software can streamline operations and minimize the need for manual labor.
In addition, reducing labor-intensive tasks through innovation opens up possibilities for improving product quality and consistency. For instance, automating certain processes can eliminate human errors and improve the overall product output. Therefore, it is true that operations with high labor intensity present great opportunities for innovations in process technology and scheduling.
This strategy becomes increasingly beneficial as the cost of labor rises, prompting companies to shift from labor-intensive production (e.g., production technology 1 that uses the most labor and least machinery) to more capital-intensive production (e.g., production technology 3 which uses the least labor and the most machinery).