Question

Can managers simultaneously justiy holding inventories and still seek out ways to lower inventory levels??

Can managers simultaneously justiy holding inventories and still seek out ways to lower inventory levels??

Homework Answers

Answer #1

In some conditions where the demand from the customer is sudden and we need to maintain load ready , we need to keep inventory . On the other hand we need to reduce inventory levels to improve the supply chain activities and for this we need to find ways to lower these inventory levels which can be done collaborating with customers beforehand and keeping only limited stock. In these situations managers can simultaneously justify both the situations as both of them are essential at that time for the company.

Know the answer?
Your Answer:

Post as a guest

Your Name:

What's your source?

Earn Coins

Coins can be redeemed for fabulous gifts.

Not the answer you're looking for?
Ask your own homework help question
Similar Questions
1.    A firm desires to control inventory levels so as to minimize the sum of holding...
1.    A firm desires to control inventory levels so as to minimize the sum of holding and order costs. It costs the firm $20 to place an order. The firm estimates its yearly inventory carrying costs at 20%. Weekly demand is 100 units, and there are 50 weeks in the work year. The item costs $10 per unit. The EOQ is approximately: A. 316 B. 224 C. 145 D. 45 E. 32 2.    One end item A requires three component...
Betty bakes and sells bagels all year round. Betty plans and manages inventories of paper take-out...
Betty bakes and sells bagels all year round. Betty plans and manages inventories of paper take-out bags with her logo printed on them. Daily demand for take-out bags is normally distributed with a mean of 90 bags and a standard deviation of 30 bags. Betty’s printer charges her $10 per order for print setup independent of order size. Bags are printed at 5 cents ($0.05) each bag. It takes 4 days for an order to be printed and delivered. Betty...
1. One advantage of Adjustable Rate Mortgages (ARM) is that a. lenders face lower levels of...
1. One advantage of Adjustable Rate Mortgages (ARM) is that a. lenders face lower levels of interest rate risk than a fixed rate mortgage. b. the outstanding loan balance can be adjusted regularly. c. the default risk of borrowers is lower than under a fixed rate mortgage. d. All of the above. 2. Gilbert takes out a 23-year adjustable rate mortgage loan for $6,000,000 with monthly payments. The first two years of the loan have a “teaser” rate of 2%,...
Organizing Organizing is an important task of managers. Once the organization’s goals and plans are in...
Organizing Organizing is an important task of managers. Once the organization’s goals and plans are in place, the organizing function sets in motion the process of seeing that those goals and plans are pursued. When managers organize, they’re defining what work needs to get done and creating a structure that enables work activities to be completed efficiently and effectively by organizational members hired to do that work. As Starbucks continues its global expansion and pursues innovative strategic initiatives, managers must...
1.Ford initially tried to use vertical integration to control all aspects of the production and sale...
1.Ford initially tried to use vertical integration to control all aspects of the production and sale of its automobiles. Later, Ford abandoned vertical integration and adopted a strategy of partnerships with key suppliers. The partnership arrangements were expected to cut costs for Ford but still permit the suppliers to enjoy profits at the level of the industry standard. How would it be possible for a supplier’s profits to be preserved while Ford’s costs decreased? Select one: a. Ford would agree...
The purposes of this article, capital assets are defined as tangible or intangible assets that are...
The purposes of this article, capital assets are defined as tangible or intangible assets that are used in operations and that have useful lives of more than one year, such as land and improvements to land, buildings and building improvements; vehicles; machinery; equipment; and sewer, water and highway infrastructures. Risk Assessment: A municipality’s capital assets are subject to a number of risks. Local officials must be cognizant of these risks as they seek to effectively manage their municipality’s capital assets....
Sign In INNOVATION Deep Change: How Operational Innovation Can Transform Your Company by Michael Hammer From...
Sign In INNOVATION Deep Change: How Operational Innovation Can Transform Your Company by Michael Hammer From the April 2004 Issue Save Share 8.95 In 1991, Progressive Insurance, an automobile insurer based in Mayfield Village, Ohio, had approximately $1.3 billion in sales. By 2002, that figure had grown to $9.5 billion. What fashionable strategies did Progressive employ to achieve sevenfold growth in just over a decade? Was it positioned in a high-growth industry? Hardly. Auto insurance is a mature, 100-year-old industry...
Business Problem-Solving Case Walmart and Amazon Duke It Out for E-Commerce Supremacy Walmart is the world’s...
Business Problem-Solving Case Walmart and Amazon Duke It Out for E-Commerce Supremacy Walmart is the world’s largest and most successful retailer, with $487.5 billion in 2014 sales and nearly 11,000 stores worldwide, including more than 4,000 in the United States. Walmart has 2.2 million employees and ranks first on the Fortune 500 list of companies. Walmart had such a large and powerful selling machine that it really didn’t have any serious competitors—until now. Today, Walmart’s greatest threat is Amazon.com, often...
Analysis: This section should include the issue register as a bare minimum, but may include also...
Analysis: This section should include the issue register as a bare minimum, but may include also why-why diagrams, a Pareto chart, a waste table and/or value-added analysis table. Flow analysis or simulation of this case study might be possible but might require making a lot of assumptions given the provided data. The first part of the project: Introduction    Walmart has continued to retain the top position on the Fortune 500 list for a consecutive fifth year. The brand has...
Wal-Mart Online Wal-Mart is one of the largest companies in America. It is definitely the largest...
Wal-Mart Online Wal-Mart is one of the largest companies in America. It is definitely the largest retailer, both in terms of the number of stores (8,970 worldwide in 2011) and the level of sales ($419 billion from the 2011 Annual Report). By pushing suppliers to continually reduce costs, Wal-Mart is known for pursuing low prices and the stores often attract customers solely in-terested in lower prices. With Wal-Mart’s expansion into groceries, the company has be-come the largest retail grocer in...