Asked by
Lokendra Kumar
on Nov 30, 2024
Verified
The components of inventory decisions include capacity,cycle inventory,safety inventory,seasonal inventory,and sourcing.
Cycle Inventory
Inventory that is held to manage the normal fluctuation of production or supply and demand, rotating through cycles of replenishment.
Safety Inventory
Extra stock kept in storage to guard against uncertainty in demand or supply, ensuring product availability.
Seasonal Inventory
Inventory that is purchased or produced in anticipation of season-based demand increases, such as holiday merchandise.
- Identify and understand the various inventory types along with their applications in the context of supply chain operations.
Verified Answer
LE
Learning Objectives
- Identify and understand the various inventory types along with their applications in the context of supply chain operations.