Suppose that annual demand for a certain item has decreased dramatically this year, although the store that stocks this item has not updated its inventory policy, so the store is still using the same order size and reorder point established for that item when it was selling better in previous years. What will happen to frequency of ordering?

Suppose that annual demand for a certain item has decreased dramatically this year, although the store that stocks this item has not updated its inventory policy, so the store is still using the same order size and reorder point established for that item when it was selling better in previous years. What will happen to frequency of ordering?

Purchasing and Supply Chain Management

6th Edition

ISBN:9781285869681

Author:Robert M. Monczka, Robert B. Handfield, Larry C. Giunipero, James L. Patterson

Publisher:Robert M. Monczka, Robert B. Handfield, Larry C. Giunipero, James L. Patterson

Chapter16: Lean Supply Chain Management

Section: Chapter Questions

Problem 10DQ: The chapter presented various approaches for the control of inventory investment. Discuss three...

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The chapter presented various approaches for the control of inventory investment. Discuss three additional approaches not included that might involve supply chain managers.
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