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The value of goods on a "per unit" basis upstream in a supply chain is greater than the value of those same goods downstream in a supply chain.TrueFalseCycle stock can occur at more than one point in a supply chain.ABC Confectionary uses a periodic review system to manage their vending machine inventory. They like to maintain 15 cases of their most popular candy bar on the shelf based on an annual demand of 225 cases. It costs $2 to place an order for these candy bars and $1 to hold a case in inventory for a year. After doing an inventory count, they notice they are down to 9 cases of these candy bars. How many should they order?9
Inventory items with demand levels that are beyond an organization's complete control are termed ________.Smoothing inventory is commonly used when:there is a mismatch between the timing of customer orders and supply chain lead timecustomer demand does not line up with production capacitythere is uncertainty in supply or demandthere is a long distance between supply chain partnersVending machine replenishment would be an example of:The cashier waved the can of golden hominy across the holographic bar code reader and it emitted a piercing beep. At the same time the customer's bill was rising, the grocery store's inventory was automatically being reduced by 1 can of golden hominy down to 3 cans. This was the bare minimum amount of hominy the store manager dared carry in inventory, so the computer system automatically sent a message to the hominy man, who loaded a few cases onto his delivery truck for tomorrow morning's trip to replenish the store. This is a classic example of: