An organization uses a formula to compute the reorder quantity of an item in inventory. This is an example of a(n) ________ decision process.
A) structured
B) unstructured
C) managerial
D) strategic
E) predictive

Question

Quizplus · Accepted Answer

The fact that the organization uses a formula indicates that the decision process is structured, meaning that it follows a specific set of steps or guidelines to achieve a pre-determined outcome. The use of a formula suggests that there is a clear and explicit set of criteria used to make the decision, which is a key characteristic of structured decision-making.

An Organization Uses a Formula to Compute the Reorder Quantity