Which of the following statements about a just-in-time (JIT)purchasing system is false?
A)Since there is minimal backup,companies must acquire quality raw materials.
B)Raw materials are stockpiled to avoid production disruptions.
C)In comparison with experiences under traditional systems,manufacturers normally deal with a reduced number of suppliers.
D)Supplier reliability tends to be more important under a JIT system than under a traditional purchasing system.
E)The average purchase size is smaller with a JIT system than under a traditional purchasing system.

Question

Quizplus · Accepted Answer

One of the key principles of a JIT system is to minimize inventory, so stockpiling raw materials would be counterproductive. Instead, materials are ordered and received just in time for production.

Which of the Following Statements About a Just-In-Time (JIT)purchasing System