A materials requirement planning system that manufactures finished goods for inventory on the basis of demand forecasts can be described as a 'demand-pull' system.

Question

Quizplus · Accepted Answer

A system that manufactures goods based on demand forecasts is typically described as a "demand-push" system, because production is pushed by forecasted demand, not pulled by actual demand.

A Materials Requirement Planning System That Manufactures Finished Goods for Inventory