SKUs with higher volumes and lower weekly variability may be best served with a make- to-stock supply chain design.

Question

Quizplus · Accepted Answer

Make-to-stock supply chain design is best suited for high volume and low variability SKUs as it allows for efficient production planning, inventory management, and cost-effective manufacturing processes. This type of supply chain design involves producing goods in anticipation of demand and maintaining a ready inventory to meet customer orders. As the demand for such SKUs is stable and predictable, a make-to-stock strategy can help ensure that the inventory levels are optimized, and customers receive their orders on time.

SKUs with Higher Volumes and Lower Weekly Variability May Be