Accurate forecasting is most critical;
A)when lead times are long
B)when there are high economies of scale in manufacturing
C)when there are high economies of scale in transportation
D)all of the above

Question

Quizplus · Accepted Answer

Accurate forecasting is critical when there are long lead times, as it allows for better planning and minimizing stock-outs or excess inventory. It is also important when there are high economies of scale in manufacturing, as forecasting demand accurately can help optimize production levels and minimize wastage. Similarly, when there are high economies of scale in transportation, accurate forecasting can help optimize shipping schedules and minimize transportation costs. Therefore, all of the above options demonstrate the criticality of accurate forecasting.

Accurate Forecasting Is Most Critical;