At the end of a recent year, Solectron, Milpitas, California, an electronics contractor, made half of his purchases under vendor-managed inventory programs. Solectron:

Question

Quizplus · Accepted Answer

Solectron made half of its purchases under vendor-managed inventory programs, which means it used a system in which its suppliers determined the product amount and assortment that should be in stock. This is the definition of vendor-managed inventory (VMI), which allows suppliers to monitor and manage inventory levels for their customers, resulting in better supply chain efficiency and cost savings. Therefore, option D is the correct choice.

At the End of a Recent Year, Solectron, Milpitas, California