Local optimization is a supply-chain complication best described as:
A) optimizing one's local area without full knowledge of supply chain needs.
B) obtaining very high production efficiency in a decentralized supply chain.
C) the prerequisite of global optimization.
D) the result of supply chains built on suppliers with compatible corporate cultures.
E) the opposite of the bullwhip effect.

Question

Quizplus · Accepted Answer

Local optimization focuses solely on maximizing the efficiency of one's local area without considering the impact on the entire supply chain. This can lead to a suboptimal overall outcome, as the needs of other areas in the supply chain may not be fully considered or prioritized.

Local Optimization Is a Supply-Chain Complication Best Described As