Just-in-time delivery means that producers have less inventory to cushion against disruptions in the arrival of needed parts.

Question

Quizplus · Accepted Answer

Just-in-time delivery is a production strategy in which products are only made when needed, and inventory is kept to a minimum. This means that producers do not have a large cushion of inventory to rely on if there are disruptions in the arrival of needed parts. Therefore, the statement is true.

Just-In-Time Delivery Means That Producers Have Less Inventory to Cushion