Which of the following statements about vendor-managed inventory (VMI) is true?
A) To make VMI possible, the manufacturer must maintain large inventories of supplies, parts, warehousing resources, and extra workers to meet production contingencies.
B) Manufacturers using the VMI business model manage the inventories themselves and send out requests for additional items to the vendors as needed.
C) Companies using this strategy try to optimize their ordering quantities such that parts or raw material arrive just when they are needed for production.
D) To make VMI possible, the manufacturer allows the supplier to monitor stock levels and ongoing sales data.
E) Retailers using this strategy allow suppliers to maintain ownership of inventory within their warehouses or stores until items are scanned at the point of sale.
Correct Answer:
Verified
Q1: Fen-phen was an anti-obesity medication that consisted
Q2: MaXoSteel Inc.has been supplying steel to Agis
Q3: Supply chain planning begins with _.
A) product
Q4: Which of the following is the main
Q5: Which of the following statements about a
Q7: Demand planning and estimating leads to the
Q8: Distribution planning leads to the development of
Q9: Analytical tools are used to optimally utilize
Q10: One major problem affecting supply chains are
Q11: The key use of the order promising
Unlock this Answer For Free Now!
View this answer and more for free by performing one of the following actions
Scan the QR code to install the App and get 2 free unlocks
Unlock quizzes for free by uploading documents