To manage inventories in globally supply chains,companies ______.
A)must have a clear understanding of the nature of their business operations
B)must apply the same tools used to manage inventories in domestic supply chains
C)must have an isolated ERP system
D)must be less dependent on technology

Question

Quizplus · Accepted Answer

Managing inventories in global supply chains requires a clear understanding of the company's business operations including the demand, lead time, and supply variability. Companies cannot assume that the same tools used for domestic supply chains can be applied to global supply chains as there are additional challenges such as longer lead times, increased transportation costs, and higher uncertainties. While technology and ERP systems can aid in managing inventories, they are not the only solution, and companies should not solely rely on them.

To Manage Inventories in Globally Supply Chains,companies ______