William attends a seminar on just-in-time inventory management. Excited about the idea, he returns to his office at Atlanta Auto Supply to start designing such an inventory system. Which of the following steps must William take as he institutes this change?

Question

Quizplus · Accepted Answer

Just-in-time inventory management involves frequent small orders to keep inventory levels low and reduce waste. Therefore, William should increase order frequency to implement this change. Alternatively, he could reduce order size, but the question does not give that as an option. The other options (A, B, C, and E) suggest increasing inventory levels, which is counter to the goal of just-in-time inventory management.

William Attends a Seminar on Just-In-Time Inventory Management