An operations strategy for inventory management should work towards:
A)increasing lot sizes
B)decreasing lot sizes
C)increasing safety stocks
D)decreasing service levels
E)increasing order quantities

Question

Quizplus · Accepted Answer

Decreasing lot sizes allows for more frequent orders, reducing the amount of inventory that needs to be held at any given time. This can lead to cost savings through reduced storage requirements and less risk of inventory obsolescence. Options A, C, D, and E all involve increasing inventory levels or reducing efficiency, which is not generally desirable.

An Operations Strategy for Inventory Management Should Work Towards