The use of just-in-time inventory systems has made supply systems more volatile.

Question

Quizplus · Accepted Answer

Just-in-time inventory systems rely on a close coordination of supply and demand, with inventory being delivered just in time to meet production needs. This can create a more volatile supply system as any disruptions or delays in the supply chain can have an immediate impact on production. Additionally, JIT systems often rely on a smaller number of suppliers, which can increase the risk of supply disruptions if one or more of those suppliers experiences an issue.

The Use of Just-In-Time Inventory Systems Has Made Supply Systems