A manufacturing system uses sales forecasts to plan production.It uses the production plan to determine raw material needs and then uses the material needs to schedule purchases.This ultimately leads to reduced inventory costs.Which of the following is being used to reduce the inventory cost?

Question

Quizplus · Accepted Answer

Linkages refer to the connections between different activities in a value chain, such as using sales forecasts to plan production and schedule purchases, which helps in reducing inventory costs.

A Manufacturing System Uses Sales Forecasts to Plan Production