As the replenishment lead time from a supplier grows,the amount of safety inventory that needs to be held by the buyer also grows in direct proportion to the replenishment lead time.

Question

Quizplus · Accepted Answer

Safety inventory does not grow in direct proportion to lead time; it depends on demand variability and lead time variability, not just the lead time itself.

As the Replenishment Lead Time from a Supplier Grows,the Amount