Class 8 Flashcards
1
Q
Cycle Review
A
Is my line point still valid
Any changes in the market, customers, or competition factors add or subtract the amount of stock.
What is the lead time?
2
Q
Saftey Stock
A
Can we afford to have a stock out of this item?
Risk tolerance or aversion
Confidence in Vendor
3
Q
Effective Quantity
A
Amount physically on hand
Any on-order or transfer in
Less and backorders reserved or transferred out
This is what you can sell
4
Q
Order processing is….
A
the bridge that connects shopping for an item with paying for an item
5
Q
Full Physical Inventory
A
Count all items
People get tired make mistakes
Resourcce intensive
6
Q
Cycle Counting
A
Count selected items
Less mistakes
Less resources needed
