BUSINESS STRATEGIES

All are functions of supply management, except:

• identifying material and service need

• locating and selecting customers

• negotiating and closing contracts

• acquiring the needed materials

It is normally coded, with brief but complete details (date, identification number, originating department, the account to be charged.,etc.

• STU

• SPU

• SKU

It includes all the completed products for shipment.

• finished goods

• raw materials

• work in process

These are variable costs associated with placing an order with the supplier like managerial and clerical costs in preparing the purchase.

• ordering costs

• carrying costs

It is the process of producing goods using people or machine resources.

• Merchandising

• manufacturing

• operating

The function of physically packing finished goods or merchandise in a building, room, or any space for temporary storage.

• scheduling

• dispatching

• warehousing

The act of organizing these inventory units and booking them for delivery

• warehousing

• scheduling

• dispatching

This closes the entire logistics circle.

• transportation

• delivery

• warehousing

A mode adopted by an organization to achieve its main objectives of increasing in volume and turnover.

• marketing strategy

• product strategy

• growth strategy

It refers to the lifespan that a commodity/service undergoes from its introduction stage to its growth, maturity, and decline stages.

• operating cycle

• life cycle