Inventory management grade 11 task

^{One of the disadvantages of JIC is ....}

• high costs are associated with inventory holdings

• economies of scale from very large orders

• capital invested in inventory is reduced

• delivery costs will increase

Below are the contributions of operations to added value,, except

• building a brand

• quality

• flexibility and innovation

• efficiency of production

"Intangible knowledge and skills which a business has access or rights over" is the definition of....

• Productivity

• Intellectual capital

• transformation process

• effectiveness

Lead time is the time between placing an order and the order being delivered. Look at the inventory control chart. What is the lead time ?

• 1 week

• 3 weeks

• 2 weeks

• 4 weeks

What is the buffer inventory level?

Buffer inventory level is kept in reserve in case of a late delivery or

an increase in demand.

• 150 units

• 100 units

• 50 units

• 200 units

In which one of the following circumstances is JIT inventory control least likely to be effective?

• when demand is predictable

• when suppliers are located close by

• when production staff are multi-skilled

• when traditional quality - inspection method are used

In which of the following circumstances is JIT inventory control most likely to be used?

• when the cost of any halt to production is high

• during a period of high global inflation

• in an industry in which there is a high risk of obsolescence

• where there is a weak relationship between the manufacturer and the supplier

In which of the following circumstances is JIT inventory control most likely to be used?

• when the cost of any halt to production is high

• during a period of high global inflation

• in an industry in which there is a high risk of obsolescence

• where there is a weak relationship between the manufacturer and the supplier

What is the primary goal of lean production?

• To increase product variety

• To reduce production speed

• To cut out waste without compromising quality

• To maximize employee workload

Which of the following is NOT a type of waste in business?

• Idle time

• High employee satisfaction

• Defective output

• Excess inventory