Chapter 14

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  • Created by: ngaelsa
  • Created on: 26-03-17 14:19
Inventory (stock)
materials and goods required to allow for the production and supply of products to the customer
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Economic order quantity (EOQ)
the optimum or least-cost quantity of stock to reorder taking into account delivery costs and stock-holding costs.
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Buffer inventories
the minimum inventory level that should be held to ensure that production could still take place in case of a delay in delivery or production rates increase
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Re-order quantity
the number of units ordered each time.
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Lead time
the normal time taken between ordering new stocks and their delivery.
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Just-in-time (JIT)
this inventory-control method aims to avoid holding inventories by requiring suppliers to arrive just á they are needed in production and completed products are produced to order.
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Other cards in this set

Card 2

Front

the optimum or least-cost quantity of stock to reorder taking into account delivery costs and stock-holding costs.

Back

Economic order quantity (EOQ)

Card 3

Front

the minimum inventory level that should be held to ensure that production could still take place in case of a delay in delivery or production rates increase

Back

Preview of the back of card 3

Card 4

Front

the number of units ordered each time.

Back

Preview of the back of card 4

Card 5

Front

the normal time taken between ordering new stocks and their delivery.

Back

Preview of the back of card 5
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