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- Created by: Josh.g98
- Created on: 12-04-18 12:51
1. Decisions crucial to supply base optimisation are :
- total number of suppliers, single vs multiple suppliers, warehouse vs distribution centre.
- spend analysis, total number of suppliers, single vs multiple suppliers.
- spend analysis, total number of suppliers, demand monitoring.
- warehouse vs distribution centre, total number of suppliers, spend analysis.
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2. Purposes of inventories include ...
- allowing economic production and purchase.
- all of these.
- protection against uncertainties (demand, lead times, schedule changes etc).
- covering anticipated changes in supply/demand.
3. Small lot sizes (frequent orders) :
- lead to lower ordering costs.
- lead to higher average inventory level.
- mean higher ordering costs and lower holding costs.
- mean higher holding costs.
4. Cycle inventory is used to ...
- provide for transit.
- protect against uncertainties.
- allow economic production and purchase.
- cover anticipated changes in demand/supply.
5. Purchasing challenges include :
- moving beyond cost savings.
- all of these.
- developing suppliers and tech.
- supply chain risk management.
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