How can a reduction of in-transit inventory be encouraged?
A) supplier location near plants
B) high setup costs
C) low carrying costs
D) use of trains, not trucks
E) low-cost, global suppliers

Question

Quizplus · Accepted Answer

By having suppliers located near plants, it reduces the distance and time that inventory needs to travel, thus reducing in-transit inventory. The other options do not directly impact in-transit inventory.

How Can a Reduction of In-Transit Inventory Be Encouraged