Just-in-time processing
A) is based on a just-in-case philosophy.
B) results in higher inventory amounts.
C) eliminates the push approach.
D) all of the above.

Question

Quizplus · Accepted Answer

Just-in-time processing is based on a just-in-time philosophy, meaning that inventory is only ordered and received when needed to eliminate wasteful holding and carrying costs. This eliminates the push approach of ordering large amounts of inventory and results in lower inventory amounts, not higher. Therefore, option A and B are incorrect. The correct answer is C, as just-in-time processing is designed to eliminate the push approach.

Just-In-Time Processing