To reduce inventory management costs, many companies use a system called ________, which involves carrying only small inventories of parts or merchandise, often only enough for a few days of operation.
A) just in time (JIT)
B) level loading
C) stock outing
D) logistics management
E) enterprise resource planning (ERP)

Question

Quizplus · Accepted Answer

The system described is known as just in time (JIT) inventory management, where inventory is ordered and received only as needed for production or sales, reducing the amount of inventory stored and therefore reducing inventory cost.

To Reduce Inventory Management Costs, Many Companies Use a System