Which of the following is a benefit of the QR system?
A) Reduces fixed costs
B) Increases the need for safety stock
C) Has no effect on the economic order quantity
D) Shortens lead time
E) Increases inventory investment

Question

Quizplus · Accepted Answer

The QR (Quick Response) system is designed to reduce lead time by ordering small batches of inventory frequently, which in turn reduces the waiting time for customers. This is beneficial for businesses that have rapidly changing and unpredictable demand patterns.

Which of the Following Is a Benefit of the QR