All of the following are benefits of just-in-time inventory ordering systems except
A) reduces warehouse space.
B) saves utility and manpower costs.
C) reduces inventory costs.
D) prevents stock outs.

Question

Quizplus · Accepted Answer

Just-in-time inventory systems prioritize efficient and timely delivery of inventory, which may result in limited quantities of stock on hand. Therefore, there is a risk for potential stock outs, which is not a benefit of this system. However, it does have benefits such as reducing warehouse space, saving utility and manpower costs, and reducing inventory costs.

All of the Following Are Benefits of Just-In-Time Inventory Ordering