Title: Lawrence Benchmarking

Essay Details

Subject: Business
Date: January 5, 2015
Grade: A
Length: 3 / 630
No of views: 0
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Essay text:

Consignment inventory allows the supplier to provide a higher service level by having the parts immediately available, save expedited freight costs, and ensure the customer does not procure a replacement part from a competitor. Practice Just in time – This is typically used to minimize stock inventory, thus keep the capital in inventory low...

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The supplies are planned in way that they arrive few days before they are needed or just in time. This system is very effective if the suppliers are within proximity where the leadtime of transportation is negligible and predictable. According to Gomez-Mejia (2002) that in a JIT system, inventory of the supply are kept at the lowest level possible...

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