A similarity between materials requirement planning (MRP) and distribution resource planning (DRP) is that both inventory systems:
a. require the manufacturer to keep inventory levels as high as possible.
b. help manage inventory from manufacturer to end user rather than from the suppliers to the manufacturer.
c. use various inputs, such as sales forecasts, available inventory, and so on, to determine what needs to be done to replenish goods at all points in the supply chain.
d. prohibit the use of buffer stocks as insurance against unexpected demand increases.
ANSWER: c
A similarity between materials requirement planning (MRP) and distribution resource planning (DRP) is that both inventory systems use various inputs, such as sales forecasts, available inventory, outstanding orders, lead times, and mode of transportation to be used, to determine what needs to be done to replenish goods at all points in the supply chain.
You might also like to view...
Which of the following is true of an ownership of real property that is fee simple absolute?
A) It cannot be inherited. B) It terminates based on the occurrence or nonoccurrence of a specified event. C) It is infinite in duration. D) It cannot be transferred at will.
The weight of a loaf of bread is normally distributed with a mean of 22 oz and a standard deviation of 0.5 oz. What is the probability that a loaf is more than 22.25 oz?
What will be an ideal response?