Discussion Forum 2.4 -

Annie

Annie

by Shuqi (Annie) Ba -
Number of replies: 0

1.JIT:Lean manufacturing, reduced lead times, and demand-driven production.

warehousing:Storage, consolidation, and order fulfillment.

overstocking:Demand forecasting, regular inventory audits, and dynamic pricing.

understocking:Accurate demand forecasting, safety stock, and responsive supply chain management

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2.JIT:bennefits:Lower holding costs, reduced waste, and improved responsiveness.

drawbacks:Delays in getting your materials delivered can halt production and even lead to late delivery penalties or outright cancellations.

warehousing: benefits:Provides security and order processing efficiency. 

drawbacks: Incurs holding costs.

overstocking:benefits:Be prepared for a sudden increase in demand.

drawbacks:Risk of obsolescence, increased storage costs, and potential write-offs.

understocking: benefits: Reduce holding costs such as storage, insurance, and obsolescence expenses.

drawbacks:Inability to fulfill orders, missed business opportunities, and customer dissatisfaction.


3.Take JIT strategies, avoid overstocking and understocking.

Preference:Because this company aims at enhancing efficiency and reducing costs, so they're supposed to be JIT ,which is outstanding in efficiency and costs lower. Meanwhile, it's recommended that they should avoid overstocking and understocking because improper stock against supplies can lower the efficiency and profits.

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