Stock out cost, Business Management

Stock out cost means the cost associated with not serving the customers. Stock outs imply shortages. If the stock out is internal ( that is in the production system) it would imply that some production is lost resulting in idle time for men and machines or that the work is delayed which might attract some penalty. While if the stock out is external it would result in a loss of potential sales and / or loss of customer goodwill. A shortage can evoke different reactions from customers it would result in a backorder or a lost sale. In case of backorder the sales are not lost they are only delayed.

Posted Date: 3/26/2013 2:47:24 AM | Location : United States







Related Discussions:- Stock out cost, Assignment Help, Ask Question on Stock out cost, Get Answer, Expert's Help, Stock out cost Discussions

Write discussion on Stock out cost
Your posts are moderated
Related Questions
Question 1: a) Identity the four types of work teams. b) Describe the three elements which constitute a work team. c) Explain how do Industrial Psychologists help orga


Today is your first day working for MarmaMed, a firm that produces and sells a small range of medical diagnostic products. MarmaMed’s main product is the DiagnoKit™, a simple-to-us

Question 1: What are the different factors in the external environment that affect your organisation? Question 2: "Working into teams is better than individual work". D

Question 1: (a) Discuss the importance and implications of "Risks" in conducting International Trade. (b) What are 2 of the most prominent organisations involved in world tr

Problem 1: Explain the various elements of BATNAs. Problem 2: Discuss any four cross-cultural issues involved in negotiation. Problem 3: Discuss how communicati

Plant Layout: Product Oriented Vs. Process Oriented The argument is never going to end and we don't claim either to solve the issue. The simplest explanation to choice of layou

state and explain the fact every manager needs a basic knowledge in the principles of management

b. A paper mill produces two grades of paper viz., X and Y. Because of raw material restrictions, it cannot produce more than 400 tons of grade X paper and 300 tons of grade Y pape

Question 1 What is sampling? Explain types of the samples Question 2 Write short notes on following The main elements of a computer-controlled cutting system Round k