What are disadvantages of holding inventory control system, Operation Management

Assignment Help:

What are the disadvantages of holding inventory control systems?

Disadvantages of holding inventory control systems:

a. Higher risk of damage, theft and deterioration

b. Higher risk of stock obsolescence

c. Opportunity cost of money or cash tied up

d. Succeeding price reductions maybe be missed

e. Storage and administration cost of assists for example, warehousing, systems and staff.


Related Discussions:- What are disadvantages of holding inventory control system

What needed to accurately predict capacity, 1) A process oriented layout wi...

1) A process oriented layout will minimize the total time spent on setting up machines? 2) By increasing the capacity of an operation you improve its efficiency. 3) Standard

Explain comparison of processes with a direct adversary, 1. A simulation mo...

1. A simulation model goes one step further than possible with analysis tools, because it can show how the process performs ____________ over time. 2. A(n) ____________ is a met

Explain increase system transportation costs, A firm that has recently expe...

A firm that has recently experienced an enormous growth rate is seeking to lease a small plant in Memphis, TN; Biloxi, MS; or Birmingham, AL. Prepare an economic analysis of the th

Compute an analysis of the volume over, Peter Belington Stereo, Inc. suppli...

Peter Belington Stereo, Inc. supplies car radios to auto manufacturers and is going to open a new plant. The company is undecided between Detroit and Dallas as the site. The fixed

In a transportation problem only used in a maxmin problem, In a transportat...

In a transportation problem, shipments from a dummy origin A Should be given a small cost to maximize their use B Should be given a large cost to prevent their use C Ar

Explain what should the new organizational structure look, What should the ...

What should the new organizational structure look like? Where the systems manager should put each manager? • When should the new organizational change be announced? Explain whic

Describe linear programming problem, Swearingen and McDonald, a small furni...

Swearingen and McDonald, a small furniture manufacturer, produces fine hardwood tables and chairs. Each product must go through three stages in the manufacturing process - assembly

Features of production and operation management, Features of Production and...

Features of Production and Operation Management 1. Production management is the process of making decisions. 2. Decisions are made regarding transformation of inputs outputs. 3

How much a social cause marketing can affect decision-making, Read the case...

Read the case study Product RED. From the case study, discuss the reason of REDs success and its impact on consumer marketing. Include in your answer other companies that have b

Describe do not have to be at the same level of the wbs, All work packages ...

All work packages in a project: Answer Do not have to be at the same level of the WBS Must be at the same level of the WBS Do not have to be referenced in the Work Brea

Write Your Message!

Captcha
Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd