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14 Analyse the reasons of holding inventory by a manufacturing business. [6]

Posted: Sat Dec 02, 2023 8:18 am
by Sir Afzal Shad
Q14 Analyse the reasons of holding inventory by a manufacturing business. [6]

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Re: 14 Analyse the reasons of holding inventory by a manufacturing business. [6]

Posted: Wed Dec 27, 2023 7:17 pm
by Syed Mustafa Ali
[KN] Meeting Customer Demand
[AN] Inventory ensures quick product availability, reducing lead times and enhancing customer satisfaction.
[AN+] It also helps us avoid running out of products, allows us to sell more, and builds a reputation for being a reliable business.
:ugeek:
[KN] Managing Production Uncertainties
[AN] Keeping extra materials helps us handle surprises, like delays in getting materials or more people wanting our products.
[AN+] It's like having a backup plan that ensures we can keep making and selling our products smoothly even if unexpected things happen.