Asked by morgan lewallen on Jun 24, 2024
Verified
Companies that use the just-in-time (JIT)approach purchase materials and produce units only as needed to meet actual customer demand.
Just-In-Time (JIT)
A production and inventory control system in which materials are purchased and units are produced only as needed to meet actual customer demand.
Customer Demand
The total amount of a product or service that consumers are willing to purchase at a given price level within a specific time period.
- Understand the principles and benefits of the just-in-time (JIT) approach and its impact on production and inventory management.
Verified Answer
RR
Roveena RobinsonJun 27, 2024
Final Answer :
True
Explanation :
The JIT approach minimizes inventory costs by producing and purchasing goods only in response to actual, rather than forecasted, customer demand.
Learning Objectives
- Understand the principles and benefits of the just-in-time (JIT) approach and its impact on production and inventory management.
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