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The drawings of a 6-year-old
Safety Inventory
Additional stock kept beyond expected demand to protect against variability in market demand or supply chain disruptions.
Normally Distributed
Refers to a probability distribution that is symmetric about the mean, showing that data near the mean are more frequent in occurrence than data far from the mean.
Standard Deviation
A statistical metric that quantifies the dispersion or spread of a dataset relative to its mean, indicating consistency or variability.
Echelon Inventory
The stock held across different stages of the supply chain, considering the inventory at all levels together.
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