What Is Vendor-Managed Inventory (VMI)

question 16

Essay

What is vendor-managed inventory (VMI)?

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Definitions:

External Control

Occurs through direct supervision or administrative systems such as rules and procedures.

Quality Control

The operational techniques and activities used to fulfill requirements for quality in products or services, ensuring they meet certain standards of excellence.

Inventory Control

Inventory control is the supervision of supply, storage, and accessibility of items in order to ensure an adequate supply without excessive oversupply.

Management Process Control

The act of planning, monitoring, and adjusting resources and processes in an organization to achieve set goals efficiently.