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Within a structural-functional frame of reference, functions were said to include
Carrying Costs
Expenses associated with maintaining inventory, including storage, insurance, and opportunity costs.
Cycle Counting
An approach to stock audit where a limited selection of the inventory at a defined site is enumerated on a chosen date.
Service Level
A measure of the performance of a service system, often defined in terms of responsiveness to customer needs and reliability.
Ordering Costs
The expenses associated with the process of requisitioning, purchasing, and receiving goods and services; includes costs of paperwork, communication, and inspections.
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