Define the Following Terms

question 76

Short Answer

Define the following terms
-ordinal-level measurement

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Definitions:

Safety Stock

Additional inventory kept on hand to mitigate the risk of stockouts due to unpredictable demand.

Lead Time

The amount of time it takes for an order to be fulfilled from the moment it is placed until it is received by the customer.

Kanban Size

The quantity of work or materials specified by a Kanban card, used in a pull system to control inventory and workflow.

Setup Cost

The expenses incurred to prepare equipment or processes for manufacturing an order or a batch of goods, including costs for adjusting machines, cleaning, and changing tooling.