Give Three Reasons for Carrying Safety Stock

question 32

Essay

Give three reasons for carrying safety stock.

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Definitions:

Maslow's Theory

A hierarchy of human needs conceptualized by Abraham Maslow, suggesting that people are motivated to fulfill basic needs before moving on to other, more advanced needs.

Higher Motives

Desires that go beyond basic physiological needs, such as aspirations for achievement, self-actualization, and the search for meaning.

Extremely Stimulating Activities

Actions or tasks that highly engage and arouse interest, attention, or excitement.

Arousal Theory

A theory suggesting that people are motivated to maintain an optimal level of arousal, neither too high nor too low, which can affect performance and mood.