Supply Chains Are an Integral Part of Global Quality and Cost

question 37

True/False

Supply chains are an integral part of global quality and cost management initiatives, since a typical company's supply chain costs can represent over 80 percent of assets.

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Definitions:

Finished Goods Inventory

The collection of products that have been completed and are available for sale, yet remain unpurchased.

Operating Expenses

Costs that are necessary for the day-to-day functioning of a business, excluding direct material and direct labor costs.

Customer Orientation

A strategy in business aimed at recognizing and satisfying the demands and anticipations of clients.

Corporate Social Responsibility

A business model where companies integrate social and environmental concerns in their operations and interactions with stakeholders.