The Role of Safety Stock in an Organization Is to

question 109

Multiple Choice

The role of safety stock in an organization is to

• A)reduce the lead time for an order to be received.
• B)reduce the probability of a stockout.
• C)reduce the order point.
• D)decrease the economic order quantity.

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Definitions:

Validation Impulse

The psychological drive to seek recognition, approval, or confirmation from others, often through digital interactions or social media.

Affinity Impulse

The spontaneous preference or attraction toward a person, object, or activity due to perceived similarities or emotional connections.

Motivated

Having a strong desire or willingness to do something, often driven by internal or external factors.

Personal Utility

The subjective value or satisfaction a person derives from using a product or service, based on personal preferences and needs.