When Brian Took Over the Position of Purchasing Manager for Gray

question 59

Multiple Choice

When Brian took over the position of purchasing manager for Gray Lumber Company,a regional building materials supply company,he found a JIT system in place,but in spite of that,the company had frequent problems related to inventory.Shipments were often late or incomplete,there was little communication from the company's vendors,and only superficial attempts were being made to address the problems.For companies like Gray Lumber,the critical factor in having a successful JIT system is

• A) reducing inventory.
• B) shared data.
• C) EDI systems.
• D) CPFR systems.
• E) cooperation.

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Definitions:

Fed

The Federal Reserve System, the central banking system of the United States, which regulates banks, manages the country's money supply, and aims to ensure economic stability.

U.S. Government Securities

Instruments for raising funds issued by the Treasury Department of the United States to support the federal government's expenditures.

Deposits

Deposits refer to the funds that customers place into their bank accounts, which can include savings, checking, and other types of accounts.

Required Reserve Ratio

The fraction of deposits that regulators require a bank to hold in reserve and not lend out.