When Benchmarking

question 173

Multiple Choice

When benchmarking:

• A)the best levels of performance are usually found in companies that are within different industries
• B)finding appropriate benchmarks is a minor issue
• C)comparisons can highlight areas for better future cost management
• D)Both A and C are correct.

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Definitions:

Supplier-Managed Inventory

A supply chain arrangement where the supplier assumes responsibility for managing inventory levels at the customer's premises, based on agreed parameters.

Inventory-Management System

A tool or software used by businesses to track stock levels, orders, sales, and deliveries to ensure the efficient management of inventory.

Vendor-Managed Inventory System

A supply chain practice where the supplier is responsible for maintaining the inventory levels of their products at the customer's premises.