INTE Exam Dumps : Supply Management Integration

With a gross requirement of 100 units and an open order for 55 units, 45 additional units are needed. Given the lot size of 30 units, the exception report would indicate ordering 45 units to meet the requirements.

Investment recovery focuses on recouping value from obsolete or excess inventory. Slow-moving materials often require such actions to minimize losses and free up resources. This practice is part of effective inventory management and resource optimization strategies.

When experiencing a significant increase in expedited orders, the best course of action for XYZ, Inc. is to determine the reasons for these orders, identify the root cause, and take corrective action. This approach helps in addressing the underlying issues, whether they are related to demand fore-casting inaccuracies, production delays, or supply chain inefficiencies. By understanding and cor-recting the root cause, XYZ can prevent future expedited orders, reduce costs, and improve overall supply chain performance. References:

•Chopra, S., & Meindl, P. (2015). Supply Chain Management: Strategy, Planning, and Op-eration. Pearson.

•Monczka, R. M., Handfield, R. B., Giunipero, L. C., & Patterson, J. L. (2015). Purchasing and Supply Chain Management. Cengage Learning.