Minimum maximum technique , Business Management

Assignment Help:

Minimum Maximum Technique: The minimum maximum system is often used in connection with manual inventory control systems. The minimum quantity is established in the same way as any re order point. The maximum is the minimum quantity plus the optimum lot size. In practice a requisition is imitated when a withdrawal reduces the inventory below the minimum level and the order quantity is the maximum minus the inventory status after the withdrawal. If the final withdrawal reduces the stock level substantially below the minimum level the order quantity will be higher than the calculated EOQ.

The effectiveness of a minimum maximum system is determined by the method and precision with which the minimum and maximum parameters are established. If these parameters are based upon arbitrary judgments with a limited factual basis the system will be limited in effectiveness. If the minimum maximum are based on an objective rational basis the system can be very effective.


Related Discussions:- Minimum maximum technique

Explain features of the unitarist and pluralist approaches, Question 1: ...

Question 1: (i) Outline and comment on the main features of the Unitarist and Pluralist Approaches to industrial relations. (ii) Which of these two approaches is more preva

[email protected], #questionHow will you influence people to strive will...

#questionHow will you influence people to strive willingly for group objectives in your organization (target based industry)? Apply your interpersonal influence through communicati

Show the cross-functional crm processes, Question: a. Research shows th...

Question: a. Research shows that there are five key cross-functional CRM processes that need to be considered by most organizations. What are they ? b. The emergence of CRM

#title.Case study analysis should cover: A well written Rep, Ask question ...

Ask question #Minimum 100 words acceptedBarbara’s New Job Adapted from a case written by Glyn Jones, University of Waikato McShane, S., Olekalns, M. & Travaglione, T. (2010) Organi

ABC liometed, 2. What, in your opinion, could be the reasons for different ...

2. What, in your opinion, could be the reasons for different managerial thoughts in this case?

Explain a few decision-making models in management, Question: (a) Expla...

Question: (a) Explain a few decision-making models in management, giving examples of management decisions in each case. (b) The three main management styles which belong to

Describe the basic control process, Problem 1: (i) Describe the basic ...

Problem 1: (i) Describe the basic control process. (ii) Show whether control is always possible and necessary in an organization. Problem 2: (i) Using appropriate

Explain the different wireless technologies, Question 1 Explain any five a...

Question 1 Explain any five architectural components of CRM solution Question 2 Explain the different wireless technologies Question 3 Explain the meaning of Elect

Quantity of labour required , A decision must be made by managers and human...

A decision must be made by managers and human resource departments concerning the quantity of labour required before recruitment or layoffs will occur. What factors will impact on

Organizing , critically discuss the 5 fundamentals of organizing

critically discuss the 5 fundamentals of organizing

Write Your Message!

Captcha
Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd