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QUESTION 1

(a) Explain ABC analysis

(b) What are the benefits of standardisation and variety reduction?

(c) Identify four Inventory Driven Costs

(d) Explain briefly how EDI works

(e) Enumerate two drawbacks of Just in Time

(f) Compare and contrast dependent and independent demand

QUESTION 2

Discuss four approaches to location of inventories. What are the benefits and shortcomings of each approach?

QUESTION 3

Distinguish between obsolete, redundant and unserviceable items and discuss the preventive measures that might be taken

QUESTION 4

Compare and contrast the two main stock replenishment systems. Identify the advantages and limitations of each system

QUESTION 5

The annual cost of holding inventory can be as high as 26 % of the purchase price. Do you agree with this statement? Discuss

QUESTION 6

Describe the basic security measures that should be taken to prevent theft and pilferage within a warehouse

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