Which of the following stock location systems would you use in a repetitive manufacturing, lean environment?

Which of the following stock location systems would you use in a repetitive manufacturing, lean environment?
A . Fixed location
B . Floating location
C . Point-of-use storage
D . Central storage

View Answer

Answer: C

Explanation:

Point-of-use storage is a stock location system that places inventory close to where it is needed or consumed in the production process. This reduces waste, handling, and transportation costs, and improves material flow and visibility. Point-of-use storage is a key element of a lean environment, where inventory is minimized and replenished frequently based on demand signals.

References: EXAM CONTENT MANUAL PREVIEW, page 15, section 7.1.2. Manufacturing Planning and Control for Supply Chain Management: The CPIM Reference, Second Edition, page 462, section 13.3.