chapter 11 inventory management 1 overview and the supply chain services manufacturing raw materials purchased parts work in process finished goods transit spare small tools consumable supplies packaging waste products financial impact of good reduce cost sold general administrative expenses increase customer service level dependency independent demand dependent figure types industry insight high inventories result a change strategy product structure for bicycle as measure health economy reason holding held by distributor or retailer variation display price discounts favourable exchange rates anticipated increases producer milk immediate delivery is not feasible rises unit discount reduced freight costs lower warehouse uncertainty lead times reasons larger than normal material flow proportion time spent associated
