Asked by
Miski Farah
on Dec 02, 2024
Verified
External balancing methods involve managing production and inventory flexibility to help offset the imbalance of supply and demand.
External Balancing
A strategy implemented to match supply and demand by adjusting capacity externally, often through outsourcing or partnerships.
Production Flexibility
Refers to a company's ability to quickly adjust its production levels and processes to accommodate changes in market demand or to exploit new market opportunities.
- Distinguish between internal and external balancing methods.
Verified Answer
GH
Learning Objectives
- Distinguish between internal and external balancing methods.