Question

In line with the organization's objectives, the sales managers at MagnaCorp must ensure that all products are sufficiently stocked so that customer orders are fulfilled and stockout situations do not arise. The operations managers, on the other hand, have been instructed to lower inventory costs and hence, prefer to keep stock levels to a minimum. This situation is an example of ________.

A) management by objectives

B) secondary objectives

C) intermediate-term plans

D) planning subsystems

E) suboptimization

Answer

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