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A company can vary supply of products by controlling a combination of two factors, production capacity and inventory.
A company can vary supply of products by controlling a combination of two factors, production capacity and inventory. When managing capacity to meet predictable variability, firms use a combination of. time flexibility from workforce, use of seasonal workforce, use of subcontracting, use of dual facilities dedicated and flexible and designing product flexibility into production processes. When managing inventory, use common components across multiple products and building inventory of high demand or predictable demand products. A supply chain can influence demand by promoting, pricing, marketing, change in demand pattern and retailers set the price and run promotions to generate demand. Do you think any or all these factors will impact the supply chain?
