When a company works on controlling stockout frequency, the company is addressing which of the following attributes of customer service?
Correct Answer: A
Controlling stockout frequency directly addresses the attribute of customer service known as availability.
Here's why:
* Stockouts: A stockout occurs when inventory is insufficient to meet customer demand, leading to lost sales and dissatisfied customers.
* Product Availability: Ensuring that products are available when customers need them is crucial for maintaining high service levels and customer satisfaction.
* Service Level: High availability indicates a high service level, reducing the likelihood of stockouts and improving customer trust and loyalty.
* Inventory Management: Effective inventory management strategies aim to balance stock levels to
* meet demand while minimizing stockouts and excess inventory.
References:
* Chopra, S., & Meindl, P. (2016). Supply Chain Management: Strategy, Planning, and Operation.
Pearson.
* Bowersox, D. J., Closs, D. J., & Cooper, M. B. (2013). Supply Chain Logistics Management.
McGraw-Hill.