APICS Certified Supply Chain Professional (CSCP) — Question 422

The primary objective of inventory planning is to determine:

Answer options

• A. when to order and how much to order.
• B. required inventory levels per warehouse location.
• C. ideal layout of a warehouse.
• D. inventory carrying costs.

Correct answer: A

Explanation

The correct answer is A because the primary goal of inventory planning is to establish the timing and quantity of orders to maintain optimal stock levels. Options B, C, and D focus on different aspects of inventory management but do not address the fundamental objective of planning.