Which of the following reduces the time spent on maintaining inventory?

Prepare for the SACA Certified Industry 4.0 Associate IV - IIoT, Networking and Data Analytics (C-104) Exam. Use flashcards and multiple-choice questions with detailed explanations to boost your understanding. Get ready to succeed!

Just-in-time manufacturing is an effective approach to inventory management that focuses on reducing the amount of inventory held at any given time. This method emphasizes producing goods only as they are needed in the production process, rather than maintaining large amounts of excess inventory. As a result, it minimizes storage costs and reduces the risks associated with holding inventory, such as obsolescence or damage. By aligning production schedules closely with demand, organizations can decrease the time and resources spent on maintaining inventory levels, streamlining operations and improving cash flow.

In contrast, batch production typically involves producing goods in large quantities and often requires holding significant stocks of inventory, which can lead to longer maintenance times. Overproduction intentionally creates surplus inventory, contributing to increased storage and handling costs, whereas static inventory management does not adapt to changes in demand and can lead to excess stock. These approaches do not effectively reduce the time and effort involved in managing inventory compared to just-in-time manufacturing.

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