ACCA Applied Knowledge · Business and Technology · Technological factors
A retailer introduces a system that allows its suppliers to view the retailer's real-time sales and stock levels and replenish shelves themselves. Which description best fits this arrangement?
The arrangement is supply chain integration through shared information systems. Suppliers access real-time sales and stock data and replenish stock themselves, linking their processes with the retailer's. It is not a budgeting system, a senior-manager decision tool or manual batch processing.
- AA closed-loop budgeting system
- BSupply chain integration through shared information systemsCorrect
- CA decision support system used only by senior managers
- DA manual batch-processing system
Explanation
Sharing real-time sales and stock data with suppliers links the retailer's and suppliers' processes, which is supply chain integration. It is not limited to senior managers' decisions, nor is it batch processing, since data is real time. Budgeting is unrelated.
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