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If a car factory is making 1000 cars a day, a 30-day supply is all the parts needed to make 30,000 cars. Managing that is a giant, complicated, land-consuming o
by letitbeirie 5y ago
If a car factory is making 1000 cars a day, a 30-day supply is all the parts needed to make 30,000 cars. Managing that is a giant, complicated, land-consuming operation unto itself, and it all has to get sorted before you can build car #1.
- stubish 5y agoAnd all the suppliers need to be able to ramp up supply after a problem to replenish the buffer, which means excess capacity normally sitting idle.