While JIT systems have many benefits, they:.
a. make the logistics function more complicated.
b. interfere with new product development functions.
c. confuse customers.
d. work only in vertical marketing systems.
e. decrease the accuracy of demand forecasts.

Option A

Make the logistics function more complicated

Explanation:

The JIT inventory system refers to the Just In Time inventory system.

The just-in-time (JIT) inventory system is a management strategy where warehousing of parts is minimum. Rather, the raw material supply is aligned accurately with the production schedule of a particular good.

For example, in car production, the various car parts are supplied by various manufacturers at just the right time so they can be assembled to make up the car in the assembly line. The car assembly companies may not necessarily have to store raw materials in their ware house since the raw materials arrive "Just in time".

However, aligning the supply of raw materials accurately with production time, is a complicated task especially when a lot of manufacturers are involved and can need to plant down time if care is not taken. This makes the logistics function more complicated.

The correct option is A, makes the logistics function more complicated

Explanation:

With immense benefits that come with just-in-time system of inventory management as no stock of inventory is required,one cannot shy away from its downside of making the logistics function more complicated.

When inventory are delivered in one fell swoop in a month cycle,logistics staff spent little time receiving it compared to when it is received per hour,making inventory recording and processes more cumbersome.

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