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Introduction to Materials Management Chapter 9 - Inventory Fundamentals Arnold, Chapman, and Clive: Intro materials Management, 6th ed. (c) 2008 Pearson Education, Upper Saddle River, NJ 07458. All Rights Reserved. Inventory Functions Anticipation - anticipation of future demand, such as seasonality or promotional Safety Stock (buffer inventory) - buffer against issues including - Quality problems - Lead time fluctuations - Equipment problems Lot-size inventory - used to reduce setup or purchasing costs

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