Question

Check Invernory Adjust Credit Operations & Shipping Figure 2-9

Answer 1

1) In Figure 2-9 there are three approval tasks namely: check inventory, check credit and approve special terms. Now the six sequences for the approval tasks are

(a) check inventory, check credit, and check special terms;

(b) check credit, check inventory, and check terms;

(c) check inventory, check terms, and check credit;

(d) check terms, check credit, and check inventory;

(e) check terms, check inventory, and check credit;

(f) check credit, check terms, and check inventory;

My teams consider the most promising three sequence number to be: a, c and e

Part-2) (a) check inventory, check credit, and check special terms: The team first check the inventory to ensure sure that we can serve our customers wants and needs. Then need to know the customer’s credit to ensure the availability of sufficient funds to cover their purchase of the inventory. Also the special terms need to be met or else the purchase will not be made

(c) check inventory, check terms, and check credit: In this the team check the inventory to know that we can serve our customers wants and needs. Then determine whether the special terms could be made before we check whether customers can afford the purchase as per the terms or not

(e) check terms, check inventory, and check credit: Here the team first check the term, and then determines if it has sufficient inventory. Lastly, checks if customer has sufficient funds to make payment for the inventory and the terms

In my opinion sequence c is the best because the first step for a business should be to ensure that there is a demand for inventory, before setting up of the special terms and determining any credit.