Learn in the textbookData Utilization Processing and Business Applications
DefinitionAn ordering method (発注方式) is a rule that sets when and how much to reorder, with the fixed-quantity ordering method (定量発注方式) and the fixed-period ordering method (定期発注方式) as the main examples.
ExplanationThe stock level that triggers an order under the fixed-quantity method is the reorder point (発注点). Either method may also allow for safety stock (安全在庫), extra units held against swings in demand and late deliveries.
AnalogyLike a house rule for restocking milk in the fridge. Decide when and how much to buy, and you top up before it runs out, with no second-guessing.
Memory hookRead the kanji: 定量 fixes the 量 (quantity), and 定期 fixes the 期 (period).