________ is used to determine customer service levels.

A) Inventory held
B) Backlog/stockout quantity
C) Workforce hired/laid off
D) Machine capacity increase/decrease

Question

________ is used to determine customer service levels.A) Inventory heldB) Backlog/stockout quantityC) Workforce hired/laid offD) Machine capacity increase/decrease

Aaron Goliat · Accepted Answer

Final Answer : B, Explanation :  Backlog/stockout quantity is a metric that measures the amount of demand that is not met due to inadequate inventory levels. If customer demand exceeds the stock available, customers will experience stockouts and will not be able to purchase the product, affecting their perception of customer service levels. Therefore, measuring backlog/stockout quantity is a good way to determine customer service levels. The other options listed (inventory held, workforce hired/laid off, and machine capacity increase/decrease) may indirectly impact customer service levels, but are not direct measures of them.

________ is used to determine customer service levels.

A) Inventory held
B) Backlog/stockout quantity
C) Workforce hired/laid off
D) Machine capacity increase/decrease

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Learning Objectives

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