Order point method refers to: for a certain material or product, due to production or sales reasons gradually reduced, when the inventory is reduced to a pre-set point, that is, the order order (purchase order or processing order) to replenish inventory, until the inventory is reduced to safe inventory, the order orderordered items (products) just arrived at the warehouse, to supplement the consumption of the previous period, the value point of this order, that is, called the order point.
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