Historical Development
The Emphasis on Customer Satisfaction
The very high interest rates of the 1980s led companies t
o reduce
inventory levels.
New inventory management techniques were created to red
uce
inventory costs. Those techniques included:
• Just-in-time (JIT)
• Materials Requirement Planning (MRP)
• Manufacturing Resources Planning (MRP II)
• Distribution Resources Planning (DRP)
Since these techniques relied on rapid and reliable del
iveries, logistics
firms provided reduced shipping times and time-defined d
eliveries.