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Despite this realization, many manufacturers and distributors face stock shortages and overages, shrinkage, obsolescence, operation disruptions, purchasing problems, and difficulty picking and packing shipments. A maker of emergency transport equipment receives an order from a large customer. They commit to delivering the products because they "think" they have enough raw materials at one location to make the products; however, when going to production, they find out they are short one component at that location. They will have to transfer inventory from one location to another, delaying the delivery to the customer.
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