Certified in Logistics, Transportation and Distribution (CLTD) Practice Test 2026 – Your All-in-One Resource to Complete Exam Success!

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What is the term used for coordinating the lot sizing and order release decision for related items?

Joint Replenishment

The term "Joint Replenishment" refers to the practice of coordinating the lot sizing and order release decisions for related items in a supply chain or inventory management context. This approach optimizes the replenishment processes by considering multiple items that are often ordered together or have related demand patterns. By synchronizing the replenishment of these items, businesses can reduce overall inventory carrying costs, minimize stockouts, and improve service levels.

Coordinating these decisions allows for better utilization of transportation resources and warehousing, as ordering related items together can lead to efficiencies that are not possible when managing each item in isolation. This holistic view of inventory replenishment is essential for businesses seeking to enhance logistical efficiency and responsiveness to market demand.

The other options have distinct definitions and applications. Inventory Management encompasses a broader range of practices aimed at overseeing and controlling inventory levels rather than specifically focusing on the coordination of related items. Batch Processing typically refers to the method of executing a series of transactions or processes together, rather than interacting with inventory or replenishment decisions. Aggregate Planning is a higher-level strategic process that focuses on balancing supply and demand over a longer time frame, often at the level of production or service delivery, rather than the specific coordination of orders for related items.

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Inventory Management

Batch Processing

Aggregate Planning

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