This might be achieved by better forecasting, better supply chain, better information system, better collaboration with suppliers or buyers. My favorite examples are: https://www.library.wisc.edu/borrow- request/other-libraries/big-ten-libraries/ and https://www.btaa.org/purchasing-and- licensing/purchasing/introduction#:~:text=The%2 OBig%20Ten%20Academic%20Alliance, issues%20 and%20implement%20best%20practices%2C The first example describes how Big Ten Universities share books in their librarieshence reducing their collective book inventory in the system. In the second example, the Big Ten Universities buy their supplies as a group hence reduce their cost of acquiring supplies. We have traditionally employed inventory as a buffer against these two competing forces pulling towards two opposite directions. The inventory, while helping in decoupling the multiple stages of operation, results in various types of costs and thus generally hurt the bottom line of the company. There are benefits and costs associated with carrying inventory. An essential idea in Operations Management is balancing this cost and benefit associated with inventory. A lazy answer to many problems in business is hold more inventory." But successful companies figure out ways to provide the same level of customer satisfaction while investing less on inventory. Here is a discussion on how else companies can reduce the cost of their inventory. https://www.tradegecko.com/inventory- management/techniques-process Describe a way a company you know can reduce the cost of acquiring or maintaining their inventory.