Vendor Managed Inventory
From Free net encyclopedia
Vendor Managed Inventory, (VMI), describes a family of business models in which the buyer of a good provides certain information to a supplier of that good and the supplier takes full responsibility for maintaining an agreed inventory of the material, usually at the buyer's consumption location (usually a store). VMI makes it less likely that a business will unintentionally become out of stock of a good and reduces inventory in the supply chain.