What kind of values can be included in the safety stock input worksheet?

Prepare for the Kinaxis Certified Maestro Author Level 1 Exam with flashcards and multiple-choice questions. Each question includes hints and explanations. Enhance your skills and get ready to ace your exam!

The correct answer encompasses the idea that the safety stock input worksheet can contain forecasted quantities and statistical forecasts. This is critical for effective inventory management, as safety stock is intended to buffer against variability in demand and lead time. Using forecasted quantities allows organizations to anticipate potential fluctuations based on predicted sales or demand patterns, while statistical forecasts leverage historical data to analyze past trends and apply probabilistic models to estimate future needs.

Moreover, this inclusion is beneficial as it enables better planning and ensures that stock levels are optimized to meet customer demand without overstocking, which could lead to increased holding costs. By utilizing both forecasted quantities and statistical forecasts, businesses can create a more robust safety stock strategy that effectively mitigates risks associated with supply chain uncertainties.

In the context of the other options, focusing solely on integer quantities or monetary values would limit the comprehensive understanding required for safety stock calculations. Historical data alone fails to account for future variations that could significantly impact inventory needs. Therefore, a combination of both forecasted and statistical data is the most appropriate and effective approach for managing safety stock effectively.

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