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Quewe ( Pty ) Ltd manufactures packaging materials. During 2 0 2 0 they secured a small contract with an online distributor, Amanon Ltd .

Quewe (Pty) Ltd manufactures packaging materials. During 2020 they secured a small contract with an online distributor, Amanon Ltd. Amanon has been very pleased with the service from Quewe. Amanon has approached Quewe with a proposal to increase trading in 2021. With its larger suppliers, Amanon follows a Just-in-time purchasing process. Amanon will share its
Just-in-time requirements with Quewe through a real-time suppliers portal. The Quewe management is uncertain as to whether they should accept the Amanon proposal and has approached you with the following questions.
a. Please explain what is meant by Amanon with a Just-in-time process. What are the implications for our business and what are the potential advantages and disadvantages to us?

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