Define "just-in-time" inventory management.

Just-in-time inventory management is a strategy designed to streamline operations by minimizing inventory levels and associated costs. The essence of this approach is to closely synchronize the ordering of materials with production schedules. This means that supplies are ordered to arrive only as they are needed for production or sales, thereby reducing the cost of holding excess inventory.

By implementing just-in-time practices, businesses can improve cash flow, reduce waste, and increase efficiency. This model encourages the optimization of inventory turnover rates and helps companies avoid issues associated with surplus stock, such as obsolescence or storage costs. It reflects a demand-driven replenishment system, where the focus is not on having a large stockpile but rather on maintaining just enough inventory to meet current demand.

The other options do not align with this concept: bulk buying leads to greater inventory levels, storing large quantities contradicts the just-in-time philosophy of minimizing inventory, and random inventory checks do not facilitate the precise planning and efficiency that just-in-time aims for.