Postponement Effects on Inventory Performance and the Impact of Information Systems

Time and form postponement are key to the cost-effective fulfillment of product demand when market volatility is high. Using data from U.S. manufacturing firms, an empirical model suggests that the implementation of time postponement supports the adoption of form postponement. In turn, form postponement is linked to the improvement of inventory management performance. The model also shows that inventory management information systems are coupled with improvements in performance by facilitating a closer alignment between time and form postponement