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VED Analysis is a technique used in inventory management to classify and prioritize items based on their criticality to operations. The acronym VED stands for:

V – Vital: Items that are essential for the operation or production process. Their absence can halt the entire system.

E – Essential: Items that are important, but the process can continue temporarily without them.

D – Desirable: Items that are good to have but do not impact operations immediately if unavailable.

This classification helps organizations manage inventory more effectively by focusing resources on the most critical items.

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Techpragna

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1mo ago

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