Which of the following statements about abc analysis is false?

a. abc analysis is based on the presumption that controlling the few most important items produces the vast majority of inventory savings.
b. in abc analysis, "a" items should have tighter physical inventory control than "b" or "c" items have.
c. criteria are other than annual dollar volume, such as high holding costs.

You work as the sales manager for a company that sells office supplies to businesses of all sizes. because the profit margins are razor-thin, you need to ensure that you are getting the very best prices on paper, pencils, pens, post-it notes, and other office supplies from the manufacturers. when reviewing the quarterly profit statement, you realize that your costs are higher than they should be, and you trace the higher costs back to an employee who has been lax about getting competitive bids to ensure the lowest prices. when you conduct your research to determine the reason for the higher costs, and take action to bring those costs back down, in which of the key management processes are you taking part?