Question 1

Supply chain risk metrics should have which of the following characteristics?

Options :

A : Inclusive and sustainable

B : Valid and reliable

C : Automated and extensive

D : Flexible and interchangeable

Answer: B

Question 2

Using which of the following elements, in addition to purchase price, describes the use of the total cost of ownership (TCO) model to make procurement decisions?

Options :

A : Life cycle costs

B : Transportation costs

C : Quantity discounts

D : Economic order quantity (EOQ)

Answer: A

Question 3

Which of the following factors are most relevant in the purchase of widely used commodity materials?

Options :

A : Quality and service

B : Quality and availability

C : Price and service

D : Price and availability

Answer: D

Question 4

Successfully using a sales and operations planning (S&OP) process requires which of the following actions?

Options :

A : Focusing on performance of the past 12 to 18 months

B : Implementing a unified cross-functional process

C : Implementing bottom-up decision making

D : Aligning the forecast to the annual budget

Answer: B

Question 5

A work center's demonstrated capacity for the last week was 160 standard hours. Its demonstrated capacity for the last 6 weeks was 140 standard hours. Which of the following numbers would be best to use to determine the appropriate future load for the work center?

Options :

A : 160 standard hours, because it reflects what the work center has proven it can do

B : 160 standard hours, because it reflects what happened most recently

C : 150 standard hours, because it is the average of the last two periods

D : 140 standard hours, because it is based on a greater number of periods

Answer: D