Question 1

Variability in product design can best be reduced by:

Accepted Answer

A)  initiating 100% product inspection. 
B)  outsourcing the design process. 
C)  broadening design specifications. 
D)  applying Six Sigma principles. 
A)  initiating 100% product inspection. 
B)  outsourcing the design process. 
C)  broadening design specifications. 
D)  applying Six Sigma principles.

Question 2

Which of the following performance indicators can be used to measure the effectiveness of a vendor-managed inventory program?

Accepted Answer

A)  Number of inventory receipts 
B)  Inventory usage 
C)  Inventory returns 
D)  In-stock rate 
A)  Number of inventory receipts 
B)  Inventory usage 
C)  Inventory returns 
D)  In-stock rate

Question 3

Which of the following strategies is key to sustainable sourcing?

Accepted Answer

A)  Purchasing goods and services aimed at exploiting global efficiencies in production 
B)  Taking into account the long-term impact of procurement on people, profit, and the planet 
C)  Purchasing at fair prices to promote producers in disadvantaged and developing countries 
D)  Promoting positive social change through organizational buying behavior 
A)  Purchasing goods and services aimed at exploiting global efficiencies in production 
B)  Taking into account the long-term impact of procurement on people, profit, and the planet 
C)  Purchasing at fair prices to promote producers in disadvantaged and developing countries 
D)  Promoting positive social change through organizational buying behavior

Question 4

Which of the following statements describe the purpose of the Global Reporting Initiative (GRI)?

Accepted Answer

A)  To communicate a company's total revenue growth 
B)  To disclose a company's sustainability performance and impact 
C)  To advise a company's overall change management progress 
D)  To share a company's cumulative information technology adoption 
A)  To communicate a company's total revenue growth 
B)  To disclose a company's sustainability performance and impact 
C)  To advise a company's overall change management progress 
D)  To share a company's cumulative information technology adoption

Question 5

A company that produces standardized products and sells them through retailers via a responsive transportation system has decided to expand its sales with an online store for customized products. Which of the following distribution strategies would be the most appropriate for the business-strategy change?

Accepted Answer

A)  Local distribution centers serving retailers and online sales 
B)  Centralized cross-docking facilities serving retailers and online sales 
C)  A centralized distribution center serving retailers and direct shipment from the factory serving online sales 
D)  A centralized distribution center serving retailers with transshipment arrangements serving online sales 
A)  Local distribution centers serving retailers and online sales 
B)  Centralized cross-docking facilities serving retailers and online sales 
C)  A centralized distribution center serving retailers and direct shipment from the factory serving online sales 
D)  A centralized distribution center serving retailers with transshipment arrangements serving online sales

Question 6

Which of the following measures would be most appropriate for a supply chain focused on reliability as a competitive priority?

Accepted Answer

A)  Production volume flexibility 
B)  Total supply chain cost 
C)  Supply chain response time 
D)  Order fulfillment lead times 
A)  Production volume flexibility 
B)  Total supply chain cost 
C)  Supply chain response time 
D)  Order fulfillment lead times

Question 7

Which of the following benefits of supplier relationship management typically results from collaboration with a few critical suppliers?

Accepted Answer

A)  Automation of supplier sales activities 
B)  Elimination of formal contracts 
C)  Reduction in customer and supplier inventories 
D)  Standardization of communications 
A)  Automation of supplier sales activities 
B)  Elimination of formal contracts 
C)  Reduction in customer and supplier inventories 
D)  Standardization of communications

Question 8

A manufacturer of consumer packaged goods with a single plant and nine regional distribution centers is considering reducing the number of distribution centers in its system. Reducing the number of distribution centers most likely will reduce fixed warehousing and the cost of:

Accepted Answer

A)  storing cycle inventory in the distribution centers. 
B)  storing finished-goods inventory at the manufacturing plants. 
C)  transportation from the distribution centers to the customer. 
D)  transportation from the plant to the distribution centers. 
A)  storing cycle inventory in the distribution centers. 
B)  storing finished-goods inventory at the manufacturing plants. 
C)  transportation from the distribution centers to the customer. 
D)  transportation from the plant to the distribution centers.

Question 9

Which of the following consequences is typical of a push-based supply chain?

Accepted Answer

A)  Longer lead times 
B)  Higher product obsolescence 
C)  Lower economies of scale 
D)  Smaller production batches 
A)  Longer lead times 
B)  Higher product obsolescence 
C)  Lower economies of scale 
D)  Smaller production batches

Question 10

A supervisor knows that employees have good ideas for improving department operations but are hesitant to share them. Which of the following tools would be most appropriate for encouraging the employees to participate in identifying opportunities?

Accepted Answer

A)  Tree diagram 
B)  Pareto chart 
C)  Process map 
D)  Affinity diagram 
A)  Tree diagram 
B)  Pareto chart 
C)  Process map 
D)  Affinity diagram

Question 11

Inbound logistics is a supply chain management term used for?

Accepted Answer

A)  receiving, storing, and issuing finished goods to consumers 
B)  activities associated with transforming inputs into final products 
C)  receiving, inventorying, and issuing material to the production activities 
D)  providing services to customers to maintain the value of the product 
A)  receiving, storing, and issuing finished goods to consumers 
B)  activities associated with transforming inputs into final products 
C)  receiving, inventorying, and issuing material to the production activities 
D)  providing services to customers to maintain the value of the product

Question 12

A remanufacturer of equipment is most likely to have what type of supply chain?

Accepted Answer

A)  Modular logistics 
B)  Reverse logistics 
C)  Mixed model 
D)  Lateral 
A)  Modular logistics 
B)  Reverse logistics 
C)  Mixed model 
D)  Lateral

Question 13

A firm allows its employees to engage in charitable activities during work hours, enforces strict codes of employee conduct, and makes donations of funds and goods to local organizations. Which of the following types of initiatives do these examples represent?

Accepted Answer

A)  Employee ethics 
B)  Community conduct 
C)  Backed-by-business 
D)  Social sustainability 
A)  Employee ethics 
B)  Community conduct 
C)  Backed-by-business 
D)  Social sustainability

Question 14

A company is considering changing its manufacturing strategy from engineer-to-order (ETO) to make-to-order (MTO). Which of the following risks should the company be careful to consider?

Accepted Answer

A)  Decreasing manufacturing efficiency 
B)  Increasing work in process (WIP) inventory 
C)  Increasing raw material costs 
D)  Decreasing customer satisfaction 
A)  Decreasing manufacturing efficiency 
B)  Increasing work in process (WIP) inventory 
C)  Increasing raw material costs 
D)  Decreasing customer satisfaction

Question 15

A practical way to eliminate an unprofitable customer is to:

Accepted Answer

A)  establish a tiered pricing structure based on service levels and refuse to discount premier service 
B)  increase product price by 30% to 50% within 3 to 6 months of the customer's initial order 
C)  ask the customer to order products in much higher quantities than they typically do 
D)  gradually reduce the quality of customer service 
A)  establish a tiered pricing structure based on service levels and refuse to discount premier service 
B)  increase product price by 30% to 50% within 3 to 6 months of the customer's initial order 
C)  ask the customer to order products in much higher quantities than they typically do 
D)  gradually reduce the quality of customer service

Question 16

Which of the following decision-making criteria is relevant when purchasing a maintenance, repair, and operations item?

Accepted Answer

A)  It is not a component in the bill of material (BOM). 
B)  It is needed for the efficient functioning of the business. 
C)  It is a component in the bill of material. 
D)  It is the lowest unit cost item. 
A)  It is not a component in the bill of material (BOM). 
B)  It is needed for the efficient functioning of the business. 
C)  It is a component in the bill of material. 
D)  It is the lowest unit cost item.

Question 17

Which of the following four perspectives are used in the balanced scorecard?

Accepted Answer

A)  Customer, internal process, workforce learning and growth, financial 
B)  Customer, operations, internal process, financial 
C)  Customer, operations, internal process, workforce learning and growth 
D)  Customer, marketing, operations, financial 
A)  Customer, internal process, workforce learning and growth, financial 
B)  Customer, operations, internal process, financial 
C)  Customer, operations, internal process, workforce learning and growth 
D)  Customer, marketing, operations, financial

Question 18

Which of the following manufacturing strategies would run the greatest risk of increasing obsolete inventory costs?

Accepted Answer

A)  Make-to-stock 
B)  Assemble-to-order 
C)  Make-to-order 
D)  Engineer-to-order 
A)  Make-to-stock 
B)  Assemble-to-order 
C)  Make-to-order 
D)  Engineer-to-order

Question 19

When implementing e-commerce in the supply chain, a company's toughest challenge most likely will be:

Accepted Answer

A)  getting all vendors to computerize. 
B)  translating data into universal standards. 
C)  convincing the information technology department of the value. 
D)  explaining the reason for change to customers. 
A)  getting all vendors to computerize. 
B)  translating data into universal standards. 
C)  convincing the information technology department of the value. 
D)  explaining the reason for change to customers.

Question 20

Which of the following objectives is emphasized most in an integrated logistics strategy?

Accepted Answer

A)  Lowest transportation cost 
B)  Lowest total cost 
C)  Optimal warehouse location 
D)  Improved third-party logistics (3PL) collaboration 
A)  Lowest transportation cost 
B)  Lowest total cost 
C)  Optimal warehouse location 
D)  Improved third-party logistics (3PL) collaboration

Variability in product design can best be reduced by:

Which of the following performance indicators can be used to measure the effectiveness of a vendor-managed inventory program?

Which of the following strategies is key to sustainable sourcing?

Which of the following statements describe the purpose of the Global Reporting Initiative (GRI)?

Which of the following measures would be most appropriate for a supply chain focused on reliability as a competitive priority?

Which of the following benefits of supplier relationship management typically results from collaboration with a few critical suppliers?

A manufacturer of consumer packaged goods with a single plant and nine regional distribution centers is considering reducing the number of distribution centers in its system. Reducing the number of distribution centers most likely will reduce fixed warehousing and the cost of:

Which of the following consequences is typical of a push-based supply chain?

A supervisor knows that employees have good ideas for improving department operations but are hesitant to share them. Which of the following tools would be most appropriate for encouraging the employees to participate in identifying opportunities?

Inbound logistics is a supply chain management term used for?

A remanufacturer of equipment is most likely to have what type of supply chain?

A firm allows its employees to engage in charitable activities during work hours, enforces strict codes of employee conduct, and makes donations of funds and goods to local organizations. Which of the following types of initiatives do these examples represent?

A company is considering changing its manufacturing strategy from engineer-to-order (ETO) to make-to-order (MTO). Which of the following risks should the company be careful to consider?

A practical way to eliminate an unprofitable customer is to:

Which of the following decision-making criteria is relevant when purchasing a maintenance, repair, and operations item?

Which of the following four perspectives are used in the balanced scorecard?

Which of the following manufacturing strategies would run the greatest risk of increasing obsolete inventory costs?

When implementing e-commerce in the supply chain, a company's toughest challenge most likely will be:

Which of the following objectives is emphasized most in an integrated logistics strategy?

Certification in Logistics, Transportation and Distribution

CPIM - Basics of Supply Chain Management

Filters

Exam 3: APICS Certified Supply Chain Professional

Variability in product design can best be reduced by:

Which of the following performance indicators can be used to measure the effectiveness of a vendor-managed inventory program?

Which of the following strategies is key to sustainable sourcing?

Which of the following statements describe the purpose of the Global Reporting Initiative (GRI)?

Which of the following measures would be most appropriate for a supply chain focused on reliability as a competitive priority?

Which of the following benefits of supplier relationship management typically results from collaboration with a few critical suppliers?

A manufacturer of consumer packaged goods with a single plant and nine regional distribution centers is considering reducing the number of distribution centers in its system. Reducing the number of distribution centers most likely will reduce fixed warehousing and the cost of:

Which of the following consequences is typical of a push-based supply chain?

A supervisor knows that employees have good ideas for improving department operations but are hesitant to share them. Which of the following tools would be most appropriate for encouraging the employees to participate in identifying opportunities?

Inbound logistics is a supply chain management term used for?

A remanufacturer of equipment is most likely to have what type of supply chain?

A firm allows its employees to engage in charitable activities during work hours, enforces strict codes of employee conduct, and makes donations of funds and goods to local organizations. Which of the following types of initiatives do these examples represent?

A company is considering changing its manufacturing strategy from engineer-to-order (ETO) to make-to-order (MTO). Which of the following risks should the company be careful to consider?

A practical way to eliminate an unprofitable customer is to:

Which of the following decision-making criteria is relevant when purchasing a maintenance, repair, and operations item?

Which of the following four perspectives are used in the balanced scorecard?

Which of the following manufacturing strategies would run the greatest risk of increasing obsolete inventory costs?

When implementing e-commerce in the supply chain, a company's toughest challenge most likely will be:

Which of the following objectives is emphasized most in an integrated logistics strategy?

Certification in Logistics, Transportation and Distribution

CPIM - Basics of Supply Chain Management

Filters