APICS Supply Chain & Strategy 3

Question 1

When comparing 'functional products' to 'innovative products,' functional products typically require:

Accepted Answer

Efficient supply chains focused on low cost

Answer

Functional products with stable, predictable demand are best served by efficient supply chains that minimize cost rather than maximize responsiveness.

Question 2

The primary purpose of a Sales and Operations Planning (S&OP) process is to:

Accepted Answer

Align supply and demand plans at an aggregate level across the business

Answer

S&OP creates a single, integrated plan that balances demand and supply at an aggregate level, aligning cross-functional teams on business goals.

Question 3

Which supply chain risk mitigation strategy involves maintaining relationships with multiple suppliers for the same component?

Accepted Answer

Dual/multi-sourcing

Answer

Dual or multi-sourcing reduces supply disruption risk by spreading procurement across two or more qualified suppliers.

Question 4

In supply chain management, 'total cost of ownership' (TCO) includes:

Accepted Answer

All costs associated with acquiring, using, and disposing of a product or service

Answer

TCO captures the full lifecycle cost including acquisition, operation, maintenance, and disposal costs beyond just the purchase price.

Question 5

A 'hub-and-spoke' distribution network is most advantageous when:

Accepted Answer

Consolidating freight reduces transportation costs for many small shipments

Answer

Hub-and-spoke networks consolidate shipments at central hubs, reducing per-unit transportation costs for networks with many small, dispersed shipments.

(APICS) American Production and Inventory Control Society Certified Practice Test

(APICS) American Production and Inventory Control Society Certified Practice Test

APICS Supply Chain & Strategy 3