CCS Inventory Management & Supply Chain 3

Question 1

Which document is used to formally authorize a supplier to ship goods to a buyer?

Accepted Answer

Purchase order

Answer

A purchase order (PO) is the buyer's formal authorization instructing a supplier to deliver specified goods at an agreed price.

Question 2

Safety stock is primarily held to:

Accepted Answer

Buffer against demand variability and supply uncertainty

Answer

Safety stock acts as a buffer inventory to protect against unexpected surges in demand or delays in supply delivery.

Question 3

In food manufacturing, 'yield management' within inventory refers to:

Accepted Answer

Accounting for the difference between raw material input and usable output

Answer

Yield management tracks trim loss, cooking loss, and other reductions from raw ingredient to final usable product.

Question 4

A Certificate of Analysis (COA) from a food ingredient supplier primarily documents:

Accepted Answer

Product specifications and test results confirming quality compliance

Answer

A COA certifies that a batch meets specified quality and safety parameters, including analytical test results.

Question 5

Which supply chain strategy involves maintaining production at a steady rate and using inventory to absorb demand fluctuations?

Accepted Answer

Level production strategy

Answer

A level production strategy keeps output constant, building inventory during slow periods to meet higher demand later.

(CCS) Certified Culinary Scientist Practice Test