CSCP General Practice 3

Question 1

A retailer notices that small fluctuations in consumer demand cause progressively larger order swings at the distributor and manufacturer. Which practice would MOST directly reduce this effect?

Accepted Answer

Sharing point-of-sale data with upstream partners

Answer

Sharing POS data lets upstream partners plan from true end demand, dampening the bullwhip effect.

Question 2

In a master production schedule, which quantity represents the portion of planned inventory and production not yet committed to customer orders?

Accepted Answer

Available-to-promise

Answer

Available-to-promise (ATP) is the uncommitted portion of inventory and planned production available for new customer orders.

Question 3

Which forecast error measure shows whether a forecast is consistently too high or too low?

Accepted Answer

Tracking signal

Answer

The tracking signal (cumulative error divided by MAD) detects bias in a forecast.

Question 4

During the sales and operations planning (S&OP) process, what is the main purpose of the executive S&OP meeting?

Accepted Answer

To make final decisions and resolve issues left unsettled in earlier steps

Answer

The executive meeting authorizes the consensus plan and resolves cross-functional conflicts escalated from the pre-S&OP meeting.

Question 5

A company produces to a forecast but assembles final products only after receiving customer orders from a stock of common modules. Which production strategy is this?

Accepted Answer

Assemble-to-order

Answer

Assemble-to-order stocks components or modules and completes final assembly upon receipt of a customer order.

Certified Supply Chain Professional CSCP Practice Practice Test

Certified Supply Chain Professional CSCP Practice Practice Test

CSCP General Practice 3