CPIM Supply Chain Strategy 2

Question 1

A company wants to compete on rapid customization and short lead times. Which supply chain strategy best supports this goal?

Accepted Answer

Agile supply chain

Answer

Lean supply chain

Answer

Efficient supply chain

Answer

Risk-hedging supply chain

Question 2

The concept of 'postponement' in supply chain strategy involves:

Accepted Answer

Deferring final product differentiation until demand is known

Answer

Delaying supplier payments to improve cash flow

Answer

Postponing new product launches to reduce risk

Answer

Delaying procurement until safety stock is depleted

Question 3

Which metric best captures the end-to-end efficiency of a supply chain from cash outlay to cash receipt?

Accepted Answer

Cash-to-cash cycle time

Answer

Inventory turnover ratio

Answer

Order fill rate

Answer

Perfect order index

Question 4

A firm sources a critical component from a single supplier in a region prone to natural disasters. Which strategy would best mitigate this supply risk?

Accepted Answer

Dual sourcing from geographically dispersed suppliers

Answer

Increasing safety stock only

Answer

Switching to make-to-order production

Answer

Reducing the order cycle time

Question 5

In the SCOR model, the 'Source' process category primarily refers to:

Accepted Answer

Procuring goods and services to meet planned demand

Answer

Identifying new markets for products

Answer

Manufacturing and transforming materials into finished goods

Answer

Delivering products to end customers

Question 6

Which of the following best describes a 'functional' product in Fisher's supply chain framework?

Accepted Answer

A product with stable, predictable demand and long life cycles

Answer

A product with high demand variability and short life cycles

Answer

A product requiring significant customization per order

Answer

A product sold exclusively through digital channels

Question 7

A supply chain manager is evaluating whether to insource or outsource a manufacturing process. Which factor most strongly favors insourcing?

Accepted Answer

The process is core to the firm's competitive differentiation

Answer

The process uses commodity technology available from many suppliers

Answer

External suppliers offer significantly lower unit costs

Answer

The required capital investment is prohibitively high