CSCP FREE Certified Supply Chain Professional (CSCP) Supply Chain Risk Management Questions and Answers 3

Question 1

What is the PRIMARY purpose of conducting a Failure Mode and Effects Analysis (FMEA) in supply chain risk management?

Accepted Answer

To identify potential failure modes, their causes, and prioritize them by severity

Answer

To calculate the return on investment for risk mitigation spending

Answer

To benchmark supplier performance against industry standards

Answer

To forecast demand variability during peak seasons

Question 2

A company requires all Tier 1 suppliers to maintain ISO 22301 certification. This requirement primarily addresses which aspect of supply chain risk management?

Accepted Answer

Business continuity management capability of suppliers

Answer

Quality assurance of finished products

Answer

Environmental compliance across the supply chain

Answer

Cost reduction through standardized processes

Question 3

Which of the following metrics is MOST useful for measuring supply chain resilience?

Accepted Answer

Time-to-recover after a disruption event

Answer

Total cost of ownership

Answer

Perfect order rate percentage

Answer

Inventory turnover ratio

Question 4

A pharmaceutical company maintains dual-sourcing for active ingredients and holds strategic buffer inventory at regional distribution centers. Which risk management principle does this BEST illustrate?

Accepted Answer

Redundancy as a strategy to absorb supply chain shocks

Answer

Risk transfer through contractual obligations

Answer

Just-in-time inventory optimization

Answer

Lean supply chain cost minimization

Question 5

In the context of supply chain risk, what is a 'black swan' event?

Accepted Answer

An extremely rare, high-impact event that is difficult to forecast

Answer

A predictable seasonal demand fluctuation

Answer

A gradual decline in supplier quality over time

Answer

A planned production shutdown for maintenance

Question 6

Which approach to supply chain risk management focuses on building the ability to adapt and reconfigure the supply chain in response to changing conditions?

Accepted Answer

Supply chain agility

Answer

Six Sigma quality management

Answer

Total productive maintenance

Answer

Activity-based costing