CWLP Supply Chain Operations & Optimization 2

Question 1

Which supply chain strategy positions inventory closer to end customers to reduce lead times and improve responsiveness?

Accepted Answer

Forward deployment

Answer

Forward deployment places finished goods or components at locations near customers to shorten order fulfillment lead times.

Question 2

A company's order cycle time is 5 days and demand is 200 units/day. Safety stock covers 2 days of demand. What is the reorder point?

Accepted Answer

1,400 units

Answer

Reorder point = (demand rate × lead time) + safety stock = (200 × 5) + (200 × 2) = 1,000 + 400 = 1,400 units.

Question 3

What is the primary goal of supply chain segmentation?

Accepted Answer

Applying differentiated strategies to distinct customer or product groups

Answer

Segmentation recognizes that different products or customers require different service levels and supply chain configurations.

Question 4

In a pull-based supply chain, production or replenishment is triggered by:

Accepted Answer

Actual customer orders or consumption

Answer

Pull systems respond to real demand signals rather than forecasts, reducing overproduction and excess inventory.

Question 5

The Total Cost of Ownership (TCO) model in sourcing decisions includes all of the following EXCEPT:

Accepted Answer

Supplier's internal R&D budget

Answer

TCO captures all costs the buyer incurs over the product lifecycle; a supplier's internal R&D budget is not a buyer-borne cost.

(CWLP) Certified Warehouse and Logistics Professional Practice Test