ERP Vendor Management

Question 1

In ERP systems, which module is primarily responsible for managing vendor master data?

Accepted Answer

Materials Management (MM)

Answer

Sales and Distribution

Answer

Financial Accounting (FI)

Answer

Human Resources (HR)

Question 2

What is a Vendor Scorecard used for in ERP-based vendor management?

Accepted Answer

Evaluating vendor performance against defined KPIs

Answer

Tracking vendor invoices for payment

Answer

Automating purchase order creation

Answer

Configuring vendor tax codes

Question 3

Which process in ERP allows a company to pre-qualify suppliers before they can receive purchase orders?

Accepted Answer

Vendor Certification

Answer

Invoice Matching

Answer

Goods Receipt

Answer

Payment Run

Question 4

In ERP procurement, what does a 'blanket purchase order' allow organizations to do?

Accepted Answer

Commit to purchasing a set quantity from a vendor over a period of time

Answer

Pay multiple vendors with a single payment

Answer

Return defective goods to a vendor automatically

Answer

Block a vendor from receiving new orders

Question 5

What is the purpose of a Vendor Risk Assessment in ERP vendor management?

Accepted Answer

To identify and mitigate risks associated with supplier dependency and performance

Answer

To calculate the vendor's credit score for payment terms

Answer

To generate automatic reorder points for vendor items

Answer

To assign ERP user roles to vendor contacts

Question 6

Which ERP feature helps enforce compliance by restricting purchases to approved vendors only?

Accepted Answer

Approved Vendor List (AVL)

Answer

Goods Issue

Answer

Cost Center Allocation

Answer

Material Requirements Planning (MRP)

Question 7

In ERP systems, what is 'vendor master data' typically organized by?

Accepted Answer

Vendor account groups and purchasing organizations

Answer

Customer account groups

Answer

Cost centers and profit centers

Answer

Plant codes and warehouse numbers