Which of the following statements describes a continuous replenishment strategy in a retail environment?

Vendors use sales data and prepare shipments to maintain the desired level of inventory.

Retailers make replenishment decisions.

Retailers prepare individual orders and share sales data with vendors to improve customer service.

Vendors use sales data and prepare shipments to maintain the desired level of inventory.

Vendors take full control of inventory policy.

A supplier disputes a low rating generated by a company's enterprise resources planning (ERP) system. Which of the following actions by the purchasing agent is most appropriate?

Compare the vendor and company detail records, and interview company employees who handled the data.

Advise the ERP information technology manager that there is a flaw in the rating system.

Scrap the vendor rating system until the company can figure out what is wrong.

Compare the vendor and company detail records, and interview company employees who handled the data.

Tell the supplier that, regardless of the disputed claims, the supplier must improve performance.

Which of the following activities occurs as part of the sales and operations planning process?

Strategic plans are adjusted based on changing operating situations.

Time fences are matched to master production schedule horizons.

The next quarter's forecasts are presented by sales staff to finance and operations personnel at the final meeting.

Strategic plans are adjusted based on changing operating situations.

Plans are converted to financial projections and capacity requirements.

Which of the following elements is critical to successfully using a sales and operations planning process?

Implementing a unified cross-functional plan and process

Focusing on performance of the past 12 to 18 months

Implementing a unified cross-functional plan and process

Implementing bottom-up decision making

Aligning the forecast to the annual budget

An advanced planning system differs primarily from enterprise resources planning by:

optimizing operations scheduling.

linking to the transportation management system.

Which of the following conditions are most indicative of a company that is effectively managing its cash?

Low accounts receivable, low inventory, high accounts payable

High accounts receivable, low inventory, high accounts payable

Low accounts receivable , high inventory, low accounts payable

High accounts receivable, high inventory, low accounts payable

Which of the following activities is the most appropriate use of an advanced planning and scheduling system?

Identifying constraints within a facility

Selecting the target market for a product

Optimizing transportation routes

Creating a daily demand forecast

Identifying constraints within a facility

A company that manufactures complex mechanical assemblies to customer order and ships them directly to the customer is implementing manufacturing cells. The benefit most likely to result from this effort is a reduction in the:

response time to a request for quote.

An information technology system that couples enterprise resources planning and an advanced planning system would be most appropriate for which of the following types of business operations?

Multiple plants in the same supply chain

Multiple plants in multiple industries

Multiple plants in the same supply chain

Multiple supply chains of different products

Multiple supply chains of the same product

An information technology system that couples enterprise resources planning and an advanced planning system would be most appropriate for which of the following types of business operations?

Multiple plants in the same supply chain

Multiple plants in multiple industries

Multiple plants in the same supply chain

Multiple supply chains of different products

Multiple supply chains of the same product

Which of the following strategies is most appropriate for managing unknown risks in a global supply chain?

Technology integration with suppliers

Strengthening supplier relationships

Which of the following statements best identifies the value of using a supplier rating system?

It provides an objective means for a company to determine outstanding suppliers.

It allows customers to post chargebacks to suppliers.

It offers a company an effective way to control suppliers' delivery processes.

It ensures that all suppliers are using the same quality standards to manufacture products.

A company recently implemented a new supplier rating system. Data was collected from the enterprise resources planning system about each vendor's rating for cost, quality, and delivery over 12 months. A cutoff point was established for poor performers. The responsible purchasing agent then scheduled meetings with each supplier. Which of the following actions is most appropriate to take with suppliers whose ratings were below the cutoff point?

Discuss ways to raise the ratings for the next review period.

Tell the suppliers they are on probation for 3 months.

Immediately cancel outstanding contracts with those suppliers.

Ask the suppliers to explain the poor performance.

A firm experiences a supply chain interruption from a second-tier supplier. Which of the following actions is the firm likely to take to minimize future interruptions?

Map the supplier's supply chain to identify risks and opportunities.

Require the supplier to submit weekly cycle count reports.

Require the supplier to implement a sales and operations planning process.

Map the supplier's supply chain to identify risks and opportunities.

Conduct an ISO 14001 audit of the supplier.

An organization is partnering with a supplier. The most appropriate tool to ensure that the supplier has the necessary capabilities is:

a supplier-input-process-output-customer diagram.

supplier relationship management.

supplier performance evaluation.

A company most likely would implement a supplier certification program to:

validate the supplier's compliance with requirements.

improve the supplier's procurement process.

validate the supplier's compliance with requirements.

implement point-of-sale (POS) terminals.

Supplier certification procedures verify that a supplier:

implements, documents, and improves procedures related to customer requirements.

tracks manufacturing processes, including bills of material and routings to support the processes.

manufactures products to the specifications shown on engineering documents and bills of material.

A large bicycle company has outsourced manufacturing and needs to respond immediately to any logistics problems in the supply chain. The best technological solution to meet this need is:

supplier relationship management.

a transportation management system.

Which of the following types of raw materials would be most appropriate to source via an Internet-based trading exchange?

Inexpensive material for which there are many sources

Expensive material that is critical to the finished good

Expensive material for which there are several substitutes

Inexpensive material that is critical to the finished good

Inexpensive material for which there are many sources

A retailer wants to partner with its suppliers to implement automatic replenishment of inventories and joint sales forecasts. Which of the following supply chain management technologies most likely would support the retailer's strategy?

Advanced planning and scheduling

Supplier relationship management applications

Radio frequency identification (RFID) tags

When multiple warehouses are combined into one centralized warehouse, the requirement for safety stock is reduced because:

the total variability of demand is reduced.

there is less in-transit inventory.

the total variability of demand is reduced.

average cycle stock is reduced.

safety stock becomes available-to-promise.

A manufacturer's inventory levels are growing and service levels are dropping. Which of the following supply chain strategies is most appropriate to reduce inventory and improve service?

Increase the safety stockon all items.

The primary reason to establish a customer-dedicated warehouse is to:

position inventory to improve response time.

integrate and consolidate an assortment of inventory.

position inventory to improve response time.

balance inventory with consumption.

equalize inbound and outbound logistics costs.

Point-of-sale information fails to measure actual demand most likely because:

data about lost sales cannot be captured.

holidays interrupt typical sales patterns.

inventory levels are inaccurate.

there is lag time in the system.

data about lost sales cannot be captured.

APICS CSCP Practice Test 5 - Free Online Exam Prep & Questions

Question 1 / 40

Which of the following factors is most likely to slow the adoption of collaborative planning, forecasting, and replenishment (CPFR)?

APICS CSCP Practice Test 5

Question

APICS CSCP Practice Tests

Practice Tests