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Question 51 - CSCP discussion

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Demand management involves which of the following undertakings?

A.
Adjusting capacity to support expected demand
Answers
A.
Adjusting capacity to support expected demand
B.
Engaging in activities associated with customer relationship management
Answers
B.
Engaging in activities associated with customer relationship management
C.
Creating higher customer demand by improving performance in areas such as lead time and service levels
Answers
C.
Creating higher customer demand by improving performance in areas such as lead time and service levels
D.
Understanding events and managing activities that could influence future demand
Answers
D.
Understanding events and managing activities that could influence future demand
Suggested answer: D

Explanation:

Demand management involves a proactive approach to understanding and influencing demand patterns. Here's how:

Event Analysis: It includes analyzing events such as market trends, economic indicators, and competitive actions that could impact future demand.

Demand Shaping: Managing activities like promotions, pricing strategies, and marketing campaigns to shape demand in a way that aligns with supply capabilities.

Customer Insights: Gathering and analyzing customer feedback and preferences to anticipate changes in demand.

Coordination: Collaborating with different departments (e.g., marketing, sales, and operations) to ensure alignment and responsiveness to demand changes.

Effective demand management requires a comprehensive understanding of various factors that influence demand and actively managing these elements to optimize supply chain performance.

Vollmann, T. E., Berry, W. L., Whybark, D. C., & Jacobs, F. R. (2005). Manufacturing Planning and Control for Supply Chain Management. McGraw-Hill.

Stevenson, W. J. (2018). Operations Management. McGraw-Hill Education.

asked 16/09/2024
Peter Klaffehn
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