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Question 143 - CSCP discussion

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Which of the following processes would a company use to evaluate the risk profile for end-of-life planning for a product family?

A.
Distribution requirements planning
Answers
A.
Distribution requirements planning
B.
Sales and operations planning
Answers
B.
Sales and operations planning
C.
Rough-cut capacity planning
Answers
C.
Rough-cut capacity planning
D.
Production activity control
Answers
D.
Production activity control
Suggested answer: B

Explanation:

Sales and operations planning (S&OP) is a process used to align supply and demand by integrating financial and operational planning. For end-of-life planning of a product family, S&OP is crucial as it helps evaluate the risk profile by considering factors like declining demand, inventory levels, and production capacity. S&OP facilitates collaboration across various departments to ensure a smooth phase-out, minimizing excess inventory and mitigating risks associated with discontinuing products.

Reference:

'Sales & Operations Planning: The How-To Handbook' by Thomas F. Wallace and Robert A. Stahl

'Sales and Operations Planning: Beyond the Basics' by J. Barry Miskell

asked 16/09/2024
Chien Fang
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