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Question 181 - CSCP discussion

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Which of the following types of lead times is related most closely to a supplier performance measure?

A.
Fulfillment
Answers
A.
Fulfillment
B.
Replenishment
Answers
B.
Replenishment
C.
Overall
Answers
C.
Overall
D.
Process
Answers
D.
Process
Suggested answer: B

Explanation:

Replenishment lead time is closely related to a supplier performance measure because it specifically focuses on the time it takes for a supplier to deliver goods once an order is placed. Here's the detailed explanation:

Replenishment Lead Time Definition: This is the amount of time from when a supplier receives an order until the goods are delivered to the buyer.

Supplier Performance: Replenishment lead time directly measures a supplier's efficiency in fulfilling orders, highlighting their ability to manage production, processing, and logistics.

Impact on Operations: Shorter replenishment lead times indicate a supplier's ability to quickly respond to orders, which is crucial for maintaining optimal inventory levels and meeting customer demand.

Performance Metrics: Companies use replenishment lead time to assess supplier reliability, predictability, and consistency, which are key factors in supply chain performance.

Monczka, R. M., Handfield, R. B., Giunipero, L. C., & Patterson, J. L. (2015). Purchasing and Supply Chain Management.

Chopra, S., & Meindl, P. (2016). Supply Chain Management: Strategy, Planning, and Operation.

asked 16/09/2024
Joao Domingues
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