ExamGecko
Question list
Search
Search

List of questions

Search

Question 182 - CSCP discussion

Report
Export

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

A.
Vertical integration
Answers
A.
Vertical integration
B.
Technology integration with suppliers
Answers
B.
Technology integration with suppliers
C.
Investing in redundancy
Answers
C.
Investing in redundancy
D.
Strengthening supplier relationships
Answers
D.
Strengthening supplier relationships
Suggested answer: C

Explanation:

Investing in redundancy is the most appropriate strategy for managing unknown risks in a global supply chain. Here's a detailed explanation:

Unknown Risks: These are risks that cannot be predicted or quantified accurately, such as natural disasters, political instability, or sudden supply chain disruptions.

Redundancy Strategy:

Multiple Suppliers: Engaging multiple suppliers for critical components to ensure that if one supplier fails, another can step in.

Backup Inventory: Keeping additional inventory at strategic locations to buffer against supply disruptions.

Diversified Sourcing: Sourcing from different geographic locations to mitigate regional risks.

Risk Mitigation: Redundancy helps in spreading risk across multiple sources and ensures continuity in the supply chain despite unforeseen events.

Resilience: Building redundancy into the supply chain enhances resilience, enabling the company to respond and recover quickly from disruptions.

Christopher, M. (2016). Logistics & Supply Chain Management.

Sheffi, Y. (2005). The Resilient Enterprise: Overcoming Vulnerability for Competitive Advantage.

asked 16/09/2024
Foo goo
41 questions
User
Your answer:
0 comments
Sorted by

Leave a comment first