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Question 238 - CSCP discussion

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Which of the following actions by a group of trading partners is most likely to quickly improve their economic performance?

A.
Developing a comprehensive product and service strategy
Answers
A.
Developing a comprehensive product and service strategy
B.
Implementing collaborative interorganizational systems
Answers
B.
Implementing collaborative interorganizational systems
C.
Outsourcing interorganizational business processes
Answers
C.
Outsourcing interorganizational business processes
D.
Redesigning product packaging to reduce volume and weight
Answers
D.
Redesigning product packaging to reduce volume and weight
Suggested answer: B

Explanation:

Implementing collaborative interorganizational systems refers to the use of integrated technological systems that enable real-time communication, data sharing, and coordination among trading partners. This action can quickly improve economic performance due to several reasons:

Enhanced Information Flow: Real-time data sharing leads to better demand forecasting, inventory management, and reduced bullwhip effects.

Increased Efficiency: Streamlined processes and improved coordination reduce lead times and operational inefficiencies.

Cost Savings: Reduction in excess inventory and better resource utilization lead to lower operational costs.

Improved Responsiveness: Faster response to market changes and customer demands improves service levels and customer satisfaction.

Collaboration Benefits: Joint problem-solving and innovation can create new market opportunities and competitive advantages.

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

Simchi-Levi, D., Kaminsky, P., & Simchi-Levi, E. (2008). Designing and Managing the Supply Chain. McGraw-Hill.

asked 16/09/2024
Ismaiel Al-Mufleh
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